Bursa Malaysia Stock Watch

Malaysian Airline System RM1.41: Hold

kltrader
Publish date: Fri, 18 Nov 2011, 10:01 AM
kltrader
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3Q11: More losses?
High fuel coupled with soft yields. MAS will release its 3Q11 resultsin late Nov. We expect 3Q11 to be loss-making due to the impact of45% higher fuel price YoY and the globally soft yield environment. Thechallenging global economy is undermining business activity, businessconfidence and the sentiment to travel. Against this backdrop, we havelowered our earnings forecasts and downgrade MAS to a Hold (fromBuy) with a new target price of RM1.55 (from RM2.70)

Maybank research (18 November 2011)

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