Bursa Malaysia Daily Market Report - 29 December

Transcription

1. Tuesday , 29 December, 2020 TA RESEARCH’S ‘DAILY COMPILED REPORTS’ For Internal Circulation Only N ew s 1. D ai l y M arke t C om men t a ry 2. D ai l y B ri ef Fu nd a me n tal Rep o r ts 1. C hi n Hi n G r ou p B er h ad: Prop ose s t o A cq u i r e 5 1 .5 % St ak e in C H GP an d On e -fo rTw o B on u s I ssu e 2. M al a y si a n E c o n om y: S t ea d y Re co v er y in E x p o rt s Te ch n ic al R ep o rt s 1. D ai l y Te ch n ic a l St o ck W at ch , D ai l y Mon e y F lo w , D a il y St oc k Sc reen ( Loc al ) 2. D ai l y For ei gn St oc k W a t ch (F S ST I ) Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my
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Daily Market Commentary Tuesday , 29 December 2020 TA Research, e-mail : taresearch@ta.com.my Review & Outlook For Internal Circulation Only KLSE Market Statistics (28.12.2020) (mil) Volume +/-chg (RMmn) Main Market 4,483.1 Warrants 477.1 ACE Market 3,750.6 Bond 0.1 ETF 0.2 LEAP 0.2 Total 8,711.1 Off Market 15.2 892.8 91.9 1049.6 -0.8 0.1 0.0 2,784.5 75.1 1,042.5 0.1 0.5 0.0 3,902.8 0.0 7.3 Value Value/ +/-chg Volume Up Down 715.9 19.2 337.7 -0.6 0.4 0.0 0.0 Major Indices Index +/- chg Malaysia FBMKLCI FBMEMAS FBMSCAP December Futures Other Markets DOW JONES NASDAQ (US) FTSE (UK) NIKKEI (JAPAN) KOSPI (KOREA) HANG SENG (HK) FSSTI (S'PORE) SET (BANGKOK) JCI (JAKARTA) SHANGHAI SHENZHEN AUSTRALIA 1,643.90 11,848.01 15,416.63 1,650.50 2.73 37.09 150.19 9.50 0.62 0.16 0.28 0.77 3.39 0.24 0.45 0.48 424 199 71 3 2 2 701 % chg % YTD chg 0.17 0.31 0.98 0.58 3.47 4.63 8.84 3.48 256 229 58 0 5 1 549 Bursa Malaysia shares traded higher Monday after the UK and EU reached a deal to avoid a hard Brexit, and the US President signed a Covid relief bill into law to prevent a government shutdown and extend jobless benefits. The FBM KLCI closed up 2.73 points at 1,643.90, off an early low of 1,639.92 and high of 1,655.96, as gainers led losers 701 to 549 on moderate turnover totaling 8.71bn shares worth RM3.9bn. The local market should extend gains following the overnight record closings on Wall Street on stimulus optimism, and likely window-dressing action ahead of the year-end. Immediate resistance for the index remains at 1,680, with tougher hurdles from the recent peak of 1,695, and next at 1,715, the 123.6% Fibonacci Projection (FP) of the 1,207 to 1,618 upswing. Immediate supports cushioning downside will be from the rising 30-day, 50-day and 100-day moving averages now at 1,626, 1,600, 1,580 and 1,555 respectively. Globetronics is in base building mode above the 76.4%FR (RM2.66), pending uptrend resumption with a breakout confirmation above the Nov peak (RM3.08) to aim for the 123.6%FP (RM3.51) ahead. Stronger uptrend support is from the 200-day ma (RM2.38). Inari needs convincing breakout above the Nov peak (RM2.77) to boost upward momentum towards the 123.6%FP (RM3.21), while uptrend support from the 100-day ma (RM2.42) is reinforced by the 76.4%FR (RM2.33). News Bites • Malaysia's exports increased 4.3% to RM84.43bn in November compared to the same month last year, registering three consecutive months of year-onyear growth. • The Conditional Movement Control Order for Kuala Lumpur, Selangor, Sabah and several localities in other states has been extended by another two weeks 30,403.97 204.10 0.68 6.54 until Jan 14, 2021. 12,899.42 94.69 0.74 43.76 • The government will only re-implement the Goods and Services Tax after 6,502.11 0.00 0.00 -13.79 carrying out a detailed study to ensure that it does not affect the interests of 26,854.03 197.42 0.74 13.52 the people says Deputy Finance Minister I Datuk Abd Rahim Bakri. • The Malaysian Communications and Multimedia Commission targets 1.2mn 2,808.60 1.74 0.06 27.80 premises and homes with fibre connectivity by 2021 under Jalinan Digital 26,314.63 -71.93 -0.27 -6.65 Negara, the national digital infrastructure plan. 2,840.14 -1.90 -0.07 -11.87 • The government is imposing provisional anti-dumping duties ranging from 7.7% to 34.8% on imports of cold rolled stainless steel in coils, sheets or any 1,452.67 -33.64 -2.26 -8.05 other form (subject merchandise) from Indonesia and Vietnam. 