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- In a note on Friday (March 24), the research house said it expects a stronger 2HFY23 for Gamuda driven by RM8.6 billion (unbilled) worth of Australian projects as well as higher billings from RM5.4 billion of unbilled sales.
KUALA LUMPUR (March 24): Hong Leong Investment Bank (HLIB) Research has maintained its “Buy” rating on Gamuda Bhd at RM4.14 with an unchanged target price (TP) of RM4.88 and said Gamuda reported 1HFY23 core PATAMI of RM385.0 million, slightly above house and consensus expectations at 52%/55% respectively.
In a note on Friday (March 24), the research house said it expects a stronger 2HFY23 for Gamuda driven by RM8.6 billion (unbilled) worth of Australian projects as well as higher billings from RM5.4 billion of unbilled sales.
“Award decision in Australia could come in 1QFY24 along with DTI’s maiden profit contribution (circa RM80-90 million).
“MRT3 award decision could come in 2HCY23 where targets are for civil and systems packages.
“Maintain forecast and Buy rating and TP of RM4.88. Key catalyst includes contract wins.
“Risks: project delays, execution in new markets,prolonged elevated materials prices, labour shortage and health of property market,” it said.
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