|
FLOWS
|
Monday, 21 October, 2013
|
|||||||||||||
|
BUY
|
MAYBANK, PCHEM, TM
|
|||||||||||||
|
SELL
|
BJTOTO, AMBANK, WESTPORT
|
|||||||||||||
|
STOCK ALERT
|
||||||||||||||
|
STOCK NAME
|
DATE
|
PRICE
|
BUY/SELL
|
TARGET PRICE
|
||||||||||
|
UEMS (5148)
|
21/10/2013
|
RM2.51
|
ACCUMULATE
|
RM3.22
|
||||||||||
|
With the stock having dropped 31% from its high of RM3.62,
we are of the opinion the price has reflected a possible jump in RPGT from
15% to 30% for the first 2 years of sale of property. In the event that the
quantum of RPGT increase is less than expected, there will be a rerating of
UEMS. This has an even chance of happening as the government is keenly aware
of the negative effects of a sharp contraction in the property sector, with
repercussions in the construction & banking sectors and the ensuing
increase in NLPs & job losses. In addition, the policies have to be
accommodative for the impending listings of Medidni Iskandar & Iskandar
Waterfront Holdings early next year. Company news flows will be positive for
the current and next 2 quarters as UEMS will be launching RM3b worth of
projects with 75% of the launches in Nusajaya. In addition, there are talks
that the Ascendas’ Industrial Park project has received the land titles which
means launches could start by year-end. UEMS is currently trading at a 46%
discount to RNAV of RM4.62. A decent 30% discount to RNAV would bring the
price up to RM3.23 which is incidentally near to Bloomberg’s consensus
12-month target price of RM3.22. Accumulate
(PT)
 |
||||||||||||||
|
MRCB (1651)
|
21/10/2013
|
RM1.46
|
ACCUMULATE
|
RM1.70
|
||||||||||
|
Similar to UEMS above, there is a potential rerating catalyst
if property-related policies announced in the coming budget turn out to be
better than expected as the stock is trading at the bottom of its trading
range. It is 20% from its May’13 high of RM1.82 and is trading at close to 6%
discount from RM1.55, the reference price for new shares issued to settle for
85% of the purchase consideration for Nusa Gapurna. MRCB has an order book of
RM3b which will be further boosted once the acquisition of 70% PJ Sentral is
resolved and this is expected to be a major catalyst for the stock. It
currently trades at a discount of 38% to RNAV of RM2.37 and a p/bk of 1.29x
versus historical 1.95x. Accumulate
(PT)
 |
||||||||||||||
|
Calls for OCT Week 2/ Week 3
|
||||||||||||||
|
STOCK
|
Initiation Dates
|
Initiation price
|
BUY/SELL
|
TARGET PRICE
|
LAST PRICE
|
% Change
since Initiated
|
||||||||
|
DRBHCOM(1619)
|
11/10/2013
|
RM2.50
|
BUY
|
RM2.75
|
RM2.49
|
-0.4%
|
||||||||
|
HUBLINE (7013)
|
11/10/2013
|
RM0.055
|
BUY
|
RM0.095
|
RM0.055
|
0.0%
|
||||||||
|
DELEUM(5132)
|
14/10/2013
|
RM4.17
|
Take Profit
|
RM3.50
|
RM4.03
|
-3.4%
|
||||||||
|
SUNWAY (5211)
|
14/10/2013
|
RM2.90
|
BUY
|
RM3.40
|
RM2.93
|
+1.0%
|
||||||||
|
YTL (4677)
|
16/10/2013
|
RM1.52
|
ACCUMULATE
|
RM1.80
|
RM1.56
|
+2.6%
|
||||||||
|
SCOMIES(7045)
|
16/10/2013
|
RM0.67
|
ACCUMULATE
|
RM0.80
|
RM0.735
|
+9.7%
|
||||||||
|
MALTON (6181)
|
17/10/2013
|
RM0.97
|
Trading BUY
|
RM1.20
|
RM1.01
|
+13.4%
|
||||||||
|
SENDAI (5205)
|
17/10/2013
|
RM1.42
|
ACCUMULATE
|
RM1.80
|
RM1.48
|
+4.2%
|
||||||||
|
NAIM (5073)
|
18/10/2013
|
RM3.75
|
ACCUMULATE
|
RM5.12
|
RM3.78
|
+0.8%
|
||||||||
|
OLDTOWN (5201)
|
18/10/2013
|
RM2.48
|
Trading BUY
|
RM2.88
|
RM2.52
|
+1.6%
|
||||||||
|
HOLD
|
|
|
CONT SELL
|
SELL/ TAKE PROFIT
|
|
CONT BUY
|
STRONG BUY
|
