tunepro-cf is cheap now.. anyone buying here? if rumors of epf and kwap is collecting, better take advantage on the warrant. just my 2cents.. happy diwali!
KUALA LUMPUR (Nov 17): CIMB IB Research (Valuation: 1.65, Fundamental: 1.05) has maintained its “Add” rating on Tune Protect Group Bhd (Tune) RM1.47 with a lower target price of RM2.20 (from RM2.64) and said Tune’s 9MFY15 net profit came in below expectations, accounting for only 61% of house full-year forecasts and consensus. In a note Nov 16, the research house said the variance mainly came from the higher-than-expected claims and management expenses. In addition, it said there was an unexpected negative contribution (losses) from its entity in Thailand, which was also caused by higher commissions paid and management expenses. As the norm, no dividend was declared in 3Q15. “We are cutting our FY15-17F EPS forecasts by about 17-18%, as we raise our projected net claims by circa 13.6%. “This brought down our DDM-based target price from RM2.64 to RM2.20, despite rolling over our valuation to 2016. The key parameters for our DDM model include (1) a cost of equity of 9.2% and (2) terminal growth rate of 5%,” it said. The research house however said that Tune remains an Add given the potential re-rating catalysts of (1) the growth potential for its travel insurance business in the region, (2) positive prospects for its non-life insurance unit in Thailand in the longer term and (3) possibly more tie-ups with other airlines. “Furthermore, management is guiding for a qoq rebound in 4Q15.. We project a 15.6% drop in its FY15E EPS but we expect EPS growth to resume to 15.6% in FY16F,” it said.
KUALA LUMPUR (Nov 16): Tune Protect Group Bhd, formerly Tune Ins Holdings Bhd (Valuation: 1.20, Fundamental: 1.80), posted a 20.44% year-on-year (y-o-y) drop in its net profit for the third quarter ended Sept 30, 2015 (3QFY15) to RM12.86 million from RM16.17 million, mainly due to higher management expenses and a one-off rebranding spend. Its revenue for the quarter, on the other hand, rose 10.53% y-o-y to RM121.05 million, Tune's filing with Bursa Malaysia today showed. Tune also declared a higher dividend of 4.04 sen per share, up from 3.86 sen in the previous corresponding period. "In light of the softer economic outlook and ongoing geo-political circumstances, the group posted respectable, double-digit growth with strong contribution mainly from our Global Travel business. "This year, we incurred higher management expenses due to higher royalty fees in the licensing of the Tune trademark, which was partially deferred to this year, and a one-time Tune Protect rebranding spend," said Tune's chief executive officer Junior Cho. Cho added that there was an 11.7% growth in Tune's Global Travel business for the nine-month period (9MFY15), while its Malaysia's general insurance business jumped by 38.9% in the same period — after taking out the one-time gain from selling its former headquarters on Jalan Ampang last year. For 9MFY15, Tune's net profit came to RM45.49 million or 6.05 sen a share, 8.59% lower than the previous corresponding period's RM49.76 million or 6.62 sen a share. Revenue, however, climbed by 6.95% to RM347.55 million. Cho said its Global Travel business' growth came because of "healthy travel demand, despite recent regional events ranging from Bangkok bombings, Bali volcanic activity, and prolonged haze conditions in Malaysia, Singapore and Indonesia". He is banking on Global Travel business' growth for the remainder of 2015, even when taking 2016's slower economic growth forecast into the equation. "We see increased travel demand as we enter the last quarter of 2015 and with our continued education marketing and take-up rate initiatives, we hope to increase awareness in the value of travel insurance and capitalise on the peak travel season," Cho added. "In addition, we will continue our rollout into travel agencies until mid-2016 to further extend our product offerings to customers who prefer doing travel bookings through offline channels," he said. However, he conceded that the general insurance industry might face slower growth because of the uncertainty in the macroeconomic landscape. "While Tune Insurance Malaysia Bhd (Tune's Malaysia general insurance business) will face similar headwinds, it is our expectation that its growth should outpace the industry average for the remainder of the year," he added. Tune, part of the AirAsia Group of companies, closed flat today at RM1.47 after hitting a low of RM1.45 earlier, giving it a market capitalisation of RM1.11 billion.
Exercise price 1.75 maturing on 8/6/16. Average TP at 2.02. 6 buys, 0 hold and sell. Revenue and dividend up. YTD profit is still on track. Good counter to play the warrant!
Of course not EPF disposing... so small volume If you look at the history, EPF buy in since Jan till Nov Average should be around 1.60, my estimate....
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....
jolie2
2,039 posts
Posted by jolie2 > 2015-10-19 15:58 | Report Abuse
1ST TARGET PRICE 1.50
2ND TARGET PRICE 1.60