Tuesday, March 12, 2013

Morning Call | 12 March 2013


FLOWS
Tuesday, 12 March, 2013
BUY
PBBANK, CIMB, SIME, MRCB
SELL
IOI, MAXIS, IJM
STOCK ALERT
STOCK NAME
DATE
PRICE
BUY/SELL
TARGET PRICE
GENM(4715)
12/3/2013
RM3.58
SWITCH
RM3.80
Switch from Genting (RM9.96) into GenM (RM3.58)-we reiterate to sell into strength call on Genting (refer our morning note on 6/2/13) to switch into GenM. Genting recently jumped 8% from RM9.40 to RM10.10 on back of announcement of its maiden venture into Las Vegas gaming space. Believe recent news have been priced in whilst overhang from GE13 uncertainties prevail. Furthermore, its recent results were dragged down by Msian and SPorean gaming and plantation operations. Its RSI is 59 whilst MACD signaling overbought territory.  GenM in contrast has dropped to recent low of RM3.50 which coincides with its 200D SMA lvl. Co is not directly exposed to vagaries of GE13 as most businesses are out of Msia. Trades at attractive EV/EBITDA of mere 7.7x v regional peers’ 10-15x. Technically, stk is also more appealing as RSI at 46, MACD bottoming with indication of cutting up soon.
(LJN)
 
IHH(5225)
12/3/2013
RM3.51
SELL into strength
RM3.30
IHH (RM3.51) – stk has outperformed since its IPO of RM2.80 (+25%) and made a new high of RM3.54 recently. Trades at rich valuations PER 36x with no clear div policy for 2013 yet as Novena Spore is still in the red. There is no immediate catalyst for a breakout or to sustain this run up in share px as even technical perspective point to overbought category with MACD and RSI at high 71-Sell into strength.
(LJN)
 
Calls for MARCH Week 1/Week 2
STOCK
Initiation Dates
Initiation price
BUY/SELL
TARGET PRICE
LAST PRICE
% Change since Initiated
E&O(3417)
5/3/2013
RM1.57
ACCUMULATE
RM1.82
RM1.61
+2.5%
IJMLAND(5215)
5/3/2013
RM2.15
BUY
RM2.62
RM2.30
+6.6%
APM (5015)
6/3/2013
RM4.99
ACCUMULATE
RM5.50
RM4.97
-0.4%
TEBRAU(1589)
6/3/2013
RM0.94
BUY
RM1.40
RM1.03
+9.5%
MAS(3786)
7/3/2013
RM0.70
ACCUMULATE
RM0.785
RM0.700
0.0%
SKEPETRO(5218)
7/3/2013
RM2.98
BUY
RM3.22
RM2.99
+3.3%
SUPERMX(7106)
8/3/2013
RM1.91
ACCUMULATE
RM2.20
RM1.87
-2.1%
SENDAI(5205)
8/3/2013
RM1.12
BUY
RM1.40
RM1.12
0.0%
JCY(5161)
11/3/2013
RM0.525
TRIM
RM0.32
RM0.53
-0.9%
GTRONIC(7022)
11/3/2013
RM1.82
BUY
RM2.20
RM1.83
+0.5%