Bursa Malaysia Daily Market Report - 21 December

Transcription

1. Thursday , 21 December, 2017 TA RESEARCH’S ‘DAILY COMPILED REPORTS’ For Internal Circulation Only N ew s 1. D ai l y M arke t C om men t a ry 2. D ai l y B ri ef Fu nd a me n tal Rep o r ts 1 . M a la ys i a n Ec o n o m y : I n f la tio n M o d e r a te s to 3 .4 % Y o Y 2 . P o h H u a t Re s o u rc e s H o l d i n g s Be r h a d : I m p re s siv e R e su l ts b y M a la y s ia n D iv i s io n Te ch n ic al R ep o rt s 1. D ai l y Te ch n ic a l St o ck Pi cks (L o ca l) 2. D ai l y St o ck S cr een 3. D ai l y For ei gn T ech n i c al St o ck P i cks ( AU S) Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my
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Daily Market Commentary Thursday , 21 December 2017 For Internal Circulation Only TA Research, e-mail : taresearch@ta.com.my KLSE Market Statistics (20.12.2017) (mil) Main Market 1,198.2 Warrants 274.4 ACE Market 1,043.7 Bond 14.9 ETF 2.7 LEAP 0.0 Total 2,533.9 Off Market 93.2 Volume +/-chg (RMmn) -409.9 2,030.0 58.9 41.7 -282.9 182.4 -11.5 2.9 -0.31 3.3 0.00 0.0 2,260.1 -52.6 66.4 Major Indices Index +/- chg Malaysia FBMKLCI FBMEMAS FBMSCAP December Futures Other Markets DOW JONES NASDAQ (US) FTSE (UK) NIKKEI (JAPAN) KOSPI (KOREA) HANG SENG (HK) FSSTI (S'PORE) SET (BANGKOK) JCI (JAKARTA) SHANGHAI SHENZHEN AUSTRALIA (mn) 30.0 15.5 12.0 10.0 7.5 7.0 5.0 2.9 2.5 % chg % YTD chg 9.68 74.73 34.56 6.00 0.56 0.60 0.21 0.34 6.39 9.76 13.82 6.88 24,726.65 6,960.96 7,525.22 22,891.72 2,472.37 29,234.09 3,394.87 1,738.16 6,109.48 3,287.61 1,891.52 6,075.62 -28.10 -2.89 -18.87 23.72 -6.16 -19.57 -9.60 5.85 -58.18 -8.93 -14.10 3.83 -0.11 -0.04 -0.25 0.10 -0.25 -0.07 -0.28 0.34 -0.94 -0.27 -0.74 0.06 25.12 29.31 5.35 19.76 22.00 32.88 17.85 12.65 15.34 5.93 -3.94 7.23 0.31 0.72 0.25 1.70 0.71 2.25 0.52 0.08 0.02 Exchange Rate USD/MYR 4.0740 -0.0070 USD/JPY 113.16 0.2900 EUR/USD 1.185 0.0006 Counter Mkt Cap. Chg (RM’mn) (RM) MAYBANK 102,278 PBBANK 80,010 CIMB 59,782 AXIATA 48,587 SIMEPLT 36,861 GENTING 34,008 GENM 31,233 IOICORP 27,712 TM 22,773 PPB 20,130 0.01 0.22 0.23 0.02 0.12 0.06 0.12 0.07 0.02 0.02 Stocks should move back to range trade mode as cautious sentiment prevails pending clearer market leads and the final vote on the US tax reforms. Immediate support for the index is retained at the 30-day ma level at 1,729, while crucial supports will be the 5 Dec pivot low of 1,708 and 1,705, the 50%FR. Key overhead resistance remains the 200-day moving average level at 1,755, with stronger upside hurdles from 1,765 and 1,782. News Bites Vol. (mn) 14.10 6.76 16.30 4.08 8.38 1.17 3.09 8.25 0.57 0.16 Commodities Futures Palm Oil (RM/mt) 2,504.00 -14.00 Crude Oil ($/Barrel) 58.07 0.58 Gold ($/tr.oz.) 1,268.70 3.90 Important Dates Blue chips recovered on Wednesday to reverse some of the previous day's steep losses after local fund buying on key banking stocks helped lift the benchmark off depressed levels. The KLCI rose 9.68 points to end at 1,746.63, off an early low of 1,735.44 and high of 1,751.95, as gainers led losers 490 to 396 on lower turnover of 2.53bn shares worth RM2.26bn. Short-term hook-down momentum indicators on DiGi implies good potential for immediate profit-taking correction to better supports from the 38.2%FR (RM4.64) or 23.6%FR (RM4.52) before stabilizing, while overhead resistance from the 61.8%FR (RM4.85) is reinforced by the 200day ma (RM4.92). Similarly, IHH is primed for overbought correction after the recent rally, with good supports from the 23.6%FR (RM5.70) and RM5.54, and overhead resistance from the 200-day ma (RM5.89) and 50%FR (RM6.01) capping upside potential. Top 10 KLCI Movers Based on Mkt Cap. (RM) @ @ @ @ @ @ @ @ @ Up Down 291 272 125 88 69 34 3 2 2 0 0 0 490 396 1,746.63 12,585.59 16,748.91 1,748.00 Off Market JOHAN SCABLE SYCAL SUNREIT ATTA LBS BJASSET M3TECH APFT Review & Outlook Value Value/ +/-chg Volume -616.8 1.69 -4.5 0.15 -23.7 0.17 -2.8 0.19 -0.39 1.21 0.00 0.00 0.89 -477.7 0.71 • Malaysia's headline inflation moderated further to 3.4% YoY in November 2017 following 3.7% YoY recorded in the month before. • Dagang NeXchange Bhd received an additional 11 months extension until August 2019 for the National Single Window contract. • Sanichi Technology Bhd's external auditors Messrs Cheng & Co have resigned after they failed to reach a consensus with the company over the proposed audit fee for the financial period ending Dec 31, 2017. • Berjaya Land Bhd posted a net loss of RM99.9mn in the 2QFY18 compared with a net profit of RM180.5mn a year ago due to impairment charges. • Kimlun Corp Bhd is buying a plot of freehold agriculture plot measuring 11.734ha in Pulai, Johor, from UEM Sunrise Bhd for RM82.1mn to develop commercial properties. • Westports Holdings Bhd has been slapped with several bills of demand amounting to RM59.5mn from the Royal Malaysian Customs. • Goh Ban Huat Bhd is planning to buy several properties in Pontian, Johor, from three companies controlled by the family of its largest shareholders, for RM143mn. • The takeover offer for Hovid Bhd has turned unconditional, with joint offerors Fajar Astoria Sdn Bhd and Hovid managing director David Ho Sue San now holding in aggregate 68.2% of the pharmaceutical company's shares. • Green Ocean Corp Bhd's Datuk Tan See Meng, 60, has resigned as the group's managing director, citing personal commitments, with his post now taken over by executive director Mohd Yusri Md Yusof. • Yee Lee Corp Bhd and Tasco Bhd have entered into a shareholders' agreement to jointly develop a business involving trading, distribution and logistics through YLTC Sdn Bhd. • Digistar Corp Bhd's wholly-owned subsidiary Jaya Persada Sdn Bhd has proposed to issue unrated fixed rate serial bonds of up to RM80mn. • Sunway Bhd plans to enter into Sabah's pavement market through acquisition of concrete block manufacturer Telipok Concrete Sdn Bhd for RM2.9mn. • Mah Sing Group Berhad is optimistic over the property sector's outlook in the first half of next year, saying it would continue to reinvent affordability by developing quality homes in strategic locations with prices that the people can afford. • Japan's JX Nippon Oil & Gas Exploration says Petroliam Nasional Bhd has awarded it oil and gas rights for the Beryl gas field off the coast of Malaysia. • Excluding a RM1.5m loss arising from forex impact and write-back, Poh Huat Resources Holdings Berhad's FY17 core profit of RM57.3mn came in within expectations. • Comfort Gloves Bhd's net profit jumped 44% YoY in 3QFY18 to RM11.9mn, due to cost savings and capacity upgrades that mitigated impact from higher labour and energy costs. • The U.S. Senate approved the tax-cut legislation in a party-line vote and the House of Representatives passed the bill after a re-vote, bringing Trump to the brink of his first major legislative victory. ECONBHD - 1:4 Bonus Issue - BI of up to 267.5m new split shares. 1 bonus share for every 4 split shares held. ECONBHD - 1:4 Bonus Issue - BI of up to 267.5m free warrants. 1 warrant for every 4 split shares held, on the same entitlement as the bonus issue of shares. Ex-Date: 26/12/2017. Entitlement Date: 28/12/2017. LISTING ON: 29/12/2017. Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan, Head of Research MENARA TA ONE, 22 JALAN for TA SECURITIES HOLDINGS BERHAD (14948-M) A PARTICIPATING ORGANISATION OF BURSA MALAYSIA SECURITIES BHD P RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL : 603 - 2072 1277. FAX : 603 - 2032 5048 www.ta.com.my
