Posted by B4b4 > 2018-05-17 21:56 | Report Abuse

Toll, HSR, only a little portion of the revenue. Look at the whole picture. MRCB , what is their strength ? They always make profit !

Posted by TEEXIAN1840 > 2018-05-17 22:13 | Report Abuse

exactly

Posted by ken law > 2018-05-17 22:22 | Report Abuse

Malaysian Resources Corporation - Selling Overdone; Anticipate Technical Rebound
Author: HLInvest | Publish date: Tue, 15 May 2018, 09:28 AM

MRCB (Buy-TP RM1.31) plunged 21.5% to RM0.785 following a broad selloff in the construction sector amid fears of the new PH government would review the on-going and upcoming mega projects. We expect a relief rally soon after the selling climax yesterday as MRCB’s fundamentals remain intact, backed by EPF (major shareholder with 34.9% stake), a strong ~RM6bn orderbook (excluding recently awarded KL-Singapore HSR PDP contract), disposals of EDL together with Menara Celcom and Ascott (by end 2018) to improve balance sheet.

MRCB Nosedived 21.5% to RM0.785 Amid Broad Selloff in Construction Stocks. Tracking major rout in construction and infrastructure companies in wake of concern that the change in new PH government is likely to translate into uncertainties pertaining to the continuity of mega projects (ongoing and upcoming) that were initiated by the previous administration.

Selling Overdone? Following a 40% plunge from YTD high of RM1.31 (8 Jan) to RM0.785 yesterday, we believe further severe downside risks are ebbing given HLIB SOP TP of RM1.31 (+66.8% upside), healthier balance sheet post rights issue, undemanding 0.71x P/B (52% below its 10Y average) and a strong 13.5% earnings CAGR for FY17-19. Moreover, its ~RM6bn orderbook (excluding recently awarded JV KL-Singapore HSR PDP with Gamuda), FY18 tenderbook of ~RM2.0bn (focusing on more civil engineering and long term fee-based contracts) coupled with ~RM1.2bn unbilled property sales will provide at least 3-4 years of earnings visibility.

EPF, the Single Largest Shareholder. Further selldown is also likely to be cushioned by the reputable shareholder, EPF and the monetisation of EDL. With EPF holding a 34.9% stake, MRCB’s well-being indirectly augurs well for unit holders of the retirement fund (i.e. the Rakyat ). We reckon that this should provide some comfort that the recent regime change during GE14 should not result to negative ramifications to MRCB from a fundamental standpoint.

Monetisation of EDL Is Another Potential Catalyst. Following the abolishment of toll collections for the EDL from 1 Jan 18, we expect the government to buy out the expressway or compensate MRCB based on traffic flows on the highway. Management estimates that the disposal of EDL, together with Menara Celcom and Ascott (by end 2018) could potentially transform its balance sheet into a net cash position (from net gearing of 0.53x in FY17), thereby in a much better position to execute its various catalytic projects such as embarking on the maiden launches of its key transit-oriented developments (TOD) projects – Kwasa Sentral and Bukit Jalil Sentral, both with a combined GDV of ~RM22bn.

Anticipate a Relief Bounce After Yesterday’s Selling Climax? In view of possible selling climax yesterday with a huge 138m shares transacted (against average 1M and 3M shares of 8m and 12m, respectively), there are signs of potential downtrend reversal, supported by the toppish –DMI and rising ADX (daily chart) coupled with the bottoming up hourly indicators. A strong breakout above RM0.80 barrier is likely to spur prices higher towards RM0.83 (23.6% FR) and RM0.90 (50% FR) before reaching our LT objective at RM1.00 psychological levels. On the flip side, key supports are situated at RM0.755 (14 May low) and RM0.695 (25 Aug low). Cut loss at RM0.69.

Source: Hong Leong Investment Bank Research - 15 May 2018

Posted by ken law > 2018-05-17 22:23 | Report Abuse

HLIB same analysis with Calvin.

Posted by JN88 > 2018-05-17 22:28 | Report Abuse

HLIB also said overdone GKENT: siapa beli 1.8 pagi sudah mati sampai 1.5.....1 hari 15% ....

Actually What HLIB wanted to say is: ENOUGH IS ENOUGH , PLS DONT SELL MRCB I STILL INSIDE< LET ME OUT FIRST.

Posted by SamuelLuke > 2018-05-17 22:39 | Report Abuse

JN88 hahaha you might be right but my hand itchy simply ... hahaha ya JN88 could be right there are
Many safe counter out there or outside Malaysia u guys don’t have to park here oh hehehe

Posted by AdCool > 2018-05-17 23:21 | Report Abuse

Hlib said cut loss at 0.69. today lowest 0.68 and closed at 0.685. meaning cut loss lah cause will go down another 20% which is 0.55. if this support is broken then 0.48 my friend. This may come once Q1 results is out in the next 10 days.

Posted by Loh Kok Wai W > 2018-05-17 23:22 | Report Abuse

will drop below 0.50 cts ???/

Posted by Maurice1688 > 2018-05-17 23:51 | Report Abuse

After qr out might drop to 50cts

Posted by ken law > 2018-05-18 06:47 | Report Abuse

hope down again today. i want top up again.
please drop to rm0.50

Posted by B4b4 > 2018-05-18 06:47 | Report Abuse

Toll abolished, surely got some kind of balance or compensation like cash or in kind .HSR will be build maybe shorter distance to lower cost. MRCB is oversold.

