Bursa Malaysia Daily Market Report - 8 April

Transcription

1. Wednesday , 08 April, 2020 TA RESEARCH’S ‘DAILY COMPILED REPORTS’ For Internal Circulation Only N ew s 1. D ai l y M arke t C om men t a ry 2. D ai l y B ri ef Fu nd a me n tal Rep o r ts 1. N2 N C o nn ec t Be r ha d : B u s in es s L a r gel y In t a ct A m id C O VI D-1 9 P an de mi c Te ch n ic al R ep o rt s 1. D ai l y Te ch n ic a l St o ck W at ch , D ai l y Mon e y F lo w , D a il y St oc k Sc reen ( Loc al ) 2. D ai l y For ei gn St oc k W a t ch (H K ) Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my
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Daily Market Commentary Wednesday , 08 April 2020 TA Research, e-mail : taresearch@ta.com.my For Internal Circulation Only Review & Outlook KLSE Market Statistics (07.04.2020) Volume (mil) +/-chg (RMmn) Main Market 4,633.2 Warrants 479.0 ACE Market 1,494.2 Bond 0.1 ETF 1.2 LEAP 0.0 Total 6,607.7 Off Market 52.1 63.5 87.2 469.2 -0.2 1.1 0.0 3,022.6 103.9 236.3 0.3 2.7 3,365.8 30.9 20.8 Value Value/ +/-chg Volume Up Down 661.9 9.1 83.9 0.1 2.5 0.0 17.7 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) 23.1 15.0 11.0 2.6 67 54 7 2 4 0 134 % chg % YTD chg 28.23 202.52 451.25 34.00 2.10 2.18 4.59 2.56 -13.77 -16.30 -27.39 -14.45 22,653.86 7,887.26 5,704.45 18,950.18 1,823.60 24,253.29 2,571.89 1,214.95 4,778.64 2,820.76 1,743.37 5,252.29 -26.13 -25.98 122.06 373.88 31.72 504.17 101.30 76.11 -33.19 56.78 53.80 -34.52 -0.12 -0.33 2.19 2.01 1.77 2.12 4.10 6.68 -0.69 2.05 3.18 -0.65 -20.62 -12.10 -24.37 -19.89 -17.02 -13.96 -20.20 -23.10 -24.14 -7.52 1.19 -21.42 0.18 0.70 0.50 0.00 Exchange Rate USD/MYR 4.343 -0.022 USD/JPY 109.090 -0.050 EUR/USD 1.088 0.008 USD/CNY 7.054 -0.038 Counter Mkt Cap. Chg (RM’mn) (RM) MAYBANK 88,020 0.18 TENAGA 69,380 0.10 IHH 44,923 0.09 MAXIS 42,309 0.29 CIMB 35,326 0.06 SIMEPLT 34,767 0.40 MISC 33,835 0.04 DIGI 33,433 0.04 NESTLE 32,267 0.80 AXIATA 31,800 0.19 News Bites Vol. (mn) 14.04 7.01 4.73 3.64 17.92 7.30 4.20 2.07 0.08 13.55 Commodities Futures Palm Oil (RM/mt) 2,280.00 63.00 Crude Oil (Brent) 32.40 -0.87 Gold ($/tr.oz.) 1,679.70 -28.00 Important Dates VERSALT - 1:1 Rights Issue - RI of up to 141.9m shares. 1 rights share for every 1 existing share held, at an issue price of RM0.23 per rights share. Application Closed: 03/04/2020. LISTING ON: 17/04/2020. Stocks should stage profit-taking dip today following the volatile overnight US session as concerns over a global recession outweigh optimism that falling fatality rates at global epicenters may signal the coronavirus pandemic is peaking. Immediate overhead resistance for the index is revised to the falling 30-day moving average level now at 1,372, and then 1,409, the 23.6%FR of the selloff from the July 2019 high of 1,694 to 1,320 low, followed by the upper Bollinger band at 1,428. Immediate support is revised upwards to the 10-day ma at 1,337, followed by the mid Bollinger band at 1,321, then at 1,300, with stronger supports at 1,260, then 1,241. Gadang should sustain its steady uptrend, with convincing break above the 100%FP (47sen) or the 50 day ma (50sen) to aim for the high of 30/11/18 (55sen) and 76.4%FR (58sen) going forward. Inari looks set for further recovery upside, with a confirmed breakout above the 50-day ma (RM1.46) to target the 76.4%FR (RM1.55) and 61.8%FR (RM1.73) ahead, while chart supports at the 100%FP (RM1.22) and mid Bollinger band (RM1.19) limits downside risk. Top 10 KLCI Movers Based on Mkt Cap. (RM) @ @ @ @ 613 170 111 3 3 0 900 1,369.92 9,477.71 10,285.15 1,364.50 Off Market ISTONE DWL GPACKET MEGASUN 0.65 0.22 0.16 2.35 2.25 0.0 0.51 0.40 Oil & gas related stocks hogged the actives list Tuesday on sustained optimism that OPEC and other major global oil producers may reach agreement soon to reduce output, and hopes the fatality rate from COVID-19 at global hotspots are peaking. The FBM KLCI climbed 28.23 points, or 2.1 percent to close at the day's high of 1,369.92, off an early low of 1,352.63, as gainers dominated losers by 900 to 134 on strong total turnover of 6.61bn shares worth RM3.36bn. • The international reserves of Bank Negara Malaysia retreated 1.26% to USD101.7bn as at March 31 this year, from USD103.0bn as at March 13. It is sufficient to finance 7.7 months of retained imports and is 1.1 times the country's total short-term external debt. • MISC Bhd's wholly-owned AET Tanker Holdings Sdn Bhd has secured long-term charter contracts to own and operate two newly-built LNG Dual Fuel very large crude carriers from Chartering and Shipping Services SA, a wholly-owned subsidiary of Total SA. • Heineken Malaysia Bhd said it will continue to engage the government after the latter rescinded the approval it originally granted to brewers Heineken and Carlsberg Brewery Malaysia Bhd to operate throughout the Movement Control Order period. • Sarawak Consolidated Industries Bhd is proposing to undertake a private placement of up to 36.8mn new SCIB shares, representing a 30% stake, at an indicative issue price of RM1.81to raise gross proceeds of RM66.5mn, which will go towards working capital and estimated expenses for future projects. • Binasat Communications Bhd has proposed a private placement exercise to issue up to 26.0mn shares, equivalent to 10% of its outstanding shares, to raise up to RM5.8mn, mainly to fund the installation of a new data centre at its satellite teleport facility. • LKL International Bhd's wholly-owned subsidiary LKL Advance Metaltech Sdn Bhd has received a personal protective equipment procurement order worth RM7.1mn from the Sarawak State Health Department. • PRG Holdings Bhd chief executive officer Na Chun Wee has resigned from the position and as the group's executive director with immediate effect due to "personal reasons". • Allianz Malaysia Bhd has confirmed news reports that its CEO, Zakri Khir, has resigned as chairman of the Social Security Organisation. • President Donald Trump's top economic adviser said the White House estimates it may be able to urge Americans to re-open the U.S. economy in the next four to eight weeks. • Saudi Arabia, Russia and allied oil producers will only agree to deep cuts to their crude output at talks this week, if the United States and several others join in with curbs to help prop up prices that have been hammered by the coronavirus crisis. Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan, Head of Research MENARA TA ONE, 22 JALAN for TA SECURITIES HOLDINGS BERHAD (14948-M) A PARTICIPATING ORGANISATION OF BURSA MALAYSIA SECURITIES BHD P RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL : 603 - 2072 1277. FAX : 603 - 2032 5048 www.ta.com.my
3. Wednesday , April 08, 2020 FBMKLCI: 1369.92 THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Daily Brief Market View, News in Brief: Corporate, Economy, and Share Buybacks Chartist: Stephen Soo Tel: +603-2167 9607 stsoo@ta.com.my www.taonline.com.my M a r k e t V i e w Profit-Taking on Recession Worries Oil & gas related stocks hogged the actives list Tuesday on sustained optimism that OPEC and other major global oil producers may reach agreement soon to reduce output, and hopes the fatality rate from COVID-19 at global hotspots are peaking. The FBM KLCI climbed 28.23 points, or 2.1 percent to close at the day’s high of 1,369.92, off an early low of 1,352.63, as gainers dominated losers by 900 to 134 on strong total turnover of 6.61bn shares worth RM3.36bn. Resistance at 1,372/1,409; Support at 1,337/1,321 Stocks should stage profit-taking dip today following the volatile overnight US session as concerns over a global recession outweigh optimism that falling fatality rates at global epicenters may signal the coronavirus pandemic is peaking. Immediate overhead resistance for the index is revised to the falling 30-day moving average level now at 1,372, and then 1,409, the 23.6%FR of the selloff from the July 2019 high of 1,694 to 1,320 low, followed by the upper Bollinger band at 1,428. Immediate support is revised upwards to the 10-day ma at 1,337, followed by the mid Bollinger band at 1,321, then at 1,300, with stronger supports at 1,260, then 1,241. Bargain Gadang & Inari Gadang should sustain its steady uptrend, with convincing break above the 100%FP (47sen) or the 50 day ma (50sen) to aim for the high of 30/11/18 (55sen) and 76.4%FR (58sen) going forward. Inari looks set for further recovery upside, with a confirmed breakout above the 50day ma (RM1.46) to target the 76.4%FR (RM1.55) and 61.8%FR (RM1.73) ahead, while chart supports at the 100%FP (RM1.22) and mid Bollinger band (RM1.19) limits downside risk. Asian Markets Extend Gains on Easing Virus Toll Asian markets rose on Tuesday as some of the world’s worst-hit countries reported falling death rates, providing some much-needed hope in the battle against the coronavirus. While the disease continues its deadly sweep across the planet, with more than 1.25 million now infected and nearly 70,000 dead, news out of Europe that fatalities were easing has lifted spirits on trading floors. The governors of New York and New Jersey pointed to tentative signs that the coronavirus outbreak in their states was starting to plateau but it is “too early” to tell the significance of the reduced numbers. On the Europe front, Italy reported its lowest daily toll in two weeks, while Spanish officials said deaths fell for the third straight day and France reported its lowest daily toll in a week. China on Tuesday also reported no new deaths from the coronavirus over the past 24 hours and had 32 new cases, all from people who returned from overseas. Investors have been waiting anxiously for signs that the rate of new infections may be hitting its peak, which would give some clarity about how long the upcoming recession will last and how deep it will be. The Shanghai composite rose 2.05% to close at 2,820.76 and the Shenzhen composite surged 3.184% to 1,743.37. In Japan, the Nikkei 225 gained 2.01% to close at 18,950.18, while in South Korea, the Kospi rose 1.77% to close at 1,823.60. Meanwhile, the S&P/ASX 200 in Australia ended its trading day 0.65% lower at 5,252.30. Page 1 of 8
4. 8-Apr-20 Wall Street Edge Lower as Investors Assess the Economic Impact of Covid-19 Wall Street closed lower in volatile trading Tuesday , as investors debated whether the spread of the coronavirus may be slowing in several major economies. The Dow Jones Industrial Average fell 26.13 points, or 0.12%, to 22,653.86, the S&P 500 lost 4.27 points, or 0.16%, to 2,659.41 and the Nasdaq Composite dropped 25.98 points, or 0.33%, to 7,887.26. The initial strength on Wall Street came as traders reacted to recent signs that the spread of the coronavirus is slowing in hot spots such as New York. U.S. health officials said the pandemic may kill fewer Americans than indicated in recent projections. Italy and Spain, two of the hardest-hit countries, are also seeing new cases fall off. South Korea reported less than 50 new cases of infection for the second day running. China also posted no new deaths as of April 6 for the first time since January when it started publishing daily updates. However, buying interest waned shortly as traders grappled over the outlook for the economy and wondered how earnings and the economy might be impacted when the virus fades. Dallas Fed President Robert Kaplan said in an interview with the Wall Street Journal that manufacturing, trade and business investment are likely to drag on growth after the pandemic subsides. Meanwhile, former Federal Reserve Chair Janet Yellen said in an interview on CNBC that she expects the U.S. economy to decline at least 30% in the second quarter. On the oil front, WTI dropped more than 9% as hopes that the world’s biggest producers would agree to cut output were tempered by a worsening crude oil glut and the threat of a deeper-than-expected global recession. (TH E RE M AINI N G O F T H IS P A GE IS IN TE N TI O NA L L Y L E F T BL AN K ) Page 2 of 8
