Bursa Malaysia Daily Market Report - 27 April

Transcription

1. Thursday , 27 April, 2017 For Internal Circulation Only TA RESEARCH’S ‘DAILY COMPILED REPORTS’ News 1. Daily Market Commentary 2. Daily Brief Fundamental Reports 1. Bursa Malaysia Berhad: Firmer 1QFY17 Results Performance 2. Nestle (Malaysia) Berhad: Continuing its Innovation Strategy Technical Reports 1. Daily Technical Stock Picks 2. Daily Stock Screen 3. Foreign Technical Stock Watch (AUS, HK & FSSTI) 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. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research
2. Daily Note Daily Market Commentary Thursday , 27 April 2017 For Internal Circulation Only Value +/-chg -27.8 -11.8 58.1 -0.5 -0.02 48.7 Major Indices Index +/- chg Malaysia FBMKLCI FBMEMAS FBMSCAP April 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) 25.0 10.0 6.0 5.8 5.0 4.3 3.1 3.0 2.2 2.0 2.0 1.9 1.2 1.1 Up Down 347 290 96 71 55 47 7 2 1 0 506 410 % chg % YTD chg 1,768.92 12,610.37 17,591.43 1,758.50 3.12 32.16 66.00 0.00 0.18 0.26 0.38 0.00 7.75 9.98 19.54 7.52 20,975.09 6,025.23 7,288.72 19,289.43 2,207.84 24,578.43 3,173.76 1,567.47 5,726.53 3,140.85 1,889.79 5,912.04 -21.03 -0.27 13.08 210.10 10.99 122.49 9.83 5.20 45.73 6.28 6.93 40.25 -0.10 0.00 0.18 1.10 0.50 0.50 0.31 0.33 0.81 0.20 0.37 0.69 6.14 11.93 2.04 0.92 8.95 11.72 10.17 1.59 8.11 1.20 -4.03 4.35 Top 10 KLCI Movers Based on Mkt Cap. Off Market HAPSENG TRIVE SEACERA SIME MAYBANK MEDAINC SPSETIA REACH OCR-PA LIIHEN YINSON FARLIM BAHVEST CUSCAPI Value/ Volume 1.27 0.12 0.18 0.11 1.07 0.88 4.36 @ @ @ @ @ @ @ @ @ @ @ @ @ @ (RM) 7.60 0.19 1.01 9.32 9.39 0.46 3.66 0.54 0.22 3.10 3.15 0.50 0.85 0.14 Exchange Rate USD/MYR 4.3498 -0.0189 USD/JPY 111.18 0.7600 EUR/USD 1.089 0.0013 Counter Mkt Cap. (RM’mn) MAYBANK 96,697 TENAGA 78,228 IHH 50,543 GENTING 37,134 GENM 34,124 MISC 32,898 IOICORP 28,925 HAPSENG 22,183 RHBBANK 21,494 HLFG 18,919 TA Research e-mail : taresearch@ta.com.my Review & Outlook KLSE Market Statistics (26.04.2017) Volume (mil) +/-chg (RMmn) Main Market 2,313.5 -203.7 2,927.7 Warrants 260.9 -148.1 31.0 ACE Market 974.6 268.8 172.0 Bond 5.3 -20.8 0.6 ETF 0.0 -0.02 0.0 Total 3,554.3 3,131.3 Off Market 75.9 -72.5 331.3 (A Participating Organisation of Bursa Malaysia Securities Bhd) Menara TA One, 22 Jalan P Ramlee, 50250 Kuala Lumpur Tel : 603 - 2072 1277. Fax : 603 - 2032 5048 Chg (RM) 0.11 0.04 0.04 0.10 0.05 0.01 0.05 0.04 0.05 0.32 Vol. (mn) 29.08 9.35 15.39 9.79 4.88 1.33 5.53 0.68 4.21 0.17 Commodities Futures Palm Oil (RM/mt) 2,512.00 26.00 Crude Oil ($/Barrel) 49.21 -0.15 Gold ($/tr.oz.) 1,270.80 5.30 Important Dates L&G - 8:5 Rights Issue - RI of up to 1,914.1m shares. 8 rights shares for every 5 existing share held, at an issue price of RM0.21 per rights share. Application Closed: 03/05/2017. LISTING ON: 18/05/2017. Blue chips sustained gains to a new 23-month high Wednesday, shored up by the strong ringgit which firmed to 4.35 to the USD, and by buoyant regional peers as US indices surged overnight on strong earnings. The KLCI added 3.12 points to settle at 1,768.92, off an early low of 1,764.62 and high of 1,769.68, as gainers edged losers 506 to 410 on steady turnover of 3.55bn shares worth RM3.13bn. The local market looks set to sustain further gains, fueled by ringgit strength and optimism over global growth and earnings following the Trump administration's proposal for significant corporate tax cuts. On the index, next upside hurdle will be at 1,782, the 76.4%FR of the 1,867 to 1,503 downswing, followed by 1,800 and the 18 May 2015 high of 1,823. Key uptrend supports cushioning downside will be at 1,747, 1,745 and 1,732, the rising 10, 30 and 50-day moving average levels. Bullish technical momentum on Bumi Armada led by a daily stochastics buy signal improves breakout potential above the upper Bollinger band (82sen) to aim for the 61.8%FR (88sen) and 76.4%FR (97sen) ahead, with tougher hurdle from the 25/11/15 peak (RM1.12). Key retracement support is from the 38.2%FR (74sen). Dialog shares need convincing breakout above the upper Bollinger band (RM1.88) to target the 8/7/14 high (RM1.96), with next hurdle from the 123.6%FP (RM2.15), while support from the 76.4%FR (RM1.78) is reinforced by the 30-day moving average (RM1.76). News Bites • Bursa Malaysia Bhd's net profit rose 13% YoY to RM56.63mn in 1QFY17 as share trade income from the securities market segment rose. It was within expectations. • Yinson Holdings Bhd's wholly-owned unit Yinson Clover Ltd has been awarded a FPSO charter contract worth USD1bn. • Astro Malaysia Holdings Bhd is partnering South Korea's content and media group CJ E&M to co-produce intellectual properties as well as market and distribute Korean content in Asean. • Petronas Chemicals Group Bhd has allocated about RM4bn in capital expenditure for its financial year ending Dec 31, 2017, with the bulk of the expenditure earmarked for its projects at the Pengerang Integrated Complex in Johor. • Telekom Malaysia Bhd aims to double the Internet speed for all its UniFi subscribers by the end of this year as so far, only 22% of its 640,000 UniFi customers have had their Internet speed upgraded due to network availability. • Hektar Real Estate Investment Trust is spending RM62mn to upgrade two of its malls this year. • Texchem Resources Bhd is set to expand its Sushi King operations to Indonesia after receiving the green light from the authorities there. • PUC Founder (MSC) Bhd has acquired Singapore-based IT business solutions provider Enovax Pte Ltd for SGD2mn from its founder Erwin Foo Yong Jio. • RHB Bank Bhd expects its loan growth and performance for FY17 to improve over FY16 with the small and medium enterprise segment acting as one of the growth drivers. • IGB Corp Bhd will present a proposal to take the company private to its shareholders. • Sunsuria Bhd hopes to have access to infrastructure and development projects in the government and private sector, through its acquisition of a controlling stake in a firm that holds a Construction Industry Development Board licence. • A recovery in exports and higher commodity prices will help in stabilising the ringgit and bring confidence back to the Malaysian economy says Moody's Investors Service. • President Donald Trump called for deep reductions in tax rates, including cutting corporate tax rate to 15% from 35% and implementing major changes to the individual tax system in a bid to reinvigorate his economic and legislative agenda. 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. for TA SECURITIES HOLDINGS BERHAD Kaladher Govindan, Head of Research
3. Technical Comments : BUY Bumi Armada & Dialog Group Bullish technical momentum on Bumi Armada led by a daily stochastics buy signal improves breakout potential above the upper Bollinger band (82sen) to aim for the 61.8%FR (88sen) and 76.4%FR (97sen) ahead, with tougher hurdle from the 25/11/15 peak (RM1.12). Key retracement support is from the 38.2%FR (74sen). Dialog shares need convincing breakout above the upper Bollinger band (RM1.88) to target the 8/7/14 high (RM1.96), with next hurdle from the 123.6%FP (RM2.15), while support from the 76.4%FR (RM1.78) is reinforced by the 30-day moving average (RM1.76). BUMI ARMADA RM0.80 (+0.025) Upper Middle BOLLINGER BANDS RM RM 0.82 0.78 10-day 30-day Lower RM 0.73 50-day BUY Recent Signal DMI Recent Signal 0.75 SELL Signal Change DIALOG Recent Signal Signal Change RM DAILY MACD Signal Change Upper Middle Lower SIMPLE MOVING AVERAGES RM 0.78 RM 0.76 BOLLINGER BANDS RM RM RM DMI RM1.85 (+0.03) 1.88 1.80 1.72 BUY SIMPLE MOVING AVERAGES RM 1.81 RM 1.76 RM 1.72 DAILY MACD Recent Signal SELL Signal Change 10-day 30-day 50-day Page 2 of 2
4. TA Securities Thursday , April 27, 2017 FBMKLCI: 1,768.92 A Member of the TA Group MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 Daily Brief Market View, News In Brief: Corporate, Economy, and Share Buybacks THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* TA Research Team Coverage Market View Tel: +603-2072 1277 taresearch@ta.com.my www.taonline.com.my Ringgit Strength and US Tax Cut Optimism to Fuel Upside Blue chips sustained gains to a new 23-month high Wednesday, shored up by the strong ringgit which firmed to 4.35 to the USD, and by buoyant regional peers as US indices surged overnight on strong earnings. The KLCI added 3.12 points to settle at 1,768.92, off an early low of 1,764.62 and high of 1,769.68, as gainers edged losers 506 to 410 on steady turnover of 3.55bn shares worth RM3.13bn. Next Upside Hurdle at 1,782 The local market looks set to sustain further gains, fueled by ringgit strength and optimism over global growth and earnings following the Trump administration’s proposal for significant corporate tax cuts. On the index, next upside hurdle will be at 1,782, the 76.4%FR of the 1,867 to 1,503 downswing, followed by 1,800 and the 18 May 2015 high of 1,823. Key uptrend supports cushioning downside will be at 1,747, 1,745 and 1,732, the rising 10, 30 and 50-day moving average levels. BUY Bumi Armada & Dialog Group Bullish technical momentum on Bumi Armada led by a daily stochastics buy signal improves breakout potential above the upper Bollinger band (82sen) to aim for the 61.8%FR (88sen) and 76.4%FR (97sen) ahead, with tougher hurdle from the 25/11/15 peak (RM1.12). Key retracement support is from the 38.2%FR (74sen). Dialog shares need convincing breakout above the upper Bollinger band (RM1.88) to target the 8/7/14 high (RM1.96), with next hurdle from the 123.6%FP (RM2.15), while support from the 76.4%FR (RM1.78) is reinforced by the 30-day moving average (RM1.76). Earnings and Trump Tax Plan Optimism Lift Asia Higher Asian stocks extended gains for a fifth straight day on Wednesday, following the rise in U.S. indexes overnight on the back of strong earnings announcements and on expectations for U.S. President Donald Trump's impending tax reforms. Global equities jumped to an all-time high this month as European political risk abated and the U.S. economy continues to show signs of improvement amid better-than-forecast earnings results. U.S. President Donald Trump is also expected to unveil a tax plan that would cut the upper corporate rate to 15 percent. Japan's Nikkei share average ended at a one-month peak, buoyed by a weaker yen and record high for the Nasdaq Composite. The Nikkei closed at 19,289.43, its highest since March 24. The index was up 3.6 percent for the week so far, and climbed 2 percent in April. Australian benchmark ASX 200 also rose 0.68 percent or 40.217 points to close at 5,912. Meanwhile, China stocks extended gains for a second day on Wednesday, as renewed optimism about the U.S. economy and easing concerns about regulatory tightening on the mainland lifted sentiment in global equity markets. The blue-chip CSI300 index rose 0.1 percent to 3,445.18 points, while the Shanghai Composite Index added 0.2 percent to 3,140.85 points. Page 1 of 7
5. TA Securities 27-Apr-17 A Member of the TA Group Wall Street Edge Lower as Investors Digest U .S. Tax Plan U.S. stocks erased gains to end near session lows on Wednesday, as investors digested President Donald Trump's outline for tax reform, while earnings season continued. Top White House officials outlined President Donald Trump's tax plan Wednesday, a proposal they said would be the "biggest tax cut" in U.S. history. The proposal slashes the corporate tax rate to 15 percent from 35 percent. The White House added there will be a "one-time tax" on the trillions of dollars held by corporations overseas. However, Treasury Secretary Steven Mnuchin said the rate for that tax has yet to be determined. Trump will also be outlining his tax reform vision ahead of a potential government shutdown. Government funding will end Friday unless Congress can agree on at least a temporary funding resolution. On earning front, the earnings season has shown thus far that Corporate America did very well last quarter. Of the 181 S&P 500 components that had reported as of Wednesday, 77 percent had topped earnings expectations while 67 percent beat on the top line, according to data from The Earnings Scout. The Dow Jones Industrial Average fell 21.03 points, or 0.10 percent, to 20,975.09, the S&P 500 eased 1.16 points, or 0.05 percent, to 2,387.45 and the Nasdaq Composite inched lower by 0.27 points, or less than 0.1 percent, to 6025.23. Page 2 of 7
