Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: WILSON & YORK | Price Call: BUY | Target Price: 6.00 |
Showing posts with label APM. Show all posts
Showing posts with label APM. Show all posts
December 4, 2012
August 27, 2012
APM Automotive Holdings Bhd RR 2Q FY2012
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: WILSON & YORK | Price Call: BUY | Target Price: 6.00 |
April 30, 2012
APM Automotive Holdings Initiation Rpt Apr 2012
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: WILSON & YORK | Price Call: BUY | Target Price: 6.00 |
April 18, 2012
Automotive Sector - March's vehicle sales down 15% y-o-y
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
Stock Name: MBMR
Company Name: MBM RESOURCES BHD
Automotive Sector - March's vehicle sales down 15% y-o-y
According to the Malaysian Automotive Association (MAA), March 2012's motor vehicles sales was recorded at 53,583 units (-15.3% y-o-y from March 2011's 63,264 units). On a month-to-month basis, March's sales came in higher compared with the previous two months (January: 40,948 units and February: 44,013 units), which is within our expectations as sales picked up after the holiday season in January and February.
This brings total sales volume for 1Q12 to 138,544 units (-12.6% y-o-y from 1Q11's 158,432 units). We maintain our 2012 TIV forecast of 606,507 units (+1.1% y-o-y). Our top sector picks are MBM Resources
(Buy; TP RM6.10) and APM Automotive (Buy; TP RM5.60).
APM Automotive; Buy; RM4.68
Price Target: RM5.60; APM MK
Setting foot in IndonesiaAPM has announced to Bursa yesterday that it has received government approval from Indonesia for the establishment of 100%-owned PT APM Auto Components Indonesia (PT APMACI) with a paid-up and issued share capital of US$8m. To be located on an industrial lot with land area measuring approximately 38,077 sq meters at Suryacipta Industrial City in Karawang, West Java, the new subsidiary will manufacture and sell automotive heat exchange products, namely, air-conditioning cooling system, evaporators, condensers, cooling modules and radiators for the Indonesian market.
Total investment outlay for the project is estimated at approximately US$10.9m (RM33.5m), to be financed by internal funds with the facility due for completion by end-2012 and operations commencing by 2Q13. APM's venture into the Indonesian market is in-line with our expectations under the group's long-term strategic growth plan. However, given the stated timeline, meaningful contributions from Indonesia is expected to be felt only after FY13. We are maintaining our revenue forecasts for the Group at RM1.25bn (+5.5% y-o-y) in FY12 and RM1.33bn (+6.5% y-o-y) in FY13, with APM's operations outside Malaysia contributing RM125m (+11.0% y-o-y) this year and RM130m (+15.0% y-o-y) next year.
Maintain Buy at RM5.60 TP pegged to 9x FY12F EPS of 62 sen.
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: HWANGDBS | Price Call: BUY | Target Price: 5.60 |
Stock Name: MBMR
Company Name: MBM RESOURCES BHD
| Research House: HWANGDBS | Price Call: BUY | Target Price: 6.10 |
Automotive Sector - March's vehicle sales down 15% y-o-y
According to the Malaysian Automotive Association (MAA), March 2012's motor vehicles sales was recorded at 53,583 units (-15.3% y-o-y from March 2011's 63,264 units). On a month-to-month basis, March's sales came in higher compared with the previous two months (January: 40,948 units and February: 44,013 units), which is within our expectations as sales picked up after the holiday season in January and February.
This brings total sales volume for 1Q12 to 138,544 units (-12.6% y-o-y from 1Q11's 158,432 units). We maintain our 2012 TIV forecast of 606,507 units (+1.1% y-o-y). Our top sector picks are MBM Resources
(Buy; TP RM6.10) and APM Automotive (Buy; TP RM5.60).
APM Automotive; Buy; RM4.68
Price Target: RM5.60; APM MK
Setting foot in IndonesiaAPM has announced to Bursa yesterday that it has received government approval from Indonesia for the establishment of 100%-owned PT APM Auto Components Indonesia (PT APMACI) with a paid-up and issued share capital of US$8m. To be located on an industrial lot with land area measuring approximately 38,077 sq meters at Suryacipta Industrial City in Karawang, West Java, the new subsidiary will manufacture and sell automotive heat exchange products, namely, air-conditioning cooling system, evaporators, condensers, cooling modules and radiators for the Indonesian market.
