MORNING CALL 20 March 2012
FLOWS;
BUYS: Gamuda, CIMB, AMMB
SELLS: AirAsia, MHB, PCHEM
Stock of the Day
SP SETIA (RM3.89)
- The joint offer from PNB and Tan Sri Liew at RM3.95, closed yesterday with acceptance level at 78.95%, not complying with the minimum 25% shareholding spread. The have applied to Bursa for an acceptance of a lower shareholding spread, and/or to rectify the spread within 3 months.
- Under the GO constraint its price has been surpressed below its historial fundamental levels ie: current PE 20.3x vs historical 3 year average of 25x and P/Bk of 2.07x.
- A return closer to its normal trading PE band, driven by this year’s sales target of RM4bn should see it move back closer to the RM4.50-RM4.80 levels. BUY
MAXIS (RM5.99)
Maxis-seeing switching from other telcos into Maxis as stk offers highest div yield (refer table below). Recent strong buying also stems from possible cannibalisation from its recently launched and well received Bagus prepaid plan. Techinically, MACD is cutting upwards . BUY
| Name | Ticker | Lst Trd/Lst Px | P/E | P/B | Current Dvd Yld |
| DIGI MK Equity | DIGI MK |
3.92
| 24.4 | 21.7 |
4.45
|
| T MK Equity | T MK |
5.18
| 15.5 | 2.7 |
3.80
|
| AXIATA MK Equity | AXIATA MK |
5.11
| 18.9 | 2.2 |
3.72
|
| MAXIS MK Equity | MAXIS MK |
5.99
| 17.8 | 5.6 |
6.67
|
