STOCKS NEWS MALAYSIA-Affin Investment cuts Genting Malaysia to 'add'
Affin Investment Bank lowered its call on Genting Malaysia Bhd to "add" from "buy" due to the gaming group's higher promotional expenses to lure punters to its hilltop casino and the absence of overseas M&A opportunities.
The downgrade comes after Genting Malaysia posted lacklustre fourth-quarter profits of 420.3 million ringgit, down 1.5 percent from a year ago.
Affin, however, kept its target price of 4.00 ringgit on the stock, saying it offers strong domestic earnings base and balance sheet as well as attractive valuations given that it is the cheapest gaming stock in Southeast Asia.
Genting Malaysia shares dropped 1.35 percent to 3.66 ringgit, while the Malaysian benchmark stock index was mostly unchanged.
0928 (0128 GMT)
(Reporting by Niluksi Koswanage; Editing by Jijo Jacob)