AmResearch ups Top Glove's fair value

AmResearch raised its target price on Top Glove Corp Bhd to RM6.50 per share from RM6.30, after the world's largest rubber glove maker by volume reported earnings for the financial year ended Aug. 31 that beat market estimates.

"The improved operating environment enabled most of Top Glove's increase in revenue to filter down to its bottom line," the research house said in a note on Friday.

AmResearch maintained a "buy" on the counter, saying the company's portfolio mix of 80:20 (natural:synthetic rubber) places it in an attractive position to reap the benefits of stable latex prices amid resilient demand.

Shares of Top Glove rose 1.17 percent to RM5.21, while the broader index dropped 0.1 percent. -- Reuters

4Q FY12 Results Surprise!

Stock Name: TOPGLOV
Company Name: TOP GLOVE CORPORATION BHD

Research House: TA

Price Call: BUY

Target Price: 6.20

AmInvestment raises Tenaga fair value

Stock Name: TENAGA
Company Name: TENAGA NASIONAL BHD

Research House: AMMB

Price Call: BUY

Target Price: 8.15

AmInvestment Bank raised its target price on state power firm Tenaga Nasional Bhd to RM8.15 per share from RM7.95 on expectations of stronger earnings for the next two years.

AmInvestment kept its "buy" call on Tenaga due to expected lower capacity costs from winning a tender to build a RM3 billion power plant in the northern Malaysian state of Penang.

Tenaga shares were flat at RM7.00, outperforming the broader market that fell 0.32 percent. -- Reuters

A potentially satisfying year

Stock Name: TOPGLOV
Company Name: TOP GLOVE CORPORATION BHD

Research House: MIDF

Price Call: BUY

Target Price: 5.20

Double boosts for Tenaga

Stock Name: TENAGA
Company Name: TENAGA NASIONAL BHD

Research House: MIDF

Price Call: BUY

Target Price: 7.82

First acquisition in FY13

Stock Name: SUNREIT
Company Name: SUNWAY REAL ESTATE INVT TRUST

Research House: MIDF

Price Call: BUY

Target Price: 1.62

Unlocking value of investment property

Stock Name: SUNWAY
Company Name: SUNWAY BERHAD

Research House: MIDF

Price Call: BUY

Target Price: 2.60

Not bidding for Bank of Ayudhya, Thailand

Stock Name: MAYBANK
Company Name: MALAYAN BANKING BHD

Research House: MIDF

Price Call: BUY

Target Price: 10.00

Coasting on the O&G wave

Stock Name: COASTAL
Company Name: COASTAL CONTRACTS BHD

Research House: MIDF

Price Call: BUY

Target Price: 2.34

Disposing Sunway Medical Centre for RM310mn

Stock Name: SUNWAY
Company Name: SUNWAY BERHAD

Research House: TA

Price Call: BUY

Target Price: 3.47

Placement to Bolster Capital and Support Expansion

Stock Name: MAYBANK
Company Name: MALAYAN BANKING BHD

Research House: TA

Price Call: BUY

Target Price: 11.20

Kenanga cuts Malaysia's REITs to 'neutral'

Kenanga Research downgraded Malaysia's real estate investment trusts (REITs) to "neutral" from "overweight" as it believes there is limited room for further yield compressions.

"As investors seek safe havens in defensive stocks this year, we note that most Malaysia's REITs are trading at historically low gross yields, not to mention record low spreads to the 10-year Malaysian Government Securities (MGS) yields," the research house said in a note on Tuesday.

Assuming the 10-year MGS yields trend lower to 3.3 percent based on historical trends in 2013, and Malaysia's REITs continue to demand current record low spreads, the brokerage said it had increased the target prices on Malaysia's REITs under its coverage.

"However, our new target prices only provide less than 10 percent total returns, implying limited share price upsides."

Kenanga downgraded Capitalmalls Malaysia Trust to "market perform" from "outperform", though it raised the target price to RM1.80 per share from RM1.69.

It maintained "market perform" on Sunway REIT, but raised the target price to RM1.51 from RM1.42. It also maintained "market perform" on Axis REIT, with a higher target price of RM3.08.

"We prefer KLCC Property (outperform rating; target price of RM6.87) as an alternative to Malaysia's REITs as our target price reflects a REIT payout structure and a target 2013 gross dividend yield of 4.6 percent," it added. -- Reuters

OCBC, CIMB Said to Mull Bank of Ayudhya Stake

Stock Name: CIMB
Company Name: CIMB GROUP HOLDINGS BERHAD

Research House: TA

Price Call: HOLD

Target Price: 8.60

Asset Monetisation Strengthens Financial Position

Stock Name: MISC
Company Name: MISC BHD

Research House: TA

Price Call: HOLD

Target Price: 4.87

Maybank falls on US$1.2b share offer

Shares of Malayan Banking Bhd (Maybank) dropped as much as 0.67 percent after the largest bank by assets in Malaysia said it would raise US$1.2 billion with a new share offer to fund growth in the country and its regional subsidiaries.

"This sounds logical to us as Maybank may be required to bring in capital if it is required to locally incorporate its Singapore subsidiary, which currently holds a qualified full banking licence," HwangDBS Vickers Research said in a note on Monday.

Maybank said on Monday it completed the bookbuilding exercise for the private placement, the largest so far in Malaysia's corporate history.

The placement is a proactive move to boost Maybank's equity capital ahead of the implementation of the stringent new solvency requirements of the Basel III global banking regulations, Maybank said in a statement.

The issue price was fixed at RM8.88 a share, Maybank said, while the total number of shares to be issued represents 4.98 percent of the enlarged issued and paid-up share capital of Maybank as at Sept. 30.

The private placement exercise is expected to be completed no later than the middle of October, added Maybank.

HwangDBS maintained its "buy" rating on Maybank stock with a target price of RM11.10.

"Maybank remains our top pick and we believe our investment thesis of high dividends and strong earnings momentum remains intact despite these developments," said HwangDBS.

The stock was down 0.56 percent at RM8.94, underperforming the broader index's 0.15 percent drop. -- REUTERS

Reorganization may pave way for re-listing of WCT Land

Stock Name: WCT
Company Name: WCT BHD

Research House: MIDF

Price Call: BUY

Target Price: 3.17

Monetising a hidden gem

Stock Name: MISC
Company Name: MISC BHD

Research House: MIDF

Price Call: BUY

Target Price: 6.01

Bonus Issue and Free Warrants

Stock Name: AMEDIA
Company Name: ASIA MEDIA GROUP BERHAD

Research House: TA

Price Call: SELL

Target Price: 0.653