|
FLOWS
|
Friday, 21 March, 2014
|
|||||||||||||
|
BUY
|
GENM,
AIRPORT, AXIATA
|
|||||||||||||
|
SELL
|
HLFG, UMW, DIGI
|
|||||||||||||
|
STOCK ALERT
|
||||||||||||||
|
STOCK NAME
|
DATE
|
PRICE
|
BUY/SELL
|
TARGET PRICE
|
||||||||||
|
IJM (3336)
|
21/3/2014
|
RM5.90
|
ACCUMULATE
on weakness
|
RM6.75
|
||||||||||
|
Share price has been picking up with volume in the past few days.
Recently, the group is seen as a major beneficiary from the WCE highway
project which has finally been fully approved by the government. The project
will top-up IJM’s orderbook at least RM4.0bn on its existing RM2.0b. In
addition, its 62% owned subsidiary, IJM Land
is currently developing the new township worth RM11b GDV spanning over 1878ac
in the Kota Kemuning area next to the WCE highway. Apart from that, the
highway will also keep its industry division busy supplying quarry products
and concrete piles to the highway. Also, in the month of March, IJM has
announced that the strategic disposal of a 38% equity interest in its Kuantan
Port Consortium Sdn Bhd (KPC) to Beibu Gulf Holding (Hong
Kong) Co., Ltd (Beibu), has been completed. This in turn
will cause IJM to pocket in RM334m cash, i.e. 24 sen/share in its book, which
can be utilised for higher dividend payout in this financial year. Despite
the reduced stake in KPC, IJM will be enjoying another 60-year concession
period extension to 2072 instead of 2027, hence compensating the reduced
earnings from KPC and more importantly higher concession value. Moreover,
after this strategic tie-up, the Kuantan
Port will be expanding
to a bigger capacity deepwater terminal that will allow vessels up to 200k
dwt to berth. That will also boost IJM’s construction orderbook by another
RM1.0b in FY15. IJM’s current valuation at 14x CY14 PE has yet to reflect its
strategic property landbanks, expansion of Kuantan Port
and development potential of the adjacent industrial land. Accumulate on
weakness with a TP of RM 6.75 based on 16x CY14 PER.
(KL)
 |
||||||||||||||
|
UEMS (5148)
|
21/3/2014
|
RM2.15
|
ACCUMULATE
|
RM2.60
|
||||||||||
|
Share price has bounced from a low of RM 2.02 and has been
consolidating well at the RM 2.15 level. Chart is showing positive sign as
MACD is on the verge of cutting up and RSI is at a neutral level of 38%.
Fundamentally, the group is targeting RM3.2b sales and 10% PATAMI growth in
FY14E on the back of RM3.8b GDV worth of new projects this year. Management is
gearing the bulk of their products towards townships or landed residential
and expects 1Q14 to be a quiet quarter as the market adjusts to the new
property market measures. The new launches will commence in 2Q14 onwards.
Currently, the stocks trades at more than 50% discount to RNAV of RM4.60. Accumulate
with TP of RM2.60.
(KL)
 |
||||||||||||||
|
|
||||||||||||||
|
Calls for MARCH Week 2 / Week 3 2014
|
||||||||||||||
|
STOCK
|
Initiation
Dates
|
Initiation
price
|
BUY/SELL
|
TARGET PRICE
|
LAST PRICE
|
% Change
since Initiated
|
||||||||
|
IJMLAND (5215)
|
14/3/2014
|
RM2.71
|
Accumulate
|
RM3.14
|
RM2.88
|
+6.2%
|
||||||||
|
ENCORP (6076)
|
14/3/2014
|
RM1.29
|
BUY
|
RM1.60
|
RM1.29
|
0.0%
|
||||||||
|
HOVID (7213)
|
17/3/2014
|
RM0.35
|
DEFENSIVE BUY
|
RM0.41
|
RM0.34
|
-2.9%
|
||||||||
|
SKPETRO (5218)
|
17/3/2014
|
RM4.19
|
BUY
on Weakness
|
RM4.90
|
RM4.17
|
-0.5%
|
||||||||
|
ARMADA (5210)
|
18/3/2014
|
RM3.88
|
BUY
|
RM4.30
|
RM3.87
|
-0.3%
|
||||||||
|
CIMB (1023)
|
18/3/2014
|
RM7.00
|
ACCUMULATE
|
RM7.70
|
RM7.10
|
+1.4%
|
||||||||
|
TMCLIFE(0101)
|
19/3/2014
|
RM0.37
|
BUY
|
RM0.45
|
RM0.375
|
+1.3%
|
||||||||
|
AMBANK (1015)
|
19/3/2014
|
RM7.11
|
Trading BUY
|
RM8.05
|
RM7.17
|
+0.8%
|
||||||||
|
MITRA (9571)
|
20/3/2014
|
RM0.55
|
ACCUMULATE
|
RM0.70
|
RM0.55
|
+0.0%
|
||||||||
|
CMMT (5180)
|
20/3/2014
|
RM1.50
|
TRIM
|
RM1.30
|
RM1.51
|
+0.6%
|
||||||||
|
HOLD
|
|
|
CONT SELL
|
SELL/ TAKE PROFIT
|
|
CONT BUY
|
STRONG BUY
|