Posted by invest1818 > 2014-01-08 16:37 | Report Abuse

iafx indeed there is a risk as no one can predict how the CPO price will goes but somehow MKH have 15k hectres of palm oil in Indonesia which they have planted back in 2011 and are ready to be harvest in 2014. No matter how the price goes, it will bring in additional revenue and earnings to the group. The brokerage notes that the plantation business has posted maiden profits in its financial year ended Sept 30, 2013 (FY13) and is projected to grow at 31% three-year earnings compounded annual growth rate given its young tree profile, when trees are usually most productive.

“Despite the promising prospects, MKH is only trading at five times FY15 price-to-earnings (P/E), an undeserving 70% discount to the Malaysian small-mid-cap plantation peers’ average P/E multiple,” analyst Quah He Wei writes.

As for its core business in property development, FY2013 has unbilled sales of RM 503m and there is 890M more worth on new properties in 2014.

What I like this counter is the low PE and undervaluation of it together with its potential earnings for the coming years.

PS- Buy at your own risk and judgement, solely my personal opinion. If you are not looking for undervalue and fundamental shares what are you looking for then in the stock market?

Posted by lsw99my > 2014-01-08 16:46 | Report Abuse

translation direct from goggle translate

Posted by lsw99my > 2014-01-08 16:46 | Report Abuse

Under the government implemented a number of policies to suppress unfavourable , though industries are optimistic about the market , but (MKH, 6114, mainboard industry shares ) in two key business pillars to promote adversity Fen swim upward.

Mainly in affordable housing and development areas adjacent to the MRT station , is believed to help improve its industry needs to become one of the big winners MRT project.

Early into the plantation business , and now has brought results, with oil palm plantations has entered a mature stage , the business revenue growth momentum is not negligible .

MKH -real estate developer in Kajang, in the past years, has been active in the acquisition of land and land development rights , and out of the Kajang area to enhance the status of the Greater Kuala Lumpur .

Over the past year , showing that the group carried out a number of acquisitions , and the purpose behind it, often inseparable from the delivery room as plans for future development, including : ● strategic acquisitions have in Kajang , covering about 18.3 acres Lot Development Budi Bidara Sdn Bhd shares.

● Acquire stake in Puncak Alam , Selangor, according to the contract and thus obtain (Ijok) land development rights of approximately 550 acres .
● acquisition Achieve Acres Sdn Bhd , and then participate in Semenyih approximately 10.55 acres of land development plans.
● acquisition Semenyih approximately 64 acres of land , and plans to develop a residential downtown , gross development value of 300 million ringgit.

Although the government implemented a number of housing policy in the fight over last year , but with the development of affordable housing based MKH its industrial business and not expected to pose much of a shock.

High demand for affordable housing incentives
Although the overall market outlook is not optimistic about the industrial fields , but with the MKH past performance as well as the two drivers under stress not only upstream , but analysts believe the stock is significantly undervalued .

The occasion of the active acquisition for future development , rising house prices have prompted demand for affordable housing is still sustainable , let MKH in a more favourable position.

Hwang DBS Vickers Research noted that the MRT project is in full swing , the result will have two MRT stations in Kajang , and let the group become the biggest benefit industry .

Unbilled sales of 500 million
Although there are competitors to enter the area , but the group's low cost of land and construction projects are being carried out near the MRT station , so far better than competitors , one chip, and the magnitude of expected asset value is higher than the other .

In the 2014 fiscal year , the MKH will recommend worth 890 million ringgit of new projects , as unbilled sales of 503 million ringgit.
Oil palm stable long-term gains

In 2008 began to enter the plantation business , with mature oil palm , the Group provides long-term benefits, and the next 3-4 years will bring strong growth.
Hwang DBS Vickers Research said the bullish CPO prices below and FFB production is growing rapidly , can be described as the cheapest beauty holding planting representative.

FFB production in the next three years is estimated to be achieved compound annual growth rate of 20% , and thus promote the profitability of its growing business.
Analysts expect the Group's plantation business contributed earnings before interest and tax (EBIT), from 17% in fiscal year 2013 , a substantial increase to 29% and 39% in the next two years.

In these two pillars of the business, analysts believe that the group is moving on the right track , equity returns are expected to reach 20% target in fiscal year 2016 .

19 consecutive years of profitability
25 years since the establishment of holding views and also has 19 years listed are profitable to produce transcripts, net performance with more than 100 million ringgit level in fiscal year 2013 .