6,093.55 84.85 1.41 -3.27 • Wuhan Fiberhome International (M) Sdn Bhd, whose parent is among companies 3,397.29 0.72 0.02 11.38 blacklisted by the United States, is believed to be one of the bidders for Telekom Malaysia Bhd's RM400mn 5G tender. 2,273.01 -0.99 -0.04 31.93 • Chin Hin Group Bhd has proposed to acquire 176.6mn ordinary shares or 6,664.77 0.00 0.00 -0.29 51.5% stake, as well as 37.6mn warrants in Chin Hin Group Property Bhd from related parties, for a total cash consideration of RM88.9mn. It has also proposed to undertake a bonus issue. Top 10 KLCI Movers Based on • Batu Kawan Bhd issued the offer document in relation to its unconditional Off Market Mkt Cap. mandatory take-over offer for all shares in Chemical Company of Malaysia (mn) (RM) Counter Mkt Cap. Chg Vol. Bhd, which it does not own for RM3.10 per share. • Pharmaniaga Bhd is ready to efficiently distribute COVID-19 vaccines which (RM’mn) (RM) (mn) TNLOGIS 12.0 @ 0.85 are expected to be ready by the first quarter of 2021, as soon as it receives the MAYBANK 96,001 0.10 1.91 MTRONIC 1.4 @ 0.11 go-ahead from the government. PBBANK 80,671 0.22 2.52 • MMAG Holdings Bhd inked a league agreement with SF Global Express (M) IHH 50,206 0.06 0.60 Sdn Bhd, the Malaysian arm of SF International, a leading integrated express logistics service provider in China. CIMB 42,669 0.11 8.44 • Hong Seng Consolidated Bhd is acquiring a plot of land in Kedah Rubber City HLBANK 40,320 0.12 0.25 for RM45.74mn, to build and operate a plant that manufactures nitrile butadiene MAXIS 39,663 0.02 0.25 latex. MISC 29,996 0.22 1.31 • AT Systematization Bhd expects to reach a production capacity of up to 2.6bn IOICORP 28,010 0.03 0.57 pieces of medical-grade nitrile gloves per annum by June 2021, after the launch of its glove manufacturing factory in Chemor, Perak. RHBBANK 22,216 0.04 3.20 • Kerjaya Prospek Group Bhd has clinched a RM61.87mn contract to develop a HAPSENG 21,312 0.07 0.19 residential project located at Lebuhraya Bandar Cassia in Batu Kawan, Penang. • Prestariang Bhd will be traded and quoted on the main board of Bursa Malaysia Exchange Rate Commodities Futures under the new stock name "AWANTEC", 29 Dec, following its name change to AwanBiru Technology Bhd. USD/MYR 4.049 -0.012 Palm Oil (RM/mt) 3,541.00 -28.00 • Apex Equity Holdings Bhd intends to dispose of four parcels of freehold land Crude Oil (Brent) 50.92 -0.38 USD/JPY 103.580 0.150 in Shah Alam measuring 23,915.34 sq m for RM37mn cash. Gold ($/tr.oz.) 1,876.80 -5.80 EUR/USD 1.221 0.002 • A foreign worker dormitory of Lii Hen Industries Bhd in Muar, Johor has USD/CNY 6.541 -0.002 been put under Enhanced Movement Control Order after seven of its employees tested positive for Covid-19. • New Hoong Fatt Holdings Bhd announced that 94 of its employees tested Important Dates positive for Covid-19 and has temporarily closed the affected metal parts production factory from Dec 25, 2020 until further notice to contain potential SCIB - 3:1 Bonus Issue - BI of 367.9m shares. infections. 3 bonus shares for every 1 existing share held. • President Trump signed a sweeping pandemic-aid bill ending a standoff with Ex-Date: 30/12/2020. Entitlement Date: 31/12/2020. Congress and paving the way for millions of Americans to get economic relief LISTING ON: 04/01/2021. as the coronavirus pandemic surges across the country. • European Union governments signaled support on Monday for completing work on a long-sought agreement with China to open the Chinese market further to EU investors. Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan, Head of Research MENARA TA ONE, 22 JALAN for TA SECURITIES HOLDINGS BERHAD (14948-M) A PARTICIPATING ORGANISATION OF BURSA MALAYSIA SECURITIES BHD P RAMLEE, 50250 KUALA LUMPUR, MALAYSIA TEL : 603 - 2072 1277. FAX : 603 - 2032 5048 www.ta.com.my
