Monday, April 7, 2014

Market Roundup | 4 April 2014

 FBMKLCI   1856.61      +0.98pts    (+0.05%)     Volume  2.058b   Value 2.831b
 
1) The KLCI traded in positive territory ahead of key US employment data later tonight. In the region, major bourses was also stronger led by SHCOMP +0.74% which gained as money market rates fell on speculation of government's efforts to boost the economy. Locally, selected oil and gas counters outperformed today following the FID from the board of Petronas for the US$27bln investment in RAPID, namely KNM +11.61% RM, PANTECH +8.93%, MHB +3.68%, MPHBCAP +2.13%, IJMLAND +2.34%. Market breadth was negative with losers edging gainers by 418 : 431. Futures closed at 1856.5 (parity)
 
2) Heavyweights:  PETGAS -3.21% RM24.08, SKPETRO -2.51% RM4.65, GENTING -1.82% RM9.71, DIGI -1.87% RM5.23, PCHEM -1.45% RM6.79, PBBANK +4.00% RM20.80, CIMB +2.34% RM7.42, MAYBANK +0.82% RM9.76.
 
3) DBT: RPB 19mil @ RM0.40 (2.21% PUC @ 11.2% discount), TAMBUN 11.6mil @ RM2.00 (2.93% PUC), DIGISTA 2.1mil @ RM0.22, TITIJYA 0.75mil @ RM1.96 (2.5% discount), OCK 0.25mil @ RM1.28 (3.8% discount).
 
4) Situational:-
TRC +3.60% RM0.575 - TRC Synergy has secured two construction contracts worth a total of RM414.64 million. The deal is part of a mixed development joint-venture project between City Hall and KL Eco City which comprises a 32-storey service apartment and office block and a 42-storey office block. The job consists of Earthwork, piling, basement and podium, which are expected to cost RM222.33 million, will start on April 7 with the completion date set on March 6, 2017.
 
5) DataSonic
Announced that DTSB had accepted the LOA dated 1 April 2014 from MPPP for the supply, installation and maintenance of CCTV cameras on the Penang Island, Pulau Pinang for a period commencing from 8 April 2014 to 28 July 2020 for a contract sum of RM5,396,595.00.
 
The stock experience a turbulent trading day on high volatility from RM4.69 to a low of RM3.30 before closing at RM3.64. We feel that most of the positives are already priced in with its YTD performance of +66% and rich valuation of 26x PE 2014. Trim
 
6) Market - Focus to now remain firmly on O&G players with exposure to the USD27bn RAPID project. This list includes PChem, Dialog, KNM, IJM, WCT, Muhibbah, SAPKen