FBMKLCI
1791.74 -15.22pts
(-0.84%) Volume 2.136b Value 1.868b
1)
KLCI fell -0.84% following the sharp sell-off in the US on Friday after
stronger jobs data fuelled speculations that the Fed might raise interest rates
earlier than expected. Regional bourses were generally weaker inline with
global sentiments as NIKKEI -0.95%, HSI -0.17%, KOSPI -1.00%, ASX 1.31% fell,
while the SHCOMP +1.89% bucked the trend boosted by Banking stocks amid China's
reforms to issue brokerage licenses to banks. TRADING/SERVICES -0.88% index
were the biggest loser amongst the sector weighed by IHH -1.98%, GENM -3.59%,
SKPETRO -4.14%, TM -2.06%. Market breadth was negative with losers beating gainers
by 544 : 273. Futures closed at 1784pts (7pts discount).
2)
Heavyweights : PBBANK-1.50% RM18.38, GENM -3.59% RM4.02, SKPETRO -4.14% RM2.31,
TM -2.06% RM7.10, PETGAS -1.75% RM22.46, GENTING -1.64% RM8.39, IHH -1.98%
RM5.44, PCHEM -1.32% RM5.21
3)
DBT: MULPHAL 75mil @ RM0.47 (32.85% PUC @ 14.6% discount), KPOWER 11.275mil @
RM0.43 (20.00% PUC @ 21% premium), YTLPOWR 10mil @ RM1.57, TMAKMUR 7.402mil @
RM1.2986 (11.1% discount), INARI 5mil @ RM2.80 (13.6% discount).
4)
Situational:-
WCT
-2.45% RM1.59 – Company was awarded a major construction job worth RM1.21
billion in the Qatari capital of Doha. WCT said the contract was won by its
70:30 joint venture with Al-Ali Projects Co that will see the JV constructing a
commercial boulevard for Lusail Real Estate Development. These include link and
internal roads and support utilities plus five LRT station and four
double-storey underground car parks.
5)
BAuto
9mths
01/2015 Tover +33%
RM1.4bn Net +90%
RM160,1m EPS 19.8sen
4% below cons(f) RM222m
The
increase in the Group's revenue for the nine-month period was largely due to
higher sales volumes of Mazda vehicles. The sales volume growth in Malaysia
mainly came from the new Mazda2 model, Mazda CX-5 CKD model and the three new
CBU models that were launched in the third quarter of the previous financial
year i.e. Mazda Biante, Mazda3 and Mazda CX-5 (2.5L). In the Philippines,
Mazda2 and Mazda3 models were again the main contributors to its sales volume growth.
The Group's pre-tax profit has increased by RM106.5 million or 90.9% when
compared to the corresponding period of the previous year, largely due to
higher revenue and better gross profit margin.
4Q
is expected to be challenging as intense competition is expected to continue
until the oversupply situation ceases and the effects of Goods and Services Tax
(effective 1st April 2015) on car prices become clearer to consumers.
2015
will see Mazda increase its CKD model line-up, as the more competitive pricing
from increased localisation will enable it to compete on a more level playing
field with its competitors.
Set
to remain the top performing auto company in Malaysia. Buy on weakness.
6)
Market – Current weakness to prevail led by foreign selling on the persistently
weak RM. Stronger support on the KLCI seen around the 1750pts levels.