Bursa Malaysia Stock Watch
RHBInvest Research Highlights 09th January 2012
kltrader
Publish date: Mon, 09 Jan 2012, 11:38 AM
kltrader
0 20,638
This blog provides consolidated Bursa Malaysia stock market research, analysis, news and blogs from various sources. You can search and find all the past analysis and coverage on stocks and news by searching within this site. While this blog re-publishes contents from other sites, it does not own the rights nor responsible for the accuracy of the contents. If you disagree to your content from being published here, please add a comment, and your article will be removed from this site.
09th January 2012
| Top Story |
| Petronas Gas ' Getting ready for incoming LNG regasification plants Outperform Company Update - In late Dec-11, the company announced: 1) a new network code to accommodate third party access (TPA) to the PGU system; and 2) three new wholly-owned subsidiaries in relation to regas terminals in Sg. Udang, Pengerang and Lahad Datu. - We learnt from management that the tariffs under the new network code for the TPA system are similar to that of the previous 4th GPTA regime; just that it is presented on a different basis. - We have tweaked our WACC assumptions to 7.8% (from 8.63% previously) which incorporates a higher debt to equity ratio for the company given the numerous projects the company will be undertaking. - We maintain our Outperform call on the stock with a higher fair value of RM16.39 (from RM14.50 previously) based on unchanged DCF method. - Related story: Oil & Gas Sector Update ' Resilient Despite Macroeconomic Uncertainties (12 Dec 2011) |
| |
| Corporate Highlights |
| WCT ' FY12/11 new contract wins fall short of RM2bn target Market Perform Company Update - WCT was unable to meet its new construction orderbook guidance of RM2bn for FY12/11. It only managed to secure RM187m. - The key culprits were its unsuccessful bids for Yas Mall in Abu Dhabi , Four Seasons Hotel in Bahrain , Madinah Airport in Saudi Arabia , airport extension in Brunei and "Package B" of the LRT line extension project. - We are cutting FY12/12-13 net profit forecasts by 7-12%, having reflected an actual new construction orderbook secured of only RM187m in FY12/11 (vis-''-vis our previous assumption of RM1.5bn), partially mitigated by an upward revision in property profits. - Fair value is reduced by 5% from RM2.08 to RM1.97. Maintain Market Perform. - Related story: WCT News Update ' A Second Property Venture In Vietnam (28 Dec 2011) |
| |
| Macro |
| Ringgit ' Is Malaysia vulnerable to Eurozone's credit crunch? Economic Highlights (published 9 Jan 2012) - According to some reports, Malaysia is one of the countries that have high exposure to European bank claims but Bank Negara Malaysia said that the figure was incorrect. - Although Malaysia 's exposure to external claims has certainly increased lately, we believe it is unlikely to result in a credit crunch in the country even if European banks were to withdraw their funds from Malaysia . - However, the ringgit could suffer greater volatility if there is a sudden pullout of funds from the Malaysian market due to the sizeable inflow of foreign capital into the country in 2011, particularly foreign portfolio investment that is short-term in nature. - As a whole, we believe the reversal of foreign capital this time around is likely to be gradual and we expect the ringgit to face some weakness in the near term and possibly weaken to around RM3.20-3.25/US$, if foreign portfolio investors continue to leave the country. Once the Eurozone is able to resolve its debt crisis and outflow of foreign portfolio investment normalises, we expect the ringgit to be supported fundamentally at around RM3.00/US$. The sharp fluctuation of the ringgit in a short period of time, however, will likely dampen economic and business activities. |
Related Stocks
| Chart | Stock Name | Last | Change | Volume |
|---|
More articles on Bursa Malaysia Stock Watch
Tambun Indah - The 2nd Penang Bridge To Narrow Property Price Gap
Created by kltrader | Oct 11, 2012
Plantation ' Share Prices Not Reflecting CPO Price Movement ' Is A Correction Coming? (Neutral)
Created by kltrader | Oct 11, 2012
Discussions
Be the first to like this. Showing 0 of 0 comments
Post a Comment
Featured Posts
Latest Videos
Apps
Top Articles
1
2
BFM Podcast
3
BFM Podcast
5
BFM Podcast
6
Good Articles to Share
China’s chip advances stall as US curbs hit Huawei AI product
7
BFM Podcast
8
BFM Podcast
#
Stock
Score
Daily Stocks
Stock Name
Last
Change
Volume
Stock Name
Last
Change
Volume
Stock Name
Last
Change
Volume
Featured Advertisers / Partners
Ride The Bull Short The Bear
CS Tan
4.9 / 5.0
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