3. Thursday , December 21, 2017 FBMKLCI: 1,746.63 THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Daily Brief Market View, News In Brief: Corporate, Economy, and Share Buybacks Chartist: Stephen Soo Tel: +603-2167-9607 stsoo@ta.com.my www.taonline.com.my M a r k e t V i e w Cautious Ahead of Final US Tax Reform Vote Blue chips recovered on Wednesday to reverse some of the previous day’s steep losses after local fund buying on key banking stocks helped lift the benchmark off depressed levels. The KLCI rose 9.68 points to end at 1,746.63, off an early low of 1,735.44 and high of 1,751.95, as gainers led losers 490 to 396 on lower turnover of 2.53bn shares worth RM2.26bn. Support Remains at 1,729, Key 200-day ma Resistance at 1,755 Stocks should move back to range trade mode as cautious sentiment prevails pending clearer market leads and the final vote on the US tax reforms. Immediate support for the index is retained at the 30-day ma level at 1,729, while crucial supports will be the 5 Dec pivot low of 1,708 and 1,705, the 50%FR. Key overhead resistance remains the 200-day moving average level at 1,755, with stronger upside hurdles from 1,765 and 1,782. Take Profit on DiGi & IHH Short-term hook-down momentum indicators on DiGi implies good potential for immediate profit-taking correction to better supports from the 38.2%FR (RM4.64) or 23.6%FR (RM4.52) before stabilizing, while overhead resistance from the 61.8%FR (RM4.85) is reinforced by the 200-day ma (RM4.92). Similarly, IHH is primed for overbought correction after the recent rally, with good supports from the 23.6%FR (RM5.70) and RM5.54, and overhead resistance from the 200-day ma (RM5.89) and 50%FR (RM6.01) capping upside potential. Asian Markets Subdued Ahead of Final Vote on U.S. Tax Reforms Asian stocks were subdued in Wednesday trade, tracking the mixed performance on Wall Street overnight, with investors awaiting the final votes on U.S. tax-cut legislation. The U.S. House of Representatives initially passed the tax legislation in a Tuesday afternoon vote, but the bill included provisions that did not comply with Senate rules. The Senate was expected to vote on a revised version of the bill, with the offending provisions removed. If the Senate approves the bill as expected, the House will vote again later in the day. Congress is also struggling to pass a temporary spending bill by midnight on Friday to fund the government and avert a partial shutdown. Japanese stocks eked out modest gains in choppy trade as strength in financials offset a sustained sell-off in construction shares amid a suspected bid-rigging scandal. The Nikkei share average edged up 0.1 percent to 22,891.72 after trading in the red. Over in Australia, the S&P/ASX 200 inched higher by 0.06 percent to close at 6,075.60, with gains seen in the resources space, while South Korea's benchmark Kospi index ended 0.25 percent lower at 2,472.37 as gains in manufacturing names offset losses in blue-chip names in other sectors. Meanwhile, mainland indexes also recorded moderate losses in a thinly-traded session, which saw telcos among the worst-performing sectors on the day. The Shanghai Composite lost 0.27 percent to close at 3,287.61 and the Shenzhen Composite edged down by 0.74 percent to end at 1,891.52. Page 1 of 8
4. 21-Dec-17 Wall Street Little Changed as Tax Bill Awaits Trump ’s Signature Wall Street’s main indexes closed marginally lower on Wednesday, after Congress passed the largest overhaul of the U.S. tax system in three decades. Wednesday’s pause came as investors debated how much of the bill has already been priced into markets and what impact the changes will have on the economy. U.S. stocks have climbed to record highs recently, in part on expectations that the bill will boost corporate profits, particularly among banks and retailers, which tend to pay a higher effective tax rate. The U.S. Senate approved the tax-cut legislation in a party-line vote and the House of Representatives passed the bill after a re-vote, bringing Trump to the brink of his first major legislative victory. The bill itself will be signed at a later date. Real estate and utilities led the decliners, down 1 percent and 0.7 percent, respectively. Meanwhile, gains in energy offset those losses. Energy stocks were fueled as oil prices rose about 1 percent, supported by a larger-than-expected drop in U.S. inventories. WTI crude rose 0.9 percent to USD58.07 a barrel, the highest in almost three weeks. The Dow Jones Industrial Average fell 28.1 points, or 0.11 percent, to 24,726.65, the S&P 500 lost 2.22 points, or 0.08 percent, to 2,679.25 and the Nasdaq Composite dropped 2.89 points, or 0.04 percent, to 6,960.96. Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. As of Thursday, December 21, 2017, the chartist, Stephen Soo, who prepared this report, has interest in the following securities covered in this report: (a) nil Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 2 of 8
5. 21-Dec-17 N e w s I n B r i e f Corporate Dagang NeXchange Bhd announced that it received an extension for the National Single Window (NSW) contract. The extension is for an additional 11 months until August 2019 from September 2018 previously. To recap, the group received a two year extension last year to operate the NSW. (Bursa Malaysia) Comments: The extension is well within expectations and is largely positive for DNeX. We note that we have factored the extension into our earnings model as management was quite optimistic on it. That said, an 11-month extension is shorter than expected. However, we believe it is likely the contract will be extended yet again. We note that this is the third extension since the award of the contract in 2014. Maintain Buy on DNeX with unchanged TP of RM0.75 based on SOP valuations. Sanichi Technology Bhd's external auditors Messrs Cheng & Co (C&C) have resigned after they failed to reach a consensus with the company over the proposed audit fee for the financial period ending Dec 31, 2017. In a filing with Bursa Malaysia, Sanichi said it has received the notice in writing from C&C on their resignation as auditors of the company effective Dec 18. (The Edge Markets / Bursa Malaysia) Berjaya Land Bhd (BLand), the controlling shareholder of Berjaya Sports Toto Bhd, posted a net loss of RM99.9mn in the second financial quarter ended Oct 31, 2017 (2QFY18) compared with a net profit of RM180.5mn in 2QFY17, though revenue only slid marginally to RM1.61bn from RM1.62bn. The losses were caused by the provision for impairment of balance of sales proceeds from the sale of Berjaya (China) Great Mall Co Ltd, which amounted to RM155.1mn. Without that, the property developer would have reported a pretax profit of RM59.2mn in 2QFY18. (The Edge Markets / Bursa Malaysia) Kimlun Corp Bhd is buying a plot of freehold agriculture plot measuring 11.734ha in Pulai, Johor, from UEM Sunrise Bhd for RM82.1mn to develop commercial properties. The purchase is being undertaken via its indirect wholly-owned unit Kii Morris Sdn Bhd, which inked the sale and purchase agreement with UEM's unit Nusajaya Greens Sdn Bhd yesterday. The purchase consideration will be financed using internal funds and/or external borrowings. (The Edge Markets / Bursa Malaysia) Salcon Bhd stands to lose RM3.0mn in the event its appeal to overturn a court judgement favouring its contractor proves unsuccessful, and has made provision for the sum in its financial statement for the financial year ending Dec 31, 2017 for that. Salcon said its whollyowned engineering unit received a judgement from the High Court in Sabah and Sarawak, ordering it to pay contractor Terra Environment Management Sdn Bhd RM2.4mn, with costs and an interest of 5% per annum from Jan 1, 2014 to the date of full payment. (The Edge Markets / Bursa Malaysia) Westports Holdings Bhd has been slapped with several bills of demand from the Royal Malaysian Customs. Westports said its wholly-owned subsidiary Westports Malaysia Sdn Bhd has received several bills of demand amounting to RM59.5mn between July 17 and Sept 29, 2017. "The demand included, inter alia, time-barred assessments for the years 2008 to 2011, import duty remittance for purchases of equipment and the Goods and Services Tax for purchases made after April 2015," it added. (The Edge Markets / Bursa Malaysia) Comment: The additional taxes of RM59.5mn are approximately 10% of our FY17 earnings projections. As such, the earnings impact would be 10% if the company chooses to provide for this in 4QFY17, which would reduce its FY17 profit to RM525mn. We are not making any changes to our forecast, pending the outcome from the appeal. Maintain Buy on Westports with a target price of RM4.06/share. Page 3 of 8
