=MARKET BUZZ: Bursa Malaysia At 1-Mth High Before 1Q Results; AmInvestment Ups TP
KUALA LUMPUR (Apr 17) -- Bursa Malaysia +3.7% at MYR7.52, highest since Mar 16, ahead of its 1Q earnings announcement, scheduled Apr 25. AmInvestment Bank expects net profit will grows 5.8% on year to MYR59 million-MYR60 million, on higher daily average trading value (DATV) for equities with strong inflow of foreign funds to the securities market. DATV (on market trade) for equities in 1Q18 rose to MYR2.71 billion from MYR2.32 billion in 4Q17 and MYR1.95 billion in 1Q17. House raises target price to MYR7.50 from MYR6.90, but keeps Hold call on unattractive valuation. "While we remain positive on the local equity market, we continue to see the stock trading at a higher valuation (23.4x PE) compared to the stock exchanges of Singapore (20.1x PE) and Australia (22.5x PE)," says house in investor note. AmInvestment Bank expects KLCI to hit 1900 and 2040 points in end-2018 and end-2019, respectively, supported by an earnings growth of 6.8% and 7.3%.
- By Chong Sin Hao; Dave.Chong@nikkeinewsrise.com; +60320267363
- Edited By Lopamudra Bhattacharya
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