6. TA Securities 27-Apr-17 A Member of the TA Group News In Brief Corporate Yinson Holdings Bhd 's wholly-owned unit Yinson Clover Ltd has been awarded a FPSO charter contract worth USD1bn (RM4.4bn). The contract, awarded by Repsol SA's subsidiary Talisman Vietnam 07/03 BV, entails the supply, operation and maintenance of an FPSO facility for the Ca Rong Do Field Development located offshore Vietnam. (Bursa Malaysia) Astro Malaysia Holdings Bhd is partnering South Korea's content and media group CJ E&M to co-produce intellectual properties as well as market and distribute Korean content in Asean. The partnership will kick-start later this year with collaborations on eSports, coproduction, distribution of content from Korean channel tvN Asia and movies, and a Korean festival in Malaysia. (The Edge) Petronas Chemicals Group Bhd has allocated about RM4bn in capital expenditure for its financial year ending Dec 31, 2017, with the bulk of the expenditure earmarked for its projects at the Pengerang Integrated Complex in Johor. The allocation for the year will be funded internally, as it still has RM7.4bn in cash as at Dec 31. (The Edge) Telekom Malaysia Bhd aims to double the Internet speed for all its UniFi subscribers by the end of this year. So far, only 22% of its 640,000 UniFi customers have had their Internet speed upgraded due to network availability. The initiative is in line with Budget 2017's provision that Internet service providers increase the speed of their fixed broadband, with no change in the price of the subscription. (The Edge) Hektar Real Estate Investment Trust is spending RM62mn to upgrade two of its malls this year. The AEIs will see the refurbishment of two of the Hektar’s malls, namely the Landmark Central in Kulim, Kedah, and Subang Parade in Subang Jaya, Selangor, which will add up to 60,000 sq ft of net lettable area to its portfolio. (The Edge) Texchem Resources Bhd is set to expand its Sushi King operations to Indonesia after receiving the green light from the authorities there. It has incorporated a company in Indonesia called PT Sushi King Group Indonesia to operate the Japanese cuisine restaurant business. (Bursa Malaysia) PUC Founder (MSC) Bhd has acquired Singapore-based IT business solutions provider Enovax Pte Ltd for SGD2mn (RM6.29mn) from its founder Erwin Foo Yong Jio. The acquisition follows a Memorandum of Understanding inked between the two parties in April 11 this year to negotiate the terms of the acquisition. (Bursa Malaysia) RHB Bank Bhd, the country's fourth largest lender by assets, expects its performance for FY17 to improve over FY16. It is also expecting its loan growth to improve in FY17, with the small and medium enterprise segment as one of the growth drivers. (The Edge) IGB Corp Bhd will present a proposal to take the company private to its shareholders. The proposal is by its biggest shareholder Goldis Bhd, which seeks to acquire the remaining shares in IGB not already owned by it, would be forwarded to its shareholders to decide. Goldis currently holds 73.43% of IGB’s share capital, excluding treasury shares. (StarBiz) Sunsuria Bhd hopes to have access to infrastructure and development projects in the government and private sector, through its acquisition of a controlling stake in a firm that holds a Construction Industry Development Board licence. Acquisition of the 51% equity in Prosperspan Construction Sdn Bhd for RM408k will provide the capabilities to venture into the construction sector, which is expected to grow by 8% or RM170bn in 2017. (The Edge) Page 3 of 7
7. TA Securities 27-Apr-17 A Member of the TA Group Kronologi Asia Bhd is optimistic on a better FY17 , as it looks to deepen its penetration of the Indian market and widen its presence in Southeast Asia. It revealed this in an announcement on its new three-pronged growth strategy yesterday, after acquiring full control of Quantum Storage (India) Pte Ltd last October, which comes with an annual profit guarantee of USD1mn in FY16 and FY17. (Bursa Malaysia) Perak Corp Bhd is unable to issue its annual report for FY16 to Bursa Securities within the stipulated time frame of not more than four months from the close of the financial year. This is because its external auditors require more time to resolve the substantial outstanding audit and accounting issues with the management of the company. (Bursa Malaysia) Thriven Global Bhd’s audited net loss FY16 was much larger, as compared with the unaudited net loss, due to impairment on disposal of Bukit Tunku land. Its audited net loss for FY16 amounted to RM10.15mn, equivalent to a deviation of RM4.59mn or 82%, from a net loss of RM5.56mn it had reported before the audit. The deviation was caused by impairment loss arising from the write-down of the cost of a freehold 10,226-sq-metre land at Bukit Tunku to its net realisable value. (Bursa Malaysia) Willowglen MSC Bhd’s net profit for the 1QFY17 surged by 91.35% to RM4.98mn, from RM2.6mn a year ago, mainly due to higher turnover from its Singapore operations Moving forward, its main revenue will continue to be derived from Supervisory Control and Data Acquisition and integrated video surveillance systems in transportation, power, water, waste-water treatment and housing estate projects. (Bursa Malaysia) Bursa Malaysia Bhd's net profit rose 13% to RM56.63mn in 1QFY17, from RM49.94mn a year earlier, as share trade income from the securities market segment rose. Quarterly revenue climbed to RM142.69mn in 1QFY17, from RM133.93mn in 1QFY16. (Bursa Malaysia) Page 4 of 7
8. TA Securities 27-Apr-17 A Member of the TA Group News In Brief Economy Asia Moody ’s: Less volatile ringgit A recovery in exports and higher commodity prices will help in stabilising the ringgit and bring confidence back to the Malaysian economy. Although Moody’s Investors Service vice president/senior credit officer Christian de Guzman said the ringgit “is fairly valued at current levels”, the narrower current account (CA) surplus would mean that the currency continued to be vulnerable to capital outflows. He said at a media roundtable that the depreciation of the ringgit that was seen last year “will unlikely to play out again this year” because of a stabilising economy and the pickup in exports as well as commodity prices. Moody’s expects the economy to grow by 4.3% yearon-year this year and next. De Guzman explained that the volatility stemmed from the capital outflows in certain quarters overwhelming the CA surplus, which narrowed because exports had fallen. The US dollar has weakened against the ringgit in the past two weeks. From a high of 4.49 on April 1, the greenback closed at 4.35 on Wednesday, down 3.27% since the beginning of the month. Moody’s also said in its Inside Asean report that Malaysia’s fiscal position still worse than peers. “Progress on fiscal consolidation has had limited impact on debt consolidation,” it noted, adding that deterioration in revenue on the back of lower oil prices have not been fully compensated for by the goods and services tax while this has been further exacerbated by expectations of higher interest rates globally. (The Star) Australian Inflation Back in RBA’s Target Range for First Time Since 2014 Headline inflation rose 0.5% quarter-on-quarter in the first three months of 2017, according to the Australian Bureau of Statistics. That matched the December quarter and came in a touch below expectations for a 0.6% gain. That took the annual rate to 2.1%, up from 1.5% in the December quarter and versus forecasts for a 2.2% rise. This was still enough to lift headline inflation up into the Reserve Bank of Australia’s 2% to 3% target range for the first time since the September quarter of 2014. Underlying inflation, taken as an average of the so-called trimmed mean and weighted median, rose by an annual pace of 1.8% in the three months ended March 31. Both of those individual measures increased from the December quarter, but only the trimmed mean’s rate of growth exceeded economists’ expectations. Among individual categories, the biggest gains during the quarter were petrol (up 5.7%), medical and hospital services (1.6%), which were partially offset by declines in furnishings, household equipment and services (-1%) and recreation and culture (-0.7%). Vegetable prices are up 13.1% in the 12 months ended March 31, with adverse weather hurting the supply of the likes of potatoes, salad vegetables, cabbage and cauliflower. These price rises were offset by falls for capsicums and broccoli. (Financial Times) Japan All Industry Activity Rises More than Expected Japan's industrial production rebounded at a faster-than-expected pace in February on back of strong industrial production, data from the Ministry of Economy, Trade and Industry showed. The all industry activity index climbed 0.7% month-over-month in February, reversing a 0.4% drop in January. Economists had expected a 0.6% increase for the month. The growth in February was driven by a 3.2% rise in industrial production. Tertiary activity registered a slight rise of 0.2%, while construction output decreased by 0.5%. On an annual basis, all industry activity showed no variations in February, after a stable increase of 1.2% in the prior month. (RTT News) Page 5 of 7
9. TA Securities 27-Apr-17 A Member of the TA Group Singapore Factory Output Rises 10 .2% in March, Topping Forecasts Singapore's industrial production rose by a better-than-expected 10.2% in March from a year earlier, mainly driven again by electronics output, particularly semiconductors. March's factory output growth came in the same pace as February, after that month's figure was revised down from its earlier estimate of 12.6%. March's performance also topped the 5.8% increase expected by analysts polled by Bloomberg. This makes for the eighth straight month that manufacturing output has grown year on year. On a month on month, seasonally adjusted basis, factory output rose 5%, according to the preliminary figures released by the Economic Development Board. This was better than the 0.9% rise tipped by analysts. Singapore's manufacturing sector, especially high-tech products, has benefitted from a recovery in global trade in recent months. In March, the export recovery widened to non-electronic sectors, due in part to petrochemical and pharmaceutical sales, leading to export growth numbers that beat expectations. Excluding biomedical manufacturing, factory output grew 12.4% on year in March and 0.3% on month. Electronics output - which accounts for over a fifth of total manufacturing - increased 37.7% in March compared to the same month last year, with most of the credit going to the semiconductors segment which boasted growth of 54.6%. (The Strait Times) U.S. Trump Calls for Deep Cuts in Business Taxes, Changes for Individuals President Donald Trump called for deep reductions in business tax rates and major changes to the individual tax system in a bid to reinvigorate his economic and legislative agenda as he nears the 100-day mark of his presidency. The plan largely hews to tax-cut proposals Mr. Trump made during his presidential campaign last year, but it includes several crucial