3. Tuesday , December 29, 2020 FBMKLCI: 1,643.90 THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Daily Brief Market View, News in Brief: Corporate, Economy, and Share Buybacks Chartist: Stephen Soo Tel: +603-2167 9607 stsoo@ta.com.my www.taonline.com.my M a r k e t V i e w Boost from Overnight US Rally and Window-Dressing Bursa Malaysia shares traded higher Monday after the UK and EU reached a deal to avoid a hard Brexit, and the US President signed a Covid relief bill into law to prevent a government shutdown and extend jobless benefits. The FBM KLCI closed up 2.73 points at 1,643.90, off an early low of 1,639.92 and high of 1,655.96, as gainers led losers 701 to 549 on moderate turnover totaling 8.71bn shares worth RM3.9bn. Resistance at 1,695/1,715; Supports at 1,626/1600 The local market should extend gains following the overnight record closings on Wall Street on stimulus optimism, and likely window-dressing action ahead of the year-end. Immediate resistance for the index remains at 1,680, with tougher hurdles from the recent peak of 1,695, and next at 1,715, the 123.6% Fibonacci Projection (FP) of the 1,207 to 1,618 upswing. Immediate supports cushioning downside will be from the rising 30-day, 50-day and 100-day moving averages now at 1,626, 1,600, 1,580 and 1,555 respectively. Bargain Globetronics & Inari Globetronics is in base building mode above the 76.4%FR (RM2.66), pending uptrend resumption with a breakout confirmation above the Nov peak (RM3.08) to aim for the 123.6%FP (RM3.51) ahead. Stronger uptrend support is from the 200-day ma (RM2.38). Inari needs convincing breakout above the Nov peak (RM2.77) to boost upward momentum towards the 123.6%FP (RM3.21), while uptrend support from the 100-day ma (RM2.42) is reinforced by the 76.4%FR (RM2.33). Asia Mixed as Alibaba Plunge on China Regulator Worries Stocks in Asia were mixed on Monday as the final trading week of 2020 kicked off. In Japan, the Nikkei 225 gained 0.74% to close at 26,854.03 while South Korea’s Kospi closed fractionally higher at 2,808.60. Mainland Chinese stocks were muted on the day: the Shanghai composite was largely unchanged at 3,397.29 while the Shenzhen component gained 0.193% to 14,044.10. Hong Kong’s Hang Seng index declined 0.27% to close at 26,314.63. Markets in Australia and New Zealand are closed for a holiday. Shares of Chinese tech giant Alibaba in Hong Kong were in the spotlight once again on Monday, after Chinese regulators ordered Alibaba-affiliate Ant Group to rectify its businesses. By the Hong Kong market close, shares of Alibaba listed in the city plunged 7.98%, adding to losses for the firm. The stock had also dived last Thursday following reports that Chinese regulators will probe the tech behemoth for suspected monopolistic behavior. Shares of other Hong Kong-listed Chinese tech firms also declined sizably: Tencent fell 6.65% while Meituan slipped 6.88%. China’s largest chipmaker SMIC also saw its stock in Hong Kong drop 4.2%. The broader Hang Seng Tech index shed 4.26% on the day to 7,795.78. Page 1 of 9
4. 29-Dec-20 Wall Street Surge to Record Highs on Stimulus Bill Cheer US stocks jumped to record highs overnight to start the final trading week of the year after President Donald Trump signed an economic relief bill . The Dow Jones Industrial Average closed 204.10 points higher, or 0.7%, at 30,403.97. The S&P 500 climbed 0.9% to 3,735.36, and the Nasdaq Composite rose 0.7% to 12,899.42. Trump signed a USD900 billion Covid-19 relief bill into law, averting a government shutdown and extending unemployment benefits to millions of Americans. The signing came days after Trump suggested he would veto the legislation, demanding USD2,000 direct payments to Americans, instead of USD600. The House is expected to vote on a USD2,000 direct payment on Monday, but the GOP-led Senate is not expected to push it through. Apple led the Dow higher, rising 3.6%. Disney also contributed to the gains, climbing nearly 3%. The communication services, consumer discretionary and tech all advanced more than 1% to lift the S&P 500. Monday’s jump added to the market’s strong year-to-date returns. The S&P 500 is up 15.6% in 2020, while the Dow has climbed 6.5%. The Nasdaq has soared 43.8% this year as investors favored high-growth technology names during the ongoing Covid-19 pandemic. (TH E RE M AINI N G O F T H IS P A GE IS IN TE N TI O NA L L Y L E F T BL AN K ) Page 2 of 9