Total investment outlay for the project is estimated at approximately US$10.9m (RM33.5m), to be financed by internal funds with the facility due for completion by end-2012 and operations commencing by 2Q13. APM's venture into the Indonesian market is in-line with our expectations under the group's long-term strategic growth plan. However, given the stated timeline, meaningful contributions from Indonesia is expected to be felt only after FY13. We are maintaining our revenue forecasts for the Group at RM1.25bn (+5.5% y-o-y) in FY12 and RM1.33bn (+6.5% y-o-y) in FY13, with APM's operations outside Malaysia contributing RM125m (+11.0% y-o-y) this year and RM130m (+15.0% y-o-y) next year.
Maintain Buy at RM5.60 TP pegged to 9x FY12F EPS of 62 sen.
April 5, 2012
RHB Sector Update - Motor
Stock Name: MBMR
Company Name: MBM RESOURCES BHD
Stock Name: TCHONG
Company Name: TAN CHONG MOTOR HOLDINGS BHD
Stock Name: UMW
Company Name: UMW HOLDINGS BHD
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
Stock Name: PROTON
Company Name: PROTON HOLDINGS BHD
Stock Name: DRBHCOM
Company Name: DRB-HICOM BHD
Source: RHB Research - 5 April 2012
Company Name: MBM RESOURCES BHD
| Research House: RHB | Price Call: BUY | Target Price: 5.05 |
Stock Name: TCHONG
Company Name: TAN CHONG MOTOR HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 4.20 |
Stock Name: UMW
Company Name: UMW HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 7.30 |
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 4.50 |
Stock Name: PROTON
Company Name: PROTON HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 5.50 |
Stock Name: DRBHCOM
Company Name: DRB-HICOM BHD
| Research House: RHB | Price Call: BUY | Target Price: 3.45 |
Motor ' Awaiting NAP v3.0 Neutral
Sector Update
MBM Resources ' Fair value RM5.05 Outperform
Tan Chong ' Fair value RM4.20 Market Perform
UMW ' Fair value RM7.30 Market Perform
APM ' Fair value RM4.50 Market Perform
Proton ' Fair value RM5.50 Market Perform
DRB-HICOM ' Fair value RM3.45 Outperform
- The auto industry made a shaky start to 2012 with total industry volume (TIV) in Jan declining 14.7% and 25.2% mom and yoy respectively. The softer sales were attributed to seasonal factors given the earlier than usual Lunar New Year holidays, the more stringent financing guidelines implemented by Bank Negara Malaysia (BNM) and the lingering effects of component supply disruption arising from the floods in Thailand .
Source: RHB Research - 5 April 2012
April 4, 2012
APM - Cheap drive
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
APM Automotive; Buy; RM4.57
Price Target: RM5.60 (Prev RM4.60); APM MK
Raised FY12/13F earnings by 10%/15% on strong OEM and export segments, and synergies with local auto assemblers. Valuation cheap at 7x forward PE (4x ex-cash PE). Upgrade to Buy, raised TP to RM5.60; FY12F net dividend yield of 3%, possible special cash dividend.
Source: HwangDBS Reserach - 4 April 2012
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: HWANGDBS | Price Call: BUY | Target Price: 4.57 |
APM Automotive; Buy; RM4.57
Price Target: RM5.60 (Prev RM4.60); APM MK
Raised FY12/13F earnings by 10%/15% on strong OEM and export segments, and synergies with local auto assemblers. Valuation cheap at 7x forward PE (4x ex-cash PE). Upgrade to Buy, raised TP to RM5.60; FY12F net dividend yield of 3%, possible special cash dividend.
Source: HwangDBS Reserach - 4 April 2012
February 27, 2012
APM - A better year ahead
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
APM Automotive; Hold; RM4.31
Price Target: RM4.60; APM MK
Net profit of RM37.2m was above our expectations; net DPS of 16.5sen proposed. DPS of 16.5sen was proposed for the quarter (final+special). Maintain Hold with RM4.60 TP.
Source: HwangDBS Research 27 Feb 2012
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: HWANGDBS | Price Call: HOLD | Target Price: 4.60 |
APM Automotive; Hold; RM4.31
Price Target: RM4.60; APM MK
Net profit of RM37.2m was above our expectations; net DPS of 16.5sen proposed. DPS of 16.5sen was proposed for the quarter (final+special). Maintain Hold with RM4.60 TP.
