Stock Name: TENAGA
Company Name: TENAGA NASIONAL BHD
Research House: MIDF
Company Name: TENAGA NASIONAL BHD
Research House: MIDF
Tenaga Nasional Bhd's (TNB) projection of five per cent growth in electricity demand in financial year 2011 is achievable based on the growth trend, said MIDF Amanah Investment Bank Bhd.
In a research note, the bank said electricity demand rose by 3.8 per cent year-on-year between September 2010-January 2011 to 37,664 gigawatt hour (GWh).
"We expect demand will continue to emanate from the industrial and commercial segments respectively, accounting for 44.2 per cent and 33.2 per cent of Peninsular Malaysia's electricity demand, while domestic sector will account for 12.6 per cent," it said.
MIDF said every one per cent change in power demand would lift TNB's core net profit by two per cent to three per cent.
It said TNB's unit sales of electricity in Peninsular Malaysia in January 2011 grew by 1.9 per cent year-on-year from 2.2 per cent year-on-year in December 2010 led by healthy consumption from commercial and industrial segments.
The research firm reiterated its 'buy' recommendation and maintained the target price of RM7.98 on TNB amid recovering demand should see TNB reporting better quarters ahead. -- BERNAMA
In a research note, the bank said electricity demand rose by 3.8 per cent year-on-year between September 2010-January 2011 to 37,664 gigawatt hour (GWh).
"We expect demand will continue to emanate from the industrial and commercial segments respectively, accounting for 44.2 per cent and 33.2 per cent of Peninsular Malaysia's electricity demand, while domestic sector will account for 12.6 per cent," it said.
MIDF said every one per cent change in power demand would lift TNB's core net profit by two per cent to three per cent.
It said TNB's unit sales of electricity in Peninsular Malaysia in January 2011 grew by 1.9 per cent year-on-year from 2.2 per cent year-on-year in December 2010 led by healthy consumption from commercial and industrial segments.
The research firm reiterated its 'buy' recommendation and maintained the target price of RM7.98 on TNB amid recovering demand should see TNB reporting better quarters ahead. -- BERNAMA
No comments:
Post a Comment