Be Informed. Be In Profit.

=MARKET BUZZ: AllianceDBS Ups Malaysia’s UMW TP To MYR4.82, Keeps Fully Valued

KUALA LUMPUR (Mar 13) -- AllianceDBS Research raises UMW Holdings target price to MYR4.82 from MYR4.49, maintains Fully Valued call as “valuation remains stretched” with the stock trading at 18x price-to-2018 earnings. House says proposed acquisition of 50.07% stake in MBM Resources and a 10% stake in Perodua (Perusahaan Otomobil Kedua) are attractively priced, could lift FY19 earnings by 6%-11%. Adds, “we had already assumed better margins for the auto business in FY18 onwards to capture the strengthening of Ringgit.” UMW Holdings up 0.3% at MYR6.37, adding to Monday’s 6.7% advance.

- By Alexander Winifred;; +60320267363
- Edited By Lopamudra Bhattacharya
- Send Feedback to
- Copyright (c) 2018 Nikkei NewsRise Asia Pte Ltd.