MISC; Buy; RM4.49
Price target: RM6.20 (prev RM4.80); MISC MK
On course for greater gains
Above expectations on lower container losses. Successful sale of container fleet will alleviate concerns of vessel impairments/losses for this division. Stock at -1SD of 10-year mean; BUY with higher RM6.20 TP.

Multi-Purpose Holdings; Buy; RM3.77
Price target (cum basis): RM4.80 (prev RM4.20); MPU MK
Bumper reward
Subscribe for MPHB Capital; offer price is at 54% discount to fair value of RM2.16. MPHB offers much cheaper exposure to NFO with attractive 5.7% dividend yield, potential to turn net cash sooner. Raised SOP based TP to RM4.80, pegging gaming business to BST’s valuation and imputing MPHB Capital’s fair value.

BIMB Holdings; Hold; RM3.06
Price target: RM2.80 (prev RM2.20); BIMB MK
Dampened by higher overheads
1H12 result beat our estimates due to higher-than expected non-interest income and lower provisions. Raised FY12-14 net profit by 6-7%. Maintain HOLD; TP raised to RM2.80.

Bumi Armada; Fully Valued; RM3.75
Price target: RM3.30 (prev RM3.35); BAB MK
No strong pick-up in earnings
2Q12 result was slightly below our estimate but significantly below consensus’. Cut FY12-14F earnings by 2- 7%. Maintain FULLY VALUED rating with a RM3.30 TP.

CB Industrial Product; Buy; RM2.69
Price target: RM3.00; CBP MK
Lifted by higher project billings
2Q12 net profit was within expectation at RM23.7m. Revenue growth supported by higher project billing from E&C and special purpose vehicles segments. Maintain BUY rating and RM3.00 TP; declared 10 sen interim net DPS.

KNM Group; Hold; RM0.71
Price target: RM0.70; KNMG MK
No earnings surprise
2Q12 result in line with our expectation but below consensus’. Lifted by higher project margins. Maintain HOLD rating with TP of RM0.70.

KPJ Healthcare; Fully Valued; RM6.27
Price target: RM4.80; KPJ MK
2Q12 earnings below street estimates; take profit
2Q12 profit was within our expectation at RM34.8m, but BELOW street estimates. Shrinking growth opportunities. Declared second interim single-tier DPS of 2.5 sen. Maintain FULLY VALUED and RM4.80 TP.

Malaysian Resources Corp; Buy; RM1.74
Price target: RM2.70; MRC MK
Possible reprieve for EDL
2Q12 profit was below expectation; dampened by EDL but property was strong. Catalysts: (i) RRIM, (ii) M&A, and (iii) revival of Penang Sentral development. BUY, SOP-derived TP of RM2.70.

Maybank; Buy; RM8.91
Price target: RM11.10 (prev RM10.60); MAY MK
Positive traction; topline driven
2Q12/1H12 results beat expectations, driven by strong revenues and lower costs. Declared 32sen interim DPS; 28sen is eligible for DRP. Maintain BUY; TP raised to RM11.10.

Notion VTec; Buy*; RM1.25
Price target: RM1.60*; NVB MK *under review
Uncertainty in HDD sales
9MFY12 profit was below expectation, although earnings surged 96% y-o-y. FY12F result should be strong, but expectations of a soft PC market could hurt FY13-14F earnings. Our call, earnings and TP are under review pending the analyst briefing.

Petronas Dagangan; Fully Valued; RM22.96
Price target: RM16.15; PETD MK
Weak 2Q, as expected
2Q12 profit was in line at RM171m. Expect 3Q to be stronger as MOPS prices have rebounded after falling 24% y-o-y in 2Q. Declared 17.5 sen second interim DPS. Maintain FULLY VALUED rating and RM16.15 TP, pegged to 16x FY13F EPS.

Pos Malaysia; Buy; RM2.91
Price target: RM4.60; POSM MK
Courier business remains strong
1QFY13 result within expectation; net profit jumped 71% y-o-y to RM36.8m. Earnings lifted by courier and digital certificates operations. Maintain BUY rating and RM4.60 TP; downside limited by FY14F net yield of 4.2%.

UMW Holdings; Buy*; RM10.15
Price target: RM10.15*; UMWH MK *under review
Revenue surpass RM4bn mark
2Q12 net profit in line at RM224m (+71% y-o-y). Revenue grew to RM4.1bn, led by strong growth at automotive and equipment segments. Toyota and Perodua remain key drivers. Declared 10 sen interim net DPS.

YTL Land; Hold; RM1.02
Price target: RM1.05; YTLL MK
Cruising along
Results within expectation, Capers unbilled sales to provide earnings visibility. Cut 2013-14F earnings by 8- 17% to factor in slower launches. Maintain HOLD & TP of RM1.05.

YTL Power; Hold; RM1.80
Price target: RM1.90 (prev RM1.80); YTLP MK
Lacks near term catalyst
FY12 result within our and market expectations; earnings fell because of higher costs and YES remained lossmaking. Longer term catalysts would be securing a power plant contract in Malaysia and further acquisitions. Maintain HOLD with RM1.90 TP.

Source: HwangDBS Research - 17 August 2012