5. 8-Apr-20 N e w s I n B r i e f Corporate MISC Bhd ’s wholly-owned AET Tanker Holdings Sdn Bhd has secured long-term charter contracts to own and operate two newly-built LNG Dual Fuel VLCCs (very large crude carriers) from Chartering and Shipping Services SA, a wholly-owned subsidiary of Total SA. The contracts were awarded to AET’s vessel-owning entity, AET Inc Ltd, and the charters are expected to commence in 2022. (The Edge) Comment: We are positive on these new contract wins, which adds to MISC's fleet of 14 existing VLCCs. Current VLCC spot charter rates have surged to USD300K due to strong demand from Saudi Arabia. However financial terms for MISC's new contract were not divulged - including charter rates or contract tenure. Therefore, we retain our FY22F forecasts at this juncture pending management's guidance. Maintain Hold on MISC with unchanged target price of RM7.80 based on 18.5x CY20 P/E. Heineken Malaysia Bhd said it will continue to engage the government after the latter rescinded the approval it originally granted to brewers Heineken and Carlsberg Brewery Malaysia Bhd to operate throughout the Movement Control Order (MCO) period. In a statement, Heineken said it will continue to suspend operations of its Sungei Way Brewery in Selangor in line with the MCO. Still, Heineken said it will continue to engage the government on the matter while ensuring it mitigates the impact to its business, adding that it will make the necessary announcement on any material developments. (The Edge) Sarawak Consolidated Industries Bhd (SCIB) is proposing to undertake a private placement of up to 36.8mn new SCIB shares, representing a 30% stake, at an indicative issue price of RM1.81. This is expected to raise gross proceeds of RM66.5mn, which will go towards working capital and estimated expenses for future projects. (The Sun Daily) Binasat Communications Bhd (Not Rated) has proposed a private placement exercise to raise up to RM5.8mn, mainly to fund the installation of a new data centre at its satellite teleport facility. The company intends to issue up to 26.0mn shares, equivalent to 10% of its outstanding shares, to be placed to independent third party investors to be identified later. With the installation of a new data centre, the group will be able to handle a greater flow of data at a faster pace. The added capacity will enable Binasat’s customers to reduce downtime or minimise interruption. (The Edge) LKL International Bhd’s (Not Rated) wholly-owned subsidiary LKL Advance Metaltech Sdn Bhd has received a personal protective equipment procurement order worth RM7.1mn from the Sarawak State Health Department. The risks mainly relate to matters pertaining to delivery of products to the customer, which are considered normal operational risks, LKL International said. LKL International said on its website that LKL Advance also provides, among others, healthcare beds and medical equipment to hospitals. (The Edge) PRG Holdings Bhd (Not Rated) chief executive officer (CEO) Na Chun Wee has resigned from the position and as the group’s executive director. In a filing with Bursa Malaysia, PRG said Na, 46, resigned with immediate effect due to “personal reasons”. He was appointed as the group’s CEO on May 1, 2019. (The Edge) Allianz Malaysia Bhd (Not Rated) has confirmed news reports that its CEO, Zakri Khir, has resigned as chairman of the Social Security Organisation (Socso). In a statement issued by the insurer, Zakri said he had tendered his resignation, with immediate effect, to Human Resources Minister Datuk Seri M Saravanan this morning. He added that he had considered his appointment to Socso an act of national service to the country. (The Star) Page 3 of 8
6. 8-Apr-20 N e w s I n B r i e f Economy Malaysi a Bank Negara 's Reserves Down 1.26% to USD101.7bn as at end-March The international reserves of Bank Negara Malaysia retreated 1.26% to USD101.7bn as at March 31 this year, from USD103.0bn as at March 13. "The reserves level has taken into account the quarterly foreign exchange revaluation changes," the central bank said in a statement. The reserves position now is sufficient to finance 7.7 months of retained imports and is 1.1 times the country's total short-term external debt. Foreign currency reserves, the largest portion of the international reserves, retreated to USD95.3bn from USD95.7bn over two weeks ago, while other reserve assets declined to USD2.2bn from USD3.2bn. Unchanged were International Monetary Fund Reserves and special drawing rights, with both staying at USD1.1bn. Gold reserves, however, climbed to USD2.0bn from USD1.9bn. The central bank's total assets as at March 31 stood at RM474.61bn, compared with RM447.52bn as at March 13, while currency in circulation expanded to RM116.39bn from RM113.48bn previously. (The Edge) MATTA: Much More Can Be Done to help Malaysia’s Tourism Industry Malaysian Association of Tour and Travel Agents (MATTA) president Datuk Tan Kok Liang said that the association is thankful for the government’s assistance provided thus far to mitigate the economic impact of the Covid-19 pandemic, but much more can be done to help travel and tour companies, and other stakeholders in the tourism industry. Tan said in a statement that a targeted stimulus package for the tourism industry is urgently needed to ensure the industry has the capacity to rebound, once things begin to normalise. “MATTA will continue to engage and, with whatever resources it has, will work hand-in-hand with the government towards rebuilding the tourism industry,” Tan said, in response to the government's announcement on an additional RM10bn assistance package targeted at helping small and medium enterprises (SMEs) affected by Malaysia's movement control order (MCO) to curb the Covid-19 pandemic. It was reported measures announced by Prime Minister Tan Sri Muhyiddin Yassin, included expanded subsidies for SMEs with employees earning RM4,000 and below a month. It was reported companies benefiting from this subsidy will have to retain employees for six months — during the three-month period they receive the subsidy, and three months after receiving the subsidy. MATTA hopes the government will reassess the wage subsidy programme to allow it to go on for six months or more, because the tourism industry will take much longer to recover, post Covid-19. According to MATTA’s statement, a recent survey conducted by MATTA among its members, indicated a retrenchment rate of close to 30% of the travel agency workforce over the coming months, as it is expected to take more than a year for tourism to fully recover from the global Covid-19 crisis. (The Edge) Palm Oil Price to Remain Low, as Demand Hit by Pandemic Palm oil prices are expected to decrease slightly from its current levels over the next three to six months due to the vast demand destruction by the Covid-19 pandemic according to Fitch Solutions. Although palm oil supply is also being negatively impacted by government containment measures as plantation operations are being disrupted which could support prices in the very near term, demand destruction will be greater and send prices lower later in the year. With that the research house has made major production and consumption revisions in key markets, including for Indonesia, Malaysia, India, China and the EU. For Malaysia, Fitch Solutions revised down its 2019/20 production forecasts for Malaysia, with the view that it will decline by a steep 12% year-on-year, compared with a 1% growth forecast previously, as disruptions are already apparent. (The Sun) Page 4 of 8
7. 8-Apr-20 Asia Australia Central Bank Keeps Rates at Record Lows , Sees 'Very Large' GDP Contraction Australia’s central bank kept rates at record lows and said it would do “what is necessary” to achieve its target of 0.25% for three-year government bond yields as it predicted a “very large” economic contraction next quarter. The Reserve Bank of Australia (RBA) on March 19 announced an out-of-cycle rate cut to 0.25% together with an unprecedented stimulus package, which included an unlimited bond buying programme. On Tuesday, the board affirmed all the elements of that package and said it would not raise interest rates until it makes progress in achieving its employment and inflation goals. “There is considerable uncertainty about the near-term outlook for the Australian economy,” Governor Philip Lowe said in a short post-meeting statement. “Much will depend on the success of the efforts to contain the virus and how long the social distancing measures need to remain in place,” Lowe added. “A very large economic contraction is, however, expected to be recorded in the June quarter and the unemployment rate is expected to increase to its highest level for many years.” There is already growing evidence of a marked slowdown in activity as the total number of confirmed COVID-19 cases in Australia creeps towards 6,000 with 46 deaths. Restrictions on human movement and gatherings have forced many businesses in hospitality, retail, transport, education and even community services to shut down. Businesses that remain open face falling sales and increasing operational restrictions. Indeed, figures out earlier in the day were ominous. The Australian Industry Group Australian Performance of Services Index plunged to 38.7 points in March, the lowest since March 2009 and the fourth month of contraction. (Reuters) Australia Has AUD4.361bn Trade Surplus in February Australia posted a seasonally adjusted merchandise trade surplus of AUD4.361bn in February, the Australian Bureau of Statistics said. That beat expectations for a surplus of AUD3.750bn and was down from the downwardly adjusted AUD4.745bn surplus in January (originally AUD5.210bn). Exports fell AUD1,882mn (5%) to AUD37,760mn. Non-rural goods fell AUD394mn (2%), non-monetary gold fell AUD332mn (23%) and rural goods fell AUD310mn (7%). Net exports of goods under merchanting remained steady at AUD18mn. Services credits fell AUD846mn (10%). Imports dropped AUD1,498mn (4%) to AUD33,399mn. Consumption goods fell AUD701mn (8%), capital goods fell AUD415mn (7%), intermediate and other merchandise goods fell AUD262mn (2%) and non-monetary gold fell AUD52mn (9%). Services debits fell AUD68mn (1%). (RTT) Thailand Announces US$58b Economic Measures to Mitigate Coronavirus Thailand's cabinet approved on Tuesday a package of economic measures worth THB1.9tn (USD58bn) to alleviate the impact of the coronavirus outbreak on Southeast Asia's secondlargest economy, the finance minister said. The package includes a law to borrow THB1tn plus central bank measures worth another THB900bn in soft loans and support for corporate bonds, Uttama Savanayana told a news conference. Thailand has confirmed 2,258 cases and 27 deaths since the outbreak began in January. (The Edge) Japan to Issue Record Amount of Extra Bonds Worth Over JPY18tln Japan will sell a record amount of additional bonds, worth more than JPY18tln (US$165bn), to fund its coronavirus stimulus package, pushing overall market issuance beyond JPY147tln, two government sources with direct knowledge told Reuters. The amount of extra bond issuance in the new fiscal year from April will exceed the previous record of JPY16.9tkn issued during the 2009 global financial crisis, they said. The sources were speaking on condition of anonymity because the debt issuance plan has not yet been finalised. All the maturities, except for 40-year bonds, inflation-linked bonds and liquidity enhancement auctions, are subject to increase, they said. Prime Minister Shinzo Abe has pledged to roll Page 5 of 8
