GOOGLE TRANSLATTION (KUALA LUMPUR) analysts believe that Tan Sri Lim Kok Thay shares rumored OWG Holdings (OWG, 5260, the board of trade services shares), for the best, "Genting Highlands theme stocks," a virtual monopoly on the tourist attractions all meals business, the future of new theme parks and attractions Genting operational profit potential is enormous.
CIMB Investment Bank Research noted, OWG Genting Holdings is an integrated tourism plan (GITP) the biggest beneficiaries, in Genting dining and retail store size of 30,000 square feet, and another 400,000 square feet will be in this year on Sky Avenue and Sky Plaza shopping plaza start.
"许展强 founder Datuk friendly relations with the Genting Group, from food and beverage stores in Genting first start, has spanned more than 15 years."
Analysts optimistic about the 20th century, this international theme park attractions Fox, will inspire the number of visitors, while holding OWG can benefit from the opportunity to acquire even more additional retail stores in Genting.
Everbright retail bright future
It is understood that the company has 75% of the food and beverage stores located in Genting, more than 80% of revenue contribution, each branch of Starbucks sales even higher than Malaysia.
In addition, the jewel in the crown holding OWG also more than Genting Highlands, Penang tallest building in the end of 2012 won, refurbishment Everbright skyscraper in the first five floors will be converted into the high-end retail, dining and tourist viewing platform.
"At the same time, the company will receive exclusive rights to these floors and retail stores catering for up to 60 years. Alone viewing platform, can become major tourist attractions in Penang."
Analysts said, OWG holding like hidden gems, although fiscal year 2015 earnings because of renovations and flat, but the profit potential investors should look after the fiscal year 2016.
2016-2017 fiscal year earnings per share growth is expected to reach 46-47%, 3-year net profit CAGR expected to have 28 percent increase.
The bank's target price of 2.62 ringgit, not only than the current share price and 75% upside, but also equivalent to 19 times the price-earnings ratio than other large-scale catering industry low 20%, it is undervalued.
The rise on 6 March and 9 March are both T + 4 already. So, OWG should be able to rise above RM2.07. The only disturbance is the Federal Reserve meeting on 18 March. The word 'patient' will be dropped but this has been factored in already.
Just feel that this OWG is still very new and very energetic especially when the Genting new theme park is ready next year. A very high potential share for long term.
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....
hpcp
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Posted by hpcp > 2015-02-24 19:06 | Report Abuse
Results not good considering Oct - Dec is a peak season