6. 21-Dec-17 Ceramic products company Goh Ban Huat Bhd (GBH) is planning to buy several properties in Pontian, Johor, from three companies controlled by the family of its largest shareholders, for RM143mn. It is also seeking to diversify its business into construction and property development, it announced in a Bursa Malaysia filing. The properties it is buying are 29 units of unsold 1.5-storey semi-detached factories — with a collective built-up area of 340,542 sq ft — 15 parcels of vacant industrial land, a vacant commercial plot, and vacant land for a hostel that measure 45.52 acres (18.4ha) in all. (The Edge Markets / Bursa Malaysia) The takeover offer for Hovid Bhd has turned unconditional, with joint offerors Fajar Astoria Sdn Bhd and Hovid managing director David Ho Sue San now holding in aggregate 68.2% of the pharmaceutical company's shares. That is above the set 67% acceptance threshold, meaning its final acceptance condition of the offer has been fulfilled, turning the bid unconditional. (The Edge Markets / Bursa Malaysia) Green Ocean Corp Bhd’s Datuk Tan See Meng, 60, has resigned as the group’s managing director (MD), citing personal commitments, with his post now taken over by executive director Mohd Yusri Md Yusof. Tan had helmed the group as MD since Dec 27, 2013. He is also the founder and MD of Sawit Raya Sdn Bhd, an entity established since 1983 that is involved in palm oil trading and refinery activities. (The Edge Markets / Bursa Malaysia) Yee Lee Corp Bhd and Tasco Bhd have entered into a shareholders’ agreement to jointly develop a business involving trading, distribution and logistics through YLTC Sdn Bhd. Tasco plans to subscribe for 999,998 shares in YLTC, the joint-venture company that is currently wholly-owned by Yee Lee Trading Co Sdn Bhd (YLT), which in turn is wholly-owned by Yee Lee, for RM999,998. Upon completion of the subscription of the shares in YLTC, Tasco will hold 40% while YLT will have 60% in the joint venture company, said the logistic firm Tasco. (The Edge Markets / Bursa Malaysia) Digistar Corp Bhd's wholly-owned subsidiary Jaya Persada Sdn Bhd has proposed to issue unrated fixed rate serial bonds of up to RM80mn. The proposed bond issuance will have tenure of up to 14 years over three tranches. The proposed issuance will not be later than 60 business days from the date of lodgement of the lodgement kit with Securities Commission Malaysia. (The Edge Markets / Bursa Malaysia) Sunway Bhd plans to enter into Sabah's pavement market through acquisition of concrete block manufacturer Telipok Concrete Sdn Bhd for RM2.9mn. Sunway said the proposed acquisition will enable it to penetrate and expand into the Sabah pavement market, as well as increase its distribution network to cover Sabah, Sarawak and Brunei. In a filing with Bursa Malaysia, Sunway said its wholly-owned subsidiary Sunway Holdings Sdn Bhd has entered into a share sale agreement with Klaus Gunther Neuendorff and Vanessa Anne Marcus for the proposed acquisition. (The Edge Markets / Bursa Malaysia) Focus Point Holdings Bhd has appointed Kelvin Liaw Kai Xuan as executive director (ED) of the loss-making optical group effective immediately. Liaw, 25, is the son of Focus Point's founder, president and chief executive officer Datuk Liaw Choon Liang and ED Datin Joyce Goh Poi Eong, who are both substantial shareholders of the group. In a filing with Bursa Malaysia, Focus Point said Liaw has been exposed to the optical industry since young and worked as a sales assistant within the group's optical outlets at the age of 20. (The Edge Markets / Bursa Malaysia) Property developer, Mah Sing Group Berhad is optimistic over the property sector’s outlook in the first half of next year, saying it would continue to reinvent affordability by developing quality homes in strategic locations with prices that the people can afford. This was in line with market demand and the government’s broad objective to enable everyone Page 4 of 8
7. 21-Dec-17 to own a house , said group managing director Tan Sri Leong Hoy Kum. (The Edge Markets / Bursa Malaysia) The Malaysian Maritime Enforcement Agency is confident that the construction of three of its latest offshore patrol vessels (OPVs), scheduled for completion in 2020, will strengthen the agency's operations and enforcement in the country's waters. The OPVs, built by a local company, Destini Berhad, together with TH Heavy Engineering Berhad, will be equipped with unmanned aircraft, 30mm Smash Aselsan cannon, X and S radars, a rigid hull inflatable boat, a fast interceptor craft, a detention room and a medical treatment room, besides being able to accommodate 70 crew members and 20 passengers at a time. (The Sun Daily) Japan's JX Nippon Oil & Gas Exploration says Malaysian state oil firm Petroliam Nasional Bhd (Petronas) has awarded it oil and gas rights for the Beryl gas field off the coast of Malaysia. It says in a statement that Petronas has approved a development plan for the field. The company says Beryl is scheduled to produce its first gas in November 2018, with peak production seen at around 23,000 barrels per day of oil equivalent. That gas will be sold as LNG to customers, including buyers in Japan, according to the firm. (The Edge Markets / Bursa Malaysia) Poh Huat Resources Holdings Bhd’s net profit fell 6.4% YoY to RM17.8mn in the fourth financial quarter ended Oct 31, 2017 (4QFY17), due to lower contribution from its Vietnamese operations. Quarterly revenue, however, increased 12.9% YoY to RM171.7mn, on higher shipment of furniture from its Malaysian operations. Poh Huat proposed a final dividend of 3 sen per share for the financial year ended Oct 31, 2017 (FY17). Total dividends paid and proposed by Poh Huat for FY17 stood at 8 sen per share. (The Edge Markets / Bursa Malaysia) Comfort Gloves Bhd's net profit jumped 44% YoY in its third quarter ended Oct 31, 2017 (3QFY18) to RM11.9mn, due to cost savings and capacity upgrades that mitigated impact from higher labour and energy costs. Earnings per share rose to 2.13 sen, from 1.48 sen previously. Revenue also grew by 44% YoY to RM106.5mn for the quarter under review. Moving forward, Comfort Gloves said prospects for the rubber glove manufacturing sector remain strong, with increasing demand arising from switching trends towards nitrile gloves. (The Edge Markets / Bursa Malaysia) Page 5 of 8
8. 21-Dec-17 N e w s I n B r i e f Economy Asia Malaysia November Inflation at 3 .4% Malaysia's inflation, a measured by the consumer price index (CPI), rose 3.4% year-on-year in November 2017, mainly on costlier transport besides food and non-alcoholic drinks. In a statement, the Statistics Department said the CPI's transport segment was up 10.8% while the food and non-alcoholic drinks portion rose 4.0%. The CPI rose 3.9% between January and November 2017 from a year earlier. In monthly terms, November 2017 CPI increased 0.7% from October 2017. In October 2017, the CPI climbed 3.7%. (The Edge Market) Japan All Industry Activity Rebounds as Expected in October Japan's all industry activity increased as expected in October, after falling in the previous month, data from the Ministry of Economy, Trade and Industry showed. The all industry activity index rose 0.3% month-over-month in October, reversing a 0.5% decrease in September. Industrial production advanced 0.5% over the month and tertiary activity gained by 0.3%. At the same time, construction output dropped 0.3%. On a yearly basis, all industry activity growth accelerated to 2.0% in October from 1.0% in the prior month. (RTT News) Bank of Thailand raises 2017 GDP forecast Thailand’s central bank kept its key interest rate unchanged on Thursday in line with expectations as it upped its forecast for economic growth for 2017 thanks to improved exports and tourism. The Bank of Thailand held the one-day repurchase rate at 1.5 per cent, as forecast by economists polled by Reuters. The bank last adjusted the key rate in April 2015 when it lowered the rate from 1.75 per cent. In its decision, the central bank said it forecasts gross domestic product will grow 3.9 per cent year on year in 2017, up from its previous estimate of 3.8 per cent growth. It also raised its forecast for GDP growth in 2018 to 3.9 per cent from 3.8 per cent. (Financial Times) Australia Leading Index Gains 0.10% in November The Australian economy continued to expand in November, albeit at a slightly slower rate, the latest survey from Westpac Bank revealed as its leading index was up 0.10%. That follows the upwardly revised 0.14% increase in