8. 8-Apr-20 out a stimulus package worth JPY108tln (US$990bn), or a fifth the size of the economy, vowing to take “all steps” to combat deepening fallout from the coronavirus pandemic. (Reuters) Japan Household Spending Eases 0.3% on Year in February The average of household spending in Japan was down 0.3% on year in February, the Ministry of Internal Affairs and Communications said - coming in at JPY271,735. That beat expectations for a decline of 3.4% on year following the 3.9% annual drop in January. The average of monthly income per household stood at JPY537,666, up 1.7% on year. Individually, spending was down for fuel, utilities, clothing, transportation, education and recreation. It was up for food, housing, furniture and medical care. Separately, Japan's leading rose in February after falling in the previous month, preliminary data from the Cabinet Office showed. The leading index, which measures the future economic activity, rose to 82.1 in February from 90.5 in January. Economists had expected a score of 92.0. The coincident index that reflects the current economic activity rose to 95.8 in March from 94.7 in the previous month. Economists had expected a score of 95.8. The lagging index decreased to 101.0 in March from 103.7 in the prior month. (RTT) United States Kudlow Says U.S. Economy May Re-Open in Four to Eight Weeks President Donald Trump’s top economic adviser said the White House estimates it may be able to urge Americans to re-open the U.S. economy in the next four to eight weeks. The White House hopes that “in the next four to eight weeks, we will be able to open the economy,” Larry Kudlow told Politico on Tuesday. Kudlow also told Fox News that the White House has begun planning how the U.S. can re-open its economy once the coronavirus outbreak abates, after indications the epicenter in New York may have reached a plateau. “The president would like to reopen the economy as soon as he can and we are planning internally,” Kudlow said. He said the virus’s spread is the driving force in determining a time line. “I am hoping -- as I say, praying -- that we’re only a few weeks away from a reopening. We’ll see,” he said. New York Governor Andrew Cuomo said Monday that social distancing practices adopted in the state appear to have leveled off deaths from the virus at fewer than 600 a day, after reaching 630 on Friday. But state and municipal leaders elsewhere in the country have warned that they have not yet reached the peak of their outbreaks, leaving uncertain when the country could relax the isolation behaviors that have collapsed the U.S. economy. (Bloomberg) Eurozone and United Kingdom UK Housing Market on Hold due to Coronavirus Crisis: Halifax Britain’s housing market is largely on pause due to the coronavirus crisis which will make it hard to calculate price changes ahead, but it is too early to gauge the long-term impact of the government’s shutdown, mortgage lender Halifax said. Halifax said house prices in March were flat month-on-month after a 0.2% rise in February. A poll of economists had pointed to a 0.1% uptick. In annual terms, house prices rose 3.0% in March, speeding up from growth of 2.8% in February but a smaller increase than the Reuters poll forecast of 3.3%. (RTT) UK Labour Cost Growth Slows to Two-Year Low in Late 2019 Growth in British labour costs slowed to its weakest in just over two years in late 2019, pointing to low underlying inflation pressures, though productivity remained weak, according to figures which predate the effect of COVID-19. The Office for National Statistics said annual growth in unit labour costs - how much it costs employers for one worker to produce a fixed amount of output - slowed to 2.4% in the fourth quarter of 2019 from 3.2% in the third quarter. Annual growth in output per hour - normally a key driver of long-term living standards - remained weak at 0.3% in the fourth quarter, unchanged from its growth rate in the three months to September. (Reuters) Page 6 of 8
9. 8-Apr-20 German Industrial Output Expands Unexpectedly German industrial production grew unexpectedly in February as the coronavirus , or Covid19, pandemic was yet to have any notable impact on industry, data from Destatis revealed. Industrial production grew 0.3% month-on-month in February, confounding expectations for a decline of 0.9%. Nonetheless, the pace of growth eased from January's 3.2% rise. On a yearly basis, industrial production declined 1.2% after falling 0.9% in January. Excluding energy and construction, industrial production was up 0.4% in February. Energy production advanced 2.7%, while construction output decreased 1.0%. The economy ministry said industrial production will plummet in March. Construction output will also temporarily experience noticeable losses given the sudden drop in the workforce. (RTT) Commodities U.S. Pushes Back on Call by OPEC+ to Join Big Oil Output Cuts Saudi Arabia, Russia and allied oil producers will only agree to deep cuts to their crude output at talks this week, if the United States and several others join in with curbs to help prop up prices that have been hammered by the coronavirus crisis. However, the U.S. Department of Energy noted in a Tuesday statement that U.S. output is already falling without government action, in line with the White House's insistence that it would not intervene in the private markets. That decline, however, would take place slowly, over the course of the next two years. Global oil demand has dropped by as much as 30% or about 30 million barrels per day (bpd), as measures to reduce the virus's spread have caused demand for jet fuel, gasoline and diesel to crash. France reported on Tuesday a 80% drop in petrol use. While Saudi Arabia, Russia and other members of the group known as OPEC+ have expressed willingness to return to the bargaining table, they have made their response conditional upon actions by the United States and other countries that are not members of OPEC. "Before any meeting between OPEC and non-OPEC there needs to be an agreement on production numbers for any country that will reduce production," Iran's Oil Minister Bijan Zanganeh tweeted on Tuesday, adding that the United States and Canada need to play a role in determining production cuts. OPEC+ is due to hold a video conference on Thursday at 1400 GMT, after U.S. President Donald Trump said last week that Riyadh and Moscow had agreed to cut an unprecedented 10 million to 15 million bpd, or about 10% to 15% of global supplies, but he has not committed to any actions in the United States. No agreement has yet been formalised. Riyadh and Moscow are trying to overcome the rancor stemming from March's talks, when a deal to extend production cuts fell apart. Since then, Saudi Arabia has been flooding the market with extra crude. Benchmark Brent crude was trading at about US$33 a barrel on Tuesday, about half its level at the end of 2019. (The Edge) Page 7 of 8
10. 8-Apr-20 N e w s I n B r i e f Share Buy-Back Share Buy-Back : 07 April 2020 Company ADVCON BKAWAN ECOFIRS FIMACOR GKENT GLOMAC IGBB JHM KFIMA RANHILL TROP WILLOW Bought Back Price (RM) Hi/Lo (RM) 36,000 60,900 55,000 5,000 25,000 20,000 62,800 100,000 10,000 90,000 154,000 3,600 0.28 12.00/ 11.92 0.37/ 0.365 1.25 0.635/ 0.63 0.30 2.62/ 2.60 0.85 1.20/ 1.19 1.03/ 0.995 0.82/ 0.80 0.41 0.285/ 0.27 12.20/ 11.90 0.37/ 0.355 1.25 0.645/ 0.615 0.295/ 0.29 2.62/ 2.60 0.86/ 0.805 1.20/ 1.16 1.05/ 0.99 0.82/ 0.80 0.41/ 0.39 Total Treasury Shares 3,740,400 44,020,431 15,822,500 6,088,300 33,257,800 24,725,900 10,475,054 716,900 1,973,400 4,770,700 33,439,641 10,172,600 Source: Bursa Malaysia [ TH E RE M A ININ G OF T H IS P A GE IS IN TE N TI O NA L L Y L E F T BL AN K] Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 8 of 8
11. For Internal Circulation Only SNAPSHOT OF STOCKS UNDER COVERAGE Company Share Price Target Price (RM) (RM) % upside Recom Market Cap. (RMm) Beta EPS (sen) PER (X) Div Yield (%) FY20 FY21 FY20 FY21 FY20 52weeks 52weeks % Chg FY21 High Price % Chg Low Price % Chg YTD 07-Apr-20 AUTOMOBILE BAUTO 1.16 1.80 55.2% Buy 1,348 1.11 11.1 15.4 10.5 7.5 7.4 10.4 2.78 -58.3 0.94 24.1 MBMR 2.77 3.67 32.5% Buy 1,083 1.05 42.0 45.9 6.6 6.0 7.6 8.3 4.47 -38.0 2.50 10.8 -44.8 -28.2 PECCA 0.75 0.88 17.3% Buy 134 1.11 7.2 8.0 10.5 9.3 6.7 6.7 1.30 -42.3 0.68 11.1 -31.2 SIME 1.88 1.71 -9.0% Sell 12,787 1.24 12.4 13.1 15.1 14.4 2.6 4.2 2.38 -21.0 1.56 20.5 -15.3 UMW 2.14 2.63 22.9% Buy 2,500 1.58 24.2 30.6 8.8 7.0 2.8 2.3 5.67 -62.2 1.65 29.7 -52.3 BANKS & FINANCIAL SERVICES ABMB 1.90 1.70 -10.5% Hold 2,941 1.17 28.4 28.7 6.7 6.6 6.3 6.3 4.15 -54.2 1.48 28.4 -27.8 AFFIN 1.45 1.30 -10.3% Sell 2,880 0.89 22.9 24.6 6.3 5.9 4.8 4.8 2.24 -35.3 1.25 16.0 -23.7 -23.5 AMBANK 2.99 2.80 -6.4% Sell 8,990 1.12 46.9 42.2 6.4 7.1 7.4 7.4 4.58 -34.7 2.82 6.0 CIMB 3.56 3.90 9.6% Buy 35,326 1.16 45.5 49.3 7.8 7.2 7.3 7.3 5.45 -34.7 3.09 15.2 -30.9 HLBANK 13.40 11.90 -11.2% Sell 29,047 1.08 112.2 119.4 11.9 11.2 3.7 3.7 20.50 -34.6 11.70 14.5 -22.5 MAYBANK 7.83 6.40 -18.3% Sell 88,020 0.81 67.5 71.4 11.6 11.0 7.7 7.7 9.33 -16.1 7.00 11.9 -9.4 PBBANK 15.90 12.90 -18.9% Sell 61,726 1.16 131.3 139.5 12.1 11.4 4.6 4.6 23.90 -33.5 12.58 26.4 -18.2 RHBBANK 4.60 4.30 -6.5% Sell 18,446 0.93 57.0 62.7 8.1 7.3 6.1 6.1 6.07 -24.2 4.23 8.7 -20.4 BURSA 5.04 4.40 -12.7% Sell 4,075 0.90 23.7 24.9 21.3 20.2 4.1 4.1 7.13 -29.3 4.32 16.7 -17.2 ANNJOO 0.70 0.45 -35.7% Sell 378 2.12 -11.3 2.1 na 33.3 0.0 1.4 1.88 -62.8 0.42 68.7 -42.6 CHINHIN 0.53 0.50 -4.8% Sell 287 1.12 2.6 5.0 20.1 10.4 1.4 2.5 0.92 -42.9 0.40 31.2 -27.1 CHINWEL 0.89 0.90 1.1% Hold 259 1.23 8.4 13.8 10.5 6.5 3.8 6.1 1.93 -53.9 0.68 30.9 -35.5 CMSB 1.24 2.51 102.4% Buy 1,330 1.69 13.4 16.5 9.3 7.5 3.2 5.3 3.92 -68.4 0.83 49.4 -45.4 CSCSTEL 0.73 0.67 -8.2% Buy 270 1.27 6.2 9.1 11.7 8.0 4.2 6.0 1.19 -38.7 0.54 35.2 -31.1 ENGTEX 0.59 0.48 -18.6% Sell 259 0.76 1.3 2.5 44.4 24.1 0.4 0.8 0.91 -35.2 0.46 28.3 -21.3 GADANG 0.39 0.30 -23.1% Sell 284 2.16 5.2 4.8 7.5 8.2 2.6 2.6 0.96 -59.4 0.23 73.3 -43.9 GAMUDA 3.13 2.53 -19.2% Sell 7,867 1.59 26.9 27.7 11.7 11.3 3.8 3.8 4.30 -27.2 2.36 32.6 -19.7 GDB 0.56 0.55 -1.8% Buy 347 1.52 4.3 6.0 13.1 9.2 3.6 3.6 0.80 -30.2 0.26 113.5 -9.8 IJM 1.74 1.38 -20.7% Sell 6,315 1.50 5.8 7.2 30.2 24.1 2.3 2.3 2.51 -30.7 1.15 51.3 -19.8 KAB 0.82 0.190 -76.7% Sell 754 1.00 0.9 1.2 88.6 68.8 0.5 0.5 1.05 -22.1 0.08 921.8 111.8 PESONA 0.19 0.25 31.6% Buy 132 1.21 2.8 2.9 6.8 6.5 5.3 7.9 0.26 -26.9 0.13 46.2 -13.6 SUNCON 1.66 1.16 -30.1% Sell 2,140 1.22 10.0 9.7 16.6 17.2 4.2 4.2 2.20 -24.5 1.25 32.8 -13.1 WCT 0.42 0.34 -19.3% Sell 579 1.94 -1.4 1.7 na 24.7 0.0 0.0 1.22 -66.0 0.25 69.4 -52.3 LITRAK 3.84 4.35 13.3% Buy 2,040 0.75 45.1 45.8 8.5 8.4 6.5 7.8 5.00 -23.2 3.30 16.4 -16.3 CARLSBG 24.60 30.50 24.0% Buy 7,521 1.36 98.6 103.7 25.0 23.7 4.0 4.2 39.26 -37.3 17.38 41.5 -16.3 HEIM 21.48 28.50 32.7% Buy 6,489 1.07 107.7 113.6 19.9 18.9 4.9 5.1 31.74 -32.3 17.30 24.2 -20.8 AEON 1.07 1.65 54.2% Buy 1,502 1.13 8.8 10.4 12.1 10.3 3.7 4.2 1.83 -41.5 0.91 17.6 -24.6 AMWAY 4.95 6.00 21.2% Buy 814 0.72 28.3 31.7 17.5 15.6 5.6 5.6 6.25 -20.8 4.50 10.0 -13.3 F&N 31.42 42.00 33.7% Buy 11,524 0.71 120.8 132.4 26.0 23.7 2.1 2.2 36.30 -13.4 24.12 30.3 -9.8 FOCUSP 0.44 0.67 52.3% Buy 97 na 4.0 5.2 10.9 8.5 4.1 5.3 0.77 -42.9 0.27 63.0 18.9 BUILDING MATERIALS CONSTRUCTION CONSUMER Brewery Retail HUPSENG 0.90 1.00 11.7% Buy 716 0.63 5.5 5.7 16.2 15.6 6.7 6.7 1.00 -10.5 0.75 20.1 -0.6 JOHOTIN 1.37 1.90 38.7% Buy 425 1.35 15.8 18.3 8.7 7.5 5.1 5.5 1.90 -27.9 0.98 39.8 -20.8 -45.9 LHI 0.60 0.76 27.7% Buy 2,172 na 4.7 5.4 12.5 10.9 2.4 2.7 1.19 -50.0 0.43 38.4 NESTLE 137.60 155.60 13.1% Hold 32,267 0.53 300.1 314.7 45.8 43.7 2.2 2.3 149.90 -8.2 120.00 14.7 -6.4 PADINI 2.11 4.00 89.6% Buy 1,388 1.01 22.5 26.0 9.4 8.1 5.5 5.7 4.09 -48.5 1.78 18.5 -34.9 -44.4 POHUAT 0.85 1.11 31.4% Buy 195 1.15 15.8 19.0 5.4 4.5 5.9 7.1 1.59 -46.8 0.69 22.5 QL 7.90 7.00 -11.4% Sell 12,817 0.77 14.8 17.0 53.3 46.4 0.6 0.8 8.65 -8.7 6.50 21.5 -2.8 SCIENTX 7.69 11.80 53.4% Buy 3,967 0.84 77.0 88.8 10.0 8.7 3.0 3.5 9.87 -22.1 5.96 29.0 -18.6 SIGN 0.43 0.57 32.6% Buy 96 2.09 1.6 5.4 26.8 8.0 4.2 4.2 0.57 -23.9 0.16 177.4 -4.4 10.82 12.70 17.4% Buy 3,089 0.98 105.5 101.9 10.3 10.6 9.7 9.1 37.00 -70.8 9.26 16.8 -28.2 GENTING 3.92 5.35 36.5% Buy 15,094 1.36 36.7 47.4 10.7 8.3 4.1 4.6 6.92 -43.4 2.91 34.7 -33.7 GENM 2.18 2.03 -6.9% Sell 12,324 1.19 13.3 24.0 16.4 9.1 4.6 5.5 3.86 -43.6 1.83 19.1 -31.4 2.20 2.32 5.5% Sell 2,943 0.88 13.8 20.0 15.9 11.0 5.5 8.2 2.82 -22.0 1.94 13.4 -14.7 Tobacco BAT GAMING Casino NFO BJTOTO HEALTHCARE Hospitals/ Pharmaceutical DPHARMA 1.40 1.71 22.1% Buy 958 0.88 9.0 10.0 15.6 13.9 4.2 4.7 1.78 -21.3 1.05 33.3 -1.4 IHH 5.12 5.97 16.6% Buy 44,923 0.71 10.7 12.6 47.8 40.8 0.6 0.7 5.95 -13.9 4.55 12.5 -6.4 KPJ 0.88 1.04 18.9% Buy 3,745 0.92 4.8 5.0 18.4 17.4 2.2 2.3 1.04 -15.9 0.72 21.5 -7.4 HARTA 7.15 7.04 -1.5% Sell 24,191 0.68 13.4 15.6 53.5 46.0 1.1 1.3 7.20 -0.7 4.62 54.8 30.5 KOSSAN 5.15 5.92 15.0% Buy 6,587 0.37 21.4 21.9 24.1 23.5 1.6 1.7 5.43 -5.2 3.47 48.4 23.8 SUPERMX 1.68 1.94 15.5% Buy 2,218 0.81 10.1 11.5 16.6 14.7 1.9 2.1 1.93 -13.0 1.29 30.2 20.9 TOPGLOV 6.47 6.26 -3.2% Sell 16,577 0.15 19.9 19.5 32.5 33.3 1.5 1.5 6.69 -3.3 4.21 53.7 37.7 0.31 0.24 -22.6% Sell 233 1.48 4.9 7.3 6.4 4.2 7.1 10.6 0.77 -59.5 0.20 55.0 -45.1 ASTRO 0.87 1.20 38.7% Buy 4,511 1.52 12.6 11.5 6.9 7.5 8.7 6.9 1.61 -46.3 0.71 22.7 -31.9 MEDIA PRIMA 0.14 0.12 -14.3% Sell 155 1.21 -7.2 -8.2 na na 0.0 0.0 0.53 -73.3 0.11 27.3 -50.0 STAR 0.28 0.25 -9.1% Hold 203 1.28 -1.3 -1.1 na na 0.0 0.0 0.74 -62.8 0.23 22.2 -43.3 Rubber Gloves INSURANCE TUNEPRO MEDIA
12. For Internal Circulation Only SNAPSHOT OF STOCKS UNDER COVERAGE Company Share Price Target Price (RM) (RM) LCTITAN 1.27 MHB 0.47 MISC PANTECH Market Cap. % upside Recom 1.20 -5.5% Sell 2,887 0.45 -3.2% Sell 744 7.58 7.80 2.9% Hold 0.37 0.29 -20.5% (RMm) Beta EPS (sen) FY20 FY21 1.01 14.1 17.8 2.07 1.0 0.9 33,835 0.74 42.0 45.2 Sell 271 1.28 4.6 PER (X) FY20 Div Yield (%) 52weeks 52weeks % Chg FY21 FY20 FY21 High Price % Chg Low Price % Chg YTD 9.0 7.1 0.8 0.8 4.10 -69.0 0.98 30.3 -47.3 47.4 51.0 0.0 0.0 0.97 -52.1 0.26 82.4 -46.6 18.1 16.8 4.0 4.0 9.37 -19.1 6.35 19.3 -8.8 5.1 8.0 7.1 3.7 4.2 0.60 -38.7 0.25 46.0 -26.3 -35.0 OIL & GAS PCHEM 4.78 4.70 -1.7% Sell 38,240 1.35 29.3 31.2 16.3 15.3 2.7 2.9 9.20 -48.0 4.00 19.5 SERBADK 1.70 2.20 29.4% Buy 5,211 1.45 17.0 18.3 10.0 9.3 2.4 2.9 2.52 -32.5 1.02 66.7 -22.7 UZMA 0.67 0.52 -22.4% Sell 13,556 1.95 7.9 9.4 8.5 7.1 0.0 0.0 1.14 -41.2 0.31 116.1 -30.6 VELESTO 0.17 0.21 23.5% Buy 1,397 2.02 0.4 0.3 39.6 58.3 0.0 0.0 0.41 -58.5 0.09 88.9 -55.3 FGV 0.90 1.26 40.0% Buy 3,283 1.65 7.0 8.9 12.9 10.1 2.2 2.2 1.59 -43.4 0.72 25.9 -40.8 IJMPLNT 1.42 1.68 18.3% Buy 1,250 1.56 4.1 6.5 35.0 22.0 3.5 3.5 2.48 -42.7 1.01 40.6 -39.8 IOICORP 3.93 4.43 12.7% Buy 24,636 0.98 14.7 17.6 26.7 22.4 2.2 2.7 4.82 -18.5 3.41 15.2 -14.8 KLK 21.26 25.24 18.7% Buy 22,928 0.98 89.4 102.8 23.8 20.7 2.4 2.4 25.78 -17.5 17.40 22.2 -14.3 SIMEPLT 5.05 6.13 21.4% Buy 34,767 na 19.5 21.6 25.9 23.4 2.6 3.0 5.63 -10.3 3.82 32.2 -7.3 TSH 0.69 1.49 115.9% Buy 952 1.49 5.4 6.8 12.8 10.2 2.9 4.3 1.59 -56.6 0.56 23.2 -55.2 UMCCA 4.20 5.07 20.7% Buy 881 0.69 -12.0 11.1 na 37.9 1.9 1.4 5.45 -22.9 4.00 5.0 -21.5 GLOMAC 0.30 0.35 18.6% Sell 229 0.75 2.6 2.7 11.2 11.0 2.7 2.7 0.40 -25.3 0.24 22.9 -19.2 HUAYANG 0.25 0.28 12.0% Buy 88 1.07 1.9 2.5 12.9 9.9 0.0 0.0 0.47 -46.2 0.15 72.4 -30.6 IBRACO 0.54 0.54 0.0% Sell 268 0.77 6.2 10.6 8.8 5.1 2.8 4.6 0.72 -25.0 0.31 77.0 -22.3 IOIPG 0.94 0.93 -0.5% Sell 5,148 1.15 11.1 11.4 8.4 8.2 3.2 3.2 1.43 -34.6 0.83 13.3 -24.6 MAHSING 0.43 0.52 20.9% Buy 1,044 1.57 5.6 6.2 7.7 6.9 8.7 9.3 0.97 -55.7 0.31 41.0 -39.0 SIMEPROP 0.57 0.60 6.2% Buy 3,842 1.73 5.7 8.0 10.0 7.1 5.3 6.2 1.18 -52.1 0.48 18.9 -38.3 SPSETIA 0.77 0.96 25.5% Buy 3,092 1.92 8.3 11.9 9.2 6.4 1.3 3.3 2.31 -66.9 0.55 39.1 -52.2 SUNWAY 1.57 1.71 8.9% Buy 7,695 1.03 14.3 15.0 11.0 10.5 6.1 6.1 1.87 -16.0 1.25 25.6 -12.8 PLANTATIONS PROPERTY REIT CMMT 0.88 1.08 22.7% Buy 1,809 0.60 5.1 6.1 17.2 14.5 6.3 7.4 1.13 -22.1 0.74 19.7 -12.0 SUNREIT 1.58 1.88 19.0% Buy 4,653 0.61 9.2 9.9 17.3 16.0 5.8 6.2 1.98 -20.2 1.50 5.3 -13.2 POWER & UTILITIES MALAKOF 0.84 0.92 10.2% Buy 4,081 1.16 6.0 6.8 14.0 12.3 7.2 8.1 0.93 -10.2 0.65 29.5 -4.0 PETDAG 20.96 17.10 -18.4% Sell 20,823 0.88 85.4 86.5 24.5 24.2 3.2 3.3 26.41 -20.6 17.50 19.8 -8.6 PETGAS 15.40 16.70 8.4% Hold 30,472 0.85 98.0 98.7 15.7 15.6 4.1 4.2 18.39 -16.2 13.36 15.3 -6.8 TENAGA 12.20 12.60 3.3% Hold 69,380 1.10 86.3 85.6 14.1 14.3 3.9 3.9 13.70 -10.9 10.36 17.8 -4.1 YTLPOWR 0.67 0.62 -7.5% Sell 5,142 1.09 4.1 4.0 16.3 16.7 3.0 3.0 0.92 -26.8 0.48 39.6 -13.0 TELECOMMUNICATIONS AXIATA 3.47 5.15 48.4% Buy 31,800 1.32 12.8 15.8 27.2 22.0 3.2 3.9 5.28 -34.3 3.01 15.3 -16.2 DIGI 4.30 4.40 2.3% Sell 33,433 0.89 17.2 19.3 25.0 22.3 3.8 4.3 5.10 -15.7 3.82 12.6 -3.6 MAXIS 5.41 5.05 -6.7% Sell 42,309 0.86 19.3 21.3 28.0 25.5 3.7 3.7 5.81 -6.9 4.59 17.9 1.7 TM 3.78 3.39 -10.3% Sell 14,235 1.60 22.6 24.4 16.7 15.5 3.0 3.2 4.68 -19.2 2.60 45.4 -1.0 ELSOFT 0.52 0.63 21.2% Buy 347 1.30 4.2 4.9 12.5 10.6 6.1 7.2 1.08 -51.9 0.39 35.1 -37.3 INARI 1.37 1.18 -13.9% Sell 4,438 1.06 5.3 7.6 25.9 17.9 3.1 4.5 2.09 -34.4 0.90 52.2 -19.4 MPI 9.75 9.77 0.2% Hold 1,939 0.93 69.0 81.3 14.1 12.0 2.8 3.0 12.96 -24.8 7.39 31.9 -14.8 N2N 0.52 0.65 26.2% Buy 308 1.27 2.5 3.1 20.3 16.5 3.9 3.9 0.88 -41.5 0.35 47.1 -28.0 SKPRES 0.89 1.23 39.0% Buy 1,688 1.44 8.0 11.0 11.1 8.0 4.5 6.2 1.59 -44.3 0.66 34.1 -34.9 UNISEM 1.74 2.08 19.5% Buy 1,265 0.84 15.0 18.1 11.6 9.6 4.6 5.7 2.93 -40.6 1.53 13.7 -19.4 TECHNOLOGY Semiconductor & Electronics TRANSPORTATION Airlines AIRASIA 0.82 0.79 -3.1% Sell 2,724 1.81 -38.5 9.9 na 8.3 0.0 0.0 2.15 -62.1 0.50 63.0 -52.1 AIRPORT 4.36 8.15 86.9% Buy 7,234 0.94 9.7 37.7 44.8 11.6 3.9 3.9 8.88 -50.9 3.92 11.2 -42.6 Freight & Tankers PTRANS 0.19 0.27 42.1% Buy 270 1.10 1.3 3.3 14.2 5.8 4.2 5.2 0.27 -29.6 0.13 52.0 -19.1 TNLOGIS 0.34 0.61 79.4% Buy 152 0.93 3.0 3.4 11.2 10.1 0.0 0.0 0.61 -44.3 0.26 30.8 -32.7 WPRTS 3.54 3.69 4.2% Hold 12,071 0.58 17.1 16.5 20.7 21.5 3.6 3.5 4.54 -22.0 2.97 19.2 -15.9 SNAPSHOT OF FOREIGN STOCKS UNDER COVERAGE Company Share Price Target Price (S$) (S$) % upside Recom Market Cap. (S$m) Beta EPS (cent) FY20 FY21 PER (X) FY20 FY21 Div Yield (%) FY20 52week 52week % Chg FY21 High Price % Chg Low Price % Chg YTD BANKS & FINANCIAL SERVICES DBS 19.11 19.20 0.5% Hold 48,522 1.17 219.3 231.2 8.7 8.3 6.3 6.3 28.64 -33.3 16.65 14.8 -26.2 OCBC 8.93 8.20 -8.2% Sell 39,251 1.08 99.1 105.7 9.0 8.4 5.6 5.6 12.19 -26.7 7.80 14.5 -18.7 UOB 20.15 19.30 -4.2% Hold 33,597 1.15 219.8 239.0 9.2 8.4 6.2 6.2 27.76 -27.4 17.28 16.6 -23.7 3.47 4.55 31.1% Buy 22,203 0.90 26.5 26.3 12.6 12.6 3.6 3.2 4.38 -20.8 2.83 22.6 -15.8 PLANTATIONS WILMAR BUY : Total return within the next 12 months exceeds required rate of return by 5%-point. HOLD : Total return within the next 12 months exceeds required rate of return by between 0-5%-point. SELL : Total return is lower than the required rate of return. Total Return is defined as expected share price appreciation plus gross dividend over the next 12 months. Gross dividend is excluded from total return if dividend discount model valuation is used to avoid double counting. Required Rate of Return of 7% is defined as the yield for one-year Malaysian government treasury plus assumed equity risk premium.
13. COMPANY UPDATE www .bursamids.com Wednesday, April 08, 2020 Sector: Technology THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* TP: RM0.65 (+26.2%) N2N Connect Berhad Last Traded: RM0.515 Business Largely Intact Amid COVID-19 Pandemic Wilson Loo, CFA Tel: +603-2167 9606 BUY wilsonloo@ta.com.my We opine that the recent market-wide sell-off amid domestic political uncertainty and the COVID-19 pandemic has brought N2N down to attractive valuation levels. The stock is down 28.0% YTD and at current levels, is trading 19.0x against CY20 EPS, which is >1.5sd below its 3-year mean of 30.8x. Most importantly, amid the prevailing turmoil roiling the global economy and financial markets, we remain sanguine on N2N’s performance thanks to its business model whereby the bulk of the group’s revenue stream is largely recurring. In all, we maintain our Buy recommendation on N2N, albeit with a lower TP of RM0.65 (previously RM0.78) as we have cut our CY20 earnings to price in expectations for softer trading activity and lower one-time implementation fees amid the economic uncertainties posed by COVID-19. www.taonline.com.my Stock Return Information KLCI 1,369.92 Expected Share Price Return (%) 26.2 Expected Dividend Return (%) 3.9 Expected Total Return (%) 30.1 Share Information Bloomberg Code N2N MK Stock Code 0108 Listing Ace Market Issued Share (mn) 597.8 Market Cap (RMmn) 307.9 52-wk Hi/Lo (RM) 0.88/0.35 Estimated Free Float (%) 41.7 Beta (x) Largely Recurring Revenue Stream Provides Stability Amid Turmoil Amid the prevailing turmoil roiling the global economy and financial markets, we remain sanguine on N2N’s performance thanks to its business model whereby the bulk of the group’s revenue stream is largely recurring (~79%) versus transactionbased (~19%). To recap, its recurring revenue mainly comprise the rental and subscription fees received for the provision of information service terminals, front office trading and back office settlement systems, and management network services, while transaction-based revenue is dependent on the volume of trades matched via its systems. Trimmed Earnings Due to Envisaged Slowdown in the Economy While N2N’s revenue stream is largely recurring in nature, we have trimmed our CY20 earnings estimates by 16.3% after lowering our sales assumption by 5.2% as we opine that the envisaged slowdown in the economy could see: i) softer trading activity, and ii) customers (i.e., brokerages and investment banks) defer plans to upgrade their systems. Note that the impact of the revenue revision to earnings is stronger as one-time implementation fees typically command higher margins. 