Net trend over the past four years , the group from RM 30.58 million in fiscal 2010 , has gradually increased to 38.02 million ringgit, 77.41 million ringgit and 100 million 3.37 million ringgit.

Turnover from 200 million 89.22 million ringgit ( fiscal year 2010 onwards ) , increased to 300 million 42.02 million ringgit , 500 million and 600 million ringgit 55,930,000 88,300,000 ringgit.

Posted by lsw99my > 2014-01-08 16:46 | Report Abuse

Last year dividend of 10 cents
Dividends , the fiscal year 2010 to fiscal year 2012 are 5 cents per share, in fiscal year 2013 increased to 10 cents times , is the highest ever .
In Friday's closing price of 2.95 ringgit terms, the stock dividend rate of 3.4%. Standards expected equity returns , the analysts expected 201 in fiscal year may be raised to 15 cents per share , dividend rate of 5%.

It is worth mentioning that the beauty of the holding in 2010 to 2012 for three consecutive years are bonus shares.
7 billion project launched
Looking ahead , the group still has a 7 billion ringgit worth of development projects launched , which is sufficient to support its long-term earnings growth .
In addition, according to reports , the management look to grow the business further expansion in five years to expand the planting area to 100,000 hectares ( currently about 15,000 hectares ) .

Posted by iafx > 2014-01-08 16:52 | Report Abuse

while it looks all good, beware of its roe & debt level. good luck!

Posted by lsw99my > 2014-01-08 16:53 | Report Abuse

beauty of the holding mean MKH....... forget to change the last one...

Posted by Joel > 2014-01-08 16:54 | Report Abuse

Above Cina explanation all is MKH's positive news regarding future growth of it campany
beginning 2014.

Thank you to Isw99my translated for me to all investor.

Posted by nicky > 2014-01-08 19:23 | Report Abuse

Consolidate phase ?

Posted by nicky > 2014-01-09 12:31 | Report Abuse

Today down !!!

Posted by Fish888 > 2014-01-09 14:07 | Report Abuse

Buy & hold--Plantation segment likely to be profitable in FY14. MKH has planted in total 14,400ha of oil palm estates in East Kalimantan out of which 13,900 or 97% are already matured and producing FFB. We reckon that MKH is poised to deliver minimum 15% FFB growth in FY14 due to better yield produced by maturing trees. Overall, this should translate into better earnings in the plantation division.

Posted by invest1818 > 2014-01-09 14:19 | Report Abuse

Don't forget this coy shares have 65% growth on annual basis as per mentioned earlier from the star top 10 hot stocks to watch for in 2014. Without the plantation earning, is already gaining a 65% growth per annum , what would it be in 2014 if the plantation earnings kicks in? You guess. My personal opinion and risk is on your own.

Posted by Joel > 2014-01-09 14:33 | Report Abuse

Above mention (invest1818) are clear to invest in MKH.

Posted by invest1818 > 2014-01-09 14:45 | Report Abuse

For those who miss out the top 10 stocks to watch for 2014. Here it goes;http://www.thestar.com.my/Business/Business-News/2014/01/04/10-stocks-to-watch-in-2014-1-Gadang-Holdings-Bhd-3-Eco-World-Development-Group-Bhd-4-Daya-Materials/

Posted by aiman168 > 2014-01-09 14:56 | Report Abuse

going down

Posted by Joel > 2014-01-09 14:59 | Report Abuse

One of the 10 Stocks to watch in 2014 are MKH

MKH Bhd

MKH, previously known as Metro Kajang Holdings Bhd, came under the limelight after Hwang DBS Vickers Research initiated coverage, with a target price of RM5.40, providing 83% upside to its last done price of RM2.95.

The stock had since been on an upward trend, climbing some 65% year-on-year.
Before the research house issued the note, the counter came under the radar of Kenanga Research and SJ Securities Sdn Bhd.

Founder and executive chairman of MKH Tan Sri Alex Chen
A poll by Bloomberg indicates that there are three “buy” calls on the company.
Hwang DBS Vickers Research highlighted the company’s hidden value under its plantation segment.

The company had ventured into oil palm plantation with an acreage of 15,942ha in East Kalimantan since 2008.

The brokerage notes that the plantation business has posted maiden profits in its financial year ended Sept 30, 2013 (FY13) and is projected to grow at 31% three-year earnings compounded annual growth rate given its young tree profile, when trees are usually most productive.