5. 29-Dec-20 N e w s I n B r i e f Corporate The government will only re-implement the Goods and Services Tax (GST) after carrying out a detailed study to ensure that it does not affect the interests of the people. Deputy Finance Minister I Datuk Abd Rahim Bakri said even though GST is a more comprehensive tax system compared to the Sales and Services Tax, the government will take what happened previously which had resulted in various polemics, as a lesson (Bernama). The Malaysian Communications and Multimedia Commission targets 1.2mn premises and homes with fibre connectivity by 2021 under Jalinan Digital Negara (Jendela), the national digital infrastructure plan. The agency would aggressively work on the target to drive Malaysia towards better digital connectivity (The Edge). The government is imposing provisional anti-dumping duties ranging from 7.7% to 34.8% on imports of cold rolled stainless steel in coils, sheets or any other form (subject merchandise) from Indonesia and Vietnam. The Ministry of International Trade and Industry said it had completed the preliminary determination of the anti-dumping investigation concerning imports of the subject merchandise originating or exported from the alleged countries and found there were sufficient evidences for further investigation (New Straits Times). Wuhan Fiberhome International (M) Sdn Bhd, whose parent is among companies blacklisted by the United States, is believed to be one of the bidders for Telekom Malaysia Bhd's RM400mn 5G tender. According to sources, Wuhan Fiberhome's parent, optical communication equipment maker FiberHome Technologies Group, was banned by the US for its connections to China's People Liberation Army and human rights abuses in the Xinjiang Uighur Autonomous Region (New Straits Times). Chin Hin Group Bhd (Chin Hin) has proposed to acquire 176.6mn ordinary shares or 51.5% stake, as well as 37.6mn warrants in Chin Hin Group Property Bhd (CHGP) (Not Rated) from related parties, for a total cash consideration of RM88.9mn. Meanwhile, the group has also proposed to undertake a bonus issue of up to 278.2mn new ordinary shares on the basis of one bonus share for every two ordinary shares in Chin Hin. (Bursa Malaysia) Comment: Although the proposed acquisition will enable Chin Hin to expand into the property development segment, which is complementary to the group’s existing building materials business, we are mildly negative on the acquisition as the purchase price of 45.0sen/share for CHGP translates into a price-to-book ratio of about 1.1x, based on CHGP’s financial position as at end-2QFY21. We deem the acquisition price to be slightly pricey despite we expect CHGP’s earnings to improve going forward. The net gearing of Chin Hin is expected to increase from 1.1x to 1.3x post acquisition. On the other hand, we are positive on the proposed bonus issue as it will help to improve the stocks trading liquidity and marketability. Maintain Sell on Chin Hin with an unchanged target price of RM0.40, based on 10x CY21 EPS. Batu Kawan Bhd (BKB) (Not Rated) issued the offer document in relation to its unconditional mandatory take-over offer for all shares in Chemical Company of Malaysia Bhd (Not Rated) which it does not own. The cash offer of RM3.10 per share would be open for acceptances until 5 pm on Jan 18, 2021, unless extended or revised according to the Rules on Take-overs, Mergers and Compulsory Acquisitions (Bursa Malaysia). Pharmaniaga Bhd (Not Rated) is ready to efficiently distribute COVID-19 vaccines which are expected to be ready by the first quarter of 2021, as soon as it receives the goahead from the government. The company has set up a team of 400 personnel skilled in Page 3 of 9