changes. Most notably, the GOP president is proposing to repeal a provision of the tax code that allows individuals to deduct the state and local taxes they pay from their reportable income. That will hurt residents of high-tax states such as New York, New Jersey and California, and spur objections from some Republican lawmakers in those states. Mr. Trump also is proposing a 35% top tax rate for individuals, down from the current 39.6% rate but above the 33% rate he backed during the campaign. Lower brackets would be set at 10% and 25%. The standard deduction for all individuals would be doubled, but all other deductions—except for mortgage interest and charitable contributions—would be eliminated. The corporate tax rate would drop to 15% from 35%, and U.S. companies would owe little or no U.S. tax on their future foreign profits. The tax rate on business income reported on individual returns also would drop to 15% instead of being taxed at individual tax rates. The estate tax and alternative minimum tax would be repealed. (Wall Street Journal) Europe Draghi to Maintain Status Quo Ahead of French Election Runoff While the brightening prospects of the euro area economy and the win of a pro-EU candidate in the first round of the French presidential election add strength to the call for tapering of the European Central Bank's massive stimulus, policymakers are likely to assess this Thursday that it is too early to trigger such speculation as uncertainties linger around both the economic and political outlook. ECB President Mario Draghi would also prefer not to make any changes to the monetary policy stance ahead of the runoff in France between the former Economy Minister Emmanuel Macron and the anti-EU Marine Le Pen on May 7. The Governing Council, led by Draghi, is widely expected to keep all its three interest rates unchanged for a ninth consecutive policy session. The announcement is due at 7.45 am ET on Thursday in Frankfurt and Draghi is scheduled to hold his customary post-decision press conference at 8.30 am ET. The main refi rate is currently at a record low zero percent and the deposit rate at -0.40%. The marginal lending facility rate is 0.25%. The bank is also expected to retain its asset purchases of EUR60bn a month till December 2017. The size was reduced in March from EUR80bn. Economists now expect Draghi to drop any hint of tapering in future in the June policy meeting. (RTT News) Page 6 of 7
10. TA Securities 27-Apr-17 A Member of the TA Group Share Buy-Back : 26 April 2017 Company ATTA BKAWAN FIAMMA FITTERS TEXCHEM Bought Back Price (RM) Hi/Lo (RM) 479,600 174,800 242,000 18,300 1,000 1.10 19.02/18.98 0.58 0.41 1.49 1.12/1.10 19.12/18.98 0.58/0.57 0.41/0.405 1.51/1.46 Total Treasury Shares 4,434,800 32,156,631 14,760,000 17,683,900 2,536,200 Source: Bursa Malaysia 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. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research Page 7 of 7
11. For Internal Circulation Only SNAPSHOT OF STOCKS UNDER COVERAGE Company AUTOMOBILE BAUTO MBMR UMW Share Price (RM) 26-Apr-17 2.11 2.56 6.20 Target Price BETA (RM) EPS (sen) PER (X) FY17 FY18 FY17 FY18 Div Yield (%) 52weeks 52weeks FY17 FY18 High Price % Chg Low Price % Chg % Chg YTD 2.36 2.04 5.12 0.97 0.56 1.23 10.8 22.7 17.7 15.8 23.8 27.6 19.6 11.3 35.1 13.4 10.8 22.5 5.6 3.5 1.8 7.5 3.5 2.9 2.44 2.70 7.00 -13.5 -5.2 -11.4 1.95 1.95 4.43 8.2 31.3 40.0 -0.9 19.6 35.7 4.10 3.40 5.40 6.10 15.80 9.20 22.10 4.70 10.00 1.28 0.96 1.32 1.34 0.66 0.95 0.80 1.30 0.70 35.8 29.4 46.4 50.6 101.3 73.7 136.6 49.0 40.3 37.7 33.1 50.6 55.6 109.8 82.8 140.4 51.7 39.1 11.5 10.0 11.7 11.4 13.6 12.9 14.6 10.9 24.8 10.9 8.9 10.8 10.3 12.5 11.4 14.2 10.4 25.6 3.6 2.7 2.9 3.5 3.0 5.3 2.8 2.2 3.4 3.6 2.7 3.3 3.9 3.0 5.3 2.9 2.2 3.4 4.23 2.97 5.56 5.83 14.00 9.48 20.28 5.43 10.10 -2.8 -1.0 -2.0 -1.4 -1.6 0.0 -1.6 -1.3 -1.0 3.60 2.08 3.90 4.11 12.70 7.50 18.52 4.43 8.20 14.2 41.3 39.7 39.8 8.5 26.4 7.8 21.0 22.0 10.5 23.0 26.5 27.5 2.1 15.6 1.2 13.8 13.0 0.44 1.27 5.23 3.51 0.88 1.97 2.07 5.90 0.49 1.55 5.49 3.27 0.58 1.90 1.50 5.58 0.79 0.68 1.06 1.09 1.18 na 1.10 0.12 5.9 14.7 31.6 16.8 9.6 12.6 12.8 44.3 5.9 13.1 36.4 20.9 9.9 12.5 12.7 45.8 7.5 8.7 16.5 20.9 9.1 15.6 16.1 13.3 7.5 9.7 14.4 16.8 8.9 15.7 16.3 12.9 0.0 2.2 2.3 2.7 1.1 2.8 1.4 4.2 2.3 2.2 2.3 2.7 1.1 2.8 1.4 4.2 0.51 1.35 5.33 3.61 0.89 2.00 2.14 6.13 -13.7 -6.1 -1.9 -2.8 -1.1 -1.5 -3.3 -3.8 0.36 0.80 4.59 3.07 0.41 1.42 1.41 5.02 22.2 59.5 13.9 14.3 116.0 38.7 46.8 17.5 1.1 21.0 9.4 9.7 52.2 15.9 19.7 0.3 1.99 2.00 0.46 15.4 15.6 12.9 12.8 5.0 5.0 2.40 -17.1 1.93 3.1 -1.0 14.98 17.40 15.41 21.08 0.53 0.57 69.6 93.1 77.5 21.5 101.9 18.7 19.3 17.1 4.6 4.8 5.2 5.3 15.20 18.74 -1.4 -7.2 12.38 14.58 21.0 19.3 7.6 6.2 2.41 7.70 24.96 82.46 3.18 1.81 4.75 1.03 2.23 9.59 26.14 88.66 3.76 2.74 4.17 1.10 0.49 0.35 0.36 0.37 0.50 0.68 0.43 0.58 6.5 35.9 102.6 293.6 22.3 25.1 12.7 9.3 7.5 40.5 124.5 326.2 24.7 25.3 15.8 12.8 37.1 21.4 24.3 28.1 14.3 7.2 37.4 11.1 31.9 19.0 20.0 25.3 12.9 7.1 30.1 8.1 0.8 3.9 2.5 3.3 4.7 4.4 0.9 4.9 0.9 4.9 3.0 3.4 5.3 4.4 1.1 4.9 3.00 9.53 27.00 83.68 3.20 2.04 4.75 1.07 -19.7 -19.2 -7.6 -1.5 -0.6 -11.3 0.0 -3.7 2.11 7.30 22.16 74.12 2.10 1.43 4.14 0.78 14.2 5.5 12.6 11.3 51.7 26.6 14.7 32.1 -6.2 5.1 6.3 5.4 24.7 4.6 9.7 29.6 46.00 52.08 1.05 198.6 187.4 23.2 24.5 4.3 4.3 55.64 -17.3 40.31 14.1 4.1 9.96 6.02 10.34 6.10 1.35 1.27 45.0 25.7 50.9 27.9 22.2 23.4 19.6 21.6 0.5 1.3 0.6 1.5 10.00 6.07 -0.4 -0.8 7.50 4.17 32.8 44.3 25.4 33.2 2.80 0.14 3.81 0.10 0.72 1.31 22.1 0.2 24.6 0.3 12.7 60.0 11.4 44.7 5.7 0.0 6.8 0.0 3.42 0.14 -18.1 0.0 2.73 0.05 2.6 170.0 -5.4 170.0 6.14 4.25 6.40 4.61 0.78 0.51 13.9 13.3 17.9 16.5 44.2 31.9 34.2 25.8 0.7 1.4 0.7 1.8 6.79 4.37 -9.6 -2.7 5.78 3.85 6.2 10.4 -3.3 1.7 4.89 5.86 1.92 4.69 2.06 6.05 6.80 1.90 5.05 2.55 0.57 0.14 0.31 -0.21 0.27 20.0 35.8 16.2 26.6 4.3 24.3 40.5 18.2 30.2 7.1 24.4 16.4 11.9 17.6 48.0 20.2 14.5 10.5 15.5 29.2 1.8 3.1 2.5 2.8 0.5 2.2 3.5 2.8 3.2 0.9 5.03 7.07 2.78 5.45 2.64 -2.8 -17.1 -30.9 -13.9 -22.0 3.81 5.84 1.91 4.20 1.96 28.3 0.3 0.5 11.7 5.1 1.2 -11.1 -9.0 -12.3 -12.7 INDUSTRIAL SCIENTX SKPRES 8.95 1.28 8.50 1.75 0.58 0.46 75.3 8.8 83.0 13.7 11.9 14.5 10.8 9.4 2.3 3.4 2.7 5.3 8.99 1.44 -0.4 -11.1 5.75 1.12 55.7 14.3 33.6 -0.8 MEDIA ASTRO MEDIA PRIMA STAR 2.69 1.17 2.37 3.20 0.85 1.95 1.03 0.68 0.62 13.3 7.7 15.0 14.5 8.0 15.8 20.3 15.1 15.9 18.6 14.7 15.0 4.6 5.3 7.6 4.8 5.4 7.6 3.01 1.52 2.70 -10.6 -23.0 -12.2 2.56 1.00 2.20 5.1 17.0 7.7 3.5 1.7 5.8 OIL & GAS EATECH MHB MISC PANTECH PCHEM SENERGY UMWOG UZMA 0.60 1.01 7.37 0.64 7.40 2.01 0.64 1.90 0.45 0.96 8.16 0.69 7.91 2.02 0.54 1.40 1.01 1.82 0.83 1.26 1.08 2.40 1.99 1.39 11.5 -0.4 50.6 4.2 34.7 5.2 -14.7 11.3 11.9 1.5 57.1 5.0 39.3 7.8 -12.4 12.2 5.2 na 14.6 15.4 21.3 38.4 na 16.8 5.0 67.6 12.9 12.8 18.8 25.7 na 15.5 0.0 0.0 4.1 2.8 2.6 0.5 0.0 0.0 0.0 0.0 4.1 3.1 2.6 0.5 0.0 0.0 1.18 1.27 8.84 0.67 7.80 2.10 1.04 2.02 -49.2 -20.5 -16.6 -3.8 -5.1 -4.3 -38.5 -5.9 0.45 0.84 6.88 0.44 5.95 1.29 0.61 1.30 34.8 20.2 7.1 47.1 24.4 55.8 5.8 46.2 -3.2 10.4 0.3 43.8 6.0 24.1 -26.9 11.8 BANKS & FINANCIAL SERVICES AFG 4.11 AFFIN 2.94 AMBANK 5.45 CIMB 5.75 HLBANK 13.78 MAYBANK 9.48 PBBANK 19.96 5.36 RHBBANK BURSA 10.00 CONSTRUCTION BPURI GADANG GAMUDA IJM SENDAI SUNCON WCT LITRAK Building Materials WTHORSE CONSUMER Brewery CARLSBG HEIM Retail AEON AMWAY F&N NESTLE PADINI POHUAT QL SIGN Tobacco BAT GAMING Casino GENTING GENM NFO BJTOTO LUSTER HEALTHCARE Hospitals IHH KPJ Rubber Gloves HARTA KOSSAN SUPERMX TOPGLOV KAREX
12. For Internal Circulation Only SNAPSHOT OF STOCKS UNDER COVERAGE Company Share Price (RM) PLANTATIONS FGV IJMPLNT IOICORP KLK SIME UMCCA Target Price BETA (RM) EPS (sen) PER (X) FY17 FY18 FY17 FY18 Div Yield (%) 52weeks 52weeks FY17 FY18 High Price % Chg Low Price % Chg % Chg YTD 2.04 3.10 4.60 24.52 9.33 6.20 1.53 3.88 3.93 22.75 8.24 7.52 1.78 0.47 1.10 0.91 1.26 0.50 6.3 13.7 18.7 111.8 30.8 32.7 11.1 15.7 21.1 119.1 35.3 34.5 32.2 22.6 24.5 21.9 30.3 18.9 18.4 19.7 21.8 20.6 26.4 18.0 2.5 2.3 2.2 2.2 2.4 2.6 2.5 2.6 2.6 2.4 3.0 2.7 2.52 3.70 4.81 25.50 9.55 6.51 -19.0 -16.2 -4.4 -3.8 -2.3 -4.8 1.31 3.06 4.07 22.62 7.10 5.53 55.7 1.3 13.0 8.4 31.4 12.1 31.6 -8.8 4.5 2.2 15.2 3.3 0.72 1.11 0.92 2.02 1.47 0.78 3.69 3.45 0.69 1.07 1.00 2.10 1.60 0.80 4.10 3.40 0.65 0.65 0.34 0.92 0.70 0.29 0.67 0.50 3.4 20.0 7.3 14.7 14.5 6.4 27.8 31.2 7.0 17.4 11.2 15.3 12.5 9.7 24.7 33.3 20.9 5.6 12.7 13.7 10.1 12.3 13.3 11.1 10.3 6.4 8.2 13.2 11.8 8.1 14.9 10.4 5.6 3.6 3.8 3.5 4.1 1.3 3.8 3.5 5.6 3.2 4.3 3.7 3.7 1.3 3.8 3.5 0.83 1.43 1.05 2.46 1.70 1.00 3.77 3.50 -12.7 -22.5 -12.4 -17.9 -13.5 -22.0 -2.1 -1.4 0.68 1.05 0.91 1.85 1.34 0.69 2.80 2.84 5.9 5.7 1.1 9.3 9.7 13.0 31.8 21.4 3.6 -1.8 -8.0 3.6 2.8 -2.5 17.9 15.0 1.70 1.46 1.79 1.72 0.54 0.60 8.9 7.8 10.1 8.3 19.2 18.7 16.8 17.5 5.2 5.8 5.9 6.1 1.84 1.72 -7.6 -15.1 1.59 1.43 6.9 2.1 -1.2 -4.6 POWER & UTILITIES MALAKOF PETDAG PETGAS TENAGA YTLPOWR 1.22 24.06 18.40 13.84 1.50 1.45 20.19 19.02 17.19 1.81 0.71 0.74 0.75 1.02 0.58 6.9 98.4 88.2 133.8 8.8 8.3 102.3 101.3 132.7 10.6 17.6 24.5 20.9 10.3 17.1 14.7 23.5 18.2 10.4 14.2 5.7 3.0 3.4 4.2 6.7 4.7 3.2 3.9 2.8 6.7 1.80 25.70 22.66 14.90 1.64 -32.2 -6.4 -18.8 -7.1 -8.5 1.14 22.16 18.10 13.00 1.38 7.0 8.6 1.7 6.5 8.7 -10.9 1.1 -13.6 -0.4 0.7 TELECOMMUNICATIONS AXIATA DIGI MAXIS TM 5.14 5.16 6.43 6.47 5.25 4.90 5.95 6.95 1.26 0.95 0.71 0.68 17.0 20.8 25.1 21.4 17.9 21.1 25.4 22.3 30.2 24.8 25.6 30.2 28.7 24.5 25.3 29.0 1.7 4.0 3.1 3.0 1.7 4.1 3.1 3.1 5.99 5.19 6.49 6.90 -14.2 -0.6 -0.9 -6.2 4.11 4.31 5.36 5.81 25.1 19.7 20.0 11.4 8.9 6.8 7.5 8.7 TECHNOLOGY Semiconductor & Electronics IRIS 0.21 INARI 2.12 MPI 12.18 UNISEM 3.30 0.14 2.35 13.15 3.55 1.39 0.78 0.51 0.82 -1.1 10.4 89.2 26.9 0.8 na 12.4 20.4 109.6 13.6 29.1 12.2 25.4 17.1 11.1 11.4 0.0 2.0 2.2 3.6 0.0 2.3 2.2 3.6 0.24 2.13 12.28 3.36 -12.5 -0.5 -0.8 -1.8 0.10 1.28 7.02 2.12 110.0 65.3 73.5 55.7 90.9 27.7 64.4 39.8 3.33 7.45 3.02 7.68 1.17 1.45 40.3 9.8 41.9 10.2 8.3 75.7 8.0 73.3 1.2 1.3 1.5 1.3 3.34 7.68 -0.3 -3.0 1.88 5.76 77.1 29.3 45.4 22.9 1.81 4.04 1.88 4.51 0.80 0.68 15.4 19.3 21.5 17.4 11.7 20.9 8.4 23.2 3.0 3.6 3.9 3.2 1.87 4.59 -3.2 -12.0 1.23 3.74 47.2 8.0 13.8 -6.0 PROPERTY GLOMAC HUAYANG IBRACO IOIPG MAHSING SNTORIA SPSETIA SUNWAY REIT SUNREIT CMMT TRANSPORTATION Airlines AIRASIA AIRPORT Freight & Tankers TNLOGIS WPRTS SNAPSHOT OF FOREIGN STOCKS UNDER COVERAGE Company Share Price (S$) BANKS & FINANCIAL SERVICES DBS 19.31 OCBC 9.76 UOB 21.71 PLANTATIONS WILMAR IFAR 3.54 0.48 Target Price Beta (S$) EPS (cent) PER (X) FY17 FY18 FY17 FY18 Div Yield (%) 52week 52week FY17 FY18 High Price % Chg Low Price % Chg % Chg YTD 16.70 8.50 19.40 1.21 1.12 1.08 173.8 87.8 195.7 190.2 11.1 92.5 11.1 209.4 11.1 10.2 10.6 10.4 3.1 5.7 3.2 3.1 6.7 3.2 19.4 9.8 22.2 -0.6 -0.5 -2.0 14.63 8.84 17.41 32.0 18.9 24.7 11.4 9.4 6.4 3.45 0.51 0.91 1.10 28.9 3.9 31.1 4.3 11.4 11.3 2.3 2.0 2.5 2.2 4.0 0.6 -11.5 -19.3 2.96 0.44 19.6 9.1 -1.4 -8.6 12.2 12.3 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. Required Rate of Return of 7% is defined as the yield for one-year Malaysian government treasury plus assumed equity risk premium.
