Friday, August 23, 2013

YTL Land : Sentul to the fore (DBSV)

YTL Land
BUY RM1.02
KLCI : 1,720.37
Price Target : 12-month RM1.40 (prev. RM1.60)
Sentul to the fore

Results above expectations, Capers bearing fruit
Strong take-up for Fennel; prime beneficiary of MRT
Maintain Buy, tweak SOP-based TP to RM1.40

Highlights
Above expectations. 4QFY13 net profit came in at RM18m, bringing full-year earnings to RM26m (89% higher than our forecast due to faster than expected construction for Capers@Sentul East). Capers super-structure is already up which should see further acceleration in earnings recognition to help cushion the void left by completion of Sentosa Cove@Singapore villas.


Strong take-up for Fennel. The first 2 blocks (out of 4) launched in Jul were almost sold in just 1 weekend following overwhelming response from both repeat and new customers. Fennel’s selling points include: a) Sentul’s strategic location just 8km from KLCC with good connectivity (potential MRT interchange in future with 2-3 stops, along with existing LRT and KTM stations); b) Attractive pricing of RM650-700psf for freehold & iconic design (comparable to secondary market prices for older Sentul projects & cheaper than new launches in the suburbs at RM750-1000psf); c) DIBS for 54 months (YTLL to absorb interest during construction); and d) YTL’s strong track record. Fennel should help underpin YTLL’s earnings up to early 2018. Capers slated for completion by end-2014.

Our View
Potential catalysts: a) Cabinet approval for MRT2 line expected in July (Sentul has been identified as a key transportation hub for North KL); b) Launch of remaining 2 blocks of Fennel (likely by year-end at RM700-750psf), Shorefront Residences condos in Penang (ASP: RM1000-1200psf), and U-Thant condos next to Micasa Hotel (ASP: RM1200psf). Shorefront should do well given its prime location next to E&O Hotel and change in layout to the more popular smaller units. As for Midfields (YTL Land is the project manager with 10% share of revenue), there are still 5 blocks of condos to be launched in 3 phases (secondary market transacting at RM450psf).

Recommendation
Maintain Buy, but tweak TP to RM1.40 (from RM1.60) based on a wider 40% discount (from 30%) to RNAV of RM2.32 to take into account higher risk premium with heightened economic uncertainties. We continue to like YTLL : a) Biggest beneficiary of MRT interchanges; b) Flagship Sentul is among the last remaining large contiguous undeveloped parcels near KL CBD; and c) Strong track record & following. We raise FY14-15F earnings by 17-38% to factor in faster construction progress for Capers and stronger takeup for Fennel.



Source/Extract/Excerpts/来源/转贴/摘录: DBSV-Research,
Publish date: 23/08/13

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