6. 29-Dec-20 logistics and distribution in five godowns located in Selangor , Penang, Sabah and Sarawak (Bernama). A foreign worker dormitory of Lii Hen Industries Bhd (Not Rated) in Muar, Johor has been put under Enhanced Movement Control Order (EMCO) after seven of its employees tested positive for Covid-19. The Ministry of Health issued the order after its visit to the company's premises yesterday following the confirmation of positive Covid-19 cases. The EMCO on the specific foreign worker dormitory is in effect for 10 days starting from Dec 27, 2020 until Jan 5, 2021 (The Edge). MMAG Holdings Bhd (MHB) (Not Rated) inked a league agreement with SF Global Express (M) Sdn Bhd (SFG), the Malaysian arm of SF International, a leading integrated express logistics service provider in China. Under the agreement, both parties will work collaboratively, providing customers with SF International's comprehensive international shipment solutions to and from China and the rest of the world (New Straits Times). New Hoong Fatt Holdings Bhd (Not Rated) announced that 94 of its employees tested positive for Covid-19 after a planned screening test involving 314 employees at its factory in Meru, Klang. As such, the company has temporarily closed the affected metal parts production factory from Dec 25, 2020 until further notice to contain potential infections (The Edge). Hong Seng Consolidated Bhd (Not Rated) is acquiring a plot of land in Kedah Rubber City (KRC) for RM45.74mn, to build and operate a plant that manufactures nitrile butadiene latex. The Group received an offer from Northern Corridor Implementation Authority to acquire the leasehold land plot in KRC, which has a land area of about 105 acres, to set up the plant (Bursa Malaysia). AT Systematization Bhd (ATS) (Not Rated) expects to reach a production capacity of up to 2.6bn pieces of medical-grade nitrile gloves per annum by June 2021, after the launch of its glove manufacturing factory in Chemor, Perak. Completion of the factory’s Line 1 production is in line with the group’s projected timeline made earlier this year. ATS targets the commencement of Line Two in the coming weeks. In addition, ATS has begun work on Phase 2 of the glove factory (Bernama). Kerjaya Prospek Group Bhd (Not Rated) has clinched a RM61.87mn contract to develop a residential project located at Lebuhraya Bandar Cassia in Batu Kawan, Penang. The group accepted the letter of award from Aspen Vision City Sdn Bhd, an indirect subsidiary of Singapore-listed Aspen (Group) Holdings Ltd. The project, which is expected to start on Jan 5, 2021, would be completed in about 24 months (Bernama). Prestariang Bhd (Not Rated) will be traded and quoted on the main board of Bursa Malaysia under the new stock name "AWANTEC", 29 Dec, following its name change to AwanBiru Technology Bhd. The new corporate identity was chosen after the group went through a rebranding exercise to align its overall transformation from a technology and talent company to providing multi-cloud management services and lifelong learning talent life cycle (The Edge). Apex Equity Holdings Bhd (AEHB) (Not Rated) intends to dispose of four parcels of freehold land in Shah Alam measuring 23,915.34 sq m for RM37mn cash. The Group entered into a sale and purchase agreement with KlangRealty Integrated Sdn Bhd. The proposed disposal is expected to result in a gain of approximately RM4.6mn for the financial year ending Dec 31, 2021 (Bursa Malaysia). Page 4 of 9
7. 29-Dec-20 N e w s I n B r i e f Economy Malaysi a Malaysia 's Exports Rebound 4.3% in November Malaysia's exports increased 4.3% to RM84.43bn in November compared to the same month last year, registering three consecutive months of year-on-year growth. The expansion was supported mainly by higher exports to the US, Singapore, China and Hong Kong. Imports in November were RM67.61bn, down 9% while total trade reached RM152.04bn, contracted by 2%. Compared to October 2020, total trade, exports, imports and trade surplus decreased 5%, 7.3%, 1.9% and 24%, respectively. For the first 11 months of 2020, trade surplus recorded a double digit growth of 23.1% to RM163.86bn compared to the same period of 2019. Total trade was valued at RM1.61tn, a decline of 4.6%. Exports stood at RM885.02bn, contracting by 2.6% while imports was RM721.16bn, decreased by 7%. (New Straits Times) CMCO in KL, Selangor, Sabah and Several Localities in Other States Extended Until Jan 14 The Conditional Movement Control Order (CMCO) for Kuala Lumpur, Selangor, Sabah and several localities in other states has been extended by