Source: HwangDBS Research 27 Feb 2012
APM Automotive - Dividend surprise, earnings ahead of consensus BUY
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: AMMB | Price Call: BUY | Target Price: 6.50 |
' We re-affirm our BUY rating on APM Automotive (APM) at unchangedfair value of RM6.50/share following the release of its 4Q11 results lastFriday. Our valuation continues to peg APM at 7x ex-cash FY12F earnings.
' APM reported net profit of RM37mil, which brought full yearcore earnings to RM127mil. This was within our estimates but was way ahead ofconsensus accounting for 100% and 111% of full year estimates respectively.APM's FY11F core earnings trajectory is in fact a year ahead, meeting evenconsensus' FY12F projection of RM127mil.
' More importantly, APM surprised the market with its dividends(and by that, vindicating our thesis of a step-up in dividend payout over thenext 3 years). APM announced a final dividend of 12sen/share, and on top ofthat, a special dividend of 10sen/share. These brought total FY11 dividends to32sen/share (a whopping 60% increase against FY10 total dividend of20sen/share). This brings dividend yield to an attractive 7%. Management guidesfor more active capital management going forward.
' A strong balance sheet and inefficient capital management inthe past suggests further step-up in dividends. To fund potential equityraising at Warisan TC (APM's sister company) we believe TCC (APM's holdingcompany) is shifting up cash from APM given: (1) APM's idle cash hoard(RM365mil) which puts a drag on ROE; positions it best for cash extraction byTCC; (2) Unutilized tax credit of RM90mil expiring in 2013. We project higherdividends for FY12F at 40sen/share (9% div yield).
' However, tighter credit approvals since January could posedownside earnings risk ' though we doubt this will have any material impact ondividend payout. We estimate that every 1% reduction in FY12F TIV will impactearnings by 1.4%.
' Notwithstanding this, recently secured JV with IAC (InternationalAutomotive Components) allows APM access to the huge Thai auto part market. Weestimate revenue of circa RM107mil/annum from the Thai JV and RM63mil/annumfrom the Malaysian JV. At 10% net margin, we expect both JVs to driveRM8mil/annum incremental earnings to APM, (net of IAC's 60% stake in the ThaiJV and 40% stake in the Malaysian JV) ' which could raise FY12F-13F earnings by4%-5%.
' At just 6x, FY12F earnings and 19% earnings CAGR over FY11F-13F,we believe APM is positioned as an attractive play into ASEAN's TIV growthmomentum. Hirotako's GO at 10x PE is at a 70% premium to APM, reflecting increasingappetite for auto parts players as a proxy to the influx of foreign marquesinto the region.
Source: AmeSecurities
January 18, 2012
RHBInvest Research Highlights 18th January 2012
Stock Name: IJM
Company Name: IJM CORPORATION BHD
Stock Name: TENAGA
Company Name: TENAGA NASIONAL BHD
Stock Name: AXREIT
Company Name: AXIS REITS
Stock Name: FAJAR
Company Name: FAJARBARU BUILDER GRP BHD
Stock Name: MBMR
Company Name: MBM RESOURCES BHD
Stock Name: TCHONG
Company Name: TAN CHONG MOTOR HOLDINGS BHD
Stock Name: UMW
Company Name: UMW HOLDINGS BHD
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
Stock Name: PROTON
Company Name: PROTON HOLDINGS BHD
Stock Name: DRBHCOM
Company Name: DRB-HICOM BHD
Company Name: IJM CORPORATION BHD
| Research House: RHB | Price Call: SELL | Target Price: 4.48 |
Stock Name: TENAGA
Company Name: TENAGA NASIONAL BHD
| Research House: RHB | Price Call: HOLD | Target Price: 6.50 |
Stock Name: AXREIT
Company Name: AXIS REITS
| Research House: RHB | Price Call: HOLD | Target Price: 2.72 |
Stock Name: FAJAR
Company Name: FAJARBARU BUILDER GRP BHD
| Research House: RHB | Price Call: HOLD | Target Price: 0.86 |
Stock Name: MBMR
Company Name: MBM RESOURCES BHD
| Research House: RHB | Price Call: BUY | Target Price: 3.90 |
Stock Name: TCHONG
Company Name: TAN CHONG MOTOR HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 4.40 |
Stock Name: UMW
Company Name: UMW HOLDINGS BHD
| Research House: RHB | Price Call: SELL | Target Price: 6.20 |
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 4.30 |
Stock Name: PROTON
Company Name: PROTON HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 5.50 |
Stock Name: DRBHCOM
Company Name: DRB-HICOM BHD
| Research House: RHB | Price Call: HOLD | Target Price: 2.20 |
18th January 2012
| Top Story |
| IJM Corp ' Kajang- Seremban Highway not living up a cash cow Underperform Company Update - FY03/12-14 net profit forecasts are trimmed by 3% p.a., having imputed share of RM20m net loss p.a. from Lekas. Fair value reduced by 2% from RM4.59 to RM4.48. Maintain Underperform. - Related story : IJM Corp Results/Briefing Note ' 1HFY03/12 Core Net Profit Grows 11% YoY, Slight Delays In WCE and NPE Extension (29 Nov 2011) |
| |
| Sector Update |
