Be Informed. Be In Profit.

=MARKET BUZZ: BCT Asia Ups Malaysia's New Hoong Fatt TP; Keeps Buy Call

KUALA LUMPUR (Apr 16) -- BCT Asia Advisory raises New Hoong Fatt Holdings target price to MYR5.70, keeps Buy call on attractive valuation. Shares now +0.6% at MYR3.32, trading at 41.6% discount to its book value of MYR5.68/share as at end-2017. "Its longer-term prospects are driven by growing car population and rising middle-income class within the ASEAN region, and NHF’s more aggressive expansion into the Indonesia market," says house in investor note; expects net profit to grow 34.6% this year. The stock provides a yield of 4.2% based on total dividend of MYR0.14 for 2017. Company's capex expected to remain high on 2018-19 for new products pipelines, says house. "The investment in new product development for tooling, mould and die will typically take up MYR20-25 million each year. The remaining MYR10 million will be incurred on new machinery and upgrades," adds house.

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