RHB Research raised its fair value estimate on shares of
Parkson Holdings Bhd to 5.32 ringgit from 4.90
ringgit, citing the retailer's expansion plans.
Parkson shares were flat at 5.20 ringgit, while the
benchmark composite index was down 0.07 percent at 1654.94.
Parkson's operations in China will continue to be a key
driver for the company's prospects, with 8 to 10 stores opening
annually in smaller cities, RHB said in a note on Monday.
The company's operations in Indonesia is growing steadily
and it plans to open stores in Cambodia and Myanmar in 2013, the
brokerage said. In Malaysia, the firm's wholly-owned shopping
mall, KL Festival City, contributed to operating profit
positively in 2012, RHB said.
However, Parkson's shares could be hurt by a slowdown in
consumer spending in China and if expenses on new stores and
malls exceed expectations, it added.
(Reporting by Siva Sithraputhran in Kuala Lumpur; Editing by
Anand Basu; email@example.com)