FBMKLCI
1779.57 -8.23pts (-0.46%) Volume
2.233b Value RM2.557b
1) The FBMKLCI begun its trading day with mixed
sentiments after the DOW closed flat on Monday shrugging off a credit rating
boost but got eventually weighed down by regional indices lead by Japan. In the
regional market, the NIKKEI took a turn to close -1.5% lower after the BOJ
disappointed investors by deciding not to implement further stimulus measures
to keep the economy afloat. In the local market, PROPERTY index fell -2.00%
after UEMLAND -3.57%, SPSETIA -5.0% and
IGB -3.43% all closed at their day low.
Market breadth was generally negative with losers thumping gainers by
598 : 255. Futures closed 1774 (5 pts discount)
2) Heavyweights : CIMB-0.97% RM8.19, PETDAG-3.68%
RM25.14, IOICORP-1.28% RM5.42, PETGAS-1.5% RM21.06, GENTING-0.94% RM10.50,
ARMADA-3.27% RM3.84, AMBANK-1.21% RM7.33, MAYBANK+0.38% RM10.48
3) DBT : HUBLINE 24.55mil @ RM0.055, TGOFF 10mil @ RM0.58
(3.38% PUC, 16.5% discount), PRTASCO 5mil @ RM1.20 (1.5% PUC), BORNOIL 4.1mil @
RM0.5368 (17% premium)
4) Situational:-
PRTASCO +0.83% RM1.21 - Protasco Bhd's unit, HCM
Engineering Sdn Bhd, has been awarded a RM50.4m contract to construct the
proposed infrastructure package in Desaru Coast Course, Johor. The contract for
the proposed infrastructure package includes road and drainage works for a
period of 12 months commencing June 17.
5) FAVCO : Co announced that its wholly-owned
subsidiaries, Favelle Favco Cranes Pte Ltd, Favelle Favco Cranes Pty Ltd and
Favelle Favco Cranes (M) Sdn Bhd have received purchase orders or Letter of
Intent ("Contracts") respectively in the months of May 2013 and June
2013 with approximate combined value amounting to RM161.1 million. These
contracts are for offshore & supply cranes, and are to be delivered in the
years 2013/2014. Contracts are expected to contribute positively to the
earnings and net assets of FFB for the financial year ending 31 December 2013
and beyond; +ve. We remain bullish on the group, in view of it's record-high
order-book since 2009 and our positive view on the O&G sector in FY13&14.
Order-book stands at MYR713m at March 2013, of which 83% are from overseas
customers. The stock is currently trading in line with its 5-year mean at 6.5x
forward earnings, which does not fully reflect its growth potential. Div yield
at c3.9% - Accumulate.
6) Market: The uncertain global markets, especially the
sharp pullback in the ASEAN bourses, is putting the brakes on Bursa's technical
bounce. Despite Bursa's recent relative
strength, it is likely to consolidate for now until the external environment is
conducive to equities.