October (originally 0.13%). The six month annualized growth rate (which indicates the likely pace of economic activity relative to trend three to nine months into the future) lifted from +0.51% in October to +0.69% in November, the bank said. (RTT News) United States US Existing Home Sales Jump 5.6%, Hitting 11-Year High U.S. home sales increased more than expected in November, hitting their highest level in nearly 11 years, the latest indication that housing was regaining momentum after almost stalling this year. The National Association of Realtors said that existing home sales surged 5.6% to a seasonally adjusted annual rate of 5.81 million units last month amid continued recovery in areas in the South ravaged by Hurricanes Harvey and Irma. That was the highest level since December 2006 and followed an upwardly revised 5.50 million-unit pace in October. Economists polled by Reuters had forecast home sales rising 0.9% to a 5.52 millionunit rate in November from a previously reported 5.48 million-unit pace in October. Existing home sales make up about 90% of U.S. home sales. They rose 3.8% on a year-on-year basis in November. The NAR said sales in the South, which accounts for almost half of the existing homes sales market, increased 8.3% last month. Sales in the Northeast rose 6.7% and jumped 8.4% in the Midwest. They, however, fell 2.3% in the West, which has seen a strong increase in house prices. Despite the recent gains, existing home sales remain constrained by a chronic shortage of houses at the lower end of the market, which is keeping prices elevated and sidelining some first-time buyers. The number of previously owned homes on the market dropped 7.2% to 1.67 million units in November. That was the second lowest reading since 1999. Housing inventory has dropped for 30 straight months on a year-on-year basis. (CNBC) Page 6 of 8
9. 21-Dec-17 Europe and Uni ted Kingdom Brexit Uncertainty Hurting UK Economy , Says IMF The International Monetary Fund says that Britain’s vote to leave the EU is already damaging the UK despite a strong recovery in the world economy, and warned that losses in tax revenues could exceed any gains from ceasing net contributions to Brussels. The fund’s annual health check of the UK economy highlights the difficulties it sees for Britain as negotiations move to the second stage of talks which include a potential transition deal and the broad outlines of Britain’s future trading relationship with the EU. The Brexit referendum result and the decision to invoke Article 50 “are already having an impact on the economy even though the UK is not planning to leave the EU until 2019,” said IMF managing director Christine Lagarde. With growth rates declining in the UK this year while they were climbing in Europe the US and Japan, the IMF was in no doubt that Britain was already paying a price for the Brexit vote. “Despite a strong recovery in global growth and supportive macroeconomic policies, the impact of the decision to exit the European Union has weighed on private domestic demand,” the fund’s statement at the end of its two-week mission to the UK concluded. While it said there had been some offsetting gains from higher exports following sterling’s 10% decline after the EU referendum, it concluded that in 2017 “output is expected to grow by 1.6% this year, broadly in line with our estimate of the economy’s potential”. That figure is almost a percentage point below the fund’s assessment of Britain’s growth prospects in 2017 before the EU referendum. For 2018, the IMF said: “Firms are likely to continue deferring some investment decisions until there is greater clarity on the UK’s future trading relationship with the European Union”. (Financial Times) UK Retail Sales Grow Steadily in Pre-Christmas Period - CBI British retail sales enjoyed solid growth in the run-up to Christmas though underlying trading conditions remained tough, a survey by the Confederation of British Industry showed. The CBI distributive trades survey’s retail sales balance fell to +20 in December from +26 in November, in line with the forecast in a poll and the survey’s long-run average. Britain’s economy has slowed this year, in part because a pick-up in inflation driven by last year’s vote to leave the European Union has eaten into consumers’ disposable income. The CBI said sales growth was boosted by supermarket spending. Last week official figures showed that British shoppers pounced on electrical goods and other Black Friday bargains last month, giving an unexpectedly big boost to retail sales. This contrasted with earlier signs of a subdued start to festive spending from November’s CBI and British Retail Consortium surveys. December’s CBI survey covered the period Nov. 23 to Dec. 14. (Reuters) Eurozone Current Account Surplus Narrows as Net Exports Fall The Eurozone’s current account surplus narrowed in October as its net exports of goods fell slightly, European Central Bank data showed. The currency bloc recorded a surplus of 30.8 billion euros ($36.48 billion) in October, compared to 39.2 billion euros one month earlier, the data showed. On a cumulative basis, the Eurozone’s current account surplus was equal to 3.2% of its gross domestic product in the first 10 months of 2017. (Reuters) Germany's Producer Price Inflation at 4-Month Low Germany's producer price inflation eased to the lowest level in four months in November, Destatis reported. Producer price inflation slowed to 2.5% in November from 2.7% in October. This was the lowest since July, when prices climbed 2.3% and also slower than the expected growth of 2.6%. On a monthly basis, producer prices edged up 0.1%, following October's 0.3% increase. Economists had forecast a 0.2% rise. Prices of intermediate goods climbed 3.3% and energy prices advanced 3%. Prices of non-durable consumer goods gained 2.4%. Data showed that prices of durable consumer goods rose 1.2%, whereas prices of capital goods grew 1.1%. Excluding energy, producer prices climbed 2.3% in November from the previous year but dropped 0.1% from October. (RTT News) Page 7 of 8
10. 21-Dec-17 Share Buy-Back : 20 December 2017 Hi/Lo (RM) Total Treasury Shares 1.43 1.43/1.40 22,373,747 0.60 0.52/0.50 0.60/0.595 0.52/0.49 1,431,700 21,610,000 310,000 12,000 0.40 0.60 0.405/0.395 0.60/0.58 28,300,000 5,039,400 LEESK 151,000 0.365/0.36 0.37/0.355 3,021,200 LIENHOE MALAKOF 97,000 100,000 0.34 0.90 0.34 0.91/0.89 19,020,500 1,024,400 NIHSIN 330,000 0.23 0.23/0.225 23,679,500 8,900 5,000 2.60/2.59 1.03 2.62/2.59 1.03 291,400 6,178,810 Company Bought Back Price (RM) E&O 250,000 FFHB FIAMMA 4,500 99,000 FITTERS GLOMAC SCGM UNIMECH Source: Bursa Malaysia Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 8 of 8
11. For Internal Circulation Only SNAPSHOT OF STOCKS UNDER COVERAGE Company Share Price Target Price (RM) (RM) BETA EPS (sen) PER (X) Div Yield (%) FY17 FY18 FY17 FY18 FY17 52weeks 52weeks % Chg FY18 High Price % Chg Low Price % Chg YTD 20-Dec-17 AUTOMOBILE BAUTO 2.08 2.50 0.75 10.2 14.3 20.4 14.5 5.6 5.5 2.24 -7.1 1.84 13.0 MBMR 2.17 2.32 0.91 20.7 23.2 10.5 9.4 1.9 2.1 2.60 -16.5 2.01 8.0 -2.3 1.4 PECCA 1.49 1.69 na 7.7 11.1 19.3 13.4 3.4 3.7 1.70 -12.4 1.28 16.4 -6.3 SIME 2.06 1.97 1.37 11.8 12.0 17.5 17.2 11.2 1.5 2.55 -19.2 1.83 12.4 11.5 UMW 5.02 4.37 1.33 -0.4 19.2 na 26.1 0.0 2.0 6.08 -17.4 4.09 22.6 18.9 BANKS & FINANCIAL SERVICES ABMB 4.03 4.20 1.39 33.1 30.6 12.2 13.2 4.0 4.0 4.49 -10.2 3.62 11.3 8.3 AFFIN 2.33 2.50 0.91 23.5 24.2 9.9 9.6 3.4 3.4 2.98 -21.7 2.22 4.9 -1.7 AMBANK 4.34 5.10 1.28 43.9 48.6 9.9 8.9 4.1 4.1 5.70 -23.9 4.06 6.9 0.7 CIMB 6.48 7.00 1.57 48.7 50.9 13.3 12.7 3.8 3.9 7.08 -8.5 4.49 44.3 43.7 HLBANK 16.72 17.50 0.69 104.9 114.2 15.9 14.6 2.7 2.7 17.08 -2.1 13.02 28.4 23.9 MAYBANK 9.50 9.70 1.00 68.4 70.9 13.9 13.4 5.3 5.3 9.86 -3.7 7.68 23.7 15.9 PBBANK 20.72 23.60 0.64 137.2 142.4 15.1 14.6 2.7 2.8 21.08 -1.7 19.60 5.7 5.1 RHBBANK 4.95 5.20 1.61 50.6 52.2 9.8 9.5 3.0 3.0 5.59 -11.4 4.62 7.1 5.1 BURSA 10.00 11.10 0.82 40.2 39.0 24.9 25.7 3.4 3.4 10.98 -8.9 8.08 23.7 14.7 1.9 Note: BURSA proposed bonus issue of shares on the basis of 1 for 2. Ex-Target price RM7.04 CONSTRUCTION GADANG 1.07 1.73 0.62 15.2 14.3 7.0 7.5 2.8 2.8 1.37 -21.9 1.00 7.5 GAMUDA 4.90 6.00 0.89 28.5 34.5 17.2 14.2 2.4 2.4 5.52 -11.2 4.58 7.0 2.5 IJM 3.05 2.89 0.74 15.3 13.7 20.0 22.2 2.5 3.1 3.61 -15.5 2.71 12.5 -4.7 PESONA 0.45 0.55 0.96 3.5 5.8 12.9 7.8 3.3 3.3 0.74 -38.8 0.44 3.4 -25.6 SENDAI 0.87 0.58 1.24 8.2 9.6 10.6 9.1 1.1 1.1 1.39 -37.4 0.51 72.3 51.3 SUNCON 2.41 2.65 na 11.3 14.7 21.3 16.4 2.3 2.3 2.44 -1.2 1.65 46.1 41.8 WCT 1.49 1.64 0.88 11.5 12.6 12.9 11.8 2.0 2.0 2.48 -39.8 1.46 2.1 -13.4 LITRAK 5.67 6.26 0.30 41.9 45.6 13.5 12.4 4.4 4.4 6.15 -7.8 5.55 2.2 -3.6 ANNJOO 3.78 4.40 1.31 41.2 45.3 9.2 8.3 4.2 5.8 3.98 -5.0 2.12 78.3 74.2 CHINHIN 1.20 1.49 na 5.7 12.4 21.0 9.6 2.5 4.2 1.49 -19.5 0.86 40.4 37.9 CARLSBG 15.30 18.06 0.75 79.3 86.2 19.3 17.7 5.2 5.6 16.00 -4.4 13.90 10.1 9.9 HEIM 18.70 19.14 0.44 79.6 84.0 23.5 22.3 3.8 4.0 19.58 -4.5 15.78 18.5 14.2 AEON 1.66 1.97 0.41 4.7 6.7 35.1 24.8 2.1 2.4 2.70 -38.5 1.65 0.6 -35.4 AMWAY 7.30 8.18 0.37 35.7 43.9 20.4 16.6 4.1 5.2 8.18 -10.7 7.04 3.7 -0.4 F&N 26.16 27.41 0.19 102.6 155.7 25.5 16.8 2.2 2.3 26.30 -0.5 22.64 15.5 11.4 Building Materials CONSUMER Brewery Retail HUPSENG 1.12 1.25 0.44 5.2 5.4 21.7 20.6 4.0 4.0 1.28 -12.5 1.08 3.7 -2.7 JOHOTIN 1.19 1.48 0.62 9.7 12.5 12.2 9.5 3.8 4.2 1.76 -32.4 1.16 2.6 -4.0 NESTLE 99.60 120.50 0.39 292.7 330.1 34.0 30.2 2.8 3.0 102.40 -2.7 74.12 34.4 27.4 PADINI 5.34 4.67 0.71 23.5 27.0 22.8 19.8 2.2 2.3 5.50 -2.9 2.26 136.2 110.3 POHUAT 1.75 2.18 0.70 26.2 25.3 6.7 6.9 4.6 4.6 2.08 -15.9 1.66 5.4 1.2 QL 4.38 3.26 0.29 12.1 12.8 36.3 34.2 1.0 1.0 4.38 0.0 3.26 34.5 31.5 SIGN 0.72 0.92 1.01 6.7 6.9 10.6 10.3 3.5 3.5 1.07 -33.2 0.72 0.0 -10.1 35.10 52.08 1.33 198.6 187.4 17.7 18.7 5.7 5.7 51.04 -31.2 34.06 3.1 -20.5 GENTING 8.89 11.53 1.50 48.7 54.4 18.3 16.3 1.6 1.8 10.00 -11.1 7.67 16.0 11.9 GENM 5.51 6.51 1.57 18.7 27.0 29.4 20.4 1.5 1.6 6.38 -13.6 4.47 23.3 21.9 BJTOTO 2.29 3.34 0.79 18.3 21.5 12.5 10.6 6.1 7.0 3.04 -24.7 2.25 1.8 -22.6 LUSTER 0.11 0.15 2.01 0.4 0.4 28.9 29.1 0.0 0.0 0.16 -34.4 0.05 110.0 110.0 Tobacco BAT GAMING Casino NFO HEALTHCARE Hospitals/ Pharmaceutical CCMDBIO 2.41 2.70 0.66 14.0 15.0 17.2 16.0 3.9 4.1 2.46 -2.0 1.90 26.8 21.7 IHH 5.87 6.40 0.75 6.7 11.9 87.2 49.4 0.5 0.5 6.45 -9.0 5.42 8.3 -7.6 KPJ 1.00 1.09 0.40 3.2 3.6 31.1 28.1 1.8 2.0 1.14 -12.3 0.90 11.1 -4.3 HARTA 11.40 7.30 0.84 19.4 25.8 58.8 44.2 0.7 1.0 11.40 0.0 4.53 151.7 136.0 KOSSAN 8.46 8.80 0.20 29.1 38.3 29.1 22.1 1.7 2.3 8.48 -0.2 5.62 50.5 28.4 SUPERMX 2.07 1.80 0.26 10.2 15.3 20.2 13.5 1.5 2.5 2.18 -5.0 1.69 22.5 -1.9 TOPGLOV 8.05 7.00 -0.06 26.2 33.7 30.7 23.9 1.8 2.1 8.19 -1.7 4.56 76.5 50.5 KAREX 1.35 1.00 0.44 2.8 2.8 48.4 48.9 1.5 0.5 2.52 -46.4 1.20 12.5 -42.8 SCIENTX 8.72 9.84 0.42 52.3 68.2 16.7 12.8 1.8 2.4 9.85 -11.5 6.68 30.5 30.1 SKPRES 2.20 2.20 0.46 8.3 10.4 26.6 21.2 1.9 2.4 2.32 -5.2 1.24 77.4 70.5 ASTRO 2.59 3.10 1.17 13.2 14.0 19.6 18.6 4.8 5.0 2.94 -11.9 2.45 5.7 -0.4 MEDIA PRIMA 0.59 0.45 0.53 -7.6 -3.8 na na 0.0 0.0 1.28 -54.3 0.58 0.9 -49.1 STAR 1.38 1.25 0.85 5.6 6.7 24.5 20.5 30.4 8.7 2.22 -37.8 1.31 5.3 -29.2 Rubber Gloves INDUSTRIAL MEDIA
12. For Internal Circulation Only SNAPSHOT OF STOCKS UNDER COVERAGE Company Share Price Target Price (RM) (RM) BETA EPS (sen) FY17 PER (X) Div Yield (%) FY18 FY17 FY18 FY17 52weeks 52weeks % Chg FY18 High Price % Chg Low Price % Chg YTD OIL & GAS DNEX 0.46 0.75 1.30 3.6 4.5 12.6 10.1 2.2 2.2 0.69 -34.1 0.25 85.7 78.4 LCTITAN 4.63 6.66 na 42.8 63.4 10.8 7.3 5.0 5.4 6.53 -29.1 4.14 11.8 -28.8 -18.0 MHB 0.75 0.78 1.65 -2.0 -0.5 na na 0.0 0.0 1.16 -35.3 0.63 20.0 MISC 7.07 6.56 1.08 57.2 46.8 12.4 15.1 4.2 4.2 7.90 -10.5 6.89 2.6 -3.8 PANTECH 0.63 0.69 1.24 4.0 6.1 15.9 10.3 2.9 4.4 0.74 -14.9 0.44 44.8 41.6 PCHEM 7.48 8.05 0.97 52.7 49.8 14.2 15.0 3.1 2.9 7.81 -4.2 6.80 10.0 7.2 SAPNRG 0.72 1.25 2.60 6.6 -6.5 10.9 na 0.0 0.0 2.10 -65.7 0.71 2.1 -55.6 SERBADK 3.12 3.40 na 22.9 25.7 13.7 12.1 2.2 2.5 3.29 -5.2 1.51 106.6 108.0 UMWOG 0.29 0.51 1.57 -1.7 0.4 na 70.5 0.0 0.0 0.92 -69.1 0.27 5.6 -66.6 UZMA 1.31 1.56 1.05 11.6 13.2 11.3 9.9 0.0 0.0 1.98 -33.8 1.27 3.1 -22.9 FGV 1.69 2.01 1.70 2.1 3.7 80.8 45.6 3.0 3.0 2.18 -22.5 1.47 15.0 9.0 IJMPLNT 2.74 2.69 0.25 12.3 9.1 22.3 30.0 2.6 2.9 3.60 -23.9 2.74 0.0 -19.4 IOICORP 4.41 4.12 1.18 17.3 21.0 25.4 21.0 2.2 3.6 4.81 -8.3 4.31 2.3 0.2 KFIMA 1.59 1.89 0.51 19.9 13.3 8.0 12.0 5.7 5.7 1.96 -18.9 1.56 1.9 -6.5 KLK 24.52 26.18 0.76 100.5 120.7 24.4 20.3 2.0 2.4 25.50 -3.8 23.00 6.6 2.2 SIMEPLT 5.42 6.25 na 17.6 21.0 30.8 25.8 2.6 2.6 5.65 -4.1 4.58 18.3 -3.0 UMCCA 6.57 6.73 0.40 37.5 22.8 17.5 28.9 3.5 2.6 7.08 -7.2 5.67 15.8 10.0 GLOMAC 0.60 0.50 0.62 1.4 3.0 41.5 20.3 4.5 3.3 0.75 -19.5 0.58 3.4 -13.7 HUAYANG 0.60 0.59 0.78 17.3 1.8 3.5 32.8 6.7 0.8 1.21 -50.4 0.60 0.8 -46.9 IBRACO 0.88 0.92 na 3.3 9.1 27.0 9.6 2.3 4.5 1.02 -13.7 0.76 16.6 -12.0 IOIPG 1.80 2.02 0.72 18.9 16.5 9.5 10.9 3.3 3.3 2.22 -18.9 1.79 0.6 -7.7 MAHSING 1.51 1.69 1.06 13.8 13.0 10.9 11.6 4.3 4.3 1.64 -7.9 1.38 9.4 5.6 SIMEPROP 1.40 1.54 na 7.0 9.2 19.9 15.2 0.0 1.4 1.52 -7.9 1.04 34.6 -6.7 SNTORIA 0.69 0.85 0.34 6.8 8.3 10.1 8.3 0.0 1.5 0.91 -24.7 0.60 14.2 -5.8 14.9 PLANTATIONS PROPERTY Note: SNTORIA proposed bonus issue of warrants & right issue of shares. For more details please refer to 25.09.17 report. SPB 5.08 4.83 0.80 17.6 21.2 28.9 24.0 2.4 2.4 5.50 -7.6 4.32 17.5 SPSETIA 3.31 3.77 0.79 21.3 21.3 15.5 15.5 3.6 3.6 4.38 -24.5 3.03 9.3 8.6 SUNWAY 1.69 1.74 0.79 11.5 11.9 14.7 14.2 3.0 3.0 1.96 -13.7 1.25 35.0 31.4 SUNREIT 1.68 1.87 0.73 9.2 10.0 18.2 16.7 5.5 6.0 1.81 -7.2 1.64 2.4 -2.3 CMMT 1.44 1.72 0.41 8.1 8.6 17.8 16.7 5.8 6.2 1.72 -16.3 1.39 3.6 -5.9 -34.7 REIT POWER & UTILITIES MALAKOF 0.90 1.16 0.67 6.3 6.0 14.2 14.9 7.8 7.8 1.42 -37.0 0.88 2.3 PETDAG 24.38 22.08 0.54 102.8 105.1 23.7 23.2 3.2 3.2 25.70 -5.1 21.00 16.1 2.4 PETGAS 16.38 19.10 0.97 89.1 98.8 18.4 16.6 4.1 4.2 21.76 -24.7 15.82 3.5 -23.1 TENAGA 14.86 17.38 0.69 131.6 129.9 11.3 11.4 3.1 3.1 15.68 -5.2 13.00 14.3 6.9 YTLPOWR 1.27 1.17 0.81 8.2 9.7 15.4 13.2 3.9 3.9 1.50 -15.3 1.11 14.4 -13.1 TELECOMMUNICATIONS AXIATA 5.37 5.75 1.32 14.3 16.0 37.5 33.6 1.3 1.5 5.47 -1.8 4.24 26.7 13.8 DIGI 4.75 5.20 0.79 19.5 20.0 24.3 23.8 4.1 4.2 5.19 -8.5 4.36 8.9 -1.7 MAXIS 5.93 6.10 0.73 26.0 26.2 22.8 22.6 3.4 3.4 6.60 -10.2 5.48 8.2 -0.8 TM 6.06 7.20 0.61 22.6 23.2 26.8 26.1 3.4 3.4 6.69 -9.4 5.81 4.3 1.8 93.7 TECHNOLOGY Semiconductor & Electronics ELSOFT 2.72 2.70 0.61 11.3 15.0 24.1 18.2 2.9 3.9 2.95 -7.8 1.36 99.4 IRIS 0.18 0.25 1.87 -1.3 0.6 na 32.5 0.0 0.0 0.22 -18.2 0.10 80.0 63.6 INARI 3.45 3.05 0.98 11.2 14.2 30.8 24.3 2.8 2.9 3.48 -0.9 1.61 114.7 108.3 MPI 12.50 15.40 0.42 89.5 105.5 14.0 11.8 2.2 2.6 14.52 -13.9 7.38 69.4 68.7 UNISEM 3.50 3.85 1.01 23.5 27.1 14.9 12.9 3.4 3.4 4.25 -17.6 2.32 50.9 48.3 TRANSPORTATION Airlines AIRASIA 3.33 3.83 1.06 53.1 38.3 6.3 8.7 1.2 1.5 3.59 -7.2 2.16 54.2 45.4 AIRPORT 8.50 8.47 1.31 19.6 19.7 43.4 43.0 1.2 1.2 9.45 -10.1 5.91 43.8 40.3 Freight & Tankers PTRANS 0.29 0.44 na 2.1 2.3 13.9 12.5 2.5 2.5 0.38 -25.4 0.14 102.3 95.9 TNLOGIS 1.34 1.80 1.14 12.0 13.6 11.1 9.8 3.2 3.7 1.83 -26.9 1.29 3.9 -14.0 WPRTS 3.57 4.06 0.88 17.1 16.8 20.8 21.2 3.6 3.5 4.36 -18.1 3.34 6.9 -17.0 SNAPSHOT OF FOREIGN STOCKS UNDER COVERAGE Company Share Price Target Price (S$) (S$) Beta EPS (cent) FY17 FY18 PER (X) FY17 FY18 Div Yield (%) FY17 52week 52week % Chg FY18 High Price % Chg Low Price % Chg YTD BANKS & FINANCIAL SERVICES DBS 24.58 23.30 1.25 172.7 189.1 14.2 13.0 2.4 2.4 -3.1 17.2 43.32 41.8 0.0 OCBC 12.36 13.50 1.20 95.5 104.0 12.9 11.9 5.7 6.7 -1.8 8.9 8.84 38.6 0.0 UOB 25.95 26.90 1.07 200.8 215.4 12.9 12.0 2.7 2.7 -3.4 20.1 29.43 27.2 0.0 PLANTATIONS WILMAR 3.09 3.63 0.85 25.6 29.9 12.1 10.3 2.3 2.6 -22.8 3.1 0.98 -13.9 0.0 IFAR 0.38 0.53 0.98 4.9 5.2 7.7 7.2 3.2 3.4 -35.3 0.4 2.74 -28.6 0.0 BUY : Total return within the next 12 months exceeds required rate of return by 5%-point. HOLD : Total return within the next 12 months exceeds required rate of return by between 0-5%-point. SELL : Total return is lower than the required rate of return. Total Return is defined as expected share price appreciation plus gross dividend over the next 12 months. Gross dividend is excluded from total return if dividend discount model valuation is used to avoid double counting. Required Rate of Return of 7% is defined as the yield for one-year Malaysian government treasury plus assumed equity risk premium.