1.3 3-Month Average Volume ('000) 335.7 Top 3 Shareholders (%) 17.2 SBI Holdings Inc N2N Connect Holdings Sdn Bhd 15.3 SBI Japannext Co Ltd 12.8 Share Performance (%) Price Change N2N 1 mth (15.4) FBM KLCI (7.6) 3 mth (27.8) (13.8) 12 mth (35.4) (16.7) FY20 FY21 Financial Info Debt to Equity Ratio 0.1 0.0 ROA (%) 4.9 5.9 ROE (%) 5.6 6.6 NTA/Share (RM) 0.3 0.4 Price/NTA (x) 1.5 1.4 (12-Mth) Share Price relative to the FBMKLCI Prepared for the Worst Meanwhile, with the COVID-19 pandemic having led to the enforcement of containment measures across many parts of the world including Malaysia (via the movement control order) where N2N is headquartered, management reassured that the group’s operations across its markets in Asia have been on-going without any degradation in the level of customer service and support as its business continuity plans have taken into account the need to operate remotely. Note that it is important for the group to ensure the continuity of operations during this period as it is business as usual for its customers with the financial markets in their respective markets remaining open. Source: Bloomberg Page 1 of 4
14. 8-Apr-20 Asia Trading Hub Remains A Near-Term Catalyst Headwinds aside , we continue to view N2N’s recently formed Asia Trading Hub (ATH) as a near-term catalyst. Recall that the ATH involved the connection of the group’s panel of over 100 brokerages across Asia (Malaysia, Singapore, Hong Kong, Macau, Vietnam, Indonesia, Philippines, and Thailand) via a single financial network. By doing so, they will be able to provide their investors, especially retailers, an enhanced cross border trading experience which is more cost effective and seamless as the linkage would lead to operational efficiency and savings (e.g., via the elimination of manual process and the pooling of market data). Ultimately, with the gradual rollout of the ATH across its markets, we expect N2N to benefit from: i) increased volume-based fees, as well as ii) market share gains as the ATH’s cross border trading capabilities gain recognition and spark the interest of other brokerages and investment banks to transition to its trading platform. Following the ATH’s maiden launch in Malaysia in November 2019, management shared that it will soon be introduced in Hong Kong. Valuation & Recommendation Corresponding to our earnings cut, we arrive at a lower TP of RM0.65 (previously RM0.78), pegged to 24.0x CY20 EPS. Notwithstanding, we reiterate our Buy recommendation as we opine that the recent market-wide sell-off amid domestic political uncertainty and the COVID-19 pandemic has brought the stock down to attractive valuation levels. N2N’s share price is down 28.0% YTD and at current levels, is trading 19.0x against CY20 EPS which is >1.5sd below its 3-year mean of 30.8x. In all, we continue to like the group for its niche as the largest financial information and trading platform provider in Asia, decent earnings growth profile, robust balance sheet, and prospects of the transfer of listing to the Main Market of Bursa Malaysia. Key downside risks include lower than expected trading activity and poor demand for new system implementation. Figure 2: Forward PB x 50.0 45.0 40.0 +1SD: 38.1x 35.0 Mean: 30.8x 30.0 25.0 -1SD: 23.5x 20.0 May-17 Jul-17 Sep-17 Nov-17 Jan-18 Mar-18 May-18 Jul-18 Sep-18 Nov-18 Jan-19 Mar-19 May-19 Jul-19 Sep-19 Nov-19 Jan-20 Mar-20 15.0 Source: Bloomberg, TA Securities x 3.0 2.8 2.6 2.4 2.2 2.0 1.8 1.6 1.4 1.2 1.0 +1SD: 2.3x Mean: 1.9x -1SD: 1.5x May-17 Jul-17 Sep-17 Nov-17 Jan-18 Mar-18 May-18 Jul-18 Sep-18 Nov-18 Jan-19 Mar-19 May-19 Jul-19 Sep-19 Nov-19 Jan-20 Mar-20 Figure 1: Forward PE Source: Bloomberg, TA Securities Page 2 of 4
15. 8-Apr-20 Earnings Summary P &L Balance Sheet FYE Dec (RM mn') FY18 FY19 Revenue 108.1 EBITDA Dep. & amortisation Net finance cost FY20F FY21F FY21F 105.1 107.5 112.9 118.5 35.8 27.9 30.7 33.5 36.0 (10.3) (10.8) (13.0) (12.2) (11.5) (1.1) (1.0) (0.5) (0.2) 0.1 FYE Dec (RM mn') FY18 FY19 FY20F FY21F Fixed assets 43.6 41.5 37.8 34.9 32.6 Intangible assets 75.1 76.4 75.6 74.8 74.1 Others LT assets EI (5.1) 1.5 0.0 0.0 0.0 PBT 19.3 17.6 17.1 21.1 24.5 Trade & other receivables Taxation (6.5) (2.3) (2.4) (3.0) (3.4) Cash 0.4 0.4 0.4 0.5 0.6 PAT (-MI) 13.2 15.7 15.2 18.7 21.7 Core PAT (-MI) 18.3 14.2 15.2 18.7 21.7 EPS 2.4 2.8 2.7 3.3 3.9 Core EPS (sen) 3.3 2.5 2.7 3.3 3.9 Trade & other payables DPS (sen) 4.0 2.0 2.0 2.0 2.0 ST borrowings Others MI Ratios FYE Dec FY18 FY19 FY20F FY21F FY21F 19.7 25.3 23.7 19.3 16.6 Dividend yield (%) 7.8 3.9 3.9 3.9 3.9 PBV (x) 1.2 1.1 1.1 1.0 1.0 Valuations PER (x) Profitability ratios (%) FY21F 8.0 11.5 11.5 11.5 11.5 126.8 129.4 124.9 121.3 118.2 32.6 23.8 33.3 30.5 31.5 101.6 54.8 67.1 79.9 95.9 54.0 86.3 86.3 86.3 86.3 Current assets 179.4 174.4 183.9 197.7 214.8 Total assets 306.2 303.8 308.9 319.0 333.0 21.9 15.2 15.4 15.7 16.0 9.2 9.1 6.0 4.0 2.7 2.7 7.5 7.5 7.5 7.5 Current liabilities 33.8 31.8 28.9 27.1 26.1 LT borrowings 20.7 11.4 7.6 5.1 3.4 3.4 4.8 4.8 4.8 4.8 LT liabilities 24.1 16.2 12.5 9.9 8.2 Share capital 261.0 261.0 261.0 261.0 261.0 Reserves (43.1) (45.4) (45.4) (45.4) (45.4) Others Others ROAE 7.4 5.5 5.6 6.6 7.2 Retained earnings 30.6 40.7 52.9 67.8 85.2 ROAA 6.0 4.7 4.9 5.9 6.5 MI (0.1) (0.5) (0.9) (1.5) (2.1) EBITDA margin 33.1 26.6 28.5 29.6 30.4 PBT margin 17.8 16.7 15.9 18.7 20.7 Current ratio 5.3 5.5 6.4 7.3 8.2 Quick ratio 5.3 5.5 6.4 7.3 8.2 Dep. & amortisation Liquidity ratios (x) Net gearing Int. coverage ratio 0.2 0.2 0.2 0.1 0.1 Nt. cash Nt. cash Nt. cash Nt. cash Nt. cash 22.4 17.6 32.3 107.0 nm Growth ratios (%) Sales 11.1 PBT Core PAT (-MI) Total assets 306.2 303.8 308.9 319.0 333.0 FYE Dec (RM mn') FY18 PBT 19.3 FY19 FY20F FY21F FY21F 17.6 17.1 21.1 24.5 10.3 10.8 13.0 12.2 11.5 Net finance cost 1.1 1.0 0.5 0.2 (0.1) Other non-cash 1.7 (0.8) (5.0) (5.0) (5.0) Changes in WC (10.7) (17.0) 3.0 (0.8) (0.8) Net finance cost (1.1) (1.0) (0.5) (0.2) 0.1 Others (3.2) 0.4 2.6 2.0 1.5 Operational cash flow 17.4 11.0 30.7 29.6 31.8 (8.5) Cash Flow Leverage ratios (x) Total liabilities/equity Total liabilities & equity (2.8) 2.3 5.0 5.0 (23.3) (8.9) (2.6) 23.2 16.2 Capex & R&D (6.9) (10.3) (8.5) (8.5) 50.6 (22.2) 6.7 23.2 16.2 Others (16.4) (30.5) 0.0 0.0 0.0 8.4 (0.8) 1.7 3.3 4.4 Investing cash flow (23.3) (40.7) (8.5) (8.5) (8.5) Dividend paid (15.8) (5.6) (3.0) (3.7) (4.3) 65.1 0.0 0.0 0.0 0.0 (40.1) (9.4) (6.8) (4.5) (3.0) Net share issue Net change in debts Others 45.1 (2.7) 0.0 0.0 0.0 Financial cash flow 54.2 (17.7) (9.9) (8.3) (7.4) Net cash flow 48.4 (47.4) 12.4 12.8 15.9 Opening cash flow 53.2 101.6 54.8 67.1 79.9 Forex Closing cash flow 0.0 0.6 0.0 0.0 0.0 101.6 54.8 67.1 79.9 95.9 Page 3 of 4
16. 8-Apr-20 (TH I S P A GE IS IN TE N TI ON AL L Y L E F T B L AN K ) Stock Recommendation Guideline BUY : HOLD : SELL : Not Rated: Total return within the next 12 months exceeds required rate of return by 5%-point. Total return within the next 12 months exceeds required rate of return by between 0-5%-point. Total return is lower than the required rate of return. The company is not under coverage. The report is for information only. Total Return is defined as expected share price appreciation plus gross dividend over the next 12 months. Gross dividend is excluded from total return if dividend discount model valuation is used to avoid double counting. Required Rate of Return of 7% is defined as the yield for one-year Malaysian government treasury plus assumed equity risk premium. Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. As of Wednesday, April 08, 2020, the analyst, Wilson Loo, who prepared this report, has interest in the following securities covered in this report: (a) nil This report has been prepared by TA SECURITIES HOLDINGS BERHAD for purposes of Mid and Small Cap Research Scheme ("MidS") administered by Bursa Malaysia Berhad and will be compensated to undertake the scheme. TA SECURITIES HOLDINGS BERHAD has produced this report independent of any influence from the MidS or the subject company. For more information about MidS and other research reports, please visit Bursa Malaysia’s website at: www.bursamids.com Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 4 of 4
17. Wednesday , 08 April, 2020 TA RESEARCH’S ‘DAILY COMPILED REPORTS’ For Internal Circulation Only L oc al Te ch n ic al R ep o r ts 1. D ai l y Te ch n ic a l St o ck s W at ch 2. D ai l y Mon e y F low of T e ch n i c a l St o ck W at ch 3. D ai l y Mon e y F low of FB MK L CI 4. D ai l y S t o c k S c r e e n Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my
18. Technical View Wednesday , April 08, 2020 THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Daily Technical Stock Watch Malaysia FBM KLCI: 1,369.92 (+28.23, +2.10%) Chartist: Stephen Soo Close Name 7/Apr FBMKLCI 1369.92 Tel: +603-2167 9607 Change High Low 28.23 1,369.92 1,352.63 stsoo@ta.com.my Moving Averages www.taonline.com.my Bollinger Bands RSI Lower Mid Upper 14d 10d 30d 50d DI + DI - DMI ADX Diff Line MACD Signal Diff DMI MACD 1,208.83 1,324.50 1,440.18 45.57 1,329.25 1,376.94 1,441.48 23.33 30.98 38.11 (7.66) (31.39) (43.02) 11.63 SELL BUY - - Recent Signal DMI MACD Signal Change AFFIN 1.45 0.02 1.46 1.43 1.30 1.45 1.60 35.07 1.42 1.55 1.67 12.93 30.74 44.43 (17.82) -0.07 -0.09 0.01 SELL BUY - - ABMB 1.90 0.02 1.93 1.88 1.51 1.81 2.11 45.95 1.85 1.96 2.14 17.67 32.90 48.24 (15.23) -0.08 -0.11 0.04 SELL BUY - - AMBANK 2.99 0.04 3.00 2.96 2.62 3.06 3.49 32.12 2.94 3.27 3.49 11.26 32.71 50.65 (21.45) -0.17 -0.19 0.02 SELL BUY - - AXIATA 3.47 0.19 3.55 3.35 2.84 3.42 4.00 37.18 3.29 3.64 3.91 17.26 31.20 41.25 (13.94) -0.20 -0.22 0.02 SELL BUY - - CIMB 3.56 0.06 3.60 3.53 2.97 3.64 4.31 37.29 3.52 3.97 4.37 14.48 31.83 47.81 (17.35) -0.26 -0.30 0.04 SELL BUY - - DIGI 4.30 0.04 4.36 4.25 3.90 4.16 4.42 52.88 4.24 4.16 4.24 18.47 19.98 16.98 (1.50) 0.01 -0.01 0.02 SELL BUY - - GAMUDA 3.13 0.14 3.19 3.00 2.38 2.84 3.30 49.03 2.83 3.02 3.39 21.52 24.13 33.44 (2.60) -0.13 -0.20 0.07 SELL BUY - - GENTING 3.92 0.02 3.97 3.89 2.80 3.63 4.46 48.32 3.64 4.03 4.55 29.60 25.05 37.06 4.55 -0.23 -0.35 0.12 BUY BUY - - GENM 2.18 0.10 2.19 2.11 1.63 2.10 2.56 40.17 1.98 2.30 2.55 18.58 26.03 49.69 (7.46) -0.16 -0.20 0.04 SELL BUY - - IHH 5.12 0.09 5.20 5.02 4.64 5.15 5.65 42.15 5.12 5.32 5.50 17.03 27.70 24.33 (10.67) -0.13 -0.13 0.01 SELL BUY - - IOICORP 3.93 0.06 3.98 3.83 3.52 3.79 4.07 45.81 3.85 3.92 4.15 11.50 18.15 32.18 (6.65) -0.07 -0.11 0.04 SELL BUY MALAKOFF 0.84 0.01 0.85 0.84 0.65 0.77 0.88 56.38 0.79 0.80 0.83 24.62 