KLCI Stock - HARTA / 5168 - 2012 Quarter 1

Company Info

Market Capital (Capital Size)	1,960,864,752 (Large)
Par Value	RM 0.50

My Analysis

Forecast P/E now	(5.39-0.15)/0.6004 = 8.73 (Moderate)
Target Price	6.00+0.15 = 6.15 (PE 10.0, EPS 0.6004, DPS 0.15)
Decision	Not interested unless stock price break resistance 5.8
Comment	Revenue increased 13.9% and is continuing increasing all the time(higher than preceding year corresponding quarter 29.1%), eps increased 4.4% and is third consecutive quarter increasing and also higher than preceding year corresponding quarter 31.9%, cash generated from operating is more than enough to cover all expenses, weaker liquidity ratio but still at high level now, lower gearing ratio at below moderate level now, all accounting ratio are good, affect by weakening of USD dollar against Ringgit, affect by increase in Nitrile material price
First Support Price	5.4
Second Support Price	5.0
Risk Rating	MODERATE

Research House

MIDF Target Price	6.28 (2011-05-11)
OSK Target Price	7.4 (2011-05-11)
RHB Target Price	6.19 (2011-05-11)
Kenanga Target Price	6.83 (2011-05-16)
Affin Target Price	4.33 (2011-06-09)
HwangDBS Target Price	6.9 (2011-06-16)
CIMB Target Price	7.18 (2011-07-07)
Maybank Target Price	6.8 (2011-07-25)

Accounting Ratio

Return on Equity	42.83%
Dividend Yield	2.78%
Profit Margin	32.21%
Tax Rate	22.53%
Asset Turnover	1.1615
Net Asset Value Per Share	1.45
Net Tangible Asset per share	1.45
Price/Net Tangible Asset Per Share	3.72
Cash Per Share	0.37
Liquidity Current Ratio	3.6013
Liquidity Quick Ratio	2.7175
Liquidity Cash Ratio	1.5455
Gearing Debt to Equity Ratio	0.2757
Gearing Debt to Asset Ratio	0.216
Working capital per thousand Ringgit sale	29.1%
Days to sell the inventory	53
Days to collect the receivables	47
Days to pay the payables	43

My notes based on 2012 quarter 1 report (number in '000):
- Higher revenue & pbt mainly due to expansion in production capacity, increase in demand, effective cost control and improvement in production processes

- Estimate next 4Q eps after 2012 Q1 result announced = 0.1501*4 = 0.6004, estimate PE on current price 5.39 = 8.73(DPS 0.15)
- Estimate next 4Q eps after 2011 Q4 result announced = 0.1438*4*1.05 = 0.604, estimate highest/lowest PE = 9.4/8.05 (DPS 0.14)
- Estimate next 4Q eps after 2011 Q3 result announced = 0.1351*4*1.1 = 0.5944, estimate highest/lowest PE = 9.99/8.77 (DPS 0.14)
- Estimate next 4Q eps after 2011 Q2 result announced = 0.1293*4*1.1 = 0.5689, estimate highest/lowest PE = 9.86/8.28 (DPS 0.14)
- Estimate next 4Q eps after 2012 Q1 result announced = 0.1708*4*1.05 = 0.7174, estimate highest/lowest PE = 11.15/8.24 (DPS 0.15)
- Estimate next 4Q eps after 2010 Q4 result announced = 0.1915*4 = 0.766, estimate highest/lowest PE = 10.91/9.43 (DPS 0.19)
- Estimate next 4Q eps after 2010 Q3 result announced = 0.1535*4 = 0.614, estimate highest/lowest PE = 13.65/10.78 (DPS 0.15)
- Estimate next 4Q eps after 2010 Q2 result announced = 0.1366*4 = 0.5464, estimate highest/lowest PE = 13.95/9.9 (DPS 0.15)
- Estimate next 4Q eps after 2010 Q1 result announced = 0.1088*4 = 0.4352, estimate highest/lowest PE = 12.59/10.78 (DPS 0.15)
- Estimate next 4Q eps after 2009 Q4 result announced = 0.512, estimate highest/lowest PE = 10.55/6.01 (DPS 0.12)

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