Wednesday, February 8, 2012

Newz Bits 080212

Highlights of the day
§         Sime Darby (Company Update): Slow growth of plantation landbank (Maintain HOLD, TP: RM9.82) [download report]
We upgrade Sime Darby’s FY12-FY14 earnings estimates by 17-24% as we take into account higher contributions from the Plantation (revised FFB yields, CPO ASP and cost per mt) and Industrial (factored in Bucyrus’ distribution and assets contribution) segment. TP upgraded to RM9.82 based on RNAV derived from DCF as we switch from PE valuations. We maintain our HOLD recommendation.

Other reports
§         Newz Bits [download report]

Other Malaysian news
§         Genting: Florida casino gambling bill is dead for 2012
§         MAHB: KLIA2 concessionaire awards by July
§         E&O: Expects to launch wellness-based township in Iskandar early 2013
§         Century Logistics: Floating back into business
§         SLP Resources, Thong Guan Industries: Positive outlook for plastics
§         Aviation: Regional carriers may increase fuel surcharges
§         Automotive: New blueprint for sector
§         Banking: BNM, Thailand on cross-border collateral arrangement
§         Construction: Malaysian consortium to build RM6.6bn bridge in Bangladesh
§         Property: Plan for RM13bn Danga Bay waterfront project
§         Property: RM1bn Sibujaya Township taking shape
§         Power: Moratorium for feed-in license to prevent abuse
§         Water: PAAB close to deal with Perak on water assets

Global news
§         US: Breadth payroll gains adds heft to job market recovery
§         US: Orders to factories rise on demand for cars, aircraft
§         US: Consumer credit climbed by US$19.3bn in December
§         Europe: Retail sales unexpectedly fell in December
§         China: Exports fell in January for the first time since 2009
§         Taiwan: Exports fell in January for the first time since 2009
§         Indonesia: GDP expands fastest since 1996 as investment gains

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