22.68 31.15 1.94 -0.05 -0.06 0.01 BUY BUY - - MAXIS 5.41 0.29 5.41 5.16 4.72 5.16 5.59 45.91 5.25 5.24 5.32 17.37 23.97 19.00 (6.61) -0.03 -0.04 0.01 SELL BUY - - MAYBANK 7.83 0.18 7.92 7.78 6.74 7.51 8.29 49.43 7.37 7.81 8.06 24.46 23.89 34.07 0.56 -0.20 -0.25 0.05 BUY BUY BUY - MBSB 0.65 0.05 0.65 0.61 0.44 0.57 0.71 47.42 0.56 0.63 0.70 23.23 26.70 36.88 (3.47) -0.04 -0.05 0.01 SELL BUY - - RHBBANK 4.60 -0.06 4.72 4.60 4.19 4.88 5.56 40.45 4.77 5.12 5.35 15.80 30.43 36.02 (14.64) -0.22 -0.22 (0.00) SELL SELL - - SIME 1.88 0.06 1.90 1.82 1.57 1.74 1.92 50.45 1.73 1.82 1.96 18.64 28.21 45.99 (9.57) -0.05 -0.08 0.03 SELL BUY - - 12.20 0.10 12.22 11.96 10.73 11.59 12.45 57.72 11.81 11.71 11.86 26.19 24.11 14.47 2.08 0.03 -0.06 0.09 BUY BUY BUY - 3.78 0.05 3.79 3.75 3.21 3.52 3.84 56.42 3.65 3.57 3.69 20.33 15.16 23.28 5.17 0.02 -0.02 0.05 BUY BUY - - TENAGA TM - WPRTS 3.54 0.04 3.64 3.47 3.03 3.38 3.72 52.06 3.35 3.41 3.60 23.10 14.91 23.34 8.19 -0.04 -0.08 0.04 BUY BUY - - AEMULUS 0.17 0.00 0.18 0.17 0.07 0.13 0.18 59.23 0.14 0.14 0.16 35.27 21.42 39.53 13.85 0.00 -0.01 0.01 BUY BUY - - ARMADA 0.19 0.01 0.19 0.18 0.10 0.14 0.18 44.71 0.14 0.20 0.27 21.65 27.20 45.90 (5.55) -0.03 -0.05 0.01 SELL BUY - - DIALOG 3.19 0.10 3.19 3.08 2.81 3.04 3.27 49.12 3.05 3.13 3.22 15.22 22.16 34.52 (6.94) -0.04 -0.07 0.02 SELL BUY - - DNEX 0.14 0.01 0.15 0.14 0.06 0.12 0.17 46.63 0.12 0.15 0.19 28.62 24.78 30.63 3.84 -0.02 -0.03 0.01 BUY BUY - - FGV 0.90 0.01 0.94 0.89 0.73 0.86 0.99 44.38 0.85 0.96 1.09 19.32 25.19 41.32 (5.87) -0.07 -0.09 0.02 SELL BUY - - GADANG 0.39 0.04 0.40 0.37 0.20 0.33 0.47 44.10 0.31 0.41 0.50 24.87 28.89 38.20 (4.02) -0.05 -0.07 0.02 SELL BUY - - GLOBETRONICS 1.75 0.08 1.82 1.73 1.25 1.59 1.93 47.08 1.54 1.76 2.00 25.88 21.41 28.66 4.47 -0.12 -0.16 0.04 BUY BUY - - HIAP TECK 0.14 0.01 0.15 0.14 0.08 0.12 0.16 47.22 0.11 0.14 0.17 22.50 27.88 44.89 (5.38) -0.01 -0.02 0.00 SELL BUY - - HIBISCUS 0.54 0.03 0.55 0.52 0.22 0.35 0.49 55.47 0.37 0.48 0.64 36.03 25.90 39.72 10.13 -0.06 -0.10 0.04 BUY BUY - - INARI 1.37 0.08 1.37 1.31 1.00 1.19 1.37 50.85 1.19 1.28 1.46 20.17 23.92 34.72 (3.75) -0.06 -0.09 0.04 SELL BUY - - MPI 9.75 0.16 9.76 9.69 8.31 9.27 10.23 48.37 9.18 9.80 10.48 21.03 31.68 41.97 (10.65) -0.31 -0.46 0.15 SELL BUY - - MRCB 0.44 0.03 0.44 0.42 0.26 0.39 0.52 43.37 0.38 0.46 0.55 19.82 29.49 42.52 (9.67) -0.04 -0.06 0.02 SELL BUY - - SAPURA ENERGY 0.11 0.01 0.12 0.11 0.06 0.09 0.12 45.86 0.08 0.12 0.17 23.52 25.67 48.21 (2.15) -0.02 -0.03 0.01 SELL BUY - - SKP RESOURCES 0.89 0.11 0.89 0.79 0.50 0.84 1.18 33.36 0.75 1.00 1.19 19.03 30.54 48.00 (11.51) -0.13 -0.15 0.02 SELL BUY - - SUNCON 1.66 0.04 1.70 1.64 1.21 1.55 1.89 50.72 1.52 1.65 1.75 25.90 26.52 28.95 (0.61) -0.06 -0.09 0.03 SELL BUY - - UEM SUNRISE 0.42 0.01 0.43 0.41 0.26 0.37 0.48 45.37 0.38 0.44 0.51 27.64 26.57 27.30 1.07 -0.04 -0.05 0.02 BUY BUY BUY - VELESTO 0.17 0.01 0.18 0.17 0.07 0.13 0.19 47.83 0.13 0.18 0.25 28.88 24.60 40.17 4.29 -0.03 -0.04 0.01 BUY BUY - - UNISEM 1.74 0.03 1.78 1.72 1.42 1.74 2.07 43.61 1.63 1.87 2.01 20.00 25.41 56.66 (5.42) -0.13 -0.13 0.01 SELL BUY - BUY VS INDS 0.85 0.07 0.85 0.79 0.51 0.80 1.09 37.99 0.75 0.95 1.13 20.22 27.15 39.01 (6.93) -0.11 -0.13 0.02 SELL BUY - - WASEONG 0.75 0.08 0.80 0.69 0.43 0.58 0.73 46.37 0.55 0.77 0.98 22.00 26.59 39.46 (4.59) -0.12 -0.15 0.03 SELL BUY - - The table above is a compilation of actively traded stocks with some popular technical indicators. The technical BUY/SELL signals on the last four columns are auto generated; the first two being existing or recent signals while the last two represent a signal change from BUY to SELL or the reverse, otherwise no change is indicated by a dash. INTERPRETATION OF TECHNICAL INDICATORS: Bollinger Bands: Variable width bands that narrow during less volatile periods and widen during more volatile periods. As a general rule, in a bearish trend, traders should buy when share price touches the lower band and exit when price touches the middle band. The reverse is true in a bullish trend, ie. Buy when price touches the middle band and sell when price touches the upper band. Momentum traders tend to buy on price breakouts above the upper band, and sell when price breaks down below the lower band. 14-day Relative Strength Index (RSI): A reading below 30 is considered oversold, above 70 is overbought. A rise above 50 with a corresponding share price surge above the 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 4
19. 8-Apr-20 Technical Comments : Bargain Gadang & Inari Gadang should sustain its steady uptrend, with convincing break above the 100%FP (47sen) or the 50 day ma (50sen) to aim for the high of 30/11/18 (55sen) and 76.4%FR (58sen) going forward. Inari looks set for further recovery upside, with a confirmed breakout above the 50-day ma (RM1.46) to target the 76.4%FR (RM1.55) and 61.8%FR (RM1.73) ahead, while chart supports at the 100%FP (RM1.22) and mid Bollinger band (RM1.19) limits downside risk. GADANG (9261) Z RM0.39 (+0.035) BOLLINGER BANDS Upper Middle Lower RM RM RM SIMPLE MOVING AVERAGES 0.47 0.33 0.20 10-day 30-day 50-day RM RM RM DAILY MACD DMI Recent Signal Signal Change SELL Recent Signal Signal Change INARI (0166) RM RM RM SIMPLE MOVING AVERAGES 1.37 1.19 1.00 10-day 30-day 50-day DMI Recent Signal Signal Change BUY RM1.37 (+0.08) BOLLINGER BANDS Upper Middle Lower 0.31 0.41 0.50 SELL Recent Signal Signal Change RM RM RM DAILY MACD 1.19 1.28 1.46 BUY Page 2 of 4
20. 8-Apr-20 Daily Money Flow of Technical Stock Watch Malaysia Chartist : Stephen Soo 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 31 32 33 34 35 37 38 39 39 40 Name Tel: +603-2167 9607 Total Money Flow (RM'mn) 31-Mar 1-Apr 2-Apr 3-Apr 6-Apr stsoo@ta.com.my (A) Total 5D MF Prv. Chg www.taonline.com.my (B) Cur. Chg CLOSING PRICE 31-Mar 1-Apr 2-Apr 3-Apr 6-Apr Chg (A+B) DMF FBMKLCI 7.6 6.8 13.3 (8.8) 7.8 26.6 (22.0) 16.6 1,351 1,323 1,331 1,331 1,342 11.04 OUT AFFIN ABMB AMBANK AXIATA CIMB DIGI GAMUDA GENTING GENM IHH IOICORP MALAKOFF MAXIS MAYBANK MBSB RHBBANK SIME TENAGA TM WPRTS AEMULUS ARMADA DIALOG DNEX FGV GADANG GTRONIC HIAP TECK HIBISCUS INARI MPI MRCB SAPURA ENERGY SKP RESOURCES SUNCON UEMS VELESTO UNISEM VS IND WASEONG 0.0 (0.3) 0.2 1.4 2.4 (0.3) (0.1) (0.0) 1.4 (0.8) 0.6 0.0 (0.4) (0.6) (0.1) 0.8 0.4 (2.7) (0.0) (1.0) 0.0 (0.2) 0.2 0.0 0.0 (0.0) 0.5 0.0 (0.5) 0.2 0.0 0.3 (0.0) 0.1 (0.2) 0.0 (0.0) (0.2) 0.0 (0.0) 0.0 (0.0) 1.1 0.3 (0.8) (0.3) 0.1 0.2 2.0 0.1 0.2 (0.2) (0.2) 0.3 0.0 (0.2) 0.2 0.8 0.1 (0.0) 0.0 (0.2) 0.4 (0.0) (0.2) 0.0 0.1 (0.0) (0.1) (0.2) (0.0) (0.1) (0.2) 0.0 0.0 (0.0) (0.2) (0.0) 0.1 0.1 (0.1) 0.1 0.1 0.4 2.9 0.2 0.0 0.2 1.0 (0.1) 0.2 (0.1) 0.2 (0.4) (0.0) 0.5 0.4 0.1 0.1 0.0 0.0 (0.3) 1.2 (0.0) 0.0 (0.0) 0.1 0.0 (0.4) 0.1 (0.0) (0.3) (0.2) (0.0) 0.0 0.0 (0.4) 0.1 0.4 (0.0) (0.1) 0.2 (0.4) 0.1 0.7 (0.2) (0.2) 0.2 (0.1) 0.4 (0.1) 0.0 (0.3) (1.1) (0.1) 0.0 (0.5) (0.1) (0.1) (0.1) (0.0) (0.6) (0.3) 0.0 0.1 (0.0) (0.1) 0.0 (3.8) (0.4) 0.2 0.0 (0.4) (0.0) 0.0 0.0 (0.9) 0.1 (0.4) (0.2) 0.0 0.3 0.0 (0.2) 2.6 0.7 0.2 0.3 (0.0) (0.8) 0.1 0.1 0.3 0.1 (0.0) 0.1 (0.0) (0.1) (0.0) 0.0 0.0 0.6 0.1 (0.0) 0.2 (0.1) 0.1 0.0 (4.3) 0.1 0.0 0.1 0.3 (0.2) 0.0 (0.0) (0.5) 0.1 (0.1) 0.1 (0.2) 0.2 1.0 2.0 7.7 0.2 0.0 0.8 4.3 (1.3) 1.0 (0.1) (0.3) (1.7) (0.2) 1.2 0.5 (2.0) 0.1 (1.0) 0.0 (0.7) 1.6 (0.0) 0.2 (0.2) 0.7 0.0 (9.0) (0.3) 0.2 (0.0) (0.6) (0.1) (0.1) (0.0) (2.0) 0.1 0.1 (0.0) 0.0 0.1 (0.5) (0.4) (2.2) (0.4) (0.2) (0.0) (1.2) 0.5 (0.3) 0.1 (0.5) (0.7) (0.1) (0.5) (0.9) (0.2) (0.1) (0.1) (0.0) (0.3) (1.5) 0.1 0.1 (0.0) (0.2) 0.0 (3.4) (0.5) 0.2 0.3 (0.2) 0.0 0.0 (0.0) (0.5) 0.0 (0.8) (0.1) 0.1 0.1 0.5 (0.2) 2.0 0.9 0.4 0.1 0.1 (1.1) 0.2 0.1 0.6 1.1 0.1 0.0 0.5 (0.0) 0.1 0.1 0.0 1.1 0.4 (0.1) 0.1 (0.1) 0.2 0.0 (0.5) 0.5 (0.2) 0.0 0.7 (0.2) 0.0 (0.0) 0.4 0.0 0.3 0.2 1.44 1.90 3.00 3.28 3.60 4.35 2.83 3.75 2.01 5.16 4.00 0.81 5.35 7.45 0.56 4.69 1.69 12.02 3.75 3.38 0.17 0.14 3.04 0.11 0.86 0.32 1.62 0.11 0.34 1.24 9.15 0.39 0.08 0.77 1.51 0.40 0.12 1.58 0.76 0.53 1.41 1.86 2.94 3.20 3.53 4.15 2.88 3.76 2.03 5.05 3.89 0.82 5.08 7.32 0.56 4.55 1.80 11.82 3.71 3.45 0.15 0.14 3.02 0.12 0.85 0.32 1.62 0.11 0.34 1.21 9.38 0.40 0.08 0.75 1.56 0.39 0.12 1.57 0.75 0.52 1.43 1.86 2.92 3.21 3.52 4.18 2.91 3.88 2.08 5.06 3.88 0.83 5.09 7.34 0.58 4.61 1.80 11.90 3.74 3.45 0.16 0.17 3.06 0.14 0.85 0.33 1.62 0.12 0.43 1.27 9.55 0.40 0.09 0.78 1.58 0.40 0.17 1.57 0.77 0.59 1.42 1.84 2.92 3.20 3.50 4.21 2.92 3.77 2.03 5.02 3.88 0.81 5.19 7.40 0.58 4.56 1.80 11.92 3.76 3.45 0.16 0.17 3.10 0.13 0.85 0.33 1.59 0.12 0.45 1.23 9.50 0.40 0.10 0.77 1.58 0.40 0.16 1.56 0.75 0.60 1.43 1.88 2.95 3.28 3.50 4.26 2.99 3.90 2.08 5.03 3.87 0.83 5.12 7.65 0.60 4.66 1.82 12.10 3.73 3.50 0.17 0.18 3.09 0.14 0.89 0.36 1.67 0.13 0.51 1.29 9.59 0.41 0.11 0.78 1.62 0.41 0.17 1.71 0.78 0.67 0.01 0.04 0.03 0.08 0.00 0.05 0.07 0.13 0.05 0.01 (0.01) 0.01 (0.07) 0.25 0.02 0.10 0.02 0.18 (0.03) 0.05 0.01 0.01 (0.01) 0.01 0.04 0.03 0.08 0.02 0.06 0.06 0.09 0.02 0.01 0.01 0.04 0.01 0.01 0.15 0.03 0.08 IN IN OUT OUT OUT IN IN IN OUT OUT OUT IN IN IN IN OUT OUT OUT OUT IN IN IN OUT OUT IN OUT OUT IN OUT OUT IN IN IN OUT IN OUT OUT IN OUT IN Sources: Bloomberg, TA Securities Daily Money Flow (DMF) Formulation If previous change (A) + current change (B) > 0, then DMF = “IN”; AND if (A) + (B) < 0, then DMF = “OUT”. Money Flow (MF) Calculation The value of money flow is set to zero at the start of the trading day. When a trade is performed, its price is compared to the price of the previous trade (the first trade of the day is compared to the previous day's close). If the prices differ, the money associated with the trade (price times number of shares) is added to or subtracted from the money flow. Additions (inflows, buys) are done on upticks; subtractions (outflows, sells) are done on downticks. Daily Money Flow (DMF) Interpretation In general, money flow trends confirm price trends. As prices rise, money flows are usually positive. As prices fall, money flows are usually negative. A divergence, however, between money flow and price trend can be a signal of a future price trend change. For example, a falling stock price with a positive money flow (IN) can indicate a future rally in the price of the stock. Conversely, a rising stock price with a negative money flow (OUT) implies potential correction in the stock price. Page 3 of 4
