Posted by iloveshare128 > 2016-03-21 16:23 | Report Abuse

and the latest financial status of HSL is still - "no borrowings" as stated in the above report...

Posted by Johnsonwong > 2016-03-21 16:27 | Report Abuse

This HSL good in COST CONTROL. They don't simply pay SUBCON money without supporting document like as-built drawing, measurement, actual site dimension and etc to avoid unnecessary OVERPAID or CONFLICT OF INTEREST or CORRUPTION

Posted by familybusiness > 2016-03-21 17:04 | Report Abuse

going to fly.. sarawak boleh

Posted by kwongliang > 2016-03-21 17:44 | Report Abuse

EPF and Amanah keep disposing...

Posted by hotmama > 2016-03-21 18:10 | Report Abuse

HSL, Mitra or Puncak which one better?

Posted by cruise > 2016-03-21 18:29 | Report Abuse

sarawak fly fly

Posted by yisonhwn13 > 2016-03-21 20:09 | Report Abuse

hi guys, hw do u guys know what epf is buying or selling?

Posted by hotmama > 2016-03-21 20:25 | Report Abuse

You can see from company announcement.

Posted by darkmagician > 2016-03-21 21:16 | Report Abuse

buy n keep.. dont miss the train..

Posted by yisonhwn13 > 2016-03-21 22:08 | Report Abuse

thanks hotmama

Posted by mamatede > 2016-03-21 22:55 | Report Abuse

Wah even public bank upgraded to buy...lolz..just 3 days ago on hold

Posted by Alfred Aun > 2016-03-22 09:43 | Report Abuse

Should wait or take profit first?

Posted by iloveshare128 > 2016-03-22 09:49 | Report Abuse

Alfred, you should wait.. it has not fully reached its real worth yet...

Posted by Alfred Aun > 2016-03-22 09:52 | Report Abuse

iloveshare128, thanks 4 your advice.

Posted by Johnsonwong > 2016-03-22 10:34 | Report Abuse

Hock Seng Lee Bhd
March 21 (RM2.09)
Maintain buy with a higher target price (TP) of RM2.64: Hock Seng Lee Bhd (HSL) has secured a larger-than-expected RM1.71 billion roadwork package for the Pan Borneo Highway just a day after it won an RM750 million Kuching centralised sewerage contract. We maintain “buy”, with our TP raised to RM2.64 (from RM2.54), after incorporating higher contributions from this project.

Hock-Seng-Lee_chart_fd_220316

Aside from its fruitful job wins, HSL has been enjoying higher margins vis-à-vis its peers in Peninsular Malaysia, given the less intense competition from a smaller pool of contractors. Therefore, we reiterate “buy” on HSL and raise our sum-of-parts valuation-based TP to RM2.64. We value its construction unit based on 12 times forecast financial year 2017 (FY17) price-earnings ratio (PER), in line with our 10 times to 14 times target one-year forward PER for small- and mid-cap construction stocks. Separately, we value its property unit at a 35% discount to revised net asset value and add its net cash as at Dec 31, 2015.

Its 70%-owned consortium — Dhaya Maju Infrastructure (Asia) Sdn Bhd — was awarded a RM1.71 billion contract by Lebuhraya Borneo Utara Sdn Bhd for the development and upgrading of the proposed Pan Borneo Highway in Sarawak (Phase 1), from the Bintangor junction to the Julau junction and from Sibu Airport to Sungai Kua Bridge.

The scope of work for this project includes earthworks, piling, drainage works, roadworks, interchanges, bridges, and related mechanical and electrical works. The contract period is for 51 months.

HSL’s latest win of the Pan Borneo roadwork package was not a surprise. We had earlier anticipated the company to secure a slice of the action in this RM16.1 billion project, given its dominant position in the state’s construction sector.

That said, the contract value is 41.5% larger than our original estimate of RM1.2 billion.

However, we prefer to be prudent in assuming a net margin of 10% for this project, relatively lower than its historical net margin ranging from 11.6% to 15.5%. Coupled with the Kuching City Central Wastewater Management System (Package 2) project worth RM750 million, we believe both projects will keep the company busy for the next four to five years.

Similar to the sewerage project, we expect the company to set up a new joint-venture (JV) company to carry out works for this project. Pursuant to the FRS 11 accounting standard, we believe that contributions from this new JV would be equity-accounted. Despite a revenue drop as both mega projects are expected to be equity-accounted, we have raised our FY16 to FY18 earnings estimates by 0.6% to 6.9% respectively. A key downside risk is an escalation of input and labour costs that could crimp profitability. — RHB Research Institute, March 21

Posted by larry12 > 2016-03-22 12:15 | Report Abuse

The warrant dropped 2 cents today, can pick up that?
The other Borneo project winners are moving already, just waiting for HSL

Posted by hng33 > 2016-03-22 12:16 | Report Abuse

Bought HSL at 2.05

Posted by iloveshare128 > 2016-03-22 14:21 | Report Abuse

today it seems like some big sharks are purposely pressing the price down so that they can accumulate HSL shares at lower entry point, before it explodes... so if you still have some cash money, maybe it is a good time today to go in...