13. RESULTS UPDATE TA Securities Thursday , April 27, 2017 FBM KLCI: 1,768.92 Sector: Finance A Member of the TA Group MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 Bursa Malaysia Berhad TP: RM 10.00 (-0.00%) Firmer 1QFY17 Results Performance Last traded: RM 10.00 SELL THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* TA Research Team Coverage Tel: +603-2167 9610 liwong@ta.com.my Review Bursa posted encouraging 1Q FY17 results. YTD net profit of RM56.6mn accelerated at double-digit pace sequentially and yearly, accounting for 29% and 26% of ours and consensus full year estimates. 1QFY17 PBT advanced 29% YoY on the back of higher trading activities in the securities market. Total operating revenue broadened by 7% YoY. The increase was fueled by an increase in securities trading revenue due to higher domestic institution and retail trades. Derivatives trading revenue decreased following the revision of guarantee fee rate to 0.3% p.a. imposed on margin on contracts’ open positions (2016: 0.5% p.a.). BSAS trading revenue also contracted resulting from lower trades due to competition. Elsewhere, all other revenue streams reported mixed results. We note higher: 1) revenue from depository services (+4.3% YoY), and 2) fess for market data and conferences/exhibitions. Total operating expenses were kept lean with staff cost rising by 2% YoY while other operating expenses slipped marginally. ROE stood at 26% (FY15: 26%). Sequentially, PBT continued its upward momentum, surging by another 12% QoQ. The improvement was mostly underpinned by stronger revenue (+15% QoQ). By segment, the securities market benefitted from higher trading activities and inflow of foreign funds. Trading revenue made up ~49% of total operating revenue in 1Q FY17. Despite the lift in sentiments and market activities, trading participation by foreign institutions narrowed to a decade low of 21% (2016: 27%). Comparing between trading participation by retailers and institutions, retail investors made up a wider 23% of total trading participation vs. 21% in 2016. Average daily value (ADV) climbed to RM2,378mn vs. RM1,981mn in 1Q FY16. Along with that, market capitalisation advanced to RM1,740bn from RM1,717bn a year ago while trading velocity surged to 34% (1Q FY16: 29%). Trading of the crude palm oil futures (FCPO) remained buoyant, supporting the decrease in the number of average daily contracts (ADC) for FBMKLCI futures. ADC for the FBMKLCI Futures eased to 9.4k vs. 13.1k a year ago while the ADC for FCPO increased to 62.1k from 57.9k in 1Q 2016. While the trading velocity for FCPO climbed to 21% (1Q 2016: 18%), the trading velocity for FBMKLCI Futures fell to 7% (1Q 2016: 13%). Combined, ADC traded grew to 62.1k contracts compared to 57.9k a year ago. Of this, 85% of total trades were in FCPO and 15% in FBMKLCI futures. By participation, foreign institutions traded 68% and 34% of the FLKI and FCPO. On the Islamic market trading activity front, the Bursa Suq Al-Sila’ (BSAS) trading revenue accounted for only 2% of total operating revenue. BSAS trading revenue contracted by 15% YoY as ADV fell 7% YoY and the market capitalization of Shari’ah compliant stocks declined to RM1,123mn (1Q 2016: RM1,214mn). The number of trading participants stood at 130 (1Q 2016: 111) while the number of sukuk listed stood little changed at 25 (1Q Page 1 of 3 www.taonline.com.my 0 Share Information 7 Bloomberg Code BURSA MK 1818 Main Market 536.3 5363.0 0.50 10.10/8.20 682.0 69.0 0.7 Stock Code Listing Share Cap (mn) Market Cap (RMmn) Par Value 52-wk Hi/Lo (RM) 12-mth Avg Daily Vol ('000 shrs) Estimated Free Float (%) Beta Major Shareholders (%) KWAP - 19.6% Capital Market DVLP Fund - 18.7% EPF - 5.7% Forecast Revision Forecast Revision (%) Net profit (RMm) Consensus TA's / Consensus (%) Previous Rating FY17 FY18 10.7 2.1 216.2 209.5 218.0 224.1 99.2 93.5 SELL (maintained) Financial Indicators FY17 Net cash 22.8 1.8 5.7 34.0 3.4 FY18 Net cash 20.5 1.9 5.3 34.0 3.4 vs TA vs Consensus % of FY 29% 26% Within Within Share Performance (%) Price Change 1 mth 3 mth 6 mth 12 mth BURSA 2.2 12.5 15.6 18.9 FBM KLCI 1.7 5.8 5.8 5.7 Net gearing (%) ROE (%) NTA/Share (RM) Price/ NTA (x) Dividend (sen) Div. yield (%) Scorecard (12-Mth) Share Price relative to the FBM KLCI Source: Bloomberg
14. TA Securities 27-Apr-17 A Member of the TA Group 2016 : 22). Impact Adjusting for the encouraging 1Q FY17 results, we raise our growth assumption for market cap and trading velocity higher for at 30% from 27% for FY17. As such, our FY17/18/19 net profit forecasts are raised to RM216.2/209.5/222.9mn from RM195.3/205.1/218.3mn. Outlook Trading activities for the securities market has improved beyond ours and management’s expectations, with sentiments lifted by a stronger-thanexpected inflow of foreign funds. According to Bursa, total net foreign inflow stood at RM5.7bn in 1Q 2017, surpassing outflows totaling RM3.2bn for the entire 2016. Despite rising geopolitical risks, the global as well as domestic economic conditions are expected to improve. We also foresee the market activities to remain buoyant on the back of expectations that the general election (GE14) is just around the corner. Management expects the uncertain weather conditions and volatile crude oil prices to continue to underpin trading of FCPO contracts, while FKLI trading will be correlated to movements in FBMKLCI. On the Islamic capital front, Bursa noted that transactions on Bursa Suq Al-Sila’ continue to face strong competition locally and globally. Nevertheless, the segment could still see some boost from the introduction of a fully integrated Islamic securities exchange platform. Bursa Malaysia-i, the world’s first fully integrated Islamic securities exchanged platform was launched in September 2016. According to Bursa, this platform is expected to help attract a wider pool of both domestic and foreign investors. Valuation Rolling valuations forward to FY18, we raise Bursa’s TP to RM10.00 from RM8.50. The TP is based on an implied FY18 PER of around 22x. Our assumption is based on the group’s 3-year average payout in excess of 90% and decent dividend yields of around 4% (excluding special dividends). Nevertheless, due to recent run up in BURSA’s share price, we note that the potential upside to our revised TP remains limited. As such, we maintain our SELL recommendation on the stock. Key potential upside risks to our TP include: (1) a compression in risk premiums, (2) further pick-up in velocity, (3) improvement in retail sentiments, and (4) return of foreign investors in full swing. Earnings Summary FYE Dec Revenue EBITDA EBITDA Margins (%) Pretax profit Net profit EPS (Sen) EPS Growth (%) PER (x) Gross Div (sen) Div Yield (%) ROE (%) 2015 518.5 302.5 58.3 278.8 198.6 37.0 (0.0) 27.0 34.5 3.5 26.0 2016 506.8 294.8 58.2 270.6 193.6 36.1 (2.8) 27.7 34.5 3.5 22.3 Page 2 of 3 2017F 549.7 330.1 60.0 300.3 216.2 40.3 11.6 24.8 34.0 3.4 22.8 2018F 547.0 319.4 58.4 291.4 209.5 39.1 (3.1) 25.6 34.0 3.4 20.5 2019F 571.5 335.5 58.7 309.2 222.9 41.6 6.4 24.1 34.0 3.4 20.1
15. TA Securities 27-Apr-17 A Member of the TA Group 1QFY17 Results Analysis (RMmn) FYE 31 Dec 1Q FY16 Operating revenue 4Q FY16 1Q FY17 QOQ YOY YTD FY16 YTD FY17 YOY 126.1 112.5 134.7 19.7 6.8 126.1 134.7 6.8 Other income 7.8 11.2 8.0 (28.5) 2.6 7.8 8.0 2.6 Total revenue 133.9 123.7 142.7 15.3 6.5 133.9 142.7 6.5 Staff cost (33.3) (29.1) (34.0) 16.8 2.1 (33.3) (34.0) 2.1 Depreciation (6.1) (6.1) (6.1) (0.1) 0.2 (6.1) (6.1) 0.2 Other operating expenses (24.0) (19.6) (23.9) 21.9 (0.4) (24.0) (23.9) (0.4) Profit before tax 70.6 69.0 78.7 14.2 11.5 70.6 78.7 11.5 Taxation (18.0) (16.6) (19.8) 19.7 10.2 (18.0) (19.8) 10.2 Profit after tax 52.6 52.4 58.9 12.4 12.0 52.6 58.9 12.0 Minority interests 2.7 2.2 2.3 1.7 (14.7) 2.7 2.3 (14.7) Net profit EPS 49.9 9.3 50.2 9.4 56.6 10.6 12.9 12.9 13.4 13.4 49.9 9.3 56.6 10.6 13.4 13.4 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. 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 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. for TA SECURITIES HOLDINGS BERHAD(14948-M) (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research Page 3 of 3
16. TA Securities COMPANY UPDATE Thursday , April 27, 2017 A Member of the TA Group FBMKLCI: 1,765.80 Sector: Consumer MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 Nestle (Malaysia) Berhad TP: RM88.66 (+7.5%) Continuing its Innovation Strategy Last Traded: RM82.46 HOLD THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* TA Research Team Coverage Tel: +603-2072 1277 ext. 9602 damia@ta.com.my We left Nestle’s analyst briefing yesterday feeling neutral about FY17 prospects on the back of i) selective price increase ii) concern for sugar price impact iii) increasing selling and distribution expenses. We increase our earnings forecast slightly by 2.1% - 3.2% for FY17 – FY19 with a revised target price to RM88.66/share based on DDM valuation. We downgrade our call from Buy to HOLD. Selective Price Increase Despite weakening consumer sentiment, Nestle’s 1QFY17 revenue increased to RM1.3bn (+9.8% QoQ, +4.4% YoY) due to stronger domestic and export sales. The positive momentum continued due to i) new domestic customer base generated from introduction of new products, ii) strong marketing support and iii) continuation of export sales growth which benefited from the weakening of Ringgit. Note that 10% of the 1QFY17 turnover comes from the launch of new products. This has resulted in improvement in net margin by 1.6%-pts YoY for the current quarter. To sustain this momentum, management has guided that Nestle will protect its margin by selective price increase by single digit level of less than 5% for some of Maggi products, which are non-noodle range. For the beverage segment, however, management has guided that no price increase domestically for its flagship products like Milo. Management believed that the consumer sentiment is expected to recover by 3Q17. However, we are cautious of the weakening consumer sentiment on the back of rising inflation and ringgit weakness. As such, we reduce our revenue estimates slightly by 2.6% and 1.1% for FY17 and FY18 respectively. Mitigating Rise in Costs of Sales Nestle’s 1QFY17 costs of sales increased by 4.1% QoQ and YoY to RM824mn. We attribute the rise to increase in sugar price. Sugar is sourced locally for manufacturers in Malaysian and the price was raised to RM2,780/tonne as compared to RM2,500/tonne last Nov-2016. Management guided that one of the ways that Nestle could achieve cost efficiency is through the support of a global procurement team whereby raw materials are sourced at economies of scale either globally (e.g. milk based products), regionally (e.g. plastic packaging) or locally (e.g. sugar). Other than that, Nestle also looks at the efficiency of operations on a day-to-day basis. Pressure on Selling and Distribution Expenses YoY, Nestle’s operating expenses increased by 5.1% to RM248.7mn which includes structural costs and marketing spend. Management guided that Nestle plans to build a distribution centre that would also support its eCommerce businesses, which it has recently ventured into. Other than that, management shared that Nestle is continuously introducing new variants of products within its existing brands e.g. Kit Kat Bars and Kit Kat Minis. Page 1 of 3 www.taonline.com.my Share Information Bloomberg Code 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 (%) NESZ MK 4707 Main Market 234.5 19,336.9 83.68/74.12 73.6 11.6 0.37 Nestle SA EPF 72.61 7.9 Forecast Revision Forecast Revision (%) Net profit (RM'm) Consensus (RM mn) TA's/Consensus Previous Rating FY17 FY18 2.1 2.8 686.5 763.0 675.8 719.7 101.6 106.0 Buy (Downgraded) Financial Indicators Net debt/equity (%) ROE (%) NTA/Share (x) Price/ NTA (x) Share Performance (%) Price Change 1 mth 3 mth 6 mth 12 mth FY17 52.7 26.2 2.7 30.9 FY18 33.0 28.1 3.1 26.4 Nestle 5.2 8.5 5.2 10.2 FBM KLCI 1.2 4.7 5.8 4.3 (12-Mth) Share Price relative to the FBM KLCI Source: Bloomberg
