Morning Call | 2 Oct 2012

FLOWS	Tuesday, 2 October, 2012
BUY	AIRASIA, CIMB, IJM
SELL	AXIATA, IOI, MAS
Stock Alert
STOCK	DATE	PRICE	BUY/SELL	TARGET PRICE
TIMECOM (5031)	2/10/2012	RM3.14	BUY	RM3.40
TimeCom (3.14) – stock has retraced 54% from high of RM3.65 and is at levels where the major shareholder, Global Transit, has started again to increase its stake in the company (commenced buying from last week when TimeCom was above 3.20, since then the stock has dropped another 3%). TimeCom owns 275m shares in Digi with a current market value of RM1,443.8m versus TimeCom’s market capitalization of RM1,796.3m. This substantially undervalues its wholesale international & domestic bandwidth and domestic corporate & data center business at a PER of 8.4x and they are in their early stages of growth. Buy                           (PT)
IJMLAND (5215)	2/10/2012	RM2.15	BUY	RM2.60
Time to relook at this stock which has retraced back to its head and shoulder neckline RM2.00 support level after peaking at RM2.70. MACD has been consolidating since Jul at oversold levels and has since started to cut upwards. Recently announced RPGT increase in Budget 2013 was at a smaller quantum than expected may result in renewed interest in property names. Rerating catalyst should there be a possible privatization play by IJM which owns 66% of co. Sitting on unbilled sales of RM1bn, with target new sales of RM1.5bn by 2013 to be driven mainly by Bandar Rimbayu (BR) (ex- Canal City), The Light Collection 3&4 in Penang. The much awaited maiden launch of BR expected in 4Q12. Co also recently added landbank in prime Bangsar South area. Trades PER 2013 12x (LJN)
Calls for SEPT Week 4 / OCT Week 1
STOCK	DATE	PRICE	BUY/SELL	TARGET PRICE
KULIM (2003)	25/9/2012	RM4.68	BUY	RM5.00
GENM (4715)	25/9/2012	RM3.40	ACCUMULATE	RM3.60
IJM (3336)	26/9/2012	RM4.75	Trading BUY	RM4.92
CANONE (5105)	26/9/2012	RM2.54	ACCUMULATE	RM3.20
IGB (1597)	27/9/2012	RM2.24	BUY	RM2.54
SUPERMX (7106)	27/9/2012	RM2.01	Situational BUY	RM2.30
DIALOG (7277)	28/9/2012	RM2.30	ACCUMULATE	RM2.50
SKPETRO (5218)	28/9/2012	RM2.31	Trading BUY	RM2.60
KEURO (3565)	1/10/2012	RM1.02	ACCUMULATE	RM1.13
MYEG (0138)	1/10/2012	RM0.745	ACCUMULATE	RM0.82