RHB Research Summary - 10 Oct 2014

Prestariang (PRES MK, NEUTRAL, TP: MYR1.60)

Potential Headwinds Ahead

Company Update

Lacking major contract announcements over the past three months, we believe Prestariang’s 2H14 earnings could come under further pressure after 1H14’s disappointments. We also caution that potential delays in firming up a strategic partner for its university could translate into further near-term losses. Hence, we downgrade our TP to MYR1.60 (from MYR2.00), based on revised 16.0x FY15F P/E. Maintain NEUTRAL.

 

 

Favelle Favco (FFB MK, BUY, TP: MYR3.62) (Upgraded)

Company Update

Heavy Lifting Comes Easy

Favelle Favco announced new crane orders for a total of MYR59.7m, due to be delivered in 2015. The new orders are still within our FY15F estimates. As the fundamentals of the company are still intact and given the recent weakness in its share price, we take this opportunity to upgrade our recommendation to BUY from Neutral, with an unchanged TP of MYR3.62, with an upside of 16%.

 

Research Summary: 24 July 2014

Research Summary: 24 July 2014

Research House	Type	Company/Sector	Report Title	Rating/Call	Target
RHB	Company update	Prestariang	Fully priced in for now	Neutral	RM2.34
RHB	Results review	Westports	Earnings improved on higher volume	Buy	RM3.29
RHB	News flash	AZRB	Bags MYR185m Putrajaya building/road job	Buy	RM0.96
RHB	Results review	Daibochi	Another unexciting Quarter	Take profit	RM3.75
RHB	Results review	Pantech	Margin improves but sales decline	Neutral	RM1.25
CIMB	Results note	Daibochi	Signs of stable costs	Hold	RM4.38
Maybank	Company update	Hartalega	Transitioning to higher growth; U/G to BUY	Buy	RM7.30
Maybank	Results review	Westports	Waiting for tariff revision	Buy	RM2.85
Maybank	Technical	KPS		Take profit
Kenanga	Results note	Pantech	1Q15 in-line	Outperform	RM1.23
Kenanga	Results note	Westports	2Q14 results inline	Outperform	RM3.13
Kenanga	On radar	Pintaras	Bright prospects	Trading buy	RM4.78

Research Summary: 10 July 2014

Research Summary: 10 July 2014

Research House	Type	Company/Sector	Report Title	Rating/Call	Target
RHB	Sector update	Timber	Watch out for dry weather impact	Overweight
RHB	Sector update	Auto	Bumpy road ahead	Neutral
RHB	Eco highlights	Economic	Industrial Production rose in May, but Real GDP growth will likely grow at a more moderate pace in the 2Q
RHB	Eco highlights	Economic	Manufacturing sales weakened in May, as demand conditions softened
Maybank	Company update	UMW O&G	Maiden contract in Myanmar	Buy	RM5.15
Maybank	Company update	TSH Resources	Diligent planter	Hold	RM3.40
Maybank	Eco highlights	Economic	Figuring out “financial imbalances”
Maybank	Technical	Tecnic		Short-term buy
CIMB	Flash note	Prestariang	Money makes more money?	Add	RM2.53
CIMB	Flash note	UMW O&G	Take five? Not for this jack-up	Add	RM5.18
CIMB	Company note	Eco World	Property mover and shaker	Add	RM8.15
CIMB	Sector note	Plantations	NBPOL appeals to the suitors	Neutral
Kenanga	On radar	SCGM	Near-term catalysts priced in	Take profit	RM1.54
Kenanga	IPO Note	Tanah Makmur	Good value in flourishing planter	Not rated	RM1.60

Research Summary: 26 June 2014

Research Summary: 26 June 2014

Research House	Type	Company/Sector	Report Title	Rating/Call	Target
RHB	News flash	Datasonic	To partake in fuel subsidy project	Buy	RM2.50
RHB	News flash	Prestariang	Private placement to raise RM70m-80m	Buy	RM2.25
RHB	Results review	Hai-O	In transition	Neutral	RM2.73
RHB	Company update	7-Eleven	On an expansion spree	NR	N/A
RHB	Company update	Pintaras Jaya	Investability improves	Buy	RM4.88
RHB	Results review	VS Industry	Lacks re-rating catalyst	Neutral	RM1.75
CIMB	Company note	7-eleven	Strong growth but priced in	Hold	RM1.85
CIMB	Flash note	Prestariang	Private placement a positive surprise	Add	RM2.23
Maybank	Company update	Petronas Chemicals	Oil price kicker to ASP	Hold	RM6.85
Maybank	Technical	Titijaya		Short-term buy
Kenanga	Results note	Hai-O	FY14 within expectations	Market perform	RM2.47
Kenanga	On radar	SKP Resources	Bouncing back	Trading buy	RM0.57
Affin	Results note	Hai-O	Long-term prospects remain intact	Add	RM3.01