Newbieinshare, the RM7.96 is the old aminvest TP for kpower (that time Kpower price was RM6.50 to RM7.00) way before the bonus issue that split 1 share into 4 share, now kpower price had been adjusted after the split, dont use old TP to compare with the new adjusted price
Hi, all sifu here. May i know why buy warrant at 0.90 whereas can get mother at 2.69 now? 0.90 2.50 = 3.40. Does it means mother is going to reach 3.40 soon?
* BUY, new TP of MYR3.12 from MYR2.23, 16% upside with c.1% FY21F (Jun) yield. We are positive on KPower’s memorandum of agreement (MOA) with Public Islamic Bank (PIBB), which marks its maiden venture into the solar power installation business. This will further strengthen its growth prospects, as it should ride on the wave of interest in renewable energy in Malaysia – if it is able to establish a track record.
* MOA with PIBB to penetrate the solar market. KPower has entered into an agreement to collaborate for the purpose of securing works related to the net energy metering scheme (NEM) and/or self-consumption electricity generation. Both of these are under the purview of Sustainable Energy Development Authority (SEDA). The MOA will be in effect for two years.
* New venture to boost earnings. We are positive on the MOA, which marks the company’s official venture into the solar power installation space. Under this proposed collaboration, KPower will execute the solar power installation contracts, while PIBB will provide financing under the Solar Financing Scheme and promote KPower as one of the contractors providing these services. We gather that KPower has been expanding its internal capability and identified potential partners to execute these jobs. To note, the NEM 3.0 programme is available from 2021 until 2023, with a quota of 500MW allocated for three main segments – homeowners, government ministries and entities, as well as commercial and industrial users. Including the proposed collaboration, KPower is targeting to secure up to 50MW – mainly from homeowners, as well as commercial and industrial users – under NEM 3.0. These could be worth c.MYR200m, with a net margin growth estimate of 10%. Besides this, KPower has participated in Large Scale Solar (LSS) 4 tenders as an asset owner – the outcome of which will be known in the near term.
* Forecasts. We maintain FY21E earnings, but increase FY22-23F net profit by 11-13% after imputing an additional MYR55-60m pa worth of solar power installation jobs. Our current orderbook replenishment of MYR1.3bn in FY21F is also relatively conservative, vs management’s target of MYR2bn.
* Keep BUY. Our TP rises to MYR3.12 from MYR2.23, pegged to a higher 25x FY22F P/E (from 20x), following the company’s venture into the solar power industry. Our P/E is still at a discount to that of solar power-related stocks, which currently trade at >30x P/E. We continue to like KPower for its strong earnings growth potential, riding on the growth of the renewable energy industry.
Retrace again. No worries. New opportunity for new rider... Its good stock. Can repeat and repeat to make profit. Grab when there is chances... Traders always changed. Most important kpower sooo good stock to trade and invest
@okok. Terima kasih atas nasihat Tuan. Saya memang dah niatkan dari awal, bila saya dah achieved my target, I will settle down. In fact it is much earlier than expected.
Kalau KPower price naik lagi, saya redha, setakat itu saja rezeki saya. If it's yours, it is yours.
Harap tidak menyinggung mana-mana pihak.
Wish all the Best to All of You! Happy Chinese New Year!
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ktrader
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Posted by ktrader > 2021-01-28 12:26 | Report Abuse
Kpower warrant tenure is 5 yrs but Scib is 3 yrs only maa..