Posted by mamatede > 2016-03-22 14:23 | Report Abuse

Good price man... 2.04 buy !

Posted by iloveshare128 > 2016-03-22 14:29 | Report Abuse

I wish i had more cash now.... =.=''

Posted by iloveshare128 > 2016-03-22 14:29 | Report Abuse

what a bargain today...

Posted by familybusiness > 2016-03-22 14:38 | Report Abuse

non moving..why drop.......

Posted by iloveshare128 > 2016-03-22 14:59 | Report Abuse

familybusiness, short-term adjustment is normal... there are always profit-taking speculators and big sharks lurking in the deep blue sea (to push down the share price so that they can accumulate at a lower entry point)... there are just too many reasons for temporary volatility, but in a longer run, it is positive.. got what i mean?

Posted by hng33 > 2016-03-22 15:20 | Report Abuse

Accumulate more at 2.06

Posted by iloveshare128 > 2016-03-22 15:24 | Report Abuse

you did the right thing hng33... where is the *like* icon to press?

Posted by superb99 > 2016-03-22 15:26 | Report Abuse

bought the warrant at 0.195

Posted by hng33 > 2016-03-22 17:27 | Report Abuse

With so many construction contract secure so far, HSL stand good chance for re rating. Once profit taking ease off, HSL should continue rebounding back

Posted by Apple6Splus > 2016-03-22 19:04 | Report Abuse

101% support this counter

Posted by mamatede > 2016-03-22 22:03 | Report Abuse

good time to accumulate

Posted by darkmagician > 2016-03-22 22:04 | Report Abuse

warrant looks delicious..

Posted by dummy > 2016-03-23 10:36 | Report Abuse

everyone went party at TENAGA.....very quiet here....

Posted by iloveshare128 > 2016-03-23 11:33 | Report Abuse

haha... I agree with hng33, now the price is still stagnant bcoz of the profit-taking activities (especially from big guns like EPF)... once that is over, it will be on the uptrend ride...

Posted by iloveshare128 > 2016-03-23 11:34 | Report Abuse

bro dummy, partying is just a matter of time.. haha.. let's see..

Posted by Shadows > 2016-03-23 11:53 | Report Abuse

Haha... party putting on hold

Posted by Apple6Splus > 2016-03-23 13:35 | Report Abuse

Your patient would be rewarded. Once it starts engine, u would be regretted sold it too early

Posted by darkmagician > 2016-03-23 16:03 | Report Abuse

ermmm...

Posted by superb99 > 2016-03-23 17:07 | Report Abuse

adjustment on construction sector

Posted by Issac Chai > 2016-03-23 17:19 | Report Abuse

buy more on this counter:)

Posted by Johnson Wong > 2016-03-23 20:43 | Report Abuse

This counter still NOT YET achieve its FAIR VALUE AT RM2.50. I believe if EPF not Kee on disposing will be already at RM2.30. Let's move and say goodbye to EPF

Posted by Johnson Wong > 2016-03-23 21:10 | Report Abuse

Dividend track record average TWO time per year. Good for both long and short term

Posted by darkmagician > 2016-03-24 08:36 | Report Abuse

epf buy 2m

Posted by darkmagician > 2016-03-24 09:28 | Report Abuse

today fly

Posted by Contrakaki > 2016-03-24 10:48 | Report Abuse

Still on the ground...

Posted by Johnsonwong > 2016-03-24 11:33 | Report Abuse

EPF bought back signal confident on HSL, TP 2.50

Posted by Johnsonwong > 2016-03-24 11:47 | Report Abuse

Top up some @ 2.04

Posted by winPLUSwin > 2016-03-24 13:09 | Report Abuse

collecting collecting... 2.00 - 2.05 super good already... More upside foreseen. Min. 2.46 TP.

Posted by Superb99 > 2016-03-24 14:06 | Report Abuse

amanah throw, EPF bought,...lol...swaping game

Posted by Superb99 > 2016-03-24 17:32 | Report Abuse

hsl is strongly standing at 2.05, I think can expect another higher level soon

Posted by Superb99 > 2016-03-24 17:34 | Report Abuse

MIDF gave lower target than other firms

Posted by Johnsonwong > 2016-03-24 17:39 | Report Abuse

EPF Acquired 1,715,900