UOB | MAYBANK |
Kimly (KMLY SP) Operationally Resilient; Maintain BUY On Share Price Pullback
Since its IPO in March, share price has retreated nearly 30% from ytd peak. The stock is now trading at an 11% discount to consumer peers’ FY18F PE. With a strong cash balance of S$83.7m (20% of market cap), potential M&As could be a compelling catalyst for earnings growth for FY18-19. Kimly remains operationally resilient, and we expect continued organic expansion through the opening of new outlets. Maintain BUY with a lower DCF-based target price of S$0.45 (previously S$0.46).
|
GuocoLand (GUOL SP) Accumulate on Weakness
Falling share price at odds with stronger data points GuocoLand’s share price fell 12% over the past month, underperforming the Developer Index (FSTREH), which fell by a smaller 4%. This is at odds with stronger data points that have emerged: [1] Stronger-than-expected pace of sales at Martin Modern, [2] Strong land bid for Jiak Kim site and [3] Wallich Residence hit SGD4,000 psf. We fine-tune sales and raise ASP assumptions for Martin Modern and Wallich Residence by SGD100-150 psf. We lift TP to SGD2.95 (from SGD2.90), based on a 20% discount to its revised RNAV of SGD3.68. Stock is attractively priced at 43% RNAV discount. Maintain BUY. Risks from a sharp fall in property prices.
|
OCBC | |
Roxy-Pacific Holdings: Upgrade to BUY
|
|
|
Check out our compilation of Target Prices