Share
KUALA LUMPUR (Jan 3): Shares in Malaysian Resources Corp Bhd (MRCB) rose 5.17% in active trade this morning after CIMB IB Research maintained its “Add” rating on the stock at RM1.16 with a higher target price of RM1.31 (from RM1.19) and said it was more upbeat on MRCB’s infra and highway divestment prospects this year.
At 9.10am, MRCB rose 6 sen to RM1.22 with 12.62 million shares tarded.
In a note Jan 2, the research house said a mutual termination of the EDL concession appears under way.
It said although the pricing is still unknown, the termination would reduce debt significantly, by some 25%.
“The group’s RM2.9 billion jobs in tender remain understated, in our view. FY19-20F EPS could almost double if it secures the HSR PDP scope via Gamuda Bhd-MRCB JV (50:50).
“Rail contracts newsflow in 1H18 could lift sentiment and further catalyse the stock.
“Remains an Add with a higher target price (10% RNAV discount),” it said. — theedgemarkets.com
For more stories, download EdgeProp.my pullout here for free.
TOP PICKS BY EDGEPROP
Damansara Heights (Bukit Damansara)
Damansara Heights, Kuala Lumpur
Pulau Indah Industrial Area
Pulau Indah (Pulau Lumut), Selangor