17. TA Securities 27-Apr-17 A Member of the TA Group We are concerned about the increase in cost over the short term as this affect the group ’s margin. However, we are positive over the long term as the gestation period of new product launches and new distribution centre would start contributing to the bottom line. Currently, we are projecting that Nestle’s selling and distribution expenses to increase by 8.7% for FY17. Outlook We are neutral at this juncture as we believe that Nestle will be able to continue operating efficiently to be in line with the group’s FIT strategy. The globalised procurement support should allow Nestle to mitigate any rise in raw materials costs. Moreover, given that Nestle’s products are mainly low-ticket items, we view that the sales will continue to grow sustainably at the expense of introduction of new products and high marketing costs. Valuation All in, we increase Nestle’s earnings estimates marginally by 2.1% - 3.2% for FY17 – FY19. We also increase our forecasted GDPS to be in line with increase in earnings. Hence, our target price for Nestle has been adjusted to RM88.66/share (previously RM83.60/share). We downgrade our call from Buy to HOLD. Note that Nestle’s share price has increased by 5.5% YTD. Earnings Summary (RMmn) INCOME STATEMENT YE Dec 31 Revenue EBITDA EBIT Reported PBT Reported Net Profit Adj. Net Profit EPS (sen) Adj. EPS (sen) PER (x) DPS (%) Div. Yield (%) FY15 FY16 FY17F 4,838.0 5,063.5 5,372.4 893.0 924.4 1,002.7 760.2 798.8 867.4 729.2 770.1 829.3 592.2 640.8 688.4 590.0 596.7 688.4 251.9 271.7 293.5 251.6 254.4 293.5 32.8 32.4 28.1 260.0 270.0 275.0 3.2 3.3 3.3 FY18F 5,700.2 1,077.0 945.2 921.7 765.0 765.0 326.2 326.2 25.3 280.0 3.4 FY19F 6,012.0 1,178.1 1,044.5 1,042.0 864.8 864.8 368.8 368.8 22.4 285.0 3.5 FY17F FY18F FY19F 770.1 829.3 921.7 1,042.0 132.8 26.7 (145.0) 141.9 926.4 135.3 22.4 (141.0) (135.9) 710.2 131.8 23.4 (156.7) (6.3) 913.9 133.6 24.4 (177.1) (8.2) 1,014.7 CASH FLOW FROM INVESTING ACTIVITIES (-)Acquisition & capex (191.2) (123.1) Others 0.2 4.1 CFI (191.0) (119.0) (100.0) 0.0 (100.0) (150.0) 0.0 (150.0) (200.0) 0.0 (200.0) CASH FLOW STATEMENT YE Dec 31 FY15 CASH FLOW FROM OPERATING ACTIVITIES PBT 729.2 Adjustments for: (+) Depreciation & Amortisation 132.8 Change in WC: 81.2 Tax (paid) / refunded (141.6) Others (42.3) NET CFO 759.3 FY16 CASH FLOW FROM FINANCING ACTIVITIES (+) Net borrowing 125.6 (204.3) (-) Interest paid (34.4) (33.8) (-) Dividend paid to owners (715.2) (633.2) Others (4.5) (3.8) CFF (628.5) (875.1) Change in cash and equivalents (60.1) (67.7) 80.0 0.0 (644.9) 0.0 (564.9) (100.0) 0.0 (656.6) 0.0 (756.6) (200.0) 0.0 (668.3) 0.0 (868.3) 45.3 7.3 (53.7) Page 2 of 3 BALANCE SHEET STATEMENT YE Dec 31 PPE Goodwill Inv (Asso. + subsidiary) DTA Others Non Current Assets FY15 FY16 FY17F 1,369.9 1,353.1 1,317.7 62.8 62.4 62.4 4.1 4.2 4.2 11.1 20.2 20.2 25.0 24.7 24.7 1,472.9 1,464.6 1,429.3 FY18F 1,336.0 62.4 4.2 20.2 24.7 1,447.5 FY19F 1,402.4 62.4 4.2 20.2 24.7 1,513.9 Inventories Receivables Cash Others Current Assets 414.3 581.9 13.9 5.3 1,015.4 455.3 544.3 24.0 6.4 1,030.0 456.3 662.4 69.3 6.4 1,194.3 484.1 702.8 76.6 6.4 1,269.9 510.6 741.2 22.9 6.4 1,281.1 Total Assets 2,488.3 2,494.6 2,623.6 2,717.4 2,795.0 96.5 81.1 77.5 255.1 93.1 86.1 91.3 270.5 117.1 86.1 91.3 294.5 87.1 86.1 91.3 264.5 27.1 86.1 91.3 204.5 Borrowings Payables Taxation Current liabilities 253.0 1,231.6 40.0 1,524.6 184.0 1,392.8 0.1 1,576.8 240.0 1,398.3 0.1 1,638.4 170.0 1,483.6 0.1 1,653.7 30.0 1,564.8 0.1 1,594.8 Total liabilities 1,779.7 1,847.4 1,932.9 1,918.2 1,799.4 234.5 474.1 708.6 234.5 412.7 647.2 234.5 456.2 690.7 234.5 564.6 799.1 234.5 761.1 995.6 2,488.3 2,494.6 2,623.6 2,717.4 2,795.0 Borrowings Employee benefits DTL Non Current Liabilities Financed by Equity Share capital Reserves Total Equities Total Liabilities + Equities VALUATION RATIOS YE Dec 31 P/NTA ROE ROA Gearing EBIT Margin Net Margin Revenue Growth EBIT Growth Net Profit Growth (x) (%) (%) (x) (%) (%) (%) (%) (%) FY15 26.3 23.7 83.3 0.5 15.7 12.2 0.6 4.9 6.9 FY16 30.8 23.9 92.2 0.4 15.8 11.8 4.7 5.1 1.1 FY17F 33.1 26.2 99.7 0.4 16.1 12.8 6.1 8.6 15.4 FY18F 28.2 28.2 95.7 0.2 16.6 13.4 6.1 9.0 11.1 FY19F 22.3 30.9 86.9 0.0 17.4 14.4 5.5 10.5 13.0
18. TA Securities 27-Apr-17 A Member of the TA Group ( T HI S P AGE I S I NT E N T I ON AL L Y L E FT B L ANK) 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. 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 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. for TA SECURITIES HOLDINGS BERHAD(14948-M) (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research Page 3 of 3
19. Thursday , 27 April, 2017 For Internal Circulation Only TA RESEARCH’S ‘DAILY COMPILED LOCAL TECHNICAL REPORTS’ Local Technical Reports 1. Daily Technical Stock Picks 2. Daily Stock Screen 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. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research
20. T e c h n i c a l TA Securities V i e w Thursday , April 27, 2017 A Member of the TA Group MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 Daily Technical Stock Picks Malaysia FBM KLCI: 1,768.92 (+3.12, +0.18%) THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Chartist: Stephen Soo Name FBMKLCI AFFIN AFG AMBANK AXIATA CIMB DIGI GAMUDA GENTING GENM IHH IOICORP MALAKOFF MAXIS MAYBANK MBSB RHBBANK SIME TENAGA TM WPRTS AIRASIA AIRASIA X ARMADA BINAPURI CMSB DIALOG ECO WORLD GADANG HSL ISKANDAR KIMLUN KKBE MUDAJAYA MRCB NAIM SAPURA ENERGY SUNCON UEMS WASEONG WCT Close 26-Apr 1768.92 2.94 4.11 5.45 5.14 5.75 5.16 5.23 9.96 6.02 6.14 4.60 1.22 6.43 9.48 1.30 5.36 9.33 13.84 6.47 4.04 3.33 0.44 0.80 0.44 4.55 1.85 1.54 1.27 1.67 3.11 2.32 1.34 1.18 1.57 1.52 2.01 1.97 1.26 0.90 2.07 Change 3.12 0.00 0.00 0.00 0.00 0.00 -0.02 0.04 0.10 0.05 0.04 0.05 0.00 -0.02 0.11 -0.01 0.05 0.00 0.04 -0.03 0.00 0.05 -0.01 0.03 -0.01 0.04 0.03 0.01 0.00 0.01 0.03 0.05 0.02 0.07 -0.01 -0.02 0.04 -0.03 0.00 0.00 0.00 Tel: +603-2167-9607 High Low 1,769.68 1,764.62 2.96 4.12 5.56 5.14 5.79 5.16 5.27 10.00 6.07 6.19 4.60 1.24 6.45 9.48 1.31 5.43 9.35 13.94 6.52 4.04 3.34 0.46 0.80 0.45 4.56 1.85 1.54 1.28 1.67 3.14 2.32 1.35 1.20 1.60 1.54 2.01 1.98 1.27 0.91 2.07 2.93 4.10 5.40 5.11 5.74 5.13 5.18 9.76 5.91 6.10 4.53 1.22 6.42 9.32 1.28 5.30 9.30 13.80 6.46 4.01 3.27 0.43 0.78 0.44 4.48 1.80 1.52 1.26 1.65 3.08 2.27 1.34 1.13 1.55 1.52 1.95 1.96 1.25 0.90 2.05 Bollinger Bands Lower Mid Upper 1,725.51 1,744.93 1,764.34 2.77 3.93 4.55 4.97 5.33 5.06 5.05 9.14 5.28 5.95 4.38 1.19 6.36 8.73 1.15 5.05 9.24 13.66 6.33 3.98 2.95 0.37 0.73 0.43 4.18 1.72 1.46 1.23 1.65 2.70 2.19 1.23 0.95 1.54 1.48 1.84 1.72 1.19 0.87 1.89 2.86 4.05 4.94 5.08 5.53 5.12 5.18 9.54 5.62 6.03 4.55 1.23 6.42 9.05 1.25 5.21 9.30 13.74 6.42 4.06 3.12 0.40 0.78 0.44 4.35 1.80 1.52 1.28 1.67 2.97 2.24 1.31 1.08 1.67 1.56 1.97 1.84 1.25 0.89 2.03 2.94 4.17 5.33 5.19 5.73 5.19 5.30 9.94 5.96 6.11 4.73 1.27 6.48 9.37 1.34 5.37 9.37 13.82 6.50 4.13 3.29 0.43 0.82 0.46 4.52 1.88 1.57 1.33 1.70 3.23 2.29 1.40 1.22 1.80 1.63 2.11 1.96 1.31 0.91 2.16 stsoo@ta.com.my RSI Moving Averages 14d 10d 30d 50d 69.49 1,747.11 1,745.86 1,732.17 DMI DI + DI - ADX 39.96 13.69 27.78 Diff 26.27 68.83 58.53 79.29 58.72 72.03 60.59 57.83 66.62 69.01 64.95 53.67 49.20 53.24 81.15 63.25 63.92 57.39 62.72 63.12 50.21 74.28 68.62 60.83 45.88 74.98 63.74 56.80 51.09 48.36 69.25 67.68 58.63 66.96 40.93 41.96 56.96 72.90 54.40 54.14 61.94 34.07 26.48 46.95 27.25 36.67 19.76 30.18 34.85 34.16 30.83 21.01 16.32 14.35 44.66 33.31 29.48 19.51 25.33 32.83 18.52 33.24 31.70 31.19 23.35 29.54 28.70 19.61 26.09 18.07 34.71 40.08 37.23 38.62 20.95 22.37 26.34 36.63 18.42 32.88 25.99 19.87 9.08 37.39 10.37 21.49 7.33 14.55 23.37 24.64 18.34 0.46 2.84 1.83 36.22 15.35 12.77 (0.77) 9.86 17.96 (0.21) 24.79 25.11 3.49 16.05 15.96 15.96 6.98 4.24 (7.43) 18.57 26.18 14.11 24.00 0.63 4.38 5.77 30.18 3.44 17.61 6.81 2.85 4.02 5.05 5.10 5.53 5.13 5.14 9.58 5.71 6.06 4.49 1.22 6.43 9.13 1.23 5.19 9.29 13.75 6.44 4.05 3.16 0.41 0.78 0.45 4.40 1.81 1.51 1.27 1.66 3.03 2.24 1.34 1.09 1.62 1.56 1.99 1.88 1.23 0.89 2.03 2.86 4.06 4.91 5.04 5.55 5.13 5.17 9.60 5.59 6.02 4.60 1.21 6.41 9.01 1.24 5.23 9.31 13.73 6.40 4.02 3.05 0.40 0.76 0.45 4.31 1.76 1.52 1.28 1.68 2.86 2.22 1.29 1.04 1.65 1.55 1.94 1.81 1.26 0.89 1.97 2.78 4.02 4.85 4.90 5.41 5.10 5.09 9.41 5.46 6.02 4.63 1.21 6.40 8.85 1.20 5.17 9.24 13.68 6.33 4.02 2.92 0.40 0.75 0.45 4.27 1.72 1.51 1.23 1.69 2.30 2.22 1.29 0.98 1.58 1.56 1.93 1.78 1.22 0.89 1.93 14.20 17.40 9.57 16.87 15.18 12.42 15.62 11.48 9.53 12.49 20.55 13.48 12.51 8.44 17.97 16.71 20.28 15.47 14.87 18.73 8.45 6.59 16.84 19.86 13.49 12.74 12.63 21.85 25.50 16.14 13.90 23.12 14.61 20.33 17.98 20.57 6.45 14.98 15.27 19.17 28.93 19.96 26.40 21.06 24.97 16.17 15.63 32.68 31.52 19.24 17.78 21.36 8.00 28.26 29.16 17.83 11.62 14.48 27.68 14.43 37.39 21.10 26.15 23.21 17.94 37.48 24.85 27.98 19.11 44.85 22.92 23.20 39.07 35.77 20.07 17.05 37.74 23.31 24.66 16.66 www.taonline.com.my Line 7.31 0.03 0.01 0.12 0.05 0.06 0.02 0.02 0.10 0.12 0.02 -0.03 0.00 0.01 0.13 0.02 0.03 0.02 0.02 0.04 0.00 0.10 0.01 0.01 0.00 0.07 0.03 0.00 0.01 -0.01 0.20 0.01 0.02 0.04 0.00 0.00 0.02 0.04 0.00 0.00 0.04 MACD Signal Diff 5.26 2.052 0.02 0.00 0.06 0.06 0.04 0.01 0.02 0.06 0.08 0.01 -0.04 0.00 0.01 0.09 0.01 0.01 0.03 0.02 0.04 0.01 0.08 0.00 0.01 0.00 0.05 0.04 0.00 0.02 -0.01 0.24 0.01 0.02 0.04 0.02 0.00 0.03 0.03 0.00 0.00 0.04 0.004 0.005 0.059 (0.006) 0.019 0.005 (0.002) 0.043 0.039 0.013 0.010 0.003 (0.000) 0.038 0.007 0.016 (0.008) 0.008 0.003 (0.004) 0.014 0.005 (0.002) (0.001) 0.020 (0.003) 0.003 (0.008) (0.000) (0.036) 0.004 (0.000) (0.000) (0.022) (0.005) (0.006) 0.012 (0.001) (0.001) 0.000 DMI MACD Recent Signal BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY SELL BUY BUY SELL BUY BUY BUY BUY BUY BUY BUY BUY SELL BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY SELL BUY BUY SELL BUY BUY BUY BUY BUY SELL BUY BUY BUY SELL BUY BUY SELL BUY BUY SELL SELL BUY SELL BUY SELL SELL SELL BUY SELL SELL SELL SELL SELL BUY SELL SELL BUY DMI MACD Signal Change - BUY SELL BUY SELL - 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 30-day 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 2
21. Technical Comments : BUY Bumi Armada & Dialog Group Bullish technical momentum on Bumi Armada led by a daily stochastics buy signal improves breakout potential above the upper Bollinger band (82sen) to aim for the 61.8%FR (88sen) and 76.4%FR (97sen) ahead, with tougher hurdle from the 25/11/15 peak (RM1.12). Key retracement support is from the 38.2%FR (74sen). Dialog shares need convincing breakout above the upper Bollinger band (RM1.88) to target the 8/7/14 high (RM1.96), with next hurdle from the 123.6%FP (RM2.15), while support from the 76.4%FR (RM1.78) is reinforced by the 30-day moving average (RM1.76). BUMI ARMADA RM0.80 (+0.025) Upper Middle BOLLINGER BANDS RM RM 0.82 0.78 10-day 30-day Lower RM 0.73 50-day BUY Recent Signal DMI Recent Signal 0.75 SELL Signal Change DIALOG Recent Signal Signal Change RM DAILY MACD Signal Change Upper Middle Lower SIMPLE MOVING AVERAGES RM 0.78 RM 0.76 BOLLINGER BANDS RM RM RM DMI RM1.85 (+0.03) 1.88 1.80 1.72 BUY SIMPLE MOVING AVERAGES RM 1.81 RM 1.76 RM 1.72 DAILY MACD Recent Signal SELL Signal Change 10-day 30-day 50-day Page 2 of 2