| Motor ' A better 2012 Underweight Sector Update MBM Resources ' Fair value RM3.90 Outperform Tan Chong ' Fair value RM4.40 Market Perform UMW ' Fair value RM6.20 Underperform APM ' Fair value RM4.30 Market Perform Proton ' Fair value RM5.50 Market Perform DRB-HICOM ' Fair value RM2.20 Market Perform - MAA (Malaysian Automotive Association) guidance is for Jan 2012 vehicle sales to improve slightly given ongoing promotional campaigns and the seasonal rush to deliver new vehicles ahead of the Lunar New Year holidays. We are revising our 2012 TIV forecast to 612,000 units (+2% yoy) from 607,000 units on the back of RHBRI's 3.6% GDP growth forecast and 5.3% rise in consumption spending. - Related story: Motor Sector Update ' Seasonal Slump And Floods Hit Sales (20 Dec 2011) |
| |
| Corporate Highlights |
| TNB ' On recovery path Market Perform Results / Briefing Note - FY12 core earnings forecast raised by 22% after imputing an additional 50 mmscfd of gas to be received by TNB beginning Mar. Fair value revised to RM6.50 (from RM6.15) based on unchanged target CY12 PER of 15x. Maintain Market Perform. - Related story: TNB Results Preview ' Slight improvement in 1Q (16 Jan 2012) Axis REIT ' More asset acquisitions in the pipeline Market Perform Briefing Note - Axis REIT is currently looking at 11 potential assets totalling RM545m that could be injected into the REIT over the next 2 years, with half targeted to be acquired by end-2012. - Our EPS forecasts have been revised slightly by 0.8-1.1% for FY12-14 after we factor in lower interest expenses. We raise our fair value slightly to RM2.72 (from Rm2.70) after revising our FY12 DPU estimates. Maintain market Perform. - Related stories: Axis REIT 4Q11 Results Note ' Total DPU of 17.2 sen for FY11 (17 Jan 2011); Axis REIT News Update ' Acquisition in Bayan Lepas (27 Oct 2011); Axis REIT News Update ' New Acquisition in Penang (29 Sep 2011) Fajarbaru ' Completes private placement of 15m new shares at RM0.90/share Market Perform Company Update - Fajarbaru has completed a private placement of 15m new shares at RM0.90 per share. - The RM13.5m gross proceeds from the exercise will increase its net cash of RM24.2m as at 31 - Fair value is reduced by 5% from RM0.91 to RM0.86. Maintain Market Perform. - Related story: Fajarbaru News Update ' Lands RM62m Sewerage Treatment Plant Job In Selangor (22 Dec 2011) |
December 7, 2011
RHBInvest Research Highlights 07th December 2011
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 4.30 |
07th December 2011
| | ||||||||||||||||||||||||||||
| MALAYSIA EQUITIES |
| |||||||||||||||||||||||||||
| APM VISIT NOTE Dividend potential to support share price We see APM facing a challenging year in 2012 with pressure on both costs and pricing, with the recent strength of the JPY and US$ raising pressure on margins. APM also faces renewed pressure on pricing from OEM customers continually looking to cost down. While we see multiple growth opportunities for APM, some of these can only be realised in the medium term from 2013 and beyond. Investor interest in APM could be sustained by the possibility of a higher dividend payout considering its consolidated net cash position of RM361.6m at end-Sep. We reiterate our Market Perform call and revise our fair value estimate to RM4.30 (from RM4.50). Our conservative dividend estimates already imply a 5% annual gross yield that should help support the share price. Related story: APM Results Note ' 3Q11 Earnings Disappoint (18 Nov 2011) MRCB NEWS UPDATE Formally appointed PDP of River Of Life project Related story: MRCB News Update ' Lands RM40.3m Perai River Estuary Rehabilitation Project (1 Dec 2011) | ||||||||||||||||||||||||||||
November 16, 2011
New opportunities for APM Automotive in 2012
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
APM Automotive Holdings Bhd
(Nov 16, RM4.40)
Upgrade to market perform at RM4.44 with revised fair value of RM4.50 (from RM4.20): APM is due to announce its 3QFY11 results after market close today. We are looking for a quarterly net profit of about RM32 million, flat year-on-year (y-o-y) but up about 14% q-o-q. This follows a relatively lacklustre 2QFY11 caused by the combined effects of the supply disruption from the Japan earthquake and the amendments to the Hire Purchase Act that resulted in delays in vehicle registrations. A sequential improvement in earnings is expected given the 10.3% q-o-q recovery in total industry volumes (TIV) during the September quarter that was prompted by the good market response to the launch of the new Myvi by Perusahaan Otomobil Kedua Sdn Bhd (Perodua) in mid-June. The new Myvi helped to lift Perodua's (APM's largest customer) sales 41.2% q-o-q during the September quarter. APM's overseas revenue, mainly from Indonesia and Australia, should improve as a result of the normalisation of component supplies. In particular, APM's Indonesian business looks to be in a sweet spot with domestic auto sales heading for another record year after a 17.5% y-o-y increase in TIV to 659,857 units for the nine months to September.
