Media Prima: Digital & e-commerce continue to lead transformation Hold

We attended Media Prima's (MPR) Investor Day “Inside Out DC”. Key takeaways from the session are: 1)Sharing of printing facilities and distribution with Karangkraf; 2) Rev Asia to operate Mashable Southeast Asia (SEA); 3) Collaboration with videosharing technology platform Dailymotion; and 4) Partnership with Kitamen to boost eSports industry.

We maintain our HOLD recommendation on Media Prima with unchanged forecasts and fair value of RM0.47/share pegged to a PB multiple of 0.7x as we view that the recent developments would not materially impact our earnings forecast. We remain cautious on the company due to: i) the hazy operating environment for its TV segment upon analogue switch-off targeted for 1QCY19, ii) sustained decline in print circulation, and as, iii) the monetization of digital initiatives remains challenging

Others:

Malaysian Pacific Industries: 1QFY19 starts strong Buy

Hartalega: 1HFY19 sales volume weaker than expected Hold

RETAIL RESEARCH

Stocks On Radar: Reach Energy, Supermax, Gadang, LBS Bina

ECONOMIC HIGHLIGHT

Malaysia: Potential OPR direction will be data-driven

NEWS HIGHLIGHTS

Cryptocurrency: A blank cheque for Country Heights?

Revenue: Eyes tie-up with two banks for digital payment platform by year end

F&N: Posts higher Q4 net profit

US-China Trade War: Volvo rips up production plans in effort to dodge trade war tariffs

Source: AmInvest Research - 9 Nov 2018