another two weeks until Jan 14, 2021, said Senior Minister (Security Cluster) Datuk Seri Ismail Sabri Yaakob. He said the government decided on this after taking the advice and risk assessment of the Health Ministry (MoH) based on the trend and increase in positive Covid-19 cases in these areas and the emergence of new clusters in Kuala Lumpur. The CMCO in these three states and several localities in other states had been scheduled to end on Dec 31. Ismail Sabri said for Selangor, the CMCO would cover the whole state including Sabak Bernam, Hulu Selangor and Kuala Selangor, which were previously placed under the Recovery Movement Control Order (RMCO). For other states, the CMCO was also extended for Southwest Mukim 12 and Northeast Mukim 13 in Penang; Seremban (Negeri Sembilan), and Johor Bahru and Batu Pahat (Johor). Speaking at a media conference, he said the government had also decided to end the CMCO in several localities today instead of Dec 31 as scheduled earlier, following a drop in cases in these places. The localities included Ipoh and Chemor (Perak), Port Dickson (Negeri Sembilan) and Kulai (Johor), said Ismail Sabri, who is also Defence Minister. On the Enhanced Movement Control Order (EMCO), Ismail Sabri said the order would be extended for several localities until Jan 14, including the Langkap Immigration Detention Depot and its quarters in Hilir Perak, and Kluang Prison and its quarters in Johor. Besides this, the government has decided to implement the EMCO at Madrasah Daril Naim, Padang Halban, Mukim Peringat in Kota Bharu, Kelantan from tomorrow until Jan 11, 2021 following a surge in positive Covid-19 cases there. (The Edge) Government Will Only Reintroduce GST after Thorough Study, Dewan Negara Told The government will only reimplement the goods and services tax (GST) after carrying out a detailed study to ensure that it does not affect the interests of the people. Deputy Finance Minister I Datuk Abd Rahim Bakri said even though GST is a more comprehensive tax system compared to the sales and service tax (SST), the government will take what happened previously which had resulted in various polemics, as a lesson. “Indeed, the GST is a comprehensive taxation system, but at the same time, it also has some weaknesses in the implementation aspect. Therefore, the government will conduct a more detailed study. Perhaps the weaknesses such as tax refund which had affected the consumer price index and had resulted in its (the GST's) poor implementation,” he said in his winding-up his debate on the Excise (Amendment) Bill 2020 in Dewan Negara. Abd Rahim was confident that if all the weaknesses are addressed, the GST can be reimplemented and will get the support of various parties, thus increasing the government's revenue. (The Edge) Page 5 of 9
8. 29-Dec-20 Asia Indonesia Bans Foreign Visitors for Two Weeks Over New Coronavirus Variant International visitors will be barred from entering Indonesia for a two-week period to try to keep out a new potentially more contagious variant of the coronavirus , its foreign minister Retno Marsudi said. The new regulation, effective Jan 1, comes days after Indonesia banned travellers from Britain and tightened rules for those arriving from Europe and Australia to limit the spread of the new variant. Indonesia earlier this year banned all foreign tourists from entry but some exemptions have been made for business travellers. The new regulation applies to all foreign visitors, except for high-level government officials or foreigners with residency permits, she said. The world's fourth most populous country has struggled to contain the spread of the novel coronavirus since recording its first case in March, now with nearly 720,000 confirmed infections and 21,500 deaths, among the highest in Asia. It announced 5,854 new infections and 215 deaths on Monday, with the positivity rate above 20% in recent days. In recent weeks Indonesia's healthcare system has come under strain with hospitals on Java island forced to add more beds as emergency wards near capacity. Senior health ministry official Abdul Kadir on Monday said hospitals were in danger of becoