they are launching the Ara Damansara property project soon (first Q of 2017). It is near LRT station
I have been accumulating this stock
the coming Q might not be that good as TRC has a habit of incurring forex losses every time Ringgit weakens (probably due to some overseas contract, etc - very annoying)
But I am looking beyond the coming Q potential weakness. I believe the Ara Damansara can trigger re rating
After including new MRT 2 contract value of 858 mils, total on hand contract surged to approx. 3600 mils, which will keep company busy for at least for another 3 years (TRC quarter revenue stood at approx- 160 to 200 mils). Expected next few quarters revenue and EPS will be in exponential growth. Take a conservative assumption of improvement of EPS of 20%, forward EPS should able to achieve 7.5 cents. Excluding the new Ara Damansara project that going to launch soon and with strong relation with government, TRC share price is seriously undervalued. Compared to its peers, TRC should valued at at least RM 0.72 (PE of 9.5) which represent another 50 percent upside. Of course, with the launch of Ara Damansara project and any new award government project, I will revise the TP again.
TRC, another undervalued gem yet to shine. TRC have broke the resistance of RM 0.5 and has hit all time high price. What is the reasonable TP for TRC after it broke the Public Bank TP of RM 0.5? Investment Analysis House has always lag behind coverage. As such , after including the all new positive catalysts. Its share price should valued at RM 0.7 at least. By taking consideration of to be launched project in Ara Damansara, buying TRC at the price of RM 0.5 is relatively safe.
All BN election campaigns have started, election is planned to be held after National Day. TRC is a unique company which has close relation with government and expected more projects will flow in during next Quarter. Join us on boat ride.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
Icon8888
18,659 posts
Posted by Icon8888 > 2017-01-12 12:02 | Report Abuse
Don't jiak sai.
This year could be good
they are launching the Ara Damansara property project soon (first Q of 2017). It is near LRT station
I have been accumulating this stock
the coming Q might not be that good as TRC has a habit of incurring forex losses every time Ringgit weakens (probably due to some overseas contract, etc - very annoying)
But I am looking beyond the coming Q potential weakness. I believe the Ara Damansara can trigger re rating
I am aiming for 30% upside by 2017