13. ECONOMIC UPDATE Thursday , December 21, 2017 FBMKLCI: 1,746.63 THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Malaysian Economy Inflation Moderates to 3.4% YoY Shazma Juliana Abu Bakar Farid Bin Burhanuddin Tel: +603-2167 9608 Tel: +603-2167 9220 shazma@ta.com.my farid@ta.com.my www.taonline.com.my Inflation Review • Malaysia’s headline inflation moderated further to 3.4% YoY in November 2017 following 3.7% YoY recorded in the month before. Softer price pressure was seen across board. The gain matched consensus estimate but slightly below ours (+3.5% YoY). However, inflation rate was still high at 0.7% on a monthly basis versus -0.2% MoM in October 2017. • Similarly, core-CPI (which excludes most volatile items including fresh food, as well as administered prices of goods and services) moderated to 2.2% YoY, as compared with 2.3% YoY increase in the prior month. Figure 1: Malaysia’s Consumer Prices (January 2013 - November 2017) Source: Dos, TA Securities Details • Nine out of twelve CPI components registered a slower gain during the month. Notable moderation was observed for the Transport index, which narrowed to 10.8% YoY vs. 12.1% YoY increase previously. Base impact played some role as transport index actually increased by 3.3% on MoM basis. Note that the average fuel prices in November 2017 was RM2.36 per litre as compared with RM2.26 per litre in October 2017 and RM2.05 per liter in November 2016. The growth of sub-component of Fuels & Lubricants for Personal Transport Equipment remained at double digit growth albeit at a softer pace by 12.9% YoY in November 2017, as compared with a 20.5% YoY in October 2017. Page 1 of 3
14. 21-Dec-17 Figure 2 : Average Fuel Price Difference – YoY vs MoM 0.80 0.60 RM per litre 0.40 0.20 0.00 -0.20 -0.40 MoM Difference Nov-17 Sep-17 Jul-17 May-17 Mar-17 Jan-17 Nov-16 Sep-16 Jul-16 May-16 Mar-16 Jan-16 Nov-15 Sep-15 Jul-15 May-15 Mar-15 Jan-15 -0.60 YoY Difference Domestic Trade, Co-operatives and Consumerism Ministry, TA Securities • The price of Food & Non-Alcoholic Beverages index increased by 4.0% level during the month. Nonetheless, food price has been slowing down from its peak of 4.6% YoY in September 2017. Notably, prices eased for Meat (November 2017: +2.9% YoY; October 2017: +3.2% YoY); Milk and Eggs (November 2017: +0.3% YoY; October 2017: +0.4% YoY); Oils and Fats (November 2017: +1.5% YoY; October 2017: +16.2% YoY); and Vegetables (November 2017: +3.2% YoY; October 2017: +5.0% YoY). • Other sub-components that contributed to the lower inflation during the month was Housing, Water, Electricity, Gas & Other Fuels (November 2017: 2.2% YoY; October 2017: +2.4% YoY); Furnishings, Household Equipment & Routine Household Maintenance (November 2017: 2.6% YoY; October 2017: +2.5% YoY); Health (November 2017: 2.4% YoY; October 2017: +2.2% YoY); Education (November 2017: 1.6% YoY; October 2017: +1.5% YoY); and Miscellaneous Goods & Services (November 2017: 1.2% YoY; October 2017: +0.7% YoY). In the meantime, prices for both Clothing & Footwear and Communication contracted by 0.5% YoY as compared with 0.4% YoY in the prior month. On the other hand, Recreation Services & Culture index accelerated by 0.6% YoY vs. October’s 0.4% YoY probably due to the school holiday season. Note that, the Other Recreational Items & Equipment, Garden & Pets sub-component rose by 1.8% YoY (October 2017: +1.6% YoY), while Entertainment, Recreational & Cultural Services increased by 0.5% YoY as compared to 0.1% YoY gain in October 2017. Page 2 of 3
15. 21-Dec-17 Figure 3 : CPI Sub-components for 6 Months (June - November 2017) YoY % CPI Components 2016 Jun-17 Jul-17 Aug-17 Sep-17 Oct-17 Nov-17 11M17 Consumer Price Index (CPI) YoY % 2.1% MoM % 3.6% 3.2% 3.7% 4.3% 3.7% 3.4% -0.2% -0.1% 0.9% 0.3% -0.2% 0.7% Food & Non-Alcoholic Beverages 3.9% 4.3% 4.2% 4.3% 4.6% 4.4% 4.0% Alcoholic Beverages & Tobacco 17.2% 0.1% 0.1% 0.1% 0.1% 0.1% 0.2% 0.2% Clothing & Footwear -0.4% -0.4% -0.4% -0.3% -0.3% -0.4% -0.5% -0.3% Housing, Water, Electricity, Gas & Other Fuels 2.4% 2.2% 2.2% 2.4% 2.4% 2.4% 2.2% 2.2% Furnishings, Household Equip. & Routine Household Maintenance 2.4% 2.1% 2.6% 2.7% 2.8% 2.6% 2.5% 2.1% 3.9% 4.3% Health 2.7% 2.6% 2.9% 2.7% 2.5% 2.4% 2.2% 2.5% Transport -4.6% 10.5% 7.7% 11.7% 15.8% 12.1% 10.8% 13.3% Communication -1.6% -0.3% -0.3% -0.3% -0.3% -0.4% -0.5% -0.3% Recreation Services & Culture 2.5% 3.0% 2.6% 0.4% 0.4% 0.4% 0.6% 2.0% Education Restaurants & Hotels 2.2% 1.7% 1.6% 1.6% 1.6% 1.6% 1.5% 1.7% 2.8% 2.3% 2.6% 2.8% 2.6% 2.7% 2.8% 2.5% Miscellaneous Goods & Services 2.9% 1.2% 1.1% 0.9% 1.1% 1.2% 0.7% 1.2% Source: DOS, TA Securities Outlook • Year-to-date (11M17), inflation rate averaged 3.9% YoY vs. 4.0% in 10M17. The increase came in due to the higher cost of all the main groups except for Clothing & Footwear (-0.3%) and Communication (-0.3%). Again, notable increases among these main groups were Transport index at 13.3% YoY, despite slowing down from 10M17’s 13.6% YoY; Food and Non-alcoholic Beverages (+4.3% YoY); Health (+2.5% YoY); Housing, Water, Electricity, Gas & Other Fuels (+2.2% YoY); and Furnishings, Household Equipment & Routine Household Maintenance (+2.1% YoY). • At the point of writing, the latest adjustments in the average petrol pump prices in December 2017 as compared with previous month are as follows: 2 sen and 1 sen down for both RON97 and RON95 to RM2.55 and RM2.28 per litre, respectively; and Diesel averaged RM2.22 per litre, an increase of 2 sen. As a results, the average fuel price at this juncture is RM2.35 per litre and would translate about 12% YoY increase in Transport index. • With one more month left in 2017, we are maintaining our inflation growth forecasts of 3.9% for 2017. For December alone, we project inflation to increase by 3.4% YoY. Going forward, growth in headline inflation is expected to moderate to 2.6% YoY in 2018, which is within the government's target of 2.5% to 3.5%. Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 3 of 3