22. T e c h n i c a l TA Securities V i e w Thursday , April 27, 2017 FBMKLCI: 1,768.92 A Member of the TA Group MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 Daily Stock Screen s Malaysia End Day Census of 26.04.2017 THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Chartist: Stephen Soo Tel: +603-2167 9607 stsoo@ta.com.my www.taonline.com.my Report Description: The Daily Stock Screen is a retail product which can be a very useful guide for momentum trading and trading ideas .The following list is derived from the screening of more than 1000 stocks currently listed on Bursa Malaysia to identify: the top 20 breakout, 20 breakdown, and 30 ‘potential’ breakout stocks which just climbed above the middle Bollinger band, with potential to appreciate toward the upper Bollinger band. [MIDDLE BOLLINGER RANGEBOUND] List of 30 Potential Breakout Stocks (Short-term BUY for upside toward Upper Bollinger Band or higher to TAKE PROFIT/SELL) No 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Stock Name Price FRONTKEN CORP IFCA MSC BHD BIO OSMO BHD REACH ENERGY BHD MALAYAN UTD INDS BORNEO OIL BHD MPAY JAG BHD VIVOCOM INTERNAT NETX HOLDINGS BH SERSOL BHD LION DIVERSIFIED UMW OIL & GAS CO LAND & GENERAL SUMATEC RESOURCE WINTONI GROUP BH SYSTECH BHD BCM ALLIANCE B MAXIS BHD JKG LAND BHD GSB GROUP BHD GHL SYSTEMS BHD SUPERCOMNET TECH ASIAMET EDUCATIO M-MODE BHD OCK GROUP BHD MNC WIRELESS BHD SUNZEN BIOTECH HO WAH GENTING NWP HLDGS BHD 0.25 0.44 0.11 0.59 0.23 0.19 0.24 0.13 0.16 0.04 0.23 0.06 0.64 0.27 0.08 0.06 0.30 0.23 6.43 0.12 0.13 1.43 0.19 0.18 0.32 0.91 0.08 0.33 0.07 0.22 Bollinger Band Moving Average RSI Lower Middle Upper 14-day 10-day 30-day 50-day 0.22 0.41 0.08 0.54 0.13 0.18 0.22 0.10 0.15 0.03 0.19 0.04 0.61 0.24 0.07 0.03 0.28 0.18 6.36 0.11 0.09 1.14 0.15 0.17 0.29 0.87 0.06 0.29 0.06 0.20 0.24 0.43 0.09 0.58 0.21 0.19 0.24 0.12 0.16 0.04 0.22 0.05 0.64 0.25 0.07 0.04 0.29 0.21 6.42 0.12 0.11 1.43 0.18 0.18 0.31 0.90 0.08 0.32 0.06 0.22 0.26 0.46 0.11 0.62 0.29 0.19 0.26 0.13 0.16 0.05 0.25 0.06 0.66 0.27 0.08 0.06 0.30 0.25 6.48 0.13 0.14 1.71 0.21 0.19 0.33 0.93 0.09 0.35 0.07 0.23 59.13 51.93 60.15 51.19 57.29 60.02 53.17 64.39 55.21 56.94 58.71 54.28 48.28 59.77 53.59 60.19 57.49 62.89 53.24 50.11 61.07 57.51 58.38 54.11 57.30 58.08 55.01 66.16 52.58 53.34 0.23 0.43 0.10 0.57 0.24 0.19 0.23 0.12 0.16 0.04 0.23 0.05 0.64 0.25 0.07 0.05 0.29 0.22 6.43 0.12 0.13 1.47 0.19 0.17 0.30 0.89 0.08 0.32 0.06 0.22 0.24 0.43 0.09 0.59 0.20 0.18 0.24 0.12 0.16 0.03 0.21 0.05 0.64 0.25 0.07 0.04 0.29 0.20 6.41 0.12 0.11 1.33 0.17 0.18 0.31 0.89 0.07 0.31 0.06 0.22 0.24 0.45 0.08 0.60 0.18 0.18 0.23 0.12 0.16 0.03 0.19 0.05 0.65 0.26 0.07 0.05 0.27 0.19 6.40 0.12 0.10 1.22 0.16 0.17 0.30 0.87 0.07 0.30 0.06 0.21 Vol 37,662,000 36,130,300 24,332,300 23,959,500 20,487,700 18,585,000 15,626,900 13,976,700 13,083,900 10,750,500 10,610,700 10,283,800 9,190,900 8,882,300 7,758,200 7,224,000 6,322,500 5,337,300 4,876,600 4,719,600 4,425,300 3,950,000 3,917,800 3,284,400 3,225,900 3,214,400 3,024,200 2,921,700 2,876,100 2,839,000 20-day avg vol 12,587,090 15,410,930 17,019,630 6,253,195 44,804,770 54,621,520 12,301,990 10,544,650 21,310,400 24,571,320 6,503,205 6,210,410 1,798,465 13,348,830 22,425,500 6,388,095 4,908,650 10,111,270 3,359,360 19,076,200 7,373,140 12,425,330 7,841,105 1,572,545 1,801,430 2,144,790 12,935,390 2,935,935 8,139,885 1,947,385 Raw data sourced from Bloomberg *Note: To qualify in this list above, the first sorting criteria is stock price must have just climbed or stayed ABOVE the middle Bollinger Band, followed by a second criteria that trading volume for the day must be significantly strong. This is a good watch list for momentum traders looking for short-term BUY ideas, as they are laggards with good upside potential towards the upper Bollinger band or higher to TAKE PROFIT/SELL. Caveat: Some stocks may continue to stay range bound and trade sideways, hence traders should refer to their respective charts to spot accumulation (volume growth) or breakout patterns. INTERPRETATION OF TECHNICAL INDICATORS: 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 mediumterm trend is positive if share price stays above the 30-day, and negative if it remains below this average. 14-day RSI: A reading below 30 is considered oversold, above 70 is overbought. A rise above 50 with a corresponding share price surge above the 30-day SMA 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 SMA is bearish and imply further near-term downside risk. 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 will buy on price breaks above the upper band, and sell when price breaks below the lower band. Alternatively, a sharp move that originates at one band tends to go all the way to the other band, a useful observation when projecting price targets. Page 1 of 2
23. TA Securities A Member of the TA Group *Note: To qualify in the breakout list below, the first sorting criteria is stock price must close ABOVE the upper Bollinger Band, followed by a second criteria that trading volume for the day must be significantly higher than the 20-day average volume, which signal a bullish breakout. Caveat: We would caution momentum traders that a highly overbought 14-day RSI reading (> 80) and share price pullback BELOW the upper Bollinger Band are early warning signals to exit buy breakout trades. [UPPER BOLLINGER BREAKOUT] Top 20 Breakout Stocks (Generally BULLISH, but can be short-term TAKE PROFIT/SELL guide) No 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 Stock Name Price KUMP POWERNET PARAMOUNT CORP KPJ HEALTHCARE MINTYE BHD TEXCHEM RESOURCE YOONG ONN CORP SILK HOLDINGS BH TEKALA CORP BHD YEN GLOBAL BHD FAJAR BARU HARRISONS HLDGS FREIGHT MANAGEME TEO SENG CAPITAL MALAYSIA STEEL W UPA CORP BHD MALAYSIA SMELTIN IRIS CORP BHD TASCO BHD AIRASIA X BHD 0.49 1.83 4.25 1.23 1.51 1.23 0.50 0.47 1.27 0.83 3.98 1.40 1.08 0.96 2.43 3.66 0.21 2.34 0.44 1.12 UNIMECH GRP BHD Raw data sourced from Bloomberg 20 Bollinger Band RSI Moving Average Lower Middle Upper 14-day 10-day 30-day 50-day 0.36 1.72 3.93 0.96 1.42 1.05 0.46 0.33 0.95 0.70 3.23 1.25 0.99 0.72 2.11 3.50 0.13 2.08 0.37 1.05 0.42 1.76 4.05 1.09 1.46 1.11 0.47 0.40 1.08 0.75 3.59 1.32 1.03 0.83 2.25 3.56 0.17 2.19 0.40 1.08 0.48 1.80 4.17 1.21 1.49 1.18 0.49 0.46 1.20 0.80 3.94 1.40 1.07 0.93 2.38 3.63 0.20 2.30 0.43 68.92 79.53 68.84 64.35 64.35 72.23 63.52 70.57 67.07 68.70 80.21 66.67 64.09 79.62 75.39 59.68 72.52 67.35 68.62 66.66 0.42 1.76 4.06 1.13 1.46 1.11 0.47 0.42 1.11 0.75 3.72 1.30 1.02 0.86 2.29 3.56 0.18 2.19 0.41 1.08 0.40 1.75 4.04 1.07 1.46 1.12 0.47 0.38 1.09 0.75 3.51 1.31 1.04 0.82 2.23 3.56 0.16 2.16 0.40 1.08 0.40 1.72 4.05 1.06 1.45 1.12 0.46 0.37 1.08 0.73 3.44 1.27 1.07 0.81 2.21 3.65 0.15 2.03 0.40 1.09 1.10 Vol 201,100 2,917,200 7,053,200 80,400 271,900 1,963,600 4,743,400 3,620,100 572,100 11,934,400 216,800 521,400 1,117,300 8,396,100 96,900 158,000 177,213,400 848,600 89,930,500 153,600 20-day avg vol 19,360 322,415 810,965 9,540 36,890 284,840 695,670 555,985 96,920 2,438,830 50,595 123,945 271,225 2,047,905 24,170 39,545 45,517,280 218,670 23,322,260 43,015 *Note: As for the top 20 breakdown list below, the sole sorting criteria is stock price must close significantly BELOW the lower Bollinger Band, with the largest distance from the lower band at the top of the table, signaling a severe sell-off which is bearish. Caveat: A stock should bottom out if share price moves ABOVE the falling lower Bollinger Band, which can be a good buy signal for technical rebound upside after the sharp sell-off. p [LOWER BOLLINGER BREAKDOWN] Top 20 Breakdown Stocks (Generally BEARISH, but can be short-term BUY guide) No 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Stock Name Price 5.86 KOSSAN RUBBER IN PCHEM 7.40 TOP GLOVE CORP B 4.69 ALLIANZ MALAYSIA 11.30 1.46 CAPITALAND MALAY 0.43 ICON OFFSHORE APOLLO FOOD HLDG 5.00 CYCLE & CARR BIN 2.74 KNUSFORD BHD 1.32 0.01 PERWAJA HOLDINGS 1.92 CLASSIC SCENIC SUPERMAX CORP 1.92 GRAND CENTRAL EN 0.54 1.71 TITIJAYA LAND BH 0.53 BERJAYA LAND 0.24 MULPHA INTL BHD ATRIUM REIT 1.10 LUXCHEM CORP BHD 1.52 CEPATWAWASAN GRO 0.84 0.23 EURO HOLDINGS BH Bollinger Band RSI Moving Average Lower Middle Upper 14-day 10-day 30-day 50-day 5.93 7.44 4.73 11.34 1.49 0.45 5.02 2.76 1.33 0.02 1.93 1.93 0.55 1.71 0.53 0.24 1.10 1.52 0.84 0.23 6.16 7.65 4.88 11.55 1.59 0.47 5.15 2.83 1.43 0.05 1.96 1.96 0.58 1.75 0.56 0.25 1.12 1.60 0.86 0.25 6.39 7.86 5.03 11.77 1.69 0.49 5.27 2.89 1.53 0.09 1.99 2.00 0.62 1.79 0.58 0.27 1.13 1.68 0.88 0.26 21.98 38.38 20.42 32.92 15.73 21.28 29.94 33.48 40.27 18.45 41.51 29.07 41.09 38.87 27.18 29.12 38.54 33.47 35.74 33.40 6.09 7.59 4.82 11.48 1.56 0.47 5.12 2.81 1.40 0.05 1.96 1.96 0.59 1.75 0.55 0.25 1.11 1.58 0.85 0.24 6.22 7.59 4.96 11.63 1.62 0.47 5.16 2.84 1.43 0.06 1.96 1.98 0.58 1.76 0.56 0.26 1.12 1.60 0.86 0.25 6.29 7.50 5.03 11.56 1.61 0.47 5.19 2.89 1.32 0.06 1.95 2.00 0.58 1.74 0.57 0.26 1.12 1.60 0.86 0.24 Vol 397,600 15,882,100 3,103,000 932,200 2,206,200 34,365,300 32,000 56,100 10,100 26,106,500 37,700 958,700 4,000 1,157,500 4,300 6,724,400 47,200 267,100 273,800 504,800 20-day avg vol 303,320 7,280,875 1,959,760 158,220 716,495 3,460,475 17,500 47,840 26,030 7,220,725 45,430 1,338,150 6,605 1,113,810 81,030 4,628,585 25,655 172,185 262,965 1,303,490 Raw data sourced from Bloomberg 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. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research Page 2 of 2
24. Thursday , 27 April, 2017 For Internal Circulation Only TA RESEARCH’S ‘DAILY COMPILED FOREIGN TECHNICAL REPORTS’ Asian Technical Reports 1. Foreign Technical Stock Watch (AUS) 2. Foreign Technical Stock Watch (HK) 3. Foreign Technical Stock Watch (FSSTI) 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. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research
25. T e c h n i c a l TA Securities V i e w Thursday , April 27, 2017 A Member of the TA Group MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 Foreign Technical Stock Watch Australia ASX: 5,912.04 (+40.25, +0.69%) THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Chartist: Stephen Soo Name ASX 200 BHP BILLITON RIO TINTO COMMONW BK AUSTR WESTPAC BANKING AUST AND NZ BANK NATL AUST BANK WESFARMERS WOODSIDE PETRO NEWCREST MINING WESTFIELD GROUP FORTESCUE METALS QBE INSURANCE ORIGIN ENERGY AMP SANTOS MACQUARIE GROUP SUNCORP GROUP ORICA OIL SEARCH COCA-COLA AMATIL AMCOR STOCKLAND ALUMINA COMPUTERSHARE QANTAS AIRWAYS SIMS METAL MGMT Tel: +603-2167 9607 stsoo@ta.com.my Close Bollinger Bands RSI Moving Averages DMI Change High Low 26-Apr Lower Mid Upper 14d 10d 30d 50d DI + DI - ADX Diff 5912.04 40.25 5923.90 5871.80 5777.59 5864.65 5951.70 59.93 5876.62 5828.95 5803.24 33.82 21.80 20.61 12.02 24.08 60.50 87.11 34.80 32.40 33.60 43.94 32.55 22.43 9.11 5.38 12.89 7.53 5.31 3.64 91.38 13.77 18.34 7.35 9.36 15.69 4.88 1.84 14.25 4.01 11.84 0.14 0.68 0.88 0.19 0.42 0.23 0.19 0.17 -1.15 0.07 0.07 0.27 0.06 0.10 0.01 2.28 0.21 0.21 0.08 -0.14 0.04 0.04 0.04 0.43 0.04 -0.06 24.24 61.14 87.39 35.02 32.47 33.77 44.12 32.91 23.04 9.14 5.39 13.06 7.55 5.33 3.68 92.05 13.84 18.71 7.35 9.45 15.89 4.91 1.89 14.39 4.04 11.95 23.93 60.07 86.67 34.79 32.14 33.58 43.60 32.52 22.22 8.95 5.25 12.82 7.49 5.23 3.62 90.00 13.61 18.22 7.25 9.31 15.65 4.74 1.84 14.11 3.96 11.64 23.12 58.08 84.02 33.90 31.17 32.25 43.65 31.26 21.82 8.73 5.01 12.41 6.83 5.05 3.57 86.23 12.78 17.29 7.03 9.64 14.88 4.57 1.73 13.54 3.88 11.40 24.29 60.13 85.69 34.64 31.81 32.99 44.56 32.55 23.54 9.01 5.86 12.77 7.26 5.20 3.75 88.58 13.26 17.79 7.31 10.52 15.26 4.78 1.79 13.93 3.94 12.19 25.46 62.18 87.36 35.39 32.44 33.73 45.47 33.83 25.26 9.30 6.70 13.13 7.69 5.34 3.94 90.93 13.75 18.30 7.59 11.41 15.63 4.99 1.85 14.32 4.01 12.97 45.73 49.93 61.74 55.39 60.88 62.24 46.55 53.30 39.75 56.49 36.98 54.81 69.79 65.82 43.06 64.88 66.04 58.20 55.93 21.44 72.95 61.79 54.60 60.90 64.65 42.27 24.43 60.00 85.88 34.55 31.81 33.01 44.43 32.91 24.02 9.12 5.52 12.69 7.45 5.25 3.72 88.35 13.46 17.95 7.37 10.37 15.38 4.88 1.79 13.85 3.94 11.92 24.31 60.38 85.16 34.54 31.70 32.76 44.33 32.05 23.08 8.86 6.05 12.79 7.05 5.13 3.72 88.50 13.24 17.77 7.17 10.48 15.02 4.69 1.80 13.91 3.90 12.29 24.86 62.05 84.60 34.33 31.38 32.47 43.80 31.78 22.74 8.86 6.31 12.72 6.91 5.09 3.76 87.95 13.31 18.12 7.13 10.39 14.80 4.67 1.85 13.80 3.80 12.43 22.99 25.29 31.24 28.96 29.84 30.83 18.14 32.10 22.83 24.90 11.93 31.24 34.46 25.03 21.60 37.26 32.49 30.07 23.98 9.89 30.30 23.01 31.04 27.20 22.27 23.75 29.92 28.11 19.00 23.86 21.26 17.93 24.70 25.71 32.22 19.41 37.47 24.60 14.80 10.31 28.07 19.30 18.84 14.92 22.62 49.67 13.97 22.10 20.67 19.68 13.65 29.34 14.14 14.49 14.11 12.30 14.21 16.40 16.54 21.05 22.44 30.97 38.26 15.21 32.33 26.02 16.31 13.43 13.86 15.76 19.05 30.74 23.88 29.53 9.96 19.17 18.50 15.34 (6.93) (2.82) 12.23 5.11 8.58 12.89 (6.56) 6.40 (9.39) 5.50 (25.54) 6.64 19.66 14.72 (6.47) 17.96 13.65 15.14 1.36 (39.78) 16.33 0.91 10.37 7.52 8.62 (5.59) www.taonline.com.my MACD DMI MACD DMI MACD Line Signal Diff Recent Signal Signal Change 23.39 26.79 (3.401) BUY SELL -0.19 -0.16 (0.036) SELL SELL -0.49 -0.58 0.087 SELL BUY 0.48 0.45 0.029 BUY BUY - BUY 0.07 0.10 (0.034) BUY SELL 0.16 0.14 0.014 BUY BUY - BUY 0.22 0.20 0.021 BUY BUY - BUY 0.09 0.25 (0.169) SELL SELL 0.26 0.36 (0.099) BUY SELL 0.28 0.46 (0.180) SELL SELL SELL 0.10 0.09 0.004 BUY BUY -0.29 -0.24 (0.056) SELL SELL -0.03 -0.01 (0.021) BUY SELL BUY 0.18 0.17 0.008 BUY BUY 0.05 0.05 (0.000) BUY SELL -0.03 -0.02 (0.019) SELL SELL 0.25 0.14 0.119 BUY BUY - BUY 0.10 0.04 0.061 BUY BUY 0.01 -0.07 0.082 BUY BUY 0.06 0.08 (0.022) BUY SELL -0.15 0.01 (0.169) SELL SELL 0.22 0.20 0.024 BUY BUY 0.08 0.07 0.005 BUY BUY -0.01 -0.02 0.008 BUY BUY 0.02 0.04 (0.014) BUY SELL BUY 0.05 0.05 (0.005) BUY SELL -0.20 -0.15 (0.047) SELL SELL - The table below consists of the top 30 ASX 200 Index component stocks, weighted by market capitalization in descending order, with some popular technical indicators. Some other popularly traded stocks are included at the bottom section. 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. Stock names and technical statistics in bold highlight stocks that have changes in BUY/SELL signals on the DMI and MACD on the given date. Page 1 of 2
