Thursday, August 8, 2013

CapitaLand : Key takeaways from Hong Kong NDR (CS)

CapitaLand
Price (02 Aug 13, S$) 3.30
Target price (S$) 4.53¹

 Key takeaways from Hong Kong NDR
■ CS hosted CapitaLand’s post-1H13 NDR in Hong Kong. CAPL was represented by CFO Arthur Lang, SVP Investor relations Harold Woo and AVP CFO’s office Chang Rui Hua. Many investors were keen on getting updates after the company’s recent organisational restructuring, especially given the recent changes include the perceived “U-turn” on Australand (ALZ).


■ Key highlights from the NDR. (1) ALZ is now a “key” investment, although still a non-core. The M&A process concluded with no compelling-enough bids. Longer-term plan is to reduce residential exposure, which could see ALZ re-rating as a purer commercial and industrial play. (2) Vietnam and storage business are also seen as the other two “key” investments, where CAPL prefers to retain the optionality (no immediate divestment, but longer term may consider exiting). (3) Eventually, exit from non-core, such as the recent UK sale (with a small gain), in 3Q.

■ How to achieve the 8-12% ROE target? Essentially, management plans to achieve ROE targets by: (1) exiting businesses which are a drag to ROEs; (2) capital recycling as and when it deems fit; (3) build on scalability—better economies of scale drives ROEs; (4) increase time-to-market by building more standardised and less iconic projects (which take longer to build and cost more); and (5) managing corporate and interest expenses.

■ 1H13 results highlights. Core PATMI (ex. revaluations, impairment, divestment gains) rose 43% YoY to S$241.3 mn, in line with expectations at 45% of our FY13E, but below the street’s at 32%. Excluding a S$27.7 mn one-off loss on the repurchase of CBs, its core profit was 50% of our FY13 estimate. We expect a better 2H13 with more residential profits, improved performance at CMA, and interest savings from CB repurchases, and maintain our OUTPERFORM rating. At 0.89x P/B, CAPL trades at a 38% discount to RNAV of S$5.32.


Source/Extract/Excerpts/来源/转贴/摘录: Credit Suisse
Publish date: 05/08/13

No comments:

Post a Comment

Warren E. Buffett(沃伦•巴菲特)
Be fearful when others are greedy, and be greedy when others are fearful
别人贪婪时我恐惧, 别人恐惧时我贪婪
投资只需学好两门课: 一,是如何给企业估值,二,是如何看待股市波动
吉姆·罗杰斯(Jim Rogers)
“错过时机”胜于“搞错对象”:不会全军覆没!”
做自己熟悉的事,等到发现大好机会才投钱下去

乔治·索罗斯(George Soros)

“犯错误并没有什么好羞耻的,只有知错不改才是耻辱。”

如果操作过量,即使对市场判断正确,仍会一败涂地。

李驰(中国巴菲特)
高估期间, 卖对, 不卖也对, 买是错的。
低估期间, 买对, 不买也是对, 卖是错的。

Tan Teng Boo


There’s no such thing as defensive stocks.Every stock can be defensive depending on what price you pay for it and what value you get,
冷眼(冯时能)投资概念
“买股票就是买公司的股份,买股份就是与陌生人合股做生意”。
合股做生意,则公司股份的业绩高于一切,而股票的价值决定于盈利。
价值是本,价格是末,故公司比股市重要百倍。
曹仁超-香港股神/港股明灯
1.有智慧,不如趁势
2.止损不止盈
成功者所以成功,是因为不怕失败!失败者所以失败,是失败后不再尝试!
曾淵滄-散户明灯
每逢灾难就是机会,而是在灾难发生时贱价买股票,然后放在一边,耐性地等灾难结束
  • Selected Indexes 52 week range

  • Margin of Safety

    Investment Clock

    World's First Interactive Investment Clock