16. RESULTS UPDATE Thursday , December 21, 2017 FBMKLCI: 1,746.63 Sector: Consumer THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* TP: RM2.18 (+24.6%) Poh Huat Resources Holdings Berhad Last Traded: RM1.75 Impressive Results by Malaysian Division Ooi Beng Hooi Tel: +603-2167 9612 BUY benghooi@ta.com.my Review Excluding a RM1.5m loss arising from forex impact and write-back, Pohuat’s FY17 core profit of RM57.3mn came in within expectations, accounting for 97.7% and 102.9% of our and consensus’ FY17 full-year estimates. A final dividend of 3sen/share was recommended, bringing the full-year dividend declared to 8sen/share (FY16: 8sen/share). FY17 net profit jumped 18.5% to RM57.3mn as the full-year revenue surged 14.8% to RM614.3mn. The improved performance was mainly attributed to stronger revenue (+37.9%) and PBT margin (+2.7%-pts to 14.9%) recorded for its operations in Malaysia, which led to a 68.7% jump in PBT to RM34.4mn. Both panel-based bedroom sets and traditional office furniture produced in Malaysia recorded a strong YoY growth in shipment. However, the operation in Vietnam registered an 8.9% drop in full-year PBT, despite the FY17 segmental revenue was 4.4% higher at RM381.2mn. The profit margin was affected by increased raw material prices, higher labour costs and change in product mix to the middle and affordable segments. This was coupled with the learning curve required in production of several new ranges of bedroom sets. QoQ, the core profit surged 134.1% to RM19.4mn mainly due to seasonality. Impact Maintain our FY18 to FY19 earnings forecasts. Outlook The demand for furniture in US is expected to remain robust in the foreseeable future. The US Conference Board Consumer Confidence was at the highest point of 129.5 post US subprime mortgage crisis. Figure 1: US Conference Board Consumer Confidence Index www.taonline.com.my Share Information Bloomberg Code Bursa Stock Code Listing Share Cap (mn) Market Cap (RMmn) 52-wk Hi/Lo (RM) 12-mth Avg Daily Vol ('000 shrs) Estimated Free Float (%) Beta Major Shareholders (%) PHR MK POHUAT 7088 Main Market 219.1 383.5 2.08/1.66 345.3 38.6 0.70 Tay Kim Huat - 23.49 Lim Pei Tiam - 13.02 Forecast Revision Forecast Revision (%) Net profit (RMmn) Consensus TA's / Consensus (%) Previous Rating FY18 FY19 55.4 55.8 57.9 60.1 95.8 93.0 Buy (Maintained) Financial Indicators FY18 net cash 11.8 14.8 12.7 1.4 1.3 FY19 net cash 16.3 10.8 11.6 1.5 1.2 vs. TA vs. Consensus % of FY 97.7 102.9 Within Within Share Performance (%) Price Change 1 mth 3 mth 6 mth 12 mth POHUAT (6.4) (9.3) (8.4) 3.6 FBM KLCI 1.6 (1.5) (1.9) 6.9 Net Debt / Equity (%) CFPS (sen) Price / CFPS (x) ROA (%) NTA/Share (RM) Price/NTA (x) Scorecard (12-Mth) Share Price relative to the FBMKLCI Source: Bloomberg Source: Bloomberg Page 1 of 3
17. 21-Dec-17 Besides , the hurricanes that hit the US earlier this year are expected to increase the demand for furniture in US in coming months as hurricane victims replace their damaged furniture. Valuation We perform some house-keeping to our earnings model. Maintain our BUY call on the stock with a lower target price of RM2.18, based on 11x CY18 diluted EPS. Table 1: Earnings Summary (RMmn) FYE Oct (RMmn) 2015 2016 2017 2018F 2019F R eve nue 453.9 535.2 614.3 615.0 619.9 Gros s profit 90.4 107.0 121.9 126.1 127.1 E BITDA 56.5 68.0 82.3 80.6 82.8 12.4 12.7 13.4 13.1 13.4 E BIT 54.5 60.4 68.7 70.8 72.3 Core P B T 52.6 59.9 68.7 70.3 72.0 Net profit 39.2 47.1 55.8 55.4 55.8 Core ne t profit 44.4 48.4 57.3 55.4 55.8 E BITDA m a rg in (% ) Core E P S * (s en) 20.8 21.7 26.8 22.8 22.0 PER (x) 8.4 8.1 6.5 7.7 7.9 Gros s divide nd* (s en) 5.0 8.0 8.0 8.0 8.0 Divide nd yield (% ) 2.9 4.6 4.6 4.6 4.6 R OE (% ) 23.0 21.2 21.7 17.6 15.5 Note: *Adjus t f or 1 into 2 s ha re s plit in Oc t 2015 Table 2: 4QFY17 Results Analysis (RMmn) FYE Oct Revenue 4Q16 3Q17 4Q17 152.0 151.5 171.7 Cost of Sales (116.8) (127.4) Gross profit 35.2 24.1 Operating profit 25.1 Finance Costs (0.4) Core PBT Income tax expense QoQ (%) YoY (%) FY16 FY17 YoY (%) 13.3 12.9 535.2 614.3 14.8 (136.6) 7.2 16.9 (428.0) (492.3) 15.0 35.1 45.6 (0.4) 107.2 121.9 13.7 12.0 22.2 84.3 (11.7) 60.4 68.7 13.7 (0.4) (0.3) (2.5) (14.7) (1.8) (1.5) (16.6) 19.2 9.7 25.0 119.1 6.7 59.9 68.7 14.6 (5.7) (2.2) (3.5) 61.2 (37.9) (11.9) (11.4) (3.5) Non-controlling interests (0.1) (0.2) 0.5 >100 >100 (0.3) 0.0 >100 Net profit 19.1 9.7 17.8 84.7 (6.4) 47.0 55.8 18.6 Core net profit 16.3 8.7 19.4 124.1 19.2 48.3 57.3 18.5 Reported EPS (sen) 8.9 4.5 8.4 84.7 (6.5) 22.1 26.1 18.5 EPS (sen) 7.6 4.1 9.1 124.1 19.0 22.7 26.8 18.3 Dividend (sen) 2.0 3.0 3.0 0.0 50.0 8.0 8.0 0.0 % pts % pts - PBT 14.4 7.1 13.6 6.6 (0.8) 11.2 11.2 - PAT 12.5 6.3 10.7 4.4 (1.8) 8.7 9.1 0.3 - Effective tax rate 25.9 20.5 15.1 (5.4) (10.9) 19.8 16.6 (3.1) Margin (%): % pts (0.0) Page 2 of 3
18. 21-Dec-17 (TH I S P A GE IS IN TE N TI ON AL L Y L E F T B L AN K ) Stock Recommendation Guideline BUY : HOLD : SELL : Not Rated: Total return within the next 12 months exceeds required rate of return by 5%-point. Total return within the next 12 months exceeds required rate of return by between 0-5%-point. Total return is lower than the required rate of return. The company is not under coverage. The report is for information only. Total Return is defined as expected share price appreciation plus gross dividend over the next 12 months. Gross dividend is excluded from total return if dividend discount model valuation is used to avoid double counting. Required Rate of Return of 7% is defined as the yield for one-year Malaysian government treasury plus assumed equity risk premium. Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. As of Thursday, December 21, 2017, the analyst, Ooi Beng Hooi, who prepared this report, has interest in the following securities covered in this report: (a) nil Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 3 of 3
19. Thursday , 21 December, 2017 TA RESEARCH’S ‘DAILY COMPILED REPORTS’ For Internal Circulation Only L oc al Te ch n ic al R ep o r ts 1. D ai l y Te ch n ic a l St o ck s P ic ks 2. D ai l y St o ck S cr een Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my
20. Technical View Thursday , December 21, 2017 THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Daily Technical Stock Picks Malaysia FBM KLCI: 1,746.63 (+9.68, +0.56%) Chartist: Stephen Soo Close Name 20/Dec FBMKLCI 1746.63 Change 9.68 Tel: +603-2167-9607 High Low 1,751.95 1,735.44 Bollinger Bands Lower 1,700.61 Mid RSI Upper 1,726.96 1,753.31 14d stsoo@ta.com.my Moving Averages 10d 52.22 1,734.60 www.taonline.com.my DMI 30d 50d 1,729.19 1,736.39 DI + DI - MACD DMI ADX Diff Line Signal Diff 26.55 20.01 28.92 6.55 2.99 (1.05) 4.039 BUY MACD DMI MACD Recent Signal Signal Change BUY - - AFFIN 2.33 0.04 2.35 2.28 2.26 2.34 2.42 37.22 2.33 2.37 2.44 14.64 27.79 41.09 -13.15 -0.04 -0.04 0.003 SELL BUY - - ABMB 4.03 -0.02 4.04 3.96 3.54 3.83 4.13 65.29 3.96 3.78 3.78 34.89 16.76 29.57 18.13 0.08 0.05 0.021 BUY BUY - - AMBANK 4.34 -0.01 4.42 4.33 4.00 4.21 4.41 57.29 4.24 4.25 4.30 21.88 14.57 38.32 7.32 0.01 -0.02 0.035 BUY BUY - - AXIATA 5.37 0.02 5.38 5.35 5.28 5.33 5.39 53.21 5.35 5.34 5.32 5.84 16.53 32.96 -10.69 0.01 0.01 (0.002) SELL SELL - - CIMB 6.48 0.23 6.51 6.22 5.77 6.06 6.34 60.04 6.14 6.07 6.12 31.45 13.43 28.68 18.02 0.05 0.00 0.045 BUY BUY - - DIGI 4.75 -0.07 4.84 4.75 4.48 4.69 4.89 55.87 4.77 4.73 4.80 22.20 23.94 29.47 -1.75 0.01 -0.02 0.024 SELL BUY - - GAMUDA 4.90 0.05 4.90 4.85 4.56 4.73 4.90 52.84 4.77 4.75 4.92 23.60 24.20 26.49 -0.60 -0.02 -0.05 0.027 SELL BUY - - GENTING 8.89 0.06 8.96 8.83 8.62 8.98 9.33 44.41 8.90 9.05 9.16 19.44 21.03 20.75 -1.59 -0.06 -0.08 0.023 SELL BUY SELL - GENM 5.51 0.12 5.53 5.39 4.81 5.25 5.70 55.10 5.43 5.18 5.18 28.55 21.26 24.15 7.29 0.11 0.07 0.040 BUY BUY - - IHH 5.87 -0.04 5.91 5.78 5.52 5.68 5.84 74.35 5.71 5.67 5.69 25.49 17.90 24.65 7.60 0.04 0.01 0.032 BUY BUY - - IOICORP 4.41 0.07 4.45 4.33 4.37 4.46 4.55 34.85 4.45 4.46 4.47 13.48 24.65 14.16 -11.17 -0.02 -0.01 (0.010) SELL SELL - - MALAKOFF 0.90 0.00 0.91 0.89 0.86 0.93 1.00 36.73 0.91 0.96 0.98 14.61 24.39 28.73 -9.77 -0.01 -0.01 0.000 SELL BUY - - MAXIS 5.93 0.00 5.94 5.90 5.84 5.92 5.99 51.70 5.93 5.93 5.91 -24.03 0.01 0.01 0.001 SELL BUY - - MAYBANK 9.50 0.01 9.52 9.45 9.06 9.29 9.52 65.02 9.36 9.26 9.30 37.78 8.28 36.27 29.50 0.05 0.02 0.035 BUY BUY - - MBSB 1.04 0.00 1.06 1.04 1.00 1.07 1.14 39.84 1.04 1.09 1.10 21.48 16.97 16.88 4.52 -0.02 -0.02 (0.000) BUY SELL - - RHBBANK 4.95 -0.04 5.00 4.92 4.70 4.89 5.09 54.58 4.90 4.87 4.94 21.38 21.95 23.05 -0.57 0.02 -0.01 0.031 SELL BUY SELL - SIME 2.06 0.01 2.09 2.04 1.95 2.12 2.30 41.87 2.12 2.10 2.09 22.12 19.30 18.00 2.81 0.00 0.01 (0.012) BUY SELL - - 14.86 -0.04 14.92 14.82 14.69 15.29 15.88 36.94 15.43 15.14 14.88 20.86 27.58 42.98 -6.72 0.12 0.18 (0.061) SELL SELL SELL - 6.06 0.02 6.19 6.06 5.91 6.06 6.21 46.79 6.09 6.06 6.11 20.31 10.38 17.32 9.93 0.00 -0.01 0.009 BUY BUY - - TENAGA TM 9.52 33.55 38.91 WPRTS 3.57 0.01 3.62 3.57 3.38 3.53 3.67 49.79 3.52 3.57 3.64 19.93 16.06 15.77 3.87 -0.02 -0.04 0.017 BUY BUY - - AIRASIA 3.33 0.03 3.34 3.29 3.06 3.21 3.35 55.36 3.25 3.21 3.28 23.12 11.42 21.41 11.70 0.02 -0.01 0.025 BUY BUY - - AIRASIA X 0.34 0.01 0.34 0.33 0.31 0.35 0.38 31.41 0.34 0.36 0.37 7.21 25.80 47.10 -18.58 -0.01 -0.01 (0.000) SELL SELL - - ARMADA 0.74 0.01 0.75 0.73 0.72 0.75 0.77 41.25 0.74 0.76 0.75 15.66 23.81 17.95 -6.20 -0.01 0.00 (0.002) SELL SELL - - BINAPURI 0.34 -0.01 0.35 0.34 0.34 0.34 0.35 46.99 0.34 0.35 0.36 16.57 22.77 20.24 -3.04 0.00 0.00 0.001 SELL BUY - - CMSB 3.70 0.01 3.70 3.67 3.31 3.66 4.02 48.73 3.75 3.65 3.71 26.97 30.00 26.52 10.78 0.02 0.02 0.003 BUY BUY - - DIALOG 2.44 0.00 2.46 2.40 2.35 2.43 2.51 57.16 2.45 2.39 2.32 25.02 14.24 29.85 10.78 0.04 0.05 (0.008) BUY SELL - - ECO WORLD 1.40 -0.03 1.43 1.39 1.42 1.47 1.52 38.04 1.47 1.49 1.51 20.26 24.93 19.71 -4.66 -0.01 -0.01 0.000 SELL BUY SELL - EKOVEST 0.92 0.01 0.93 0.92 0.90 0.94 0.98 32.39 0.92 0.95 1.01 14.25 23.78 39.27 -9.54 -0.02 -0.03 0.002 SELL BUY - - GADANG 1.07 0.00 1.08 1.06 1.04 1.08 1.11 42.34 1.08 1.11 1.16 13.85 18.31 36.79 -4.46 -0.02 -0.03 0.005 SELL BUY - HSL 1.42 -0.05 1.43 1.41 1.43 1.47 1.50 48.79 1.46 1.48 1.49 22.11 19.43 15.76 2.68 -0.01 -0.01 (0.000) BUY SELL BUY - ISKANDAR 1.36 0.02 1.36 1.34 1.21 1.28 1.34 60.82 1.29 1.28 1.30 29.31 9.45 23.72 19.85 0.01 0.00 0.011 BUY BUY - - KIMLUN 2.25 0.00 2.26 2.23 2.24 2.31 2.37 35.21 2.29 2.33 2.31 22.52 36.98 11.03 -14.46 -0.01 -0.01 (0.005) SELL SELL - - KKBE 0.95 -0.03 0.97 0.95 0.89 0.98 1.08 52.45 1.01 0.94 0.90 38.30 21.66 44.56 16.64 0.03 0.04 (0.004) BUY SELL - SELL MUDAJAYA 0.92 0.02 0.92 0.90 0.85 0.97 1.09 27.30 0.91 1.01 1.09 10.84 39.09 45.85 -28.25 -0.05 -0.05 (0.001) SELL SELL - - MRCB 1.07 -0.01 1.08 1.07 0.98 1.04 1.11 59.17 1.06 1.04 1.01 24.88 12.62 20.16 12.27 0.02 0.01 0.003 BUY BUY - - NAIM 1.03 0.00 1.03 1.03 0.99 1.07 1.15 36.43 1.04 1.10 1.14 18.62 21.77 30.96 -3.15 -0.03 -0.03 0.001 SELL BUY - - SAPURA ENERGY 0.72 -0.02 0.76 0.72 0.59 1.08 1.56 14.48 0.85 1.20 1.31 3.64 54.71 60.69 -51.06 -0.18 -0.14 (0.033) SELL SELL - - SUNCON 2.41 0.05 2.41 2.36 2.34 2.38 2.42 47.76 2.38 2.38 2.35 13.04 13.56 15.65 -0.53 0.01 0.01 (0.003) SELL SELL - - UEMS 1.05 0.00 1.08 1.03 0.99 1.04 1.09 48.56 1.04 1.05 1.07 22.69 13.92 20.91 8.77 0.00 -0.01 0.007 BUY BUY - - WASEONG 1.16 0.00 1.16 1.14 1.10 1.16 1.21 57.95 1.17 1.12 1.05 30.43 5.43 60.55 25.00 0.03 0.04 (0.007) BUY SELL - - WCT 1.49 -0.01 1.50 1.48 1.42 1.55 1.68 38.72 1.50 1.59 1.61 16.56 20.21 16.70 -3.65 -0.04 -0.04 0.000 SELL BUY - BUY The table above is a compilation of actively traded stocks with some popular technical indicators. The technical BUY/SELL signals on the last four columns are auto generated; the first two being existing or recent signals while the last two represent a signal change from BUY to SELL or the reverse, otherwise no change is indicated by a dash. INTERPRETATION OF TECHNICAL INDICATORS: Bollinger Bands: Variable width bands that narrow during less volatile periods and widen during more volatile periods. As a general rule, in a bearish trend, traders should buy when share price touches the lower band and exit when price touches the middle band. The reverse is true in a bullish trend, ie. Buy when price touches the middle band and sell when price touches the upper band. Momentum traders tend to buy on price breakouts above the upper band, and sell when price breaks down below the lower band. 14-day Relative Strength Index (RSI): A reading below 30 is considered oversold, above 70 is overbought. A rise above 50 with a corresponding share price surge above the 30day moving average should be taken as a bullish move with good short-term upside potential. A fall below 50 and a simultaneous dip below the 30-day average is bearish and imply further near-term downside risk. Moving Averages: A stock’s short-term trend is bullish if share price stays above the 10-day moving average, and bearish if it stays below. The medium-term trend is positive if share price stays above the 30-day average, and negative if it remains below. A longer-term uptrend is intact if share price sustain above the 50-day average, and is deemed broken if it breaches below this level. Directional Movement Indicator (DMI): The DMI is an indicator of trend strength. A positive DMI difference (DMI diff) value is bullish and indicate a higher DI+ vs. DI-, while a negative DMI diff is bearish due to a lower DI+ vs. DI- (DMI diff = DI+ minus DI-). A crossover of DI+ above DI- triggers a BUY signal, while a SELL signal is flashed when the DI+ crosses below the DI-. The Average Directional Movement Index (ADX) indicates the strength of a trend, whether it is up or down. The higher the value of ADX, the stronger the trend. An ADX value above 25 suggests a trending market or stock, while a value below 20 signal congestion or absence of trend. Daily Moving Average Convergence Divergence (MACD): The MACD diff value is derived from the difference between the MACD line (the 12-day EMA minus the 26-day EMA) and the MACD signal line (the 9-day EMA of the MACD). A positive MACD diff value is bullish, while a negative MACD diff is bearish. A BUY signal is generated when the MACD diff rises above zero, and SELL signal sparked when the MACD diff value falls below zero. Page 1 of 3