KLCI Stock - 3A / 0012 - 2010 Quarter 4

Company Info

Market Capital (Capital Size)	590,400,028 (Medium)
Par Value	RM 0.20

My Analysis

Forecast P/E now	(1.5-0.01)/0.0306 = 48.69 (High)
Target Price	0.31+0.01 = 0.32 (PE 10.0, EPS 0.0306, DPS 0.01)
Decision	Not interested unless revenue and profit increase more
Comment	Revenue increased 1.4% and also higher than preceding year corresponding quarter 7.2%, eps increased 10.8%(due to high tax income) but lower than preceding year corresponding quarter 36%, no cash generate from operating and investing activities still a lot and borrowing is not sufficient, stronger liquidity ratio(but not cash) at moderate level now, lower gearing ratio at below moderate level now, all accounting periods are acceptable, raw material increasing
First Support Price	1.4
Second Support Price	1.2
Risk Rating	HIGH

Research House

AMMB Target Price

2.14 (2011-02-09)

Accounting Ratio

Return on Equity	8.56%
Dividend Yield	0.80%
Profit Margin	3.53%
Tax Rate	-
Asset Turnover	0.8757
Net Asset Value Per Share	0.49
Net Tangible Asset per share	0.49
Price/Net Tangible Asset Per Share	3.24
Cash Per Share	0.09
Liquidity Current Ratio	2.345
Liquidity Quick Ratio	1.4774
Liquidity Cash Ratio	0.5367
Gearing Debt to Equity Ratio	0.4927
Gearing Debt to Asset Ratio	0.3301
Working capital per thousand Ringgit sale	36.9%
Days to sell the inventory	94
Days to collect the receivables	91
Days to pay the payables	22

My notes based on 2011 quarter 1 report (number in '000):-
- Higher revenue mainly due to better demand for the Group's products

- Lower pbt as a result of the continuous increase in raw material costs

- Estimate next 4Q eps after 2011 Q1 result announced = 0.0153*2 = 0.0306, estimate PE on current price 1.5 = 48.69 (DPS 0.01)
- Estimate next 4Q eps after 2010 Q3 result announced = 0.015*4 = 0.06(base on 3% roe per quarter), estimate highest/lowest PE = 30.8/23.13 (DPS 0.012)
- Estimate next 4Q eps after 2010 Q2 result announced = 0.0286*3 = 0.0858(0.0286 is recent 2Q cum_eps, FYQ1-11 & FYQ2-11 to double as current), estimate highest/lowest PE = 22.31/17.88 (DPS 0.016)
- Estimate next 4Q eps after 2010 Q1 result announced = 0.076, estimate highest/lowest PE = 26.89/20.32 (DPS 0.016)
- Estimate next 4Q eps after 2009 Q4 result announced = 0.076 (~30% EPS grow), estimate highest/lowest PE = 30.05/20.32 (DPS 0.016)
- Estimate next 4Q eps after 2009 Q3 result announced = 0.0191*4 = 0.0764, estimate highest/lowest PE = 30.68/15.63 (DPS 0.016)
- Estimate next 4Q eps after 2009 Q2 result announced = 0.0178*4 = 0.0712, estimate highest/lowest PE = 23.74/7.09 (DPS 0.01)
- Estimate next 4Q eps after 2009 Q1 result announced = 0.0069*4 = 0.0276, estimate highest/lowest PE = 21.56/11.96 (DPS 0.01)
- Estimate next 4Q eps after 2008 Q4 result announced = 0.0079*4 = 0.0316, estimate highest/lowest PE = 11.55/9.34 (DPS 0.01)

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