“Despite the promising prospects, MKH is only trading at five times FY15 price-to-earnings (P/E), an undeserving 70% discount to the Malaysian small-mid-cap plantation peers’ average P/E multiple,” analyst Quah He Wei writes.

Metro Kajang is a well-known brand equity in Kajang and Semenyih. With a land bank of 202.34ha there, it is set to benefit from the rising land prices, given its low land cost and strategic tracts adjacent to two mass rapid transit (MRT) stations, he adds.

Its recorded unbilled sales of RM503mil in FY13 is underpinned by the rising demand for mid-market housing, improved connectivity via MRT and growing affluence in its focus market, Quah says, adding that RM890mil worth of new properties in FY14.

Catalysts
– Fast growing, cheap plantation play.
– Under appreciated.
– Beneficiary of MRT connectivity.
– Record unbilled sales buoyed by strong demand for affordable housing.
Risks
– Heavy focus on Kajang/Semenyih development
– Fluctuation in crude palm oil prices
– Headwinds in the property market
- By Ne Bei Shan

Posted by nightshade > 2014-01-09 15:46 | Report Abuse

all the hype created by The Star Top 10 fading.....

don't come in anymore contra players.....wake up la.....

Posted by NKN1 > 2014-01-09 15:47 | Report Abuse

next week shud be ok. tomorrow still have contra ppl to kill off

Posted by nightshade > 2014-01-09 16:00 | Report Abuse

one thing good about MKH & MKH-WB.....more people going after MKH than MKH-WB based on the volume traded, unlike BIMB & BIMB-WA......BIMB-WA volume insanely high but BIMB volume so tiny

MKH-WB, if got holding power can give significant capital should MKH appreciates further

Posted by nicky > 2014-01-09 18:37 | Report Abuse

Closed low ... Scary

Posted by lcng123 > 2014-01-09 19:26 | Report Abuse

nicky, if you are not confident with mkh, you better clear out the mkh. if you confident with it, when the share price drop, it's present an opportunity for you to accumulate at lower price and waiting for the rebound. i am waiting for mkh to drop further below rm3.00 as i still need to accumulate this counter for future.

Posted by nicky > 2014-01-09 22:03 | Report Abuse

Huh... Possible below RM3.00 ??? So better sell now then collect back later

Posted by Joel > 2014-01-09 22:44 | Report Abuse

Not so posible below rm3.00.
If I not correct, MKH will fly tomorrow ,
Hope the price will be close at rm3.27- rm3.30.

Posted by tjhldg > 2014-01-10 00:53 | Report Abuse

so many fortune teller in i3

Posted by HJey > 2014-01-10 00:57 | Report Abuse

Tj, still awake

Posted by tjhldg > 2014-01-10 01:18 | Report Abuse

hehee same same

Posted by tonylim > 2014-01-10 05:54 | Report Abuse

☆

Posted by aiman168 > 2014-01-10 09:36 | Report Abuse

hari ini sure up punyalah

Posted by NKN1 > 2014-01-10 09:56 | Report Abuse

start your engine babe...yes

Posted by lcng123 > 2014-01-10 10:28 | Report Abuse

nicky, you are wrong. nobody knows whether mkh will drop below rm3.00 or not, if so then chance for you to accumulate it. it doesn't mean you sell mkh at current price and waiting for it to drop to lower price and buy back.

Posted by nightshade > 2014-01-10 10:30 | Report Abuse

i'm attracted by the palm oil plantation potential....

Posted by nightshade > 2014-01-10 10:31 | Report Abuse

this one, don't play contra la....buy, pick up, leave it there

Posted by NKN1 > 2014-01-10 10:35 | Report Abuse

yup...end of the year RM5

Posted by Aero1 > 2014-01-10 10:44 | Report Abuse

1Q FY2014:-
1. Good response to the Hillpark Shah Alam and MKH Boulevard projects.
2. Higher FFB and CPO price recovery.

Posted by aiman168 > 2014-01-10 14:59 | Report Abuse

SURE UP YES.........

Posted by Overweight > 2014-01-10 15:10 | Report Abuse

buy more before bonus issue...

Posted by nicky > 2014-01-10 17:25 | Report Abuse

When is the bonus issue

Posted by excelyou > 2014-01-10 19:25 | Report Abuse

MKH’s housing projects are located in Kajang mainly offering affordable units priced below RM600k/unit. This should place MKH in a good position as we believe developers with significant exposure in affordable housing should fare better under the current economic scenario.

