KUALA LUMPUR (Dec 14): Rakuten Trade has a “buy” rating on Kerjaya Prospek Group Bhd (KPG) at RM1.46, with a target price (TP) of RM1.79, and is positive on KPG’s outlook.

In an note on Thursday, the research house said The Vue @ Monterez launched recently in the third quarter ended Sept 30, 2023 (3QFY2023), with a gross development value (GDV) of RM250 million, had recorded a take-up rate of approximately 50% as of November.

Rakuten said that meanwhile, KPG is planning to launch Papyrus @ North Kiara, with a GDV of RM500 million, in 1QFY2024.

“We maintain our FY2023 earnings forecast of RM139.2 million, while tweaking our FY24 earnings [estimate] upwards by 2% to reflect the timing of recognition, and introduce our FY25 net earnings forecast of RM181.1 million.

“[We recommend] 'buy', with a TP of RM1.79, based on 13 times price-earnings ratio (five-year average) over FY2024 earnings per share, with potential upside of 22.5%,” the research house said.

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