FBMKLCI
1840.08 -0.11pts (-0.01%)
Volume 2.689b Value 2.199b
1) The KLCI saw sideways trading, fluctuating within a
6pts band before closing flat after the US fell for a 2nd session attributed to
a weak set of data on Europe's Economy as well as geopolitical tension in
Syria. In the regional markets, SHCOMP +1.47%, HSI +0.35%, HSCEI +1.40% was boosted
by banking stocks following reports stating that investors in China opened the
most number of trading accounts in 2 years following the exchange link between
Hong Kong which will begin next month. In the local scene, INDUSTRIAL +0.45%
index gained the most grounds today erasing most of yesterday's losses boosted
by MISC +1.47%, BAT +1.18%, SIME +0.21%. Market breadth was positive with
gainers beating losers by 426 : 370. Futures closed at 1830 (10 pts discount).
2) Heavyweights : MAYBANK +0.39% RM10.08, YTL +1.80%
RM1.69, MISC +1.47% RM6.90, BAT +1.18% RM69.80, PBBANK -0.31% RM18.94, GENTING
-0.84% RM9.34, IOICORP -0.82% RM4.80, CIMB -0.28% RM6.98.
3) DBT : SCOPE 2mil @ RM0.25 (20.7% discount), PELIKAN
1mil @ RM1.06 (9.5% discount).
4) Situational:-
MRCB 0.00% RM1.67/ DRBHICOM +2.67% RM2.30/ PUNCAK -0.59% RM3.35 - MRCB
has been shortlisted to bid for the 1,000-tonne per day waste-to-energy
incinerator project in Taman Beringin, Kepong, which is estimated to cost up to
RM800.0m. The other three local competitors shortlisted are UEM Environment Sdn
Bhd, DRB-Hicom Bhd, and Puncak Niaga Holdings Bhd. It is believed that UEM
Environment Sdn Bhd - is teaming up with Japan's Mitsubishi Heavy Industries
Ltd to jointly bid for the proposed incinerator project, Puncak Niaga teaming
up with Japan's Hitachi Zosen Corp, DRB-Hicom partnering MMC Corp Bhd's
51%-owned subsidiary Malakoff Corp Bhd and Japan's Sumitomo Corp while MRCB is
collaborating with South Korea's Hyundai Rotem Co, an engineering, procurement
and construction company.
5) GLOMAC
1Q 07/14
Tover -65% RM106.5m Net
-14% RM20.8m 2.87sen
29% below cons(f) RM116.5m The lower revenue was mainly due to the
completion of Damansara Residences and tail-end projects in Bandar Saujana
Utama and its strategic decision to defer its key launches. However net profit margin increased from 21%
to 29%.
Upcoming launches comprise of niche products and
affordable properties catering to current market demand. More than half of the
launches are in landed residential products, primarily new phases of terrace
houses in Lakeside Residences, Saujana Rawang, Sri Saujana and Suria Residen in
Cheras.
Unbilled sales of RM630 million at the end of July 2014
ensures forward earnings visibility.
Glomac now has available landbank with potential Gross
Development Value of RM8.0 billion, where more than 85% will be derived from
landed residential and affordable township developments. Hold trading at fair
value of 9.8x current year PE.
6) Market - Lack of positive domestic leads should see
the KLCI to continue to track regional markets with brittle support level at
the 1835pts levels.
