Monday, January 6, 2014

Yoma Strategic Holdings Will Yoma hit a new Landmark? (CIMB)

Yoma Strategic Holdings
Current S$0.77
Target S$0.75
Will Yoma hit a new Landmark?

▊ Yoma’s outlook has benefited enormously from Myanmar’s opening-up. The immediate catalyst ahead would be the potential completion of the Landmark development acquisition. In light of the upcoming 2015 elections in Myanmar, political uncertainty is a key risk. Yoma’s share price today reflects a full RNAV of its existing assets. Further upside from here depends on the company sealing the Landmark deal. We initiate coverage on this Myanmar proxy with a reduce rating and a target price of S$0.75 (based on 1x FY15 RNAV excl. Landmark). Clinching of Landmark will add $0.09 to our RNAV.

Liquid Myanmar proxy
Yoma is still the only pure-play Myanmar stock. As long as Myanmar does not backtrack on its reforms, Yoma’s property focus and early- mover advantage provide ample room for earnings growth. Helmed by an experienced management team and enjoying a capital-raising platform advantage with its SGX listing, Yoma has an edge over its local peers that may not have such access to capital. A conglomerate structure leaves room for multiple earnings engines to develop.  
Ample low cost landbank
In contrast to competitors scrambling for reasonably priced land, Yoma is holding a landbank with an enviable size of over 10m sq m. The fair value of its overall land development rights (LDRs) has more than tripled vis-à-vis its cost. In particular, the recent selling price for LDRs at PHGE, one of Yoma's key residential developments with 4.7 m sq ft of LDRs left, has surged to US$48 psf, 6.4x the purchase cost of US$7.5 psf.  
Fully Valued with Landmark a future catalyst
Our valuation for Yoma’s existing assets stands at S$0.75 per share and the current trading price indicates full valuation. We initiate our coverage on Yoma with a Reduce rating. A key near term catalyst lies with the pending acquisition of a 10-acre site in downtown Yangon. If the deal is completed, development of the site into a mixed-use estate could add 9 Scts to our valuation. Key risks include the Myanmar government backpedalling on reforms and a slower-than-expected pace of business development.

Source/Extract/Excerpts/来源/转贴/摘录: CIMB-Research,
Publish date: 03/01/13

No comments:

Post a Comment

Note: Only a member of this blog may 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)

乔治·索罗斯(George Soros)



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,
  • Selected Indexes 52 week range

  • Margin of Safety

    Investment Clock

    World's First Interactive Investment Clock