APM recently announced two new joint venture agreements (JVA) with the International Automotive Components Group (IAC) to manufacture automotive interior plastic components and systems for domestic and multinational original equipment manufacturers (OEMs) in Malaysia (60%) and Thailand (40%). Associate contributions from the Thai JV will only begin in 2013 given the 18-month lead time. APM will also supply components to DRB-Hicom Bhd for its completely knock-down (CKD) Volkswagen project. In the longer term, APM is well-positioned to reap the benefits of increased efforts by OEM auto manufacturers to geographically diversify and improve their supply chain redundancies after the natural disasters experienced by Japan and Thailand this year.
Our 2011 forecast is unchanged although 2012 estimates have been raised 6.6% and 2013 by 10% after factoring in contributions from the new JVs with IAC. Key risks include lower car sales and unfavourable forex trends.
We upgrade our call on the stock to 'market perform' (from 'underperform'). Our fair value estimate is RM4.50 (from RM4.20) derived from applying a 6.5 times target price-earnings ratio to 2012 earnings (unchanged). Our target PER is a 16% discount to the five-year average PER of 7.8 times that we consider to be fair, given the 5.8% 2010/13 earnings compound annual growth rate. ' RHB Research, Nov 16
This article appeared in The Edge Financial Daily, November 17, 2011.
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 4.50 |
APM Automotive Holdings Bhd
(Nov 16, RM4.40)
Upgrade to market perform at RM4.44 with revised fair value of RM4.50 (from RM4.20): APM is due to announce its 3QFY11 results after market close today. We are looking for a quarterly net profit of about RM32 million, flat year-on-year (y-o-y) but up about 14% q-o-q. This follows a relatively lacklustre 2QFY11 caused by the combined effects of the supply disruption from the Japan earthquake and the amendments to the Hire Purchase Act that resulted in delays in vehicle registrations. A sequential improvement in earnings is expected given the 10.3% q-o-q recovery in total industry volumes (TIV) during the September quarter that was prompted by the good market response to the launch of the new Myvi by Perusahaan Otomobil Kedua Sdn Bhd (Perodua) in mid-June. The new Myvi helped to lift Perodua's (APM's largest customer) sales 41.2% q-o-q during the September quarter. APM's overseas revenue, mainly from Indonesia and Australia, should improve as a result of the normalisation of component supplies. In particular, APM's Indonesian business looks to be in a sweet spot with domestic auto sales heading for another record year after a 17.5% y-o-y increase in TIV to 659,857 units for the nine months to September.
APM recently announced two new joint venture agreements (JVA) with the International Automotive Components Group (IAC) to manufacture automotive interior plastic components and systems for domestic and multinational original equipment manufacturers (OEMs) in Malaysia (60%) and Thailand (40%). Associate contributions from the Thai JV will only begin in 2013 given the 18-month lead time. APM will also supply components to DRB-Hicom Bhd for its completely knock-down (CKD) Volkswagen project. In the longer term, APM is well-positioned to reap the benefits of increased efforts by OEM auto manufacturers to geographically diversify and improve their supply chain redundancies after the natural disasters experienced by Japan and Thailand this year.