21. 8-Apr-20 Daily Money Flow of FBMKLCI Malaysia Chartist : Stephen Soo 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 Name FBMKLCI MAYBANK PBBANK TENAGA CIMB PCHEM IHH AXIATA MAXIS HLBANK SIME PLT DIGI NESTLE PETGAS GENTING MISC IOI CORP GENM KLK PETDAG HAP SENG HLFG PPB TOP GLOVE RHBBANK PMETAL SIME HARTALEGA AMBANK DIALOG MAHB (RM'mn) INF LOW OUTF LOW NET FLOW 31-Mar 7.6 (0.6) (0.4) (2.7) 2.4 (2.6) Tel: +603-2167 9607 Total Money Flow (RM'mn) 1-Apr 2-Apr 3-Apr 6.8 13.3 (8.8) 0.3 (0.4) (1.1) 0.5 3.3 0.2 0.8 0.1 (0.1) (0.8) 2.9 0.7 0.7 0.2 0.4 (0.8) 1.4 (0.4) (0.3) 0.7 (0.3) 2.2 0.7 (0.0) 0.7 0.6 1.4 0.9 2.3 0.3 (0.1) 0.1 3.7 0.8 0.5 0.4 (0.8) 0.2 0.2 (2.7) 0.1 0.3 (0.2) 0.5 1.0 (0.3) (1.1) 0.7 0.2 1.1 0.2 2.0 0.3 0.2 (0.1) (0.3) (0.1) 0.4 (0.2) (0.1) 0.2 (0.4) 1.1 0.4 (0.7) (0.1) 0.4 0.2 0.7 (0.0) 0.2 0.5 (0.2) 0.2 (0.5) 0.2 1.0 0.6 (0.7) (0.1) (0.0) (0.0) 2.4 0.5 0.4 0.4 (0.7) 0.1 1.2 0.6 0.4 0.1 (0.3) (0.2) (1.2) (0.2) 0.2 (0.4) 0.2 (3.8) (0.1) (0.1) 0.3 (0.4) (0.0) (0.0) 1.4 (2.1) 0.0 (0.2) (0.5) (0.7) (0.4) (0.3) (0.6) 6-Apr 7.8 0.1 1.0 (0.1) 2.6 (0.1) (0.8) (0.2) 0.3 (0.1) 0.0 0.7 0.2 (0.0) 0.3 0.2 0.1 (0.0) 0.4 (0.0) 0.0 0.3 (0.2) (0.8) 0.1 0.5 (0.0) 1.8 0.0 0.1 1.3 Total 5D MF 26.6 (1.7) 4.6 (2.0) 7.7 (1.3) (1.3) 2.0 (0.3) 0.5 0.5 0.2 2.0 0.7 0.8 (2.3) 1.0 4.3 2.4 1.4 0.1 (0.2) 1.2 3.6 1.2 1.1 0.5 (0.8) 1.0 1.6 (2.0) 19.2 10.9 16.1 3.8 10.1 60.1 (11.6) 7.6 (4.1) 6.8 (2.8) 13.3 (12.6) (8.8) (2.3) 7.8 (33.4) 26.6 18 (12) 19 (11) 20 (10) 10 (20) 19 (11) stsoo@ta.com.my (A) (B) Prv. Chg Cur. Chg (22.0) 16.6 (0.7) 1.1 (3.1) 0.8 (0.2) (0.0) (2.2) 2.0 0.2 (0.5) 0.5 (1.1) (0.4) (0.2) (0.5) 0.6 (0.8) 0.1 (1.2) 1.2 (0.4) 0.9 (0.3) (0.0) (0.3) 0.4 (0.0) 0.1 (3.3) 4.0 (0.3) 0.2 (1.2) 0.1 (0.3) 0.1 0.3 0.4 0.1 0.0 0.0 0.3 1.4 (1.6) (4.4) 1.3 (0.5) 0.0 (0.6) 0.7 (0.9) 0.5 0.0 2.5 (0.5) 0.5 (1.5) 0.4 (1.2) 1.9 31-Mar 1,351 7.45 15.90 12.02 3.60 5.05 1-Apr 1,323 7.32 15.68 11.82 3.53 4.75 5.16 3.28 5.35 13.46 4.94 4.35 136.70 15.40 3.75 7.44 4.00 2.01 20.76 21.16 7.62 13.68 16.42 6.45 4.69 3.29 1.69 6.88 3.00 3.04 4.32 5.05 3.20 5.08 13.22 4.74 4.15 136.10 14.96 3.76 7.49 3.89 2.03 20.50 20.38 7.20 12.80 16.30 6.38 4.55 3.06 1.80 6.75 2.94 3.02 4.31 OUTFLOW CLOSING PRICE 2-Apr 3-Apr 1,331 1,331 7.34 7.40 15.80 15.70 11.90 11.92 3.52 3.50 4.76 4.80 5.06 3.21 5.09 13.14 4.75 4.18 137.80 15.30 3.88 7.49 3.88 2.08 20.60 21.70 7.15 12.70 16.18 6.40 4.61 3.18 1.80 6.80 2.92 3.06 4.30 5.02 3.20 5.19 13.14 4.77 4.21 136.70 15.30 3.77 7.53 3.88 2.03 20.70 20.50 7.14 12.30 16.20 6.40 4.56 3.25 1.80 6.90 2.92 3.10 4.31 (A+B) DMF Chg 11.04 OUT 0.25 IN 0.20 OUT 0.18 OUT 0.00 OUT (0.02) OUT 0.01 OUT 0.08 OUT (0.07) IN 0.02 OUT (0.12) IN 0.05 IN 0.10 OUT 0.00 IN 0.13 IN 0.01 IN (0.01) OUT 0.05 OUT (0.04) OUT (0.40) IN (0.10) IN 0.00 IN 0.12 OUT 0.01 OUT 0.10 OUT (0.02) IN 0.02 OUT 0.14 IN 0.03 OUT (0.01) OUT 0.01 IN 6-Apr 1,342 7.65 15.90 12.10 3.50 4.78 5.03 3.28 5.12 13.16 4.65 4.26 136.80 15.30 3.90 7.54 3.87 2.08 20.66 20.10 7.04 12.30 16.32 6.41 4.66 3.23 1.82 7.04 2.95 3.09 4.32 Daily Trading Participation COMPANIES INFLOW www.taonline.com.my Date Retail Institution Foreign Total 31-Ma r 1-Apr 2-Apr 3-Apr 6-Apr 24.2% 35.2% 33.3% 33.8% 35.8% 39.0% 44.2% 44.8% 44.2% 44.5% 36.8% 20.6% 21.9% 22.0% 19.8% 100% 100% 100% 100% 100% Sources: Bloomberg, TA Securities Daily Money Flow (DMF) Formulation If previous change (A) + current change (B) > 0, then DMF = “IN”; AND if (A) + (B) < 0, then DMF = “OUT”. Money Flow (MF) Calculation The value of money flow is set to zero at the start of the trading day. When a trade is performed, its price is compared to the price of the previous trade (the first trade of the day is compared to the previous day's close). If the prices differ, the money associated with the trade (price times number of shares) is added to or subtracted from the money flow. Additions (inflows, buys) are done on upticks; subtractions (outflows, sells) are done on downticks. Daily Money Flow (DMF) Interpretation In general, money flow trends confirm price trends. As prices rise, money flows are usually positive. As prices fall, money flows are usually negative. A divergence, however, between money flow and price trend can be a signal of a future price trend change. For example, a falling stock price with a positive money flow (IN) can indicate a future rally in the price of the stock. Conversely, a rising stock price with a negative money flow (OUT) implies potential correction in the stock price. Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. As of Wednesday, April 08, 2020, the chartist, Stephen Soo, who prepared this report, has interest in the following securities covered in this report: (a) nil Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 4 of 4
22. Technical View Wednesday , April 08, 2020 THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Daily Stock Screen Malaysia End Day Census of 07.04.2020 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 20 ‘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 20 Potential Breakout Stocks (Short-term BUY for upside toward Upper Bollinger Band or higher to TAKE PROFIT/ SELL) No Stock Name Price Bollinger Band RSI Moving Average Middle 26.40 Upper 30.66 14-day 46.22 5-day 26.72 10-day 25.95 30-day 28.65 50-day 30.54 8.85 48.82 7.50 7.26 7.97 8.47 Vol 20-day avg vol 1 PANASONIC MANUFACTURING MALA 27.22 Lower 22.14 2 SCIENTEX BHD 7.69 6.01 7.43 3 DUTCH LADY MILK INDS BHD 44.22 35.99 40.66 45.32 64.24 43.16 42.10 41.15 41.37 30,600 21,715 4 BRITISH AMERICAN TOBACCO BHD 10.82 8.99 10.25 11.51 49.73 10.42 10.17 11.27 11.59 1,790,900 1,421,205 5 UNITED PLANTATIONS BHD 24.96 23.71 24.67 25.62 48.75 24.76 24.64 25.20 25.63 30,800 28,985 6 DUFU TECHNOLOGY CORP BHD 3.27 1.98 2.95 3.91 50.37 3.09 2.96 3.43 3.81 4,694,900 3,532,215 7 FRASER & NEAVE HOLDINGS BHD 31.42 27.46 29.74 32.03 56.69 30.90 30.48 30.13 31.19 375,400 215,290 8 SARAWAK CONSOLIDATED INDUSTR 2.16 0.76 1.73 2.70 53.97 2.06 1.78 2.11 2.39 931,000 932,380 9 KUMPULAN POWERNET BHD 1.80 0.63 1.48 2.32 52.80 1.72 1.46 1.86 2.05 2,493,500 2,440,600 13,024,220 33,200 31,210 1,042,200 728,150 10 GENTING BHD 3.92 2.85 3.61 4.37 48.87 3.81 3.64 4.03 4.55 12,974,000 11 PENTAMASTER CORP BHD 4.08 2.36 3.42 4.47 55.89 3.74 3.54 3.86 4.33 6,339,400 6,982,750 12 GENTING PLANTATIONS BHD 9.40 8.70 9.24 9.79 47.84 9.45 9.39 9.50 9.88 1,351,700 1,167,155 13 SARAWAK OIL PALMS BERHAD 2.50 1.79 2.33 2.87 47.78 2.39 2.31 2.64 3.00 165,900 135,495 14 BURSA MALAYSIA BHD 5.04 4.41 4.89 5.36 49.55 5.00 4.89 5.08 5.32 3,582,300 1,972,665 15 TENAGA NASIONAL BHD 12.20 10.72 11.60 12.49 59.59 11.95 11.81 11.71 11.86 7,011,900 6,858,465 16 UCHI TECHNOLOGIES BHD 2.13 1.59 1.99 2.39 50.26 1.95 1.93 2.22 2.41 882,300 703,120 17 CAN-ONE BHD 2.47 1.69 2.19 2.68 56.60 2.19 2.14 2.44 2.64 294,400 308,185 18 SCGM BHD 1.30 0.72 1.12 1.51 54.35 1.27 1.17 1.22 1.34 3,467,400 2,207,190 19 MAXIS BHD 5.41 4.72 5.17 5.61 55.36 5.17 5.25 5.24 5.32 3,637,700 3,810,080 20 MAGNI-TECH INDUSTRIES BHD 1.80 1.14 1.57 1.99 53.01 1.63 1.54 1.80 2.08 1,185,200 1,242,640 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 medium-term 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. *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) Stock Name Price RSI Bollinger Band Moving Average Lower Middle Upper 14-day 5-day 10-day 30-day 50-day Vol 20-day avg vol 1 UZMA BHD 0.67 0.26 0.44 0.61 63.16 0.49 0.44 0.52 0.66 36,159,900 2 TAS OFFSHORE BHD 0.28 0.13 0.18 0.24 65.56 0.19 0.18 0.21 0.27 13,742,300 13,341,180 799,865 3 JAYA TIASA HOLDINGS BHD 0.53 0.24 0.37 0.50 59.88 0.41 0.37 0.44 0.58 19,836,800 7,237,025 4 PINEHILL PACIFIC BHD 0.30 0.13 0.20 0.27 62.83 0.19 0.19 0.24 0.28 2,820,700 261,830 5 TEX CYCLE TECHNOLOGY 0.30 0.15 0.21 0.27 65.34 0.22 0.21 0.24 0.28 37,700 211,490 6 OCB BHD 0.46 0.28 0.35 0.43 67.30 0.37 0.36 0.36 0.38 131,400 47,340 7 HIBISCUS PETROLEUM BHD 0.54 0.21 0.36 0.51 57.95 0.41 0.37 0.48 0.64 211,884,000 137,396,700 8 BAHVEST RESOURCES BHD 0.42 0.19 0.29 0.39 64.63 0.32 0.29 0.34 0.43 14,095,200 4,095,385 9 GD EXPRESS CARRIER BHD 0.23 0.11 0.16 0.21 70.13 0.17 0.16 0.17 0.20 10,105,900 3,630,845 10 EONMETALL GROUP BHD 0.31 0.15 0.22 0.29 65.21 0.24 0.22 0.25 0.29 2,222,000 353,155 11 MINETECH RESOURCES BHD 0.20 0.06 0.12 0.19 84.64 0.16 0.13 0.12 0.12 130,839,900 26,978,720 12 JAKS RESOURCES BHD 1.01 0.59 0.79 1.00 56.51 0.83 0.78 0.96 1.14 96,314,800 61,444,300 13 UCREST BHD 0.10 0.03 0.06 0.09 65.83 0.06 0.06 0.07 0.09 7,765,200 2,138,835 14 MK LAND HOLDINGS BHD 0.14 0.04 0.08 0.13 69.56 0.10 0.09 0.10 0.12 21,884,800 7,167,035 15 MAJUPERAK HOLDINGS BHD 0.35 0.25 0.30 0.34 63.14 0.31 0.29 0.31 0.33 611,000 167,040 16 SHIN YANG SHIPPING CORP BHD 0.20 0.11 0.15 0.19 64.25 0.14 0.14 0.16 0.19 9,320,800 325,670 17 IKHMAS JAYA GROUP BHD 0.05 0.01 0.02 0.03 60.10 0.02 0.02 0.03 0.05 45,301,300 7,205,245 18 WAH SEONG CORP BHD 0.75 0.43 0.58 0.74 52.17 0.58 0.55 0.77 0.98 8,825,800 3,917,899 19 SMIS CORP BHD 0.40 0.29 0.34 0.39 59.89 0.33 0.34 0.35 0.35 11,700 1,115 20 KEY ASIC BHD 0.07 0.01 0.03 0.06 80.92 0.05 0.04 0.04 0.04 17,403,200 3,038,875 Raw data sourced from Bloomberg *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. [LOWER BOLLINGER BREAKDOWN] Top 20 Breakdown Stocks (Generally BEARISH, but can be short-term BUY guide) Stock Name Price Bollinger Band RSI Moving Average Lower Middle Upper 14-day 5-day 10-day 30-day 50-day Vol 20-day avg vol 1 LYSAGHT GALVANIZED STEEL BHD 2.16 2.25 2.42 2.58 18.56 2.36 2.41 2.45 2.44 39,300 2 ENRA GROUP BHD 0.97 1.05 1.16 1.27 38.72 1.17 1.17 1.18 1.18 1,000 370 - 3 KEIN HING INTERNATIONAL BHD 0.27 0.31 0.45 0.59 23.47 0.35 0.40 0.46 0.47 2,000 2,385 4 SKB SHUTTERS CORP BHD 0.39 0.42 0.48 0.54 31.04 0.46 0.48 0.50 0.52 9,000 600 5 RIVERVIEW RUBBER ESTATES BHD 2.25 2.28 2.69 3.10 17.07 2.37 2.54 2.75 2.79 6,000 4,055 6 WOODLANDOR HOLDINGS BHD 0.43 0.45 0.57 0.69 23.24 0.51 0.55 0.59 0.66 31,500 4,530 7 JADE MARVEL GROUP BHD 0.80 0.81 0.97 1.12 14.68 0.86 0.90 1.02 1.07 18,000 4,330 8 FCW HOLDINGS BHD 0.56 0.57 0.59 0.62 34.89 0.58 0.59 0.60 0.61 700 8,870 9 KUMPULAN H&L HIGH-TECH BHD 0.90 0.90 1.14 1.38 33.41 0.98 1.05 1.10 1.10 400 1,025 10 DOMINANT ENTERPRISE BERHAD 0.85 0.85 1.07 1.29 26.99 0.97 1.02 1.14 1.19 640,800 36,660 11 BERTAM ALLIANCE BHD 0.18 0.19 0.23 0.28 38.10 0.21 0.23 0.23 0.21 35,000 12 DAYA MATERIALS BHD 0.01 0.01 0.01 0.01 46.71 0.01 0.01 0.01 0.01 790,000 398,650 13 PEGASUS HEIGHTS BHD 0.01 0.01 0.01 0.01 46.94 0.01 0.01 0.01 0.01 5,410,000 9,337,240 14 SYF RESOURCES BHD 0.15 0.15 0.15 0.16 43.36 0.15 0.15 0.16 0.16 834,000 1,228,750 15 COMPUTER FORMS (MALAYSIA) BH 1.08 1.08 1.10 1.12 37.78 1.09 1.10 1.10 1.14 15,000 3,625 16 COMPUGATES HOLDINGS BHD 0.02 0.01 0.02 0.02 33.35 0.02 0.02 0.02 0.02 6,851,700 5,492,405 17 ANZO HOLDINGS BHD 0.02 0.01 0.02 0.02 45.91 0.02 0.02 0.02 0.02 15,587,000 1,717,525 18 APFT BHD 0.01 0.00 0.01 0.01 46.09 0.01 0.01 0.01 0.01 6,878,100 343,905 19 CHINA OUHUA WINERY HOLDINGS 0.02 0.02 0.03 0.04 30.93 0.02 0.02 0.03 0.03 61,000 198,950 20 SC ESTATE BUILDER BHD 0.03 0.02 0.02 0.03 50.67 0.03 0.02 0.02 0.03 850,100 703,285 - Raw data sourced from Bloomberg Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. As of Wednesday, April 08, 2020, the chartist, Stephen Soo, who prepared this report, has interest in the following securities covered in this report: (a) nil Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 2 of 2
24. Wednesday , 08 April, 2020 TA RESEARCH’S ‘DAILY COMPILED REPORTS’ For Internal Circulation Only As i an Te ch n ic al R ep o r ts 1. D ai l y For ei gn St oc k W a t ch (H K ) Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my
