Local brokerage TA Securities raised its target price for Axiata
Group Berhad by 17.1 percent to 7.41 ringgit per share
after the mobile telephone operator reported strong earnings for
the financial year 2012 late on Thursday.
"We are positive on Axiata's growth prospects," the
brokerage said in a research note on Friday, citing the
company's rising subscriber base and convincing turnaround at
It also cited the company's revenue and EBITDA growth
outlook of 7.6 percent and 0.2 percent respectively in FY13.
Axiata, Asia's third-largest mobile services group outside
Japan and China by subscribers, said its fourth-quarter net
profit rose 4.9 percent to 571.1 million, helped by higher
earnings at all of its operating companies.
Two analysts on average expected a profit of 419.23 million
ringgit, according to Thomson Reuters I/B/E/S.
At 1038 am (0238 GMT) Axiata was up 1.42 percent at 6.42
ringgit per share while the benchmark composite index was up
0.03 percent at 1614.70 points.
(Reporting by Siva Sithraputhran; Editing by Anupama Dwivedi;
Siva.Sithraputhran@thomsonreuters.com; +603 23338019; Reuters
0955 STOCKS NEWS MALAYSIA-Kenanga raises Maybank's target price
Kenanga Research raised its target price on the country's
largest bank Malayan Banking Berhad to 10.90 ringgit
per share from 10.40 ringgit on the back of strong earnings in
Maybank, Southeast Asia's fourth-biggest lender by assets,
on Thursday reported its October-December quarterly profit rose
16 percent to 1.46 billion ringgit, bolstered by higher net
loans, advances and fee income.
But Maybank's unexciting loan growth of only 12.9 percent
y/y in the fourth quarter was due to slower loan demand in
Singapore and tighter markets in the region, Kenanga said in a
note on Friday.
Kenanga added that the bank's issuance of 415 million new
shares in October last year, which raised 3.7 billion ringgit,
signalled that Malaysian banks are feeling the regulatory
pressure to boost their capitals as they expand regionally.
"We think Maybank's equity issuance was a positive move that
removes a dilution overhang that still remained in place for its
government-linked company peers, CIMB Group," Kenanga
Kenanga kept its 'outperform' rating on the stock.
Maybank's shares rose 0.67 percent. The Malaysian benchmark
stock index crept up 0.04 percent.
0945 (0145 GMT)
(Reporting by Anuradha Raghu;Editing by Gopakumar Warrier;
email@example.com; Reuters Messaging: