FBMKLCI
1794.52 -0.13pts (-0.01%)
Volume 1.502b Value 1.691b
1) The KLCI index traded with tepid volume today as it
closed flat even after the US market closed at record high overnight on the
back of lower unemployment numbers for the month of September. In the regional
market, bourses were generally higher with HSI +0.49%, NIKKEI +0.10%, STI
+0.01% gaining on global optimism while the SHCOMP-0.43% declined over concerns
of the government's efforts to curb robust property prices in the country. In
the local market, a few o&g related names such as YINSON +5.29%, COASTAL
+3.14%, ALAM +2.61% RM1.57, ARMADA +0.25% were the outperformer among the
flattish market. Market breadth was positive with gainers edging passed losers
by 416 : 324. Futures closed at 1787.5 (7 points discount).
2) Heavyweights: GENTING +0.46% RM4.34, CIMB +0.54%
RM7.44, MAYBANK +0.41% RM9.59, MISC +1.29% RM5.48, UMW -1.58% RM12.42, PETGAS
-0.67% RM23.54, KLK -0.83% RM23.85, PETDAG -0.78% RM30.28
3) DBT: KGB 18.573mil @ RM0.40 (11.559% PUC @ 19.2% discount), MMSV 13mil @ RM0.1458
(7.975% PUC @ 28.9% discount), KEURO 5mil @ RM1.31 (10% premium).
4) Situational:-
PUNCAK +4.19% RM3.48 - The Selangor government has
maintained its earlier offer to take over Puncak Niaga Holdings Bhd's water
assets and those of itrs distribution subsidiary Syabas at RM5.6bn (equity plus
asset values). The offer, made by the state's investment vehicle Kumpulan Darul
Ehsan Bhd, is part of a RM9.65bn plan to bring all the private water supply
concession assets in Selangor under state ownership. Puncak Niaga had
previously declined the RM5.6bn offer made by the Selangor government in late
February, saying that the offer was incomplete and inconclusive.
5) INTEGRAX : 9 mths 09/13 Rev+2.6% RM69.37mil Net+4.1% RM30.1m EPS 10.03s Div 4.5s
8%
below FY cons RM43.8m
For the 9 months, revenue rose due to a 9.4% increase in
cargo throughput in Lekir Bulk Terminal (LBT) as a result from higher demand
for coal by TNB. Port operation revenue was actually up 6.9% while industrial
properties segment saw a 51.3% contraction in revenue to RM1.46mil due to lower
land sale.
QoQ, Revenue fell 1.8% due to 12.9% lower throughput in
LBT. However PBT rose by 6.5% on lower depreciation and administrative charges
in 3Q. Industrial properties segment saw a 296% increase in revenue on higher
land sale.
Throughput is expected to double in the next 5 years upon
the commencement of Tenaga's new power plants - M4 on 31 March 2015 and M5 on 1
Oct 2017. Each of these plants will boost the annual volume of coal imports by
an additional 3m tonnes. Company is undervalued as it trades at 13.6xFY14 PER
vs peers of 18x. Buy
6) Market: Trading next week, especially the first 2
days, will be influenced by the MSCI adjustments/rebalancing and followed by possible month-end window
dressing activities in the later part of the week.