25. Technical View Wednesday , April 08, 2020 THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Daily Technical Stock Watch Hong Kong HSI: 24,239.44 (+490.32, +2.06%) Chartist: Stephen Soo Clos e Name 7-Apr HANG S E NG 24,239.44 HS BC CH MOBILE CCONB ICBC CNOOC CH LIFE BOC S HK P ROP P E TRO CH TE NCE NT HKS E CK HUTCHIS ON P ING AN S INOP E C CORP CH S HE NHUA CLP LI & FUNG BOC HK HS BANK HK&CH GAS S WIRE HL P ROP WHARF CH OV LAND P OWE R AS S E TS HE NDE RS ON BOCOMM CH COAL CH UNICOM BK E AS IA E S P RIT MTR S INO LAND CH RE S NE W WORLD CH RE S LAND CH ME RCHANT CH RE S P OWE R ALCORP CATHAY CITIC COS CO FIH MOBILE LTD GE NHK AIA S ANDS CHINA GALAXY 40.25 63.15 6.31 5.27 8.96 15.80 3.01 107.30 2.98 386.80 243.80 57.60 76.75 4.04 14.48 79.60 1.05 23.80 137.40 13.88 51.00 16.56 14.70 26.25 50.35 31.70 4.87 2.21 5.32 16.58 0.61 42.15 10.08 36.60 8.87 32.80 8.99 8.46 1.65 8.49 7.92 3.86 0.90 0.37 72.40 28.70 45.95 Change High Tel: +603-2167 9607 Lower 490.32 1.30 1.15 0.09 0.07 0.07 0.30 0.04 1.50 0.00 5.40 3.40 1.80 1.05 0.03 0.22 1.50 (0.02) 0.25 (1.40) 0.20 (0.65) 0.58 0.40 0.80 1.10 0.50 0.17 0.05 0.18 0.08 0.03 0.70 0.18 1.75 0.12 0.55 0.40 0.23 0.12 0.22 0.20 0.13 0.04 0.03 1.55 0.75 3.10 RSI Bollinger Bands Low Mid stsoo@ta.com.my Upper 14d Moving Averages 10d 30d www.taonline.com.my DMI 50d DI - ADX 24,262.01 23,796.03 21,509.43 23,347.63 25,185.82 47.13 23,315.70 24,340.14 25,517.46 22.96 31.69 33.71 40.30 63.20 6.33 5.28 8.97 15.94 3.02 108.00 3.01 387.60 244.40 57.75 76.95 4.06 14.54 79.75 1.09 24.00 139.80 13.96 51.25 16.68 14.76 26.30 50.45 32.00 4.88 2.24 5.36 16.76 0.63 42.35 10.18 36.70 8.96 33.00 9.04 8.53 1.66 8.66 7.94 3.90 0.90 0.38 72.65 28.80 46.00 39.20 61.10 6.20 5.17 8.71 15.48 2.98 104.70 2.89 382.00 241.20 56.00 75.70 3.90 14.00 77.65 1.04 23.30 134.20 13.64 49.60 16.10 14.26 25.60 49.10 31.10 4.71 2.17 5.12 16.40 0.59 41.55 9.87 33.95 8.66 32.10 8.67 8.20 1.57 8.29 7.68 3.77 0.87 0.35 70.60 27.55 43.50 38.27 48.63 5.95 4.95 6.36 12.87 2.76 92.56 2.16 336.17 211.90 43.60 69.39 3.26 12.56 64.02 0.30 19.88 124.47 11.34 40.58 13.72 12.45 21.87 40.04 26.35 4.33 1.95 3.72 14.96 0.46 38.04 8.08 31.92 7.50 27.85 7.57 6.90 1.34 7.17 7.43 2.95 0.77 0.28 61.48 25.09 36.72 44.29 55.56 6.22 5.18 7.77 14.99 2.93 100.67 2.61 367.22 231.43 52.69 76.50 3.68 13.76 73.62 0.78 22.33 133.84 13.54 52.74 15.47 13.73 24.19 48.38 31.16 4.66 2.16 4.66 16.69 0.82 40.16 9.15 34.55 8.46 31.71 9.00 8.11 1.61 8.57 8.07 3.83 0.90 0.39 67.72 29.21 43.37 50.31 62.48 6.49 5.41 9.17 17.12 3.09 108.78 3.06 398.27 250.96 61.77 83.61 4.10 14.95 83.23 1.27 24.77 143.21 15.74 64.89 17.22 15.00 26.50 56.71 35.97 4.99 2.37 5.61 18.42 1.18 42.27 10.22 37.19 9.41 35.56 10.44 9.32 1.88 9.97 8.71 4.70 1.03 0.50 73.95 33.32 50.02 42.69 57.82 6.25 5.21 7.99 15.05 2.93 101.16 2.74 377.82 233.08 51.69 75.42 3.76 14.17 71.60 1.00 21.90 132.48 12.72 49.54 15.22 13.73 24.04 46.19 29.53 4.66 2.13 4.57 16.39 0.67 40.24 9.37 34.88 8.34 31.39 8.70 8.24 1.53 8.19 7.94 3.63 0.87 0.35 68.72 28.54 42.32 47.10 57.62 6.28 5.25 8.79 16.08 2.99 104.01 2.76 376.26 239.89 57.55 80.15 3.79 13.79 76.43 0.74 23.67 141.04 14.04 58.47 16.10 15.05 25.03 50.81 32.75 4.80 2.29 5.18 16.96 0.99 41.18 9.61 35.47 8.95 33.24 9.87 8.54 1.77 9.09 8.34 4.29 0.99 0.44 70.54 31.46 46.02 51.35 60.97 6.30 5.33 10.15 17.40 3.05 107.48 3.04 385.24 250.88 62.61 84.42 3.96 13.96 78.50 0.73 25.00 149.29 14.46 63.83 16.63 16.92 25.85 53.12 34.17 4.92 2.47 5.79 17.09 1.16 42.57 10.10 36.53 9.43 33.84 10.95 9.32 1.97 9.55 8.70 4.89 1.10 0.50 74.25 34.53 49.36 16.53 30.30 21.09 19.62 27.42 22.76 18.63 26.99 27.47 22.96 23.30 25.01 19.86 22.64 18.96 28.84 50.04 24.88 26.69 26.91 23.11 26.51 20.44 22.91 24.37 22.74 17.61 15.55 27.55 18.94 2.05 22.01 29.61 15.93 20.11 19.57 12.09 19.78 14.31 14.88 19.13 14.93 6.64 4.66 23.52 16.00 21.42 46.49 21.02 23.81 21.20 28.49 32.00 18.75 24.55 20.09 21.83 27.34 27.48 31.60 18.93 24.15 25.05 15.08 24.66 28.62 27.94 37.85 24.15 28.93 22.10 29.46 30.59 22.91 28.25 27.49 32.53 53.91 18.24 21.21 21.80 29.26 26.90 42.58 25.00 32.27 31.46 28.29 34.36 23.45 34.82 24.78 30.85 28.74 47.83 22.09 13.49 14.76 37.07 32.01 18.43 21.33 36.38 17.58 31.88 44.77 34.84 30.65 22.92 32.50 51.11 37.69 34.65 30.01 46.99 23.33 41.83 23.76 34.84 35.54 29.88 45.14 42.09 24.33 71.78 25.76 33.24 16.52 38.55 25.08 57.20 34.66 44.97 39.43 22.66 NA 53.73 72.25 29.42 41.39 28.74 25.81 61.01 48.41 48.00 52.18 46.31 49.73 54.88 56.00 52.71 51.81 49.50 39.39 56.95 53.36 57.30 74.66 52.79 49.94 50.13 40.26 51.42 43.80 54.10 49.39 45.77 47.56 41.46 52.20 47.95 9.98 52.30 55.44 47.81 49.31 48.94 28.56 44.81 33.36 38.48 41.06 37.05 36.41 24.44 51.28 38.37 44.43 DMI MACD DI + Diff Line Signal (8.73) -642.38 -846.88 (29.96) 9.27 (2.72) (1.58) (1.07) (9.25) (0.12) 2.44 7.38 1.13 (4.04) (2.47) (11.74) 3.71 (5.19) 3.79 34.96 0.23 (1.94) (1.03) (14.75) 2.36 (8.49) 0.81 (5.09) (7.84) (5.30) (12.70) 0.07 (13.59) (51.86) 3.77 8.40 (5.87) (9.15) (7.32) (30.48) (5.23) (17.96) (16.58) (9.16) (19.43) (16.81) (30.16) (1.26) (14.85) (7.32) -3.36 -0.16 -0.04 -0.05 -0.48 -0.68 -0.03 -1.46 -0.03 -0.97 -4.27 -2.94 -2.78 -0.02 0.12 -1.66 0.11 -0.81 -4.71 -0.50 -4.59 -0.38 -0.88 -0.45 -2.02 -1.42 -0.08 -0.10 -0.32 -0.30 -0.17 -0.58 -0.12 -0.62 -0.30 -0.78 -0.70 -0.28 -0.14 -0.45 -0.31 -0.38 -0.08 -0.05 -1.21 -2.02 -2.43 -2.97 -1.34 -0.04 -0.06 -0.81 -0.94 -0.05 -2.65 -0.13 -3.87 -6.90 -4.03 -3.31 -0.09 0.00 -2.52 0.07 -1.14 -6.16 -0.58 -5.13 -0.54 -1.16 -0.76 -2.46 -1.64 -0.11 -0.13 -0.46 -0.29 -0.16 -0.92 -0.31 -0.79 -0.41 -1.06 -0.81 -0.41 -0.16 -0.50 -0.30 -0.45 -0.09 -0.06 -2.20 -2.23 -2.72 Diff 204.50 SELL (0.39) 1.18 0.01 0.02 0.33 0.26 0.02 1.19 0.09 2.90 2.63 1.08 0.53 0.08 0.12 0.87 0.04 0.34 1.45 0.08 0.54 0.17 0.28 0.31 0.44 0.22 0.03 0.03 0.13 (0.01) (0.01) 0.34 0.18 0.17 0.11 0.27 0.11 0.13 0.02 0.05 (0.01) 0.07 0.01 0.00 0.99 0.20 0.29 MACD Recent Signal SELL BUY SELL SELL SELL SELL SELL BUY BUY BUY SELL SELL SELL BUY SELL BUY BUY BUY SELL SELL SELL BUY SELL BUY SELL SELL SELL SELL BUY SELL SELL BUY BUY SELL SELL SELL SELL SELL SELL SELL SELL SELL SELL SELL SELL SELL SELL BUY SELL BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY BUY SELL SELL BUY BUY BUY BUY BUY BUY BUY BUY BUY SELL BUY BUY BUY BUY BUY BUY 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 two columns are auto generated. Page 1 of 3
26. 8-Apr-20 Corporate News : The shock to the global technology supply chain from the coronavirus outbreak in China and demand impact may continue to weigh on share prices for the global EMS sector until demand recovers, possibly in 2H. – Bloomberg. Technical Comments: Any selling dips on FIH Mobile Ltd. shares towards crucial supports at the 150%FP (HKD0.77) should see buyers cushion downside, ahead of recovery upside to the 30-day ma (HKD0.98), with stronger upside hurdles coming at the 50-day ma (HKD1.03) and 76.4%FR (HKD1.20) going forward. FIH MOBILE LTD HKD0.90 (+0.04) 2 3.6%FR (HKD107 BOLLINGER BANDS Upper Middle Lower HKD HKD HKD SIMPLE MOVING AVERAGES 1.03 0.89 0.76 10-day 30-day 50-day DMI Recent Signal HKD HKD HKD 0.87 0.98 1.03 DAILY MACD SELL Recent Signal BUY Page 2 of 3
27. 8-Apr-20 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. Fundamentals of Foreig n Technical Picks Bloomberg Ticker 5 HK 941 HK 939 HK 1398 HK 883 HK 2628 HK 3988 HK 16 HK 857 HK 700 HK 388 HK 1 HK 2318 HK 386 HK 1088 HK 2 HK 494 HK 2388 HK 11 HK 3 HK 19 HK 101 HK 4 HK 688 HK 6 HK 12 HK 3328 HK 1898 HK 762 HK 23 HK 330 HK 66 HK 83 HK 291 HK 17 HK 1109 HK 144 HK 836 HK 2600 HK 293 HK 267 HK 1199 HK 2038 HK 678 HK 1299 HK 1928 HK 27 HK S tock Name Close Ta rg et Price % upside HS B C CH MOB ILE CCONB ICB C CNOOC CH LIF E B OC S HK P R OP P E TR O CH TE NCE NT HKS E CK HUTCHIS ON P ING AN S INOP E C COR P CH S HE NHUA CLP LI & F UNG B OC HK HS B ANK HK&CH GAS S WIR E HL P R OP WHAR F CH OV LAND P OWE R AS S E TS HE NDE R S ON B OCOMM CH COAL CH UNICOM B K E AS IA E S P R IT MTR S INO LAND CH R E S NE W WOR LD CH R E S LAND CH ME R CHANT CH R E S P OWE R ALCOR P CATHAY CITIC COS CO F IH MOB ILE LTD GE NHK AIA S ANDS CHINA LTD GALAXY 40. 25 52. 58 63. 15 74. 20 6. 31 EPS ($) PER(x) 2018 2019 Div Yield(%) 2018 2019 52week Price Low % Chg YTD 70. 50 37. 60 -33. 85 79. 50 45. 20 -3. 59 5. 55 -6. 24 2018 2019 Hig h 23% 0. 6 0. 6 9. 2 8. 6 1. 1 1. 2 15% 5. 3 5. 4 10. 9 10. 6 4. 9 4. 7 8. 02 21% 1. 1 1. 1 5. 3 5. 1 5. 3 5. 5 7. 21 5. 27 6. 58 20% 0. 9 0. 9 5. 4 5. 2 5. 2 5. 4 6. 11 4. 81 -12. 17 8. 96 9. 53 6% 0. 4 0. 7 21. 9 11. 9 3. 4 4. 3 15. 12 6. 24 -30. 86 15. 80 22. 25 29% 1. 6 1. 8 9. 1 7. 9 3. 8 4. 3 22. 90 11. 64 -27. 02 3. 01 4. 03 25% 0. 6 0. 7 4. 4 4. 2 6. 5 6. 8 3. 84 2. 71 -9. 61 107. 30 138. 41 22% 10. 8 11. 6 9. 9 9. 3 4. 7 4. 9 142. 00 89. 90 -10. 06 -23. 79 2. 98 2. 78 -7% 0. 0 0. 1 123. 4 20. 7 1. 7 2. 9 5. 27 2. 20 386. 80 437. 35 12% 11. 7 14. 4 30. 1 24. 5 0. 3 0. 4 420. 00 312. 20 2. 98 243. 80 286. 73 15% 8. 3 9. 1 29. 4 26. 7 3. 0 3. 4 286. 20 206. 00 -3. 64 57. 60 77. 51 26% 9. 5 10. 5 6. 1 5. 5 5. 4 5. 8 86. 45 45. 05 -22. 48 76. 75 109. 32 30% 8. 4 9. 5 8. 3 7. 3 3. 1 3. 6 101. 00 69. 00 -16. 67 4. 04 4. 34 7% 0. 2 0. 3 16. 4 10. 7 3. 6 4. 8 6. 40 3. 20 -13. 86 14. 48 18. 28 21% 1. 9 2. 0 6. 8 6. 7 6. 7 6. 8 18. 26 11. 96 -11. 06 79. 60 90. 24 12% 4. 6 4. 9 17. 3 16. 4 4. 0 4. 1 92. 95 65. 00 -2. 81 1. 05 1. 08 2% 0. 0 0. 0 13. 5 13. 5 0. 8 0. 9 1. 49 0. 44 23. 53 23. 80 29. 14 18% 2. 7 2. 8 8. 9 8. 5 5. 9 6. 2 35. 90 20. 30 -12. 01 137. 40 148. 34 7% 11. 2 11. 3 12. 2 12. 2 6. 0 6. 3 212. 60 124. 40 -14. 66 13. 88 13. 78 -1% 0. 5 0. 5 30. 8 28. 5 2. 7 2. 8 18. 04 11. 74 -8. 80 51. 00 75. 81 33% 3. 3 5. 5 15. 4 9. 3 5. 6 6. 1 102. 80 45. 00 -29. 56 16. 56 21. 09 21% 1. 1 1. 1 15. 5 14. 5 4. 7 4. 9 20. 50 13. 78 -3. 16 14. 70 19. 83 26% 2. 0 2. 1 7. 4 7. 1 4. 0 4. 1 23. 95 12. 04 -25. 83 26. 25 33. 03 21% 4. 2 4. 7 6. 3 5. 6 4. 5 5. 3 31. 00 21. 80 -13. 51 50. 35 57. 58 13% 3. 3 3. 3 15. 2 15. 1 5. 6 5. 6 58. 50 41. 60 -11. 67 31. 70 39. 66 20% 3. 3 3. 0 9. 7 10. 5 5. 8 5. 9 46. 41 26. 95 -17. 12 4. 87 6. 09 20% 1. 0 1. 1 4. 3 4. 2 6. 6 6. 9 6. 73 4. 20 -12. 09 2. 21 3. 00 26% 0. 4 0. 4 5. 3 5. 1 5. 0 5. 2 3. 62 1. 98 -28. 48 5. 32 7. 55 30% 0. 4 0. 5 11. 6 10. 1 3. 0 3. 4 10. 50 3. 84 -27. 52 16. 58 18. 44 10% 1. 6 1. 7 10. 4 9. 7 4. 5 5. 0 26. 10 14. 82 -4. 71 0. 61 NA NA -0. 3 -0. 1 N/A NA N/A NA 1. 76 0. 54 -61. 15 42. 15 47. 27 11% 1. 4 1. 9 29. 6 22. 3 2. 9 3. 1 55. 75 38. 00 -8. 47 10. 08 12. 42 19% 0. 7 1. 4 14. 5 7. 2 5. 6 6. 1 15. 04 8. 03 -10. 95 36. 60 40. 23 9% 0. 8 1. 1 43. 7 30. 5 0. 8 1. 3 46. 10 30. 45 -15. 08 8. 87 12. 51 29% 0. 8 0. 9 11. 1 9. 8 5. 8 6. 0 13. 86 7. 46 -16. 95 32. 80 40. 70 19% 3. 5 4. 1 8. 5 7. 2 3. 7 4. 3 40. 45 27. 05 -15. 46 8. 99 13. 79 35% 1. 1 1. 3 8. 0 6. 7 6. 7 6. 7 16. 94 7. 89 -31. 79 8. 46 12. 89 34% 1. 8 2. 0 4. 8 4. 3 8. 0 9. 0 11. 80 6. 42 -22. 67 1. 65 2. 18 24% 0. 1 0. 1 23. 5 13. 5 0. 0 0. 0 3. 49 1. 44 -38. 20 8. 49 10. 40 18% -1. 2 0. 6 N/A 13. 6 0. 6 2. 8 14. 06 7. 56 -26. 30 7. 92 N/A N/A 1. 8 2. 0 4. 4 4. 0 5. 7 6. 2 12. 18 7. 40 -23. 99 3. 86 6. 88 44% 0. 1 0. 1 5. 3 5. 0 1. 0 1. 0 9. 41 3. 30 -39. 50 0. 90 N/A N/A 0. 0 0. 0 N/A NA 0. 0 0. 0 2. 23 0. 76 -40. 40 0. 37 N/A N/A N/A N/A N/A N/A N/A N/A 1. 10 0. 32 -51. 95 72. 40 87. 35 17% 0. 5 0. 6 17. 8 15. 2 0. 3 0. 3 88. 50 60. 05 -11. 49 28. 70 41. 28 30% 0. 2 0. 3 21. 3 13. 0 0. 9 0. 9 45. 45 25. 15 -31. 09 45. 95 59. 22 22% 1. 8 3. 1 25. 6 14. 8 1. 3 1. 9 62. 75 36. 62 -19. 12 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 and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. As of Wednesday, April 08, 2020, the chartist, Stephen Soo, who prepared this report, has interest in the following securities covered in this report: (a) nil Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 3 of 3