Automotive (NEUTRAL)
Perodua to Produce Sedan?
-
According to Managing Director Datuk Aminar Rashid Salleh, Perodua have started a joint feasibility study with partners Daihatsu and Mitsubishi to produce sedan cars.
-
The news on Perodua’s intention to produce sedan cars has emerged for quite some time.
-
Nevertheless, we do not expect the plan to materialize at least for another 2-3 years, since the plan is still at preliminary stage and depending on government’s approval.
-
Should Perodua commence with the plan in penetrating the sedan car market, it is likely to capture further market share in Malaysia at the expense of Proton (DRBHCOM).
-
Car parts and components manufacturers are likely to enjoy further sales from Perodua new car development.
-
Forecasts remained unchanged pending further concrete development by Perodua.
-
We maintain NEUTRAL on the sector. Top pick: DRBHCOM with BUY call and TP of RM3.43.
Source: Hong Leong Investment Bank Research - 9 August 2012
herbert456
Excellent!! .... Another rally coming its way, GO! DRBHICOM, GO!!
2012-08-09 11:25