Posted by gayinvestor > 2018-05-18 07:39 | Report Abuse

A shit stock remains a shit stock no matter how cheap it is, throughout the history this company has been earning negative economic profit. Buy now and you get ready to dump your money into the sea. This is the junk rated bonds for stock.

Posted by ken law > 2018-05-18 07:56 | Report Abuse

fast sell. let it down more to 0.5

Posted by Loh Kok Wai W > 2018-05-18 08:03 | Report Abuse

don't believe EPFtoo much,change government already !

Posted by emil > 2018-05-18 08:03 | Report Abuse

TP 0.38 full stop.

Posted by khatulistiwa1234 > 2018-05-18 08:29 | Report Abuse

only silly will think it every day dive down , did country in mercy , answer is not , will healthy wake up , respect little big , ok

Posted by sarahdeaton > 2018-05-18 08:31 | Report Abuse

Omg...news today!! 12pm.

Posted by freetospeak > 2018-05-18 08:32 | Report Abuse

dun buy when LEMBAGA TABUNG HAJI is selling n EPF buying.. becoz B is saving A ass.....

Posted by freetospeak > 2018-05-18 08:32 | Report Abuse

BUY when EPF is selling n HAJI is buying...

Posted by freetospeak > 2018-05-18 08:33 | Report Abuse

or both are buying

Posted by lextcs > 2018-05-18 08:35 | Report Abuse

sailang

Posted by sarahdeaton > 2018-05-18 08:41 | Report Abuse

Okok...i selll and buy now.

Posted by freetospeak > 2018-05-18 08:55 | Report Abuse

the corruption clean up is only beginning...haven reach major crony company yet...

Posted by Thorsc > 2018-05-18 09:21 | Report Abuse

0.695 up up up

Posted by kasrim > 2018-05-18 09:23 | Report Abuse

can buy or not?

Posted by lifecare > 2018-05-18 09:23 | Report Abuse

for the past 4 days, morning session performed in green... the nuclear from short seller will come towards 12.30 pm and afternoon session ....

Posted by JimYeoh > 2018-05-18 09:32 | Report Abuse

super cheap..

Posted by lifecare > 2018-05-18 09:34 | Report Abuse

sense the forcing south ....coming again...101% will turn red today again...

Posted by sarahdeaton > 2018-05-18 09:41 | Report Abuse

Okok. I call luke skywalker now.

Posted by SaoQ > 2018-05-18 09:57 | Report Abuse

oversold, 0.69 point is support for 2015 low, can start collecting for rebound

Posted by JimYeoh > 2018-05-18 10:00 | Report Abuse

colecting now..super cheap..

Posted by BlackWhite > 2018-05-18 10:12 | Report Abuse

Don't collect now, bleeding has stopped but still in critical condition , in icu ward for close observation

Posted by KAQ4468 > 2018-05-18 10:15 | Report Abuse

mana sudah lari itu budak from Jurong Investment House ????

Posted by sarahdeaton > 2018-05-18 10:18 | Report Abuse

Okok. I sell now. Collect at 1.00

Posted by SamuelLuke > 2018-05-18 10:24 | Report Abuse

What?? I was working Sarah really?? Okok sell woohoooooo...

Posted by Thorsc > 2018-05-18 10:34 | Report Abuse

Okok, sell now

Posted by BlackWhite > 2018-05-18 10:39 | Report Abuse

Sell now bleeding will start again

Posted by lifecare > 2018-05-18 10:44 | Report Abuse

coming to 12.30 pm soon...selling pressure will slowly start and will peak after 2.30 pm to 4.50 pm later...

Posted by ohbeeyee > 2018-05-18 10:47 | Report Abuse

JN88 HLIB also said overdone GKENT: siapa beli 1.8 pagi sudah mati sampai 1.5.....1 hari 15% ....

Actually What HLIB wanted to say is: ENOUGH IS ENOUGH , PLS DONT SELL MRCB I STILL INSIDE< LET ME OUT FIRST.

hahahaha...agree with you, IB so kind to let us in on when to buy ?

Posted by JimYeoh > 2018-05-18 10:59 | Report Abuse

DING

Posted by gayinvestor > 2018-05-18 10:59 | Report Abuse

People holding on will be fucked like never before in their entire life

Posted by sarahdeaton > 2018-05-18 11:01 | Report Abuse

Okok....i all sell. Waiting at 1.05 to buy back.

Posted by Thorsc > 2018-05-18 11:06 | Report Abuse

Skrg x boleh beli, bila Baru boleh beli

Posted by kasrim > 2018-05-18 11:07 | Report Abuse

siapa berani beli lah sekarang..haha

Posted by Alex™ > 2018-05-18 11:08 | Report Abuse

faster hoot ah, don't miss the bus, huat ar

Posted by bjgdila123 > 2018-05-18 11:10 | Report Abuse

sapuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuuu

Posted by 10274 > 2018-05-18 11:23 | Report Abuse

Stay calm and take your medicine

Posted by 8u29song > 2018-05-18 11:25 | Report Abuse

buy now lucky single 0.70...... target lucky double 0.77.....agree ???

Posted by Alex™ > 2018-05-18 11:30 | Report Abuse

counting money now...

Posted by B4b4 > 2018-05-18 11:31 | Report Abuse

Up up up ....MRCB main biz is UDA, not TOLL !