Our 2011 forecast is unchanged although 2012 estimates have been raised 6.6% and 2013 by 10% after factoring in contributions from the new JVs with IAC. Key risks include lower car sales and unfavourable forex trends.
We upgrade our call on the stock to 'market perform' (from 'underperform'). Our fair value estimate is RM4.50 (from RM4.20) derived from applying a 6.5 times target price-earnings ratio to 2012 earnings (unchanged). Our target PER is a 16% discount to the five-year average PER of 7.8 times that we consider to be fair, given the 5.8% 2010/13 earnings compound annual growth rate. ' RHB Research, Nov 16
This article appeared in The Edge Financial Daily, November 17, 2011.
October 20, 2011
APM falls on downbeat auto sector outlook
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
KUALA LUMPUR: Auto parts supplier APM fell 3.9% on Thursday, Oct 20 on the downbeat outlook for the domestic sector as analysts viewed the weak market sentiment may see consumers avoiding discretionary stocks.
At 3.12pm, APM was down 19 sen to RM4.60. There were 137,100 shares done.
The 30-stock FBM KLCI, of which APM is not a component, fared worse. It fell 16.12 points to 1,434.13. Turnover was 890.64 shares valued at RM630.69 million. There were 142 gainers, 531 losers and 206 stocks unchanged.
RHB Research Institute was negative on prospects for the motor sector in 2012 on the back of rising global macroeconomic uncertainties and escalating downside risks to equity valuations.
'Investor sentiment surrounding the motor sector going into 4Q11 is likely to remain weak, with the market's increasingly defensive posture not favouring consumer discretionary stocks,' it said.
RHB Research had an under perform rating on APM and fair value of RM4.20.
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: RHB | Price Call: SELL | Target Price: 4.20 |
KUALA LUMPUR: Auto parts supplier APM fell 3.9% on Thursday, Oct 20 on the downbeat outlook for the domestic sector as analysts viewed the weak market sentiment may see consumers avoiding discretionary stocks.
At 3.12pm, APM was down 19 sen to RM4.60. There were 137,100 shares done.
The 30-stock FBM KLCI, of which APM is not a component, fared worse. It fell 16.12 points to 1,434.13. Turnover was 890.64 shares valued at RM630.69 million. There were 142 gainers, 531 losers and 206 stocks unchanged.
RHB Research Institute was negative on prospects for the motor sector in 2012 on the back of rising global macroeconomic uncertainties and escalating downside risks to equity valuations.
'Investor sentiment surrounding the motor sector going into 4Q11 is likely to remain weak, with the market's increasingly defensive posture not favouring consumer discretionary stocks,' it said.
RHB Research had an under perform rating on APM and fair value of RM4.20.
October 19, 2011
RHBInvest Research Highlights 19th October 2011
Stock Name: MBMR
Company Name: MBM RESOURCES BHD
Stock Name: TCHONG
Company Name: TAN CHONG MOTOR HOLDINGS BHD
Stock Name: DRBHCOM
Company Name: DRB-HICOM BHD
Stock Name: UMW
Company Name: UMW HOLDINGS BHD
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
Stock Name: PROTON
Company Name: PROTON HOLDINGS BHD
Company Name: MBM RESOURCES BHD
| Research House: RHB | Price Call: SELL | Target Price: 2.65 |
Stock Name: TCHONG
Company Name: TAN CHONG MOTOR HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 4.50 |
Stock Name: DRBHCOM
Company Name: DRB-HICOM BHD
| Research House: RHB | Price Call: HOLD | Target Price: 1.90 |
Stock Name: UMW
Company Name: UMW HOLDINGS BHD
| Research House: RHB | Price Call: SELL | Target Price: 5.70 |
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: RHB | Price Call: SELL | Target Price: 4.20 |
Stock Name: PROTON
Company Name: PROTON HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 2.90 |
19th October 2011
Top Story: Fitters ' "Green" ambition not derailed by "red" market Not Rated
Visit Note
'' Fitters remains committed to its green energy ventures but funding will now have to come predominantly from debt instead of equity on the back of a depressed stock market.
Sector Call
Motor: Seasonal hangover Underweight
Sector Update
MBM Resources: Fair value maintained at RM2.65 Underperform
Tan Chong: Fair value maintained at RM4.50 Market Perform
DRB-HICOM: Fair value maintained at RM1.90 Market Perform
UMW: Fair value maintained at RM5.70 Underperform
APM: Fair value maintained at RM4.20 Underperform
Proton: Fair value maintained at RM2.90 Market Perform
Corporate Highlights
Top Glove: Plans to diversify upstream Market Perform
Briefing Note
'' Management believes that the current oversupply situation is set to continue as glove manufacturers expanded too aggressively during the short-lived H1N1 epidemic in 2009. Management estimates it may take the industry may take about 1-3 years to absorb the excess capacity.
