Upgrade to Buy. Glomac is on track to hit its RM500m sales target for
FY12 with successes in the soft-launch of its Glomac Centro (40-70%
booked) and Reflection Residences (90% booked) projects. The conversion
of just half of these RM440m bookings into actual sales would boost its
unbilled sales by 40%, lifting short-term earnings visibility. We raise
our earnings forecasts by 2-6% and target price to RM0.96 (unchanged 40%
discount to RNAV). The stock deserves a re-rating trading at just 6x
current year earnings and 0.8x book.
Maybank Research 15 March 2012
Click here for full report
No comments:
Post a Comment