26. TA Securities A Member of the TA Group 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. Fundamentals of Foreign Technical Picks Bloomberg Ticker Stock Name BHP AU BHP BILLITON LTD RIO AU RIO TINTO LTD CBA AU COMMONW BK AUSTR WBC AU WESTPAC BANKING ANZ AU AUST AND NZ BANK NAB AU NATL AUST BANK WES AU WESFARMERS LTD WPL AU WOODSIDE PETRO NCM AU NEWCREST MINING WFD AU WESTFIELD GROUP FMG AU FORTESCUE METALS QBE AU QBE INSURANCE ORG AU ORIGIN ENERGY AMP AU AMP LTD STO AU SANTOS LTD MQG AU MACQUARIE GROUP SUN AU SUNCORP GROUP LT ORI AU ORICA LTD OSH AU OIL SEARCH LTD CCL AU COCA-COLA AMATIL AMC AU AMCOR LTD SGP AU STOCKLAND AWC AU ALUMINA LTD CPU AU COMPUTERSHARE LT QAN AU QANTAS AIRWAYS SGM AU SIMS METAL MGMT Close Target Price % upside 24.08 27.72 60.50 70.69 87.11 EPS ($) PER(x) Div Yield(%) 2017 2018 2017 2018 2017 2018 13% 1.49 1.31 12.1 13.8 3.571 3.301 14% 4.66 3.43 9.7 13.2 4.519 3.387 84.38 -3% 5.65 5.88 15.4 14.8 4.871 5.020 34.80 34.40 -1% 2.42 2.52 14.4 13.8 5.356 32.40 31.60 -3% 2.39 2.44 13.6 13.3 4.988 33.60 33.05 -2% 2.42 2.49 13.9 13.5 43.94 43.46 -1% 2.61 2.63 16.9 32.55 33.15 2% 1.26 1.44 22.43 23.05 3% 0.69 9.11 9.48 4% 52week Price High % Chg Low YTD 27.96 17.29 -3.91 69.80 41.51 1.00 87.39 69.22 5.70 5.405 35.39 27.57 6.75 5.062 32.47 22.66 6.51 5.833 5.804 33.77 23.90 9.55 16.7 5.025 5.105 46.06 38.62 4.27 19.3 17.0 3.137 3.505 33.97 25.10 4.46 0.91 24.2 18.5 0.767 1.092 27.20 16.35 10.77 0.33 0.36 20.7 19.0 2.810 2.865 11.14 8.21 -2.88 -8.66 5.38 6.21 13% 0.78 0.50 5.2 8.1 5.836 3.680 7.27 2.81 12.89 13.68 6% 0.64 0.81 15.0 12.0 3.305 3.894 13.28 9.22 3.78 7.53 7.36 -2% 0.30 0.56 24.9 13.5 0.000 1.301 7.57 4.69 14.26 5.31 5.31 0% 0.36 0.37 14.9 14.2 5.461 5.725 5.96 4.39 5.36 3.64 4.34 16% 0.12 0.17 22.7 16.2 1.044 1.951 5.07 3.30 -9.45 91.38 88.06 -4% 6.14 6.36 14.9 14.4 4.660 4.838 92.05 61.05 4.89 13.77 13.80 0% 0.90 0.97 15.2 14.1 5.301 5.701 13.95 11.27 1.85 18.34 16.75 -9% 1.05 1.13 17.4 16.2 2.923 3.157 19.49 12.04 3.73 7.35 8.03 8% 0.21 0.24 26.4 22.6 1.184 1.429 7.75 6.19 2.51 9.36 9.49 1% 0.56 0.58 16.8 16.2 4.915 5.043 10.87 7.94 -7.51 15.69 15.97 2% 0.61 0.65 19.4 18.1 2.721 3.047 16.66 13.62 4.95 4.88 4.83 -1% 0.32 0.34 15.2 14.5 5.266 5.471 5.11 4.03 6.55 1.84 1.85 1% 0.11 0.10 12.4 14.2 5.815 5.652 2.04 1.21 0.55 14.25 13.82 -3% 0.55 0.61 19.5 17.6 1.839 1.972 14.39 8.63 14.37 4.01 4.39 9% 0.53 0.53 7.61 7.58 3.666 4.489 4.04 2.58 20.42 11.84 12.23 3% 0.64 0.73 18.6 16.3 3.235 3.328 13.62 7.40 -7.72 Note : The above data is based on Bloomberg consensus. 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. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research Page 2 of 2
27. T e c h n i c a l TA Securities V i e w Thursday , April 27, 2017 A Member of the TA Group MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 Foreign Technical Stock Watch Hong Kong HSI: 24,578.43 (+122.49, +0.50%) THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Chartist: Stephen Soo Close Name 26-Apr HANG SENG 24,578.43 HSBC CH MOBILE CCONB ICBC CNOOC CH LIFE BOC SHK PROP PETRO CH TENCENT HKSE CK HUTCHISON PING AN SINOPEC CORP CH SHENHUA CLP LI & FUNG BOC HK HS BANK HK&CH GAS SWIRE HL PROP WHARF CH OV LAND POWER ASSETS BELLE HENDERSON BOCOMM CH COAL CH UNICOM BK EASIA ESPRIT MTR SINO LAND CH RES NEW WORLD CH RES LAND CH MERCHANT CH RES POWER ALCORP CATHAY CITIC COSCO FIH MOBILE LTD GENHK AIA SANDS CHINA GALAXY 64.10 83.65 6.37 5.14 9.07 23.80 3.79 116.80 5.52 241.60 193.70 96.90 43.55 6.43 18.08 81.55 3.25 31.65 158.50 15.46 75.75 20.40 66.85 23.00 69.45 5.27 49.50 6.11 3.86 10.12 32.35 6.01 44.90 13.18 18.98 9.73 22.25 22.45 14.10 3.96 11.24 11.28 8.52 2.69 2.33 51.30 36.85 44.15 Change High Tel: +603-2167 9607 Lower 122.49 0.30 0.45 0.02 0.04 (0.01) 0.35 0.02 0.60 (0.01) (1.20) 1.70 0.05 0.35 0.00 (0.04) 0.75 0.00 0.25 1.50 0.08 1.15 0.35 0.20 0.05 0.10 0.00 0.20 0.01 0.01 (0.12) 0.25 (0.02) 0.15 0.12 (0.04) 0.06 0.10 (0.15) 0.20 (0.01) 0.00 0.16 (0.12) (0.03) (0.03) 0.95 1.30 2.00 24,637.85 24,515.23 64.35 83.80 6.41 5.14 9.10 24.15 3.81 117.20 5.56 244.60 195.00 97.60 43.95 6.47 18.24 81.95 3.27 31.85 158.60 15.48 76.00 20.45 67.10 23.10 69.45 5.27 49.50 6.12 3.89 10.40 32.50 6.07 44.90 13.18 19.22 9.78 22.25 22.65 14.10 4.06 11.34 11.28 8.62 2.73 2.37 51.40 37.25 44.45 63.90 83.30 6.34 5.07 9.01 23.55 3.78 116.10 5.50 240.40 192.80 96.65 43.35 6.35 17.98 80.55 3.24 31.45 157.30 15.36 75.00 20.05 66.20 22.80 69.00 5.27 49.20 6.07 3.80 10.10 31.95 5.98 44.55 13.02 18.74 9.67 22.00 22.25 13.86 3.93 11.16 11.12 8.45 2.68 2.32 50.75 36.00 42.60 RSI Bollinger Bands Low 23,871.40 62.06 82.44 6.10 4.89 8.98 22.40 3.58 113.47 5.48 218.74 190.03 93.30 41.54 6.17 17.74 79.24 3.04 30.77 153.73 15.17 73.06 19.55 65.50 22.18 66.35 4.95 47.90 5.77 3.79 10.00 30.79 5.75 43.10 12.76 17.48 9.52 21.01 21.79 13.66 3.67 10.80 10.77 8.21 2.47 2.34 48.61 34.94 41.40 Mid stsoo@ta.com.my Upper 14d 24,224.83 24,578.27 61.52 63.21 84.89 6.27 5.05 9.28 23.41 3.76 116.30 5.66 230.13 194.02 95.49 42.89 6.35 18.16 81.21 3.37 31.67 157.06 15.58 76.54 20.32 66.76 22.80 68.11 5.15 49.04 5.97 4.00 10.47 31.84 6.26 44.11 13.42 18.56 9.69 21.94 22.40 14.09 3.95 11.13 11.02 8.49 2.81 2.38 49.64 36.41 42.85 64.36 87.33 6.43 5.20 9.59 24.43 3.94 119.13 5.84 241.52 198.01 97.67 44.24 6.54 18.58 83.17 3.69 32.57 160.39 15.98 80.02 21.08 68.02 23.42 69.87 5.36 50.18 6.17 4.21 10.94 32.89 6.77 45.11 14.08 19.63 9.86 22.87 23.01 14.51 4.22 11.47 11.27 8.77 3.15 2.41 50.67 37.88 44.29 57.24 42.56 57.50 58.93 40.78 55.65 52.48 54.84 32.80 71.74 49.85 59.95 61.79 60.82 55.42 57.08 34.84 52.50 54.31 51.49 44.81 53.96 54.25 46.79 59.78 57.23 63.97 58.94 39.75 46.74 56.62 33.00 69.28 46.18 58.99 50.74 54.90 54.03 49.85 48.92 54.10 58.46 51.63 37.12 39.58 65.88 58.40 65.52 Moving Averages 10d 24,168.69 63.12 83.81 6.22 5.00 9.20 23.02 3.70 117.00 5.59 234.02 192.45 94.95 42.43 6.33 18.01 80.62 3.26 31.32 155.97 15.49 74.90 20.13 66.48 23.01 68.56 5.24 49.42 5.92 3.97 10.32 31.46 6.04 44.48 13.13 18.99 9.72 22.17 22.34 14.05 4.01 11.01 10.97 8.43 2.69 2.38 49.77 36.34 42.79 30d www.taonline.com.my DMI 50d DI + DMI MACD DI - ADX Diff Line Signal Diff MACD Recent Signal DMI MACD Signal Change 24,221.56 24,068.85 31.98 23.52 17.36 8.46 68.51 57.11 11.398 BUY BUY - BUY 63.35 85.58 6.31 5.08 9.19 23.77 3.82 115.55 5.70 227.35 194.74 95.96 42.93 6.24 17.91 80.56 3.48 31.76 157.68 15.44 77.17 20.35 67.31 23.40 67.94 5.19 48.33 6.02 4.02 10.31 31.90 6.45 43.57 13.46 18.35 9.75 22.01 22.18 14.22 3.95 11.18 11.09 8.52 2.92 2.39 49.61 35.90 42.00 63.94 85.85 6.29 5.06 9.23 23.87 3.85 114.11 5.82 220.33 195.25 95.36 42.51 6.16 17.26 79.71 3.50 31.53 158.97 15.25 78.35 20.09 64.93 23.61 68.55 5.23 46.90 6.07 4.06 9.96 32.26 6.55 42.60 13.33 18.06 9.77 21.66 21.97 14.24 4.02 11.26 11.19 8.52 2.98 2.38 49.33 34.65 40.13 22.41 27.81 18.26 21.00 24.82 18.29 26.28 23.00 28.77 9.78 19.65 17.93 13.08 16.14 19.51 23.29 26.94 24.06 19.84 23.75 23.01 20.65 17.12 19.47 10.50 18.62 18.25 21.96 22.45 18.61 23.01 23.45 17.56 21.62 12.85 23.55 18.54 13.58 19.19 17.73 17.37 22.75 16.95 22.96 27.86 17.94 19.91 17.79 11.35 21.34 15.47 17.90 20.47 18.07 22.51 19.73 21.27 33.42 17.47 25.57 21.99 21.69 19.81 30.60 32.88 26.80 25.37 35.87 22.54 14.86 21.50 13.91 17.50 15.39 30.10 18.89 13.26 24.43 20.80 28.03 38.32 26.25 34.12 13.93 17.35 19.57 12.76 12.85 16.52 26.43 12.08 25.93 23.33 13.85 26.05 37.12 11.81 (9.51) 8.80 4.42 (8.56) 8.25 0.63 (2.53) (12.83) 25.83 (0.24) 6.23 15.26 8.07 4.72 0.87 (15.21) (6.72) (2.65) (11.14) (4.06) 4.98 4.51 0.99 8.88 3.49 7.66 4.26 (6.41) (1.33) 2.14 (10.16) 8.98 (6.74) 13.72 (1.77) 7.08 6.73 3.26 3.97 13.40 0.66 4.43 (6.48) (1.27) 9.89 5.84 11.02 -0.13 -0.80 0.00 -0.01 -0.04 -0.19 -0.04 0.79 -0.08 5.56 -0.83 -0.05 0.03 0.06 0.17 0.20 -0.09 -0.10 -0.61 0.04 -1.07 -0.03 0.29 -0.17 0.25 0.03 0.70 -0.02 -0.04 0.05 -0.15 -0.18 0.60 -0.12 0.34 -0.02 0.14 0.11 -0.08 0.02 -0.04 -0.03 0.00 -0.09 -0.01 0.27 0.34 0.71 -0.25 -0.63 -0.01 -0.01 -0.01 -0.21 -0.04 1.07 -0.07 4.63 -0.55 -0.14 0.02 0.07 0.27 0.40 -0.08 -0.04 -0.74 0.10 -0.96 0.03 0.49 -0.21 0.07 0.01 0.86 -0.04 -0.02 0.14 -0.21 -0.16 0.64 -0.06 0.35 -0.01 0.19 0.16 -0.05 0.02 -0.06 -0.07 -0.01 -0.09 0.00 0.16 0.52 0.92 0.114 (0.175) 0.007 0.006 (0.035) 0.027 0.005 (0.277) (0.011) 0.927 (0.276) 0.093 0.013 (0.009) (0.093) (0.199) (0.006) (0.058) 0.122 (0.059) (0.103) (0.066) (0.205) 0.034 0.182 0.018 (0.159) 0.018 (0.026) (0.085) 0.058 (0.016) (0.041) (0.060) (0.005) (0.010) (0.049) (0.047) (0.032) 0.001 0.021 0.034 0.005 (0.005) (0.005) 0.111 (0.184) (0.214) BUY SELL BUY BUY SELL BUY BUY SELL SELL BUY SELL BUY BUY BUY BUY BUY SELL SELL SELL SELL SELL BUY BUY BUY BUY BUY BUY BUY SELL SELL BUY SELL BUY SELL BUY SELL BUY BUY BUY BUY BUY BUY BUY SELL SELL BUY BUY BUY BUY SELL BUY BUY SELL BUY BUY SELL SELL BUY SELL BUY BUY SELL SELL SELL SELL SELL BUY SELL SELL SELL SELL BUY BUY BUY SELL BUY SELL SELL BUY SELL SELL SELL SELL SELL SELL SELL SELL BUY BUY BUY BUY SELL SELL BUY SELL SELL BUY BUY BUY SELL BUY BUY BUY SELL BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY SELL - 34.21 18.30 27.06 25.41 16.26 26.54 26.91 20.47 15.94 35.61 19.41 24.16 28.34 24.22 24.22 24.17 11.73 17.34 17.19 12.60 18.95 25.63 21.63 20.46 19.38 22.11 25.91 26.21 16.04 17.27 25.14 13.29 26.54 14.88 26.57 21.78 25.63 20.30 22.45 21.70 30.78 23.41 21.38 16.47 26.59 27.83 25.74 28.81 The table above consists of the 45 HKSE Hang Seng Index component stocks, sorted by market capitalization in descending order, with some popular technical indicators. Some other popularly traded stocks are included at the bottom section. 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. Stock names and technical statistics in bold highlight stocks that have changes in BUY/SELL signals on the DMI and MACD on the given date. Page 1 of 3