CI Holdings: Minimum dividend of RM4/share post-disposal of Permanis Trading Buy
Company Update
'' According to CIH's circular to shareholders pertaining to its disposal of Permanis to Asahi, we understand that CIH intends to distribute at least RM568m or RM4/share or 71% of its net proceeds in cash dividends to shareholders. The dividends would be paid out immediately upon the completion of the disposal.
Mah Sing: A road trip to Rawang Underperform
Company Update
'' We went on a road trip to Mah Sing's site in Rawang yesterday. It took about 40 minutes to arrive from Southgate @ Sg Besi by bus. Our visit reinforces our positive view on the acquisition, given the decent distance and the amenities nearby, which include the under-construction Jusco mall, government primary school, as well as the established neighbourhood and commercial shops. Over the longer term, M Residence @ Rawang will also be able to tap on the rising population flow in RRI Sungai Buloh land once the MRT line is completed.
Fajarbaru: Lands RM166.4m building job for Ampang 210 Medical Suite Outperform
News Update
'' Fajarbaru has secured a RM166.4m contract for the construction of Ampang 210 Medical Suite in KL.
Genting Malaysia : Resorts World New York to open on 28 Oct Outperform
News Update
'' Resorts World Casino New York City (RWNY) will open its doors at 1:00 p.m. ( New York time) on 28 October 2011. As the first phase, RWNY will open Times Square Casino on the first floor with 2,485 electronic slot machines (Video Lottery Terminals or VLTs) and Electronic Table Games (ETGs). In the next two months and as part of the second phase, RWNY will open the 5th Avenue Casino and Crockfords Casino on the second floor, as well as Central Park Events Center , which will have an additional 2,515 VLTs and ETGs.
September 21, 2011
RHBInvest Research Highlights 21st September 2011
Stock Name: MBMR
Company Name: MBM RESOURCES BHD
Stock Name: TCHONG
Company Name: TAN CHONG MOTOR HOLDINGS BHD
Stock Name: DRBHCOM
Company Name: DRB-HICOM BHD
Stock Name: UMW
Company Name: UMW HOLDINGS BHD
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
Stock Name: PROTON
Company Name: PROTON HOLDINGS BHD
Company Name: MBM RESOURCES BHD
| Research House: RHB | Price Call: HOLD | Target Price: 3.25 |
Stock Name: TCHONG
Company Name: TAN CHONG MOTOR HOLDINGS BHD
| Research House: RHB | Price Call: BUY | Target Price: 5.50 |
Stock Name: DRBHCOM
Company Name: DRB-HICOM BHD
| Research House: RHB | Price Call: BUY | Target Price: 2.95 |
Stock Name: UMW
Company Name: UMW HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 7.35 |
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 5.10 |
Stock Name: PROTON
Company Name: PROTON HOLDINGS BHD
| Research House: RHB | Price Call: SELL | Target Price: 2.50 |
21st September 2011
Top Story: Petronas Gas ' Dividend payout assured despite cash outflow Market Perform
Visit Note
'' Management echoed market expectations that gas supply should return to normal once the bypass from the damaged Bekok-C platform is completed by end-Sep.
Sector Call
Motor: On the rebound Neutral
Sector Update
MBM Resources: Fair value maintained at RM3.25 Market Perform
Tan Chong: Fair value maintained at RM5.50 Outperform
DRB-HICOM: Fair value maintained at RM2.95 Outperform
UMW: Fair value maintained at RM7.35 Market Perform
APM: Fair value maintained at RM5.10 Market Perform
Proton: Fair value maintained at RM2.50 Underperform
Corporate Highlights
Evergreen Fibreboard: Diversifying into solid timber Underperform
News Update
'' Evergreen has entered into a share subscription agreement with Craft Master Timber Products S/B (CMTP), Lau Yng Yng and Lim Sock Ling to subscribe for 7,012,500 new ordinary shares in CMTP (equivalent to 51% stake) for RM7m cash. CMTP is a newly-incorporated company to carry out the business in manufacturing of solid wooden furniture parts and finger jointing.
