KL Trader Investment Research Articles

AirAsia (BUY) - Announced Surprise Dividend

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Publish date: Wed, 16 May 2012, 11:28 AM
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This is a personal investment blog where I keep important research articles relating to KLSE companies.

AirAsia (BUY)

Announced Surprise Dividend

  • AirAsia announced a surprise first and final single tier dividend payment of 5 sen in relation to FY11. This translates into 1.43% net dividend yields.
  • We are positive on the dividend payout, as we believe AirAsia has reached a strong and stable growth stage, and in position to better reward shareholders.
  • We do not expect the dividend payout (~RM140m) to have any significant impact on AirAsia strong cashflow. Furthermore, AirAsia is likely to realize gains from the listing of its 49% owned AirAsia Thai unit by June 2012.
  • We believe this latest development will gradually change investors’ perception that the stock not only has high growth, but also in position to declare dividend, commencing FY10.
  • Maintain Buy on AirAsia (TP of RM4.70).

Source: Hong Leong Investment Bank Research - 16 May 2012

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Be the first to like this. Showing 3 of 3 comments

Jake

Better than the other national airline...

2012-05-16 12:32

flee8

good job Tony..

2012-05-16 13:54

goodhorse

Tony, please show MAS and the cronies how to manage an airline!!!

2012-05-16 14:10

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