28. TA Securities A Member of the TA Group Corporate News : Bank of China is close to an earnings recovery after a 2016 drop, as margin and fee gains augur well for both domestic and overseas operations this year. Margins will steady or even widen on rising assets yields, backing its revenue growth in the mainland and Hong Kong. – Bloomberg. Technical Comments: Fresh MACD buy signal and hook up trend indicators should enhance upside for Bank of China shares towards the 50%FR (HKD4.25), with a confirmed breakout to target the 61.8%FR (HKD4.60), while the 76.4%FR (HKD5.00) will be a formidable hurdle. Immediate support is at the 23.6%FR (HKD3.50). BANK OF CHINA HKD 3.79(+0.02) \\ Upper Middle Lower Recent Signal Signal Change BOLLINGER BANDS HKD HKD HKD DMI 3.94 3.76 3.58 BUY BUY SIMPLE MOVING AVERAGES HKD 3.70 HKD 3.82 HKD 3.85 DAILY MACD Recent Signal BUY Signal Change BUY 10-day 30-day 50-day Page 2 of 3
29. TA Securities A Member of the TA Group 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. Fundamentals of Foreign Technical Picks Bloomberg Ticker 5 941 939 1398 883 2628 3988 16 857 700 388 1 2318 386 1088 2 494 2388 11 3 19 101 4 688 6 1880 12 3328 1898 762 23 330 66 83 291 17 1109 144 836 2600 293 267 1199 2038 678 1299 1928 27 HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK HK EPS ($) PER(x) Div Yield(%) 52week Price % Chg Stock Name Close Target Price % upside 2017 2018 2017 2018 2017 2018 High Low YTD HSBC CH MOBILE CCONB ICBC CNOOC CH LIFE BOC SHK PROP PETRO CH TENCENT HKSE CK HUTCHISON PING AN SINOPEC CORP CH SHENHUA CLP LI & FUNG BOC HK HS BANK HK&CH GAS SWIRE HL PROP WHARF CH OV LAND POWER ASSETS BELLE HENDERSON BOCOMM CH COAL CH UNICOM BK EASIA ESPRIT MTR SINO LAND CH RES NEW WORLD CH RES LAND CH MERCHANT CH RES POWER ALCORP CATHAY CITIC COSCO FIH MOBILE LTD GENHK AIA SANDS CHINA LTD GALAXY 64.00 63.00 -2% 0.6 0.6 13.9 12.7 0.8 0.8 69.10 44.50 2.81 83.30 106.09 21% 5.7 6.1 13.0 12.1 3.1 3.4 99.30 80.30 1.34 6.35 7.61 17% 0.9 1.0 6.0 5.7 4.5 4.7 6.55 4.50 6.37 5.12 6.06 15% 0.8 0.8 5.8 5.5 4.6 4.8 5.27 3.82 10.11 9.03 11.04 0.8 13.8 10.4 3.8 10.88 8.70 -6.91 23.80 28.06 15% 0.9 1.1 22.9 18.9 1.3 1.5 25.50 16.00 17.82 3.78 4.47 15% 18% 0.6 0.6 0.6 5.8 5.5 4.6 3.6 5.0 4.08 2.90 9.88 116.40 128.59 9% 8.8 9.6 13.2 12.2 3.4 3.6 123.30 85.40 18.78 5.51 6.94 21% 0.2 0.4 20.4 12.7 1.9 3.0 6.38 4.92 -4.67 240.80 261.05 8% 6.2 7.9 34.5 26.9 0.3 0.4 244.60 152.20 26.94 193.30 197.45 2% 5.7 6.3 34.1 30.6 2.6 2.9 213.20 175.00 5.51 96.65 114.40 16% 9.3 10.1 10.4 9.6 3.0 3.2 103.90 80.60 9.95 43.50 55.49 22% 3.7 4.1 10.5 9.4 1.6 1.8 32.50 12.11 6.40 7.34 13% 0.4 0.5 12.8 11.3 3.9 4.4 6.57 4.96 16.36 18.00 18.90 5% 1.6 1.5 10.2 10.7 3.2 3.2 19.78 44.95 11.40 23.29 81.50 79.90 -2% 5.0 5.2 16.2 15.8 3.5 3.6 84.35 69.65 14.39 3.27 3.16 -3% 0.0 0.0 15.0 13.6 0.8 0.8 5.07 3.18 -4.11 31.55 35.87 12% 2.7 2.9 11.6 10.9 4.3 4.5 32.55 21.01 13.69 158.30 154.53 -2% 9.2 10.1 4.2 164.40 127.60 9.70 15.44 12.78 -21% 0.6 0.6 25.9 24.9 2.4 2.6 15.92 12.95 12.37 75.75 77.17 2% 5.0 5.2 15.3 14.4 3.6 3.8 94.40 72.20 2.30 20.35 19.66 -4% 1.2 1.1 16.9 18.8 66.75 66.22 -1% 4.7 4.8 14.3 13.8 3.3 3.5 69.95 40.05 29.49 22.90 28.89 21% 3.2 3.6 7.1 6.3 3.6 4.1 27.85 20.15 11.44 69.40 73.83 6% 3.4 3.6 20.1 19.5 4.0 4.1 72.92 62.78 8.61 5.27 4.98 -6% 0.4 0.4 11.7 11.6 4.6 4.7 5.79 4.07 20.87 49.45 49.14 -1% 3.3 3.2 15.3 3.1 3.2 50.20 39.64 19.88 6.08 6.03 -1% 0.9 0.9 6.0 5.8 4.5 4.7 6.44 4.46 3.85 4.64 17% 0.3 0.3 10.8 11.5 2.5 2.0 4.88 2.92 4.62 10.12 12.06 16% 0.2 0.4 41.7 22.0 0.7 1.4 11.20 7.70 12.07 32.35 25.91 34.75 26.35 17.1 15.0 15.7 4.0 3.7 3.7 21.00 13.64 23.78 8.38 -25% 2.2 1.8 14.5 18.0 2.9 2.5 5.98 5.89 -2% 0.0 0.2 206.2 37.1 0.0 1.2 7.62 5.34 -1.81 44.80 39.91 -12% 1.6 1.6 28.3 27.4 7.4 2.5 44.80 35.55 18.83 13.16 13.86 5% 0.8 0.8 15.7 15.9 3.9 3.9 14.48 10.96 13.25 18.90 19.03 1% 0.6 0.7 29.7 25.5 1.1 1.2 19.60 14.46 22.73 9.71 11.17 13% 0.8 0.8 12.5 11.8 4.5 4.6 10.46 6.91 18.41 22.15 28.28 22% 8.0 6.9 22.35 24.73 10% 1.6 1.7 13.8 13.4 3.4 3.6 23.95 18.80 16.16 14.10 15.14 7% 1.3 1.5 10.5 9.3 5.9 6.1 15.10 10.70 14.45 2.8 3.2 3.6 0.6 23.85 4.45 16.50 27.01 3.95 4.71 16% 0.2 0.2 17.1 15.0 2.25 23.44 11.24 10.15 -11% -0.1 0.2 N/A 47.2 0.5 0.7 13.30 10.00 10.20 11.24 12.35 9% 1.6 1.7 7.2 6.7 3.0 3.8 12.78 10.54 1.26 8.51 9.09 6% 0.1 0.1 13.8 12.7 0.4 0.4 9.15 7.28 9.24 3.08 49.4 13.8 0.5 0.6 2.69 0.3 4.2 8.92 13% 0.0 0.0 2.33 2.45 5% 0.0 0.0 N/A N/A 0.0 0.0 2.80 2.00 3.10 51.25 56.92 10% 0.4 0.4 17.9 16.1 0.2 0.3 54.15 3.34 42.30 2.31 17.14 9.80 36.90 38.32 4% 0.2 0.2 24.8 22.2 0.7 0.7 39.30 24.60 9.50 43.95 44.72 2% 1.7 1.8 26.1 24.0 1.1 1.3 44.45 21.73 30.85 Note : The above data based on Bloomberg consensus. 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. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research Page 3 of 3
30. T e c h n i c a l TA Securities V i e w Thursday , April 27, 2017 A Member of the TA Group MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 • Foreign Technical Stock Watch FSSTI: 3,173.76 (+9.83, +0.31%) Singapore THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Chartist: Stephen Soo Stock Name FSSTI SINGTEL DBS OCBC UOB JARDINE M. WILMAR HK LAND CAPLAND GENSP KEPPEL SGX SIA FNN NOBLE CITY DEV JARDINE S. SG PRESS JARDINE C&C GOLDEN AGRI SG TECH OLAM INT CAP TRUST SEMBCORP SEMCORP M. CMFT DELGRO STARHUB SIA ENG IFOOD AGRI YZJ Tel: +603-2167 9607 Close Bollinger Bands RSI Change High Low 26-Apr Lower Mid Upper 14d 3,173.76 9.83 3,176.79 3,161.99 3,126.80 3,165.10 3,203.39 57.32 3.74 19.31 9.76 21.71 64.65 3.54 7.79 3.72 1.12 6.55 7.41 10.30 2.34 0.15 10.72 42.30 3.47 48.10 0.36 3.80 1.91 1.98 3.09 1.74 2.74 2.77 3.67 0.48 1.15 (0.01) 0.11 0.05 (0.23) (0.25) (0.01) 0.15 0.05 0.04 (0.04) (0.11) 0.01 (0.01) (0.01) 0.22 0.30 0.02 0.38 (0.01) 0.03 0.01 (0.02) 0.01 0.02 0.01 (0.02) (0.01) 0.01 0.03 3.75 19.35 9.81 21.86 65.06 3.59 7.80 3.74 1.12 6.61 7.49 10.30 2.35 0.15 10.76 42.58 3.48 48.21 0.37 3.80 1.91 1.99 3.10 1.76 2.75 2.80 3.68 0.49 1.15 3.72 19.23 9.73 21.67 64.19 3.52 7.67 3.67 1.08 6.52 7.40 10.20 2.34 0.15 10.52 42.03 3.42 47.60 0.36 3.75 1.90 1.97 3.07 1.71 2.71 2.76 3.66 0.48 1.12 3.66 18.75 9.53 21.57 63.70 3.44 7.56 3.60 1.00 6.48 7.36 10.07 2.30 0.14 10.05 40.74 3.34 43.39 0.34 3.61 1.87 1.95 3.04 1.68 2.55 2.75 3.66 0.45 1.07 3.83 19.12 9.67 21.90 65.23 3.52 7.69 3.67 1.06 6.80 7.59 10.20 2.33 0.18 10.32 41.88 3.49 45.64 0.37 3.73 1.92 1.99 3.13 1.82 2.64 2.84 3.68 0.49 1.13 4.00 19.49 9.80 22.23 66.75 3.60 7.83 3.74 1.12 7.11 7.82 10.32 2.36 0.21 10.59 43.01 3.64 47.90 0.39 3.84 1.97 2.02 3.22 1.96 2.73 2.94 3.70 0.54 1.19 34.18 58.48 60.44 47.26 46.94 50.10 64.11 60.17 69.34 37.79 38.01 62.52 61.97 20.57 67.01 57.65 48.59 68.90 45.10 61.48 44.75 48.94 43.07 36.37 70.75 38.34 48.60 40.09 56.79 stsoo@ta.com.my www.taonline.com.my Moving Averages 10d 30d 50d DI + 3,151.68 3,158.97 3,143.13 23.41 DI 23.71 ADX 14.47 Diff (0.30) Line 2.99 MACD DMI MACD DMI MACD Signal Diff Recent Signal Signal Change 5.19 (2.200) SELL SELL - 3.75 19.01 9.64 21.78 64.96 3.50 7.71 3.66 1.08 6.69 7.49 10.20 2.34 0.16 10.34 41.72 3.43 46.17 0.35 3.77 1.90 2.00 3.10 1.77 2.66 2.82 3.67 0.47 1.11 27.40 21.52 18.12 26.28 19.91 16.55 12.14 15.22 17.75 35.01 21.91 14.94 10.90 41.44 16.24 14.74 24.69 11.20 20.64 17.99 26.80 23.05 31.71 34.86 9.76 25.44 15.69 27.46 21.94 30.03 10.84 12.89 15.16 18.20 21.83 44.04 14.79 27.29 19.83 13.37 11.33 45.02 41.52 24.51 32.71 24.08 22.56 28.56 19.10 26.25 21.93 21.80 26.59 26.43 15.84 17.38 30.90 30.04 (18.09) 7.60 4.69 (5.61) (7.28) (0.12) 19.90 7.22 13.10 (12.40) (6.48) 0.45 24.13 (33.34) 17.54 15.17 (2.06) 19.90 (1.26) 4.40 (14.36) (3.31) (16.39) (10.66) 19.90 (5.72) 3.10 (8.67) 3.64 -0.05 0.02 0.02 0.02 -0.09 -0.02 0.12 0.01 0.02 -0.07 -0.04 0.05 0.04 -0.01 0.10 0.44 -0.03 0.82 -0.01 0.04 -0.01 0.01 -0.03 -0.03 0.05 -0.02 0.00 -0.02 0.01 -0.04 0.02 0.01 0.05 0.05 -0.03 0.14 0.01 0.02 -0.02 -0.02 0.05 0.04 -0.01 0.09 0.49 -0.02 0.59 -0.01 0.03 -0.01 0.01 -0.02 -0.01 0.04 -0.01 0.00 -0.01 0.01 3.87 19.05 9.64 21.85 65.47 3.53 7.53 3.67 1.04 6.80 7.59 10.13 2.29 0.18 10.34 41.33 3.51 45.34 0.37 3.71 1.91 1.97 3.14 1.84 2.60 2.85 3.68 0.50 1.13 3.90 18.97 9.60 21.68 65.08 3.60 7.28 3.64 1.02 6.82 7.57 10.05 2.21 0.20 10.04 40.36 3.50 44.35 0.38 3.68 1.96 1.96 3.18 1.82 2.55 2.85 3.68 0.52 1.08 9.30 29.11 22.81 20.67 12.63 16.43 32.04 22.44 30.85 22.61 15.44 15.39 35.02 8.10 33.78 29.91 22.63 31.09 19.38 22.39 12.44 19.74 15.31 24.20 29.66 19.72 18.79 18.79 25.58 DMI (0.009) 0.005 0.005 (0.029) (0.144) 0.011 (0.027) (0.003) 0.001 (0.043) (0.019) 0.001 (0.006) (0.003) 0.007 (0.059) (0.004) 0.227 0.000 0.005 0.001 (0.002) (0.005) (0.018) 0.008 (0.009) (0.002) (0.001) (0.007) SELL BUY BUY SELL SELL SELL BUY BUY BUY SELL SELL BUY BUY SELL BUY BUY SELL BUY SELL BUY SELL SELL SELL SELL BUY SELL BUY SELL BUY SELL BUY - BUY BUY BUY BUY SELL SELL SELL BUY SELL SELL BUY - BUY SELL SELL BUY BUY BUY SELL SELL BUY - BUY SELL SELL BUY BUY - BUY BUY BUY SELL SELL SELL SELL SELL BUY SELL SELL SELL SELL BUY - The table above consists of the revamped 30 SGX FTSE Straits Times Index component stocks, sorted by market capitalization in descending order, with some popular technical indicators. Some other popularly traded stocks are included at the bottom section. 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. Stock names and technical statistics in bold highlight stocks that have changes in BUY/SELL signals on the DMI and MACD on the given date. Page 1 of 2
31. 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. Fundamentals of Foreign Technical Picks Bloomberg Ticker ST DBS OCBC UOB JM WIL HKL CAPL GENS KEP SGX SIA FNN NOBL CIT JS SPH JCNC GGR STE OLAM CT SCI SMM CD STH SIE IFAR SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP Stock Name Close Target Price SINGTEL DBS OCBC UOB JARDINE M. WILMAR HK LAND CAPLAND GENSP KEPPEL SGX SIA FNN NOBLE CITY DEV JARDINE S. SG PRESS JARDINE C&C GOLDEN AGRI SG TECH OLAM INT CAP TRUST SEMBCORP SEMCORP M. CMFT DELGRO STARHUB SIA ENG IFOOD AGRI 3.74 4.21 19.31 9.76 YZJSGD SP YZJ % upside EPS ($) PER(x) Div Yield(%) 52week Price % Chg 2017 2018 2017 2018 2017 2018 High Low YTD 11% 0.2 0.3 15.5 14.6 4.8 4.9 4.36 3.59 2.47 19.51 1% 1.790 1.963 10.8 9.8 3.2 3.3 19.42 14.63 11.36 9.53 -2% 0.9 0.9 11.4 10.4 3.7 3.9 9.81 8.21 9.42 21.71 21.30 -2% 1.9 2.1 11.2 10.5 3.3 3.4 22.15 17.41 6.42 64.65 64.13 -0.01 4.1 4.4 15.8 14.7 2.4 2.6 67.27 52.42 17.01 3.54 3.84 8% 0.2 0.2 12.9 12.1 2.0 2.1 4.00 2.96 -1.39 7.79 7.54 -3% 0.4 0.4 19.8 19.1 2.5 2.5 7.88 5.79 23.06 3.72 4.09 9% 0.2 0.2 17.6 18.2 2.7 2.8 3.79 2.85 23.18 1.12 1.06 -5% 0.0 0.0 31.9 29.3 2.6 2.7 1.12 0.69 23.20 6.55 7.03 7% 0.5 0.5 13.6 12.3 3.3 3.6 7.23 5.10 13.13 7.41 7.95 7% 0.3 0.4 22.7 20.9 3.9 4.2 7.84 6.96 3.49 10.30 9.76 -6% 0.4 0.4 23.3 23.8 3.4 2.6 11.67 9.60 6.51 2.34 2.19 -7% 0.1 0.1 30.4 30.8 1.8 1.9 2.41 1.92 11.96 0.15 0.22 0.34 0.0 0.0 7.0 5.0 0.7 0.7 0.36 0.11 -14.12 10.72 10.88 1% 0.6 0.7 16.9 15.6 1.4 1.4 10.76 7.86 29.47 42.30 41.42 -2% 2.8 3.0 15.3 14.3 0.8 0.8 43.78 27.35 27.41 3.47 3.28 -6% 0.1 0.2 23.3 23.0 4.8 4.7 4.12 3.36 -1.70 48.10 50.63 5% 2.2 2.5 15.5 14.1 1.8 2.0 48.21 31.60 16.66 0.36 0.38 5% 0.0 0.0 16.1 14.3 1.9 2.2 0.45 0.33 -16.28 3.80 3.68 -3% 0.2 0.2 22.0 20.9 4.1 4.2 3.81 3.01 17.65 1.91 1.99 5% 0.1 0.1 14.1 13.6 2.5 2.6 2.17 1.58 -3.30 1.98 2.12 7% 0.1 0.1 17.4 16.8 5.6 5.6 2.25 1.87 5.04 3.09 3.59 14% 0.2 0.3 13.0 10.7 3.0 3.4 3.38 2.44 8.42 1.74 1.66 -4% 0.1 0.1 32.7 25.1 1.6 1.9 2.09 1.22 25.72 2.74 2.93 7% 0.2 0.2 17.6 16.8 4.0 4.4 3.02 2.37 10.93 2.77 2.60 -7% 0.2 0.2 17.1 18.1 5.8 5.7 3.97 2.73 -1.42 3.67 3.55 -3% 0.2 0.2 23.8 23.7 4.2 4.0 3.91 3.35 8.90 0.48 0.59 18% 427 500 10.7 9.2 15426 17260 0.60 0.44 -8.57 1.15 1.07 -7% 0.5 0.5 11.6 12.2 17.0 17.0 1.19 0.71 40.49 Note : The above data based on Bloomberg consensus. 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. for TA SECURITIES HOLDINGS BERHAD (14948-M) MENARA TA ONE, 22 JALAN P. RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL: +603-20721277 / FAX: +603-20325048 (A Participating Organisation of Bursa Malaysia Securities Berhad) Kaladher Govindan – Head of Research Page 2 of 2