MIB Research Summary - 21 Oct 2014

MY Strategy: Maintain Neutral Values emerging

Malaysian equities not spared from foreign selling; KLCI down 2.3% MTD. KLCI is nearing the low of its PER range of the past two years; current weakness is an opportunity to accumulate. No change to our 2,040 end-2015 KLCI index target; we still Overweight construction, oil & gas. WCT Holdings Bhd: Maintain Hold Expanding existing landbank  Shariah-compliant Upbeat on its landbank expansion in Serendah that would enhance the development value of its existing land. Valuation is fair and would support LT property earnings. Earnings estimate unchanged. Maintain HOLD at MYR2.30 TP. Yinson Holdings: Maintain Buy FPSO Adoon’s contract extended This one-year extension up to Oct 2015, worth USD39m reflects a 9% improvement in dayrate. More positive newsflows in the pipeline - high probability of winning one new FPSO contract in 2014. MYR3.03 TP under review pending outcome of the Ghana tender, due soon. We are positive and maintain our BUY call. Axis REIT: Maintain Hold Earnings on track  Shariah-compliant 9M14 core net profit of MYR62m (-2% YoY) was within our expectation but below consensus. Placement of new units is underway to fund its MYR434m worth of new acquisitions in Shah Alam and Nusajaya Maintain earnings forecasts, DCF-based TP of MYR3.34 and HOLD rating. DiGi.com: Maintain Hold Slowing top-line growth  Shariah-compliant 9M14 EBITDA and net profit were in line with ours and consensus expectation. Revenue growth is slowing, but Digi’s revenue growth would likely still outperform cellular peers in 3Q14. Maintain HOLD, TP unchanged at MYR5.60. Bursa Malaysia: Maintain Hold Within expectations 9M14 results meet expectations. No change to our earnings forecasts and MYR8.00 TP. Maintain HOLD for its capital management potential. Technicals: A rebound to sell into The FBMKLCI rose 14.83 points to 1,803.14 yesterday, while the FBMEMAS and FBM100 also closed higher by 118.67 points and 112.19 points, respectively. We recommend a “Sell on Rallies” stance for the index. Trading idea is a Take Profit call on MRCB with downside target areas at MYR1.38 & MYR1.20.

Research Summary: 30 July 2014

Research Summary: 30 July 2014

Research House	Type	Company/Sector	Report Title	Rating/Call	Target
RHB	Company update	Yinson	Selling off low yield asset	Sell	RM2.60
RHB	Results review	LPI Capital	Profitable despite challenging environment	Buy	RM20.70
CIMB	Flash note	Perisai Petroleum	Not two hot	Add	RM2.37
CIMB	Sector update	Banks	Old drags, new threats	Underweight
CIMB	Flash note	YTL Corp	Down but not out	Add	RM2.29
Maybank	Sector	Plantations	2Q14 results preview	Neutral
Maybank	Company update	UMW	Rationalizing non-core M&E assets	Buy	RM12.44
Maybank	Technical	AMBANK		Take profit
Kenanga	Results note	Maybank	BII: Lacklustre performance	Outperform	RM11.20
Kenanga	Quick bites	UMW	Exiting auto-component industry from India	Market perform	RM12.25
Kenanga	Company update	Yinson	Letting go of Petroleo Nautipa	Underperform	RM2.31
Kenanga	Results note	LPI Capital	1H14 within expectations	Outperform	RM19.10

Research Summary: 25 July 2014

Research Summary: 25 July 2014

Research House	Type	Company/Sector	Report Title	Rating/Call	Target
RHB	Sector update	O&G	Storage, the preferred play over refineries	Overweight
RHB	Results review	Public Bank	Still tracking targets	Neutral	RM19.85
RHB	Company update	CIMB	CIMB Niaga 2Q14 results show muted numbers	Neutral	RM7.75
RHB	Results review	IGB REIT	Steady as expected	Neutral	RM1.27
RHB	Company update	MRCB	Taking up 100% stake in Penang Sentral	Buy	RM1.87
RHB	Company update	Sunway	Sales picked up strongly in 2Q	Buy	RM3.60
RHB	Company update	Dialog	Now neutral pending re-rating catalyst	Neutral	RM1.90
RHB	Results briefing	Daibochi	Fundamentals still intact	Neutral	RM4.10
RHB	Results review	Airport	Hit by higher depreciation and interest costs	Buy	RM8.51
RHB	Results review	Unisem	Finally back in the black	Buy	RM2.16
RHB	Eco highlights	Economics	Leading Index slowed in May, economic activities will likely grow at a moderate pace ahead
CIMB	Results note	Public Bank	Time to cash in on the price rally	Reduce	RM17.50
CIMB	Results note	IGB REIT	Stable Gardens and Valley	Hold	RM1.25
CIMB	Results note	Airport	Uncertainty is the enemy	Hold	RM7.50
CIMB	Results note	Unisem	Sequential improvement	Add	RM2.09
CIMB	Flash note	Daibochi	Stable raw material prices	Hold	RM4.38
CIMB	Eco update	Economics	May LI: Still favourable outlook
Maybank	Company update	Yinson	Sells Petroleo Nautipa for USD59m	Buy	M3.03
Maybank	Results review	Public Bank	Tepid growth in 1HFY14	Sell	RM19.20
Maybank	Results review	Airport	Surprise loss	Hold	RM6.90
Maybank	Results review	IGB REIT	Beat expectations	Hold	RM1.29
Maybank	Technical	FGV		Take profit
Kenanga	Results note	Unisem	Impressive turnaround	Market perform	RM1.64
Kenanga	Quick Bites	Yinson	Trading Petroleo Nautipa for longer-term plans	Underperform	RM2.31
Kenanga	Results note	Airport	Lower on KLIA2 opening	Market perform	RM8.06
Kenanga	Results note	CIMB	CIMB Niaga: weak showing	Market perform	RM8.00
Kenanga	Results note	IGB REIT	1H14 within expectations	Outperform	RM1.35
Kenanga	Results note	Public Bank	Looking to grow better yielding assets	Market perform	RM20.00