Bursa Malaysia Stock Watch

YTL Power International: Maintain Buy - Still A Believer

kltrader
Publish date: Fri, 17 Aug 2012, 10:10 AM
kltrader
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  • Maintain Buy. YTLP's 4QFY6/12 core net profit was in line due to a deferred tax writeback. The quarter's core pretax profit was however below expectations as the slowing Singaporean economy and a patchy performance at YES weighed on the group.
  • While we expect operations to remain resilient, we lower our earnings estimates by 9-11% to account for higher debt levels. The stock offers a take-over angle for its domestic power operations. Maintain BUY with a higher TP of MYR2.20 as we roll forward our DCF valuation.
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Source: Maybank Research - 17 August 2012
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