Stock Name: MAYBANK
Company Name: MALAYAN BANKING BHD
Research House: AMMB
Company Name: MALAYAN BANKING BHD
Research House: AMMB
AmResearch has affirmed its "buy" rating for Maybank with an unchanged fair value of RM10.40 per share.
This is pegged to an unchanged fair price/book value of 2.3 times, based on a forecast calendarised Return On Equity (ROE) of 15.8 per cent for 2011.
The research house said the rerating catalysts include the ability to achieve a loans growth of 10-12 per cent, higher than expected ROE and higher than expected dividends.
Maybank will be trading ex its interim Gross Dividen Per Share of RM0.28 tomorrow.
To recap, Maybank had earlier announced that the issue price of new Maybank shares to be issued pursuant to the dividend reinvestment plan (DRP) in relation to the interim cash dividend, was fixed at RM7.70 per new share.
The issue price of RM7.70 was based on the five-day volume weighted average market price (VWAMP) of RM8.80 per share, up to and including March 30, 2011.
As at 12.00pm today, Maybank declined three sen to RM9.17.
Meanwhile, Kenanga Research gave a "outperform" rating for Maybank with a target price of RM9.70.
It said Maybank's earnings upside could come from lower than expected loan loss provisions.
"Over the medium term, the acquisition of Kim Eng is expected to offer solid and steady fee-based income, from the Asean region," Kenanga Research said in a research note.
At this juncture, Maybank owns 51 per cent of Kim Eng Holding.
If the acquisition of Mitsubishi UFJ Securities Holdings' 29.9 per cent stake in Kim Eng is successful, Maybank's stake in it should increase to 81 per cent.
This suggests a good chance to fully acquire Kim Eng Holding.
Maybank will launch a Mandatory of General Offer (MGO) today and it is expected, the acquisition will be completed by end-May this year. -- Bernama
This is pegged to an unchanged fair price/book value of 2.3 times, based on a forecast calendarised Return On Equity (ROE) of 15.8 per cent for 2011.
The research house said the rerating catalysts include the ability to achieve a loans growth of 10-12 per cent, higher than expected ROE and higher than expected dividends.
Maybank will be trading ex its interim Gross Dividen Per Share of RM0.28 tomorrow.
To recap, Maybank had earlier announced that the issue price of new Maybank shares to be issued pursuant to the dividend reinvestment plan (DRP) in relation to the interim cash dividend, was fixed at RM7.70 per new share.
The issue price of RM7.70 was based on the five-day volume weighted average market price (VWAMP) of RM8.80 per share, up to and including March 30, 2011.
As at 12.00pm today, Maybank declined three sen to RM9.17.
Meanwhile, Kenanga Research gave a "outperform" rating for Maybank with a target price of RM9.70.
It said Maybank's earnings upside could come from lower than expected loan loss provisions.
"Over the medium term, the acquisition of Kim Eng is expected to offer solid and steady fee-based income, from the Asean region," Kenanga Research said in a research note.
At this juncture, Maybank owns 51 per cent of Kim Eng Holding.
If the acquisition of Mitsubishi UFJ Securities Holdings' 29.9 per cent stake in Kim Eng is successful, Maybank's stake in it should increase to 81 per cent.
This suggests a good chance to fully acquire Kim Eng Holding.
Maybank will launch a Mandatory of General Offer (MGO) today and it is expected, the acquisition will be completed by end-May this year. -- Bernama
No comments:
Post a Comment