RHB Research

WCT: A "Paradigm" Shift In Our Valuation Methodology

kiasutrader
Publish date: Mon, 23 Mar 2015, 02:51 PM

Company Update

We  upgrade  our  call  to  BUY  from  Sell  and  lift  our  TP  by  25%  to  MYR1.75  (19%  upside)  from  MYR1.40,  as  we change our valuation methodology to SOP from straight P/E. We believe it is now more appropriate for us to value WCT’s property development/investment based on RNAV/NBV respectively given that it has grown substantially in size in recent years. We maintain our earnings forecasts.

Source: RHB Research - 23 Mar 2015

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