KUALA LUMPUR, Jan 9 (Bernama) -- The Sungai Buloh-Kajang Mass Rapid Transit (MRT) line project is on track for completion, with 33 per cent overall and 50 per cent underground works completed.

Mass Rapid Transit Corporation Sdn Bhd's Acting Chief Executive Officer, Haris Fadzilah Hasan said with the work flowing accordingly, phase one between Sungai Buloh-Kajang will become operational by Dec 31, 2016, and by July 31, 2017, the rest of the Klang Valley MRT line would be completed.

"These are important milestones for us, going into the year. With the progress that we are making, we hope to complete all the tunnelling activity by the middle of next year," he told a media conference here Thursday.

Today, the MRT project crossed another major milestone with the breakthrough achieved by the world's first variable density tunnel boring machine, used for the Sungai Buloh-Kajang line.





-- BERNAMA

Posted by lcng123 > 2014-01-10 19:26 | Report Abuse

nobody know but from the past record, mkh has issue bonus in Jan 2011, Feb 2012 and oct 2012.

Posted by kenken85 > 2014-01-10 19:29 | Report Abuse

I thought d game is over. But it is continued. Hopefully this time is investor go in n not those contra kaki. Hah

Posted by excelyou > 2014-01-10 19:30 | Report Abuse

There is no doubt that MKH is a company in a hurry. It has diversified into plantation at a time when it sees many are getting much stable income from the sector. Although the oil palm project in Kalimantan is just 39,000 acres, it is a start which we are seeing another property company diversifying. As I read further, many analysis says that MKH will benefit from the current MRT project as the rail runs through Kajang where the company has the bulk of its developmental land - no doubt about it.

A simple calculation , assuming it achieves net profit of RM1 million per acre from its developmental land, it would have achieved future profits of RM600 million alone from those projects in Kajang. Then there are the plantation and other projects elsewhere.

Posted by excelyou > 2014-01-10 19:32 | Report Abuse

MKH Bhd : MKH could double in value
01/02/2014 | 09:11pm US/EasternRecommend: 0 MKH Bhd (formerly known as Metro Kajang Holdings) could see its value double this year.

Its share price surged yesterday, boosted by a report from Hwang DBS Research unit valuing the company at twice as much as its 2013 closing price of RM2.69.

MKH, a niche township developer in Kajang, has a 25-year unblemished profit track record.

Executive chairman Tan Sri Alex Chen Kooi Chiew drove the company into the plantation business in 2008, making East Kalimantan the home base for its plantation division.

The company has a 15,900ha oil palm estate in East Kalimantan and is looking to acquire an additional 20,000ha in the same area.

According to Hwang DBS, the plantation business helped increase core profit in 2013 by 96 per cent. Up to the nine months ended August 31 2013, MKH's net profit attributable to shareholders was up by 124.3 per cent year-on-year to RM47.1 million from RM21 million.

Hwang DBS values MKH at RM5.40 a share, noted even as this price, it remains the cheapest proxy to the plantation sector.

Posted by chinesetea > 2014-01-10 20:23 | Report Abuse

Where can you find such an undervalue stock? 40% discount. Last time I saw such gap was when RHB announced 10.51 price target for DSONIC when the price was 6.49 in december 2013. See what's the price of DSONIC now after 2 months. Today DSONIC price closed at 2.12 (10.6 before split). Buy this and leave it for few months and you will be rewarded handsomely.

Posted by NKN1 > 2014-01-10 21:01 | Report Abuse

Contra ppl all cleared. Next week good to go

Posted by nicky > 2014-01-11 11:31 | Report Abuse

Hope to touch RM3.50 next werk

Posted by 蓝庆翰 > 2014-01-11 14:23 | Report Abuse

Up slowly and meet TP RM5.40

Posted by ladzatz > 2014-01-12 15:29 | Report Abuse

wah anbz must be rich now? buyin the warrant at 90 cents and now RM1.73..within about 1 month

Posted by speakup > 2014-01-12 17:27 | Report Abuse

ladzatz depend on how many lots buy. if buy 100 shares at 90sen now 1.73, earn rm83 only.

Posted by air01557 > 2014-01-13 08:57 | Report Abuse

Its going to hit 4.00 soon

Posted by nicky > 2014-01-13 09:37 | Report Abuse

Pull back

Posted by 逍遥子 > 2014-01-13 10:30 | Report Abuse

Consolidate lah...... It will be behaving like that for a while until there is a fresh lead. Anyway this is just my personal opinion. Happy trading.