August 24, 2011
RHBInvest Research Highlights 24th August 2011
Stock Name: DRBHCOM
Company Name: DRB-HICOM BHD
Stock Name: TCHONG
Company Name: TAN CHONG MOTOR HOLDINGS BHD
Stock Name: UMW
Company Name: UMW HOLDINGS BHD
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
Stock Name: PROTON
Company Name: PROTON HOLDINGS BHD
Stock Name: DIALOG
Company Name: DIALOG GROUP BHD
Stock Name: PCHEM
Company Name: PETRONAS CHEMICALS GROUP BHD
Stock Name: PETGAS
Company Name: PETRONAS GAS BHD
Company Name: DRB-HICOM BHD
| Research House: RHB | Price Call: BUY | Target Price: 2.95 |
Stock Name: TCHONG
Company Name: TAN CHONG MOTOR HOLDINGS BHD
| Research House: RHB | Price Call: BUY | Target Price: 5.50 |
Stock Name: UMW
Company Name: UMW HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 7.35 |
Stock Name: APM
Company Name: APM AUTOMOTIVE HOLDINGS BHD
| Research House: RHB | Price Call: HOLD | Target Price: 5.10 |
Stock Name: PROTON
Company Name: PROTON HOLDINGS BHD
| Research House: RHB | Price Call: SELL | Target Price: 3.00 |
Stock Name: DIALOG
Company Name: DIALOG GROUP BHD
| Research House: RHB | Price Call: BUY | Target Price: 3.90 |
Stock Name: PCHEM
Company Name: PETRONAS CHEMICALS GROUP BHD
| Research House: RHB | Price Call: BUY | Target Price: 7.26 |
Stock Name: PETGAS
Company Name: PETRONAS GAS BHD
| Research House: RHB | Price Call: BUY | Target Price: 14.47 |
24th August 2011
Top Story: Motor ' Saved by the New Myvi Neutral
Sector Update
MBM Resources: Fair value maintained at RM3.25 Market Perform
DRB-Hicom: Fair value maintained at RM2.95 Outperform
Tan Chong: Fair value maintained at RM5.50 Outperform
UMW: Fair value maintained at RM7.35 Market Perform
APM: Fair value maintained at RM5.10 Market Perform
Proton: Fair value maintained at RM3.00 Underperform
'' According to Malaysian Automotive Association (MAA) data, vehicle sales for Jul bounced back to 50,252 units, a sharp 20.2% mom gain.
Sector Call
Oil & Gas: RM15bn North Malay Basin project Overweight
Sector Update
Dialog: Fair value at RM3.90 Outperform
Petronas Chemicals: Fair value at RM7.26 Outperform
Petronas Gas: Fair value at RM14.47 Outperform
Dayang: Fair value at RM2.33 Outperform
Petra Perdana: Fair value at RM1.15 Outperform
Wah Seong: Fair value at RM2.66 Outperform
RH Petrogas: Fair value at S$1.36 Outperform
Kencana: Fair value at RM2.99 Market Perform
SapuraCrest: Fair value at RM4.56 Market Perform
KNM: Fair value at RM0.93 Underperform
MMHE: Fair value at RM5.62 Underperform
'' Yesterday, Petronas announced that together with its partners it will be re-embarking on a RM15bn project to extract gas from nine discovered gas fields located within Blocks PM301 and PM302 in the Bergading contract area, offshore Terengganu. The project includes a new 200km pipeline to transport gas from the fields to Kerteh. The implementation is on an accelerated basis and first delivery of gas is expected by early 2013.
Corporate Results
Axiata: Toning down expectations Market Perform (down from OP)
2QFY11 Results / Briefing Note
'' Axiata's 2QFY11 core net profit of RM623.1m (-0.5% qoq, +3.5% yoy) was below our and consensus expectations, due to a stronger RM and soft earnings from Celcom.
CIMB: Expecting a better 2H Market Perform
2QFY11 Results / Briefing Note
'' Although 1H net profit accounted for 45-46.5% of our and consensus full-year net profit estimates, we expect a better 2H as management said that the group's loan and IB deal pipeline remains strong.
AirAsia: 1HFY12/11 core PBT only grows 4% on high fuel cost Market Perform
2QFY11 Results / Briefing Note
'' 1HFY12/11 core PBT came in within our forecast but missed market expectations.
MAS: A second consecutive quarter of losses in 2QFY12/11 Market Perform
2QFY11 Results / Briefing Note
'' MAS reported losses that were larger than expectations in 1HFY12/11 due to its inability to grow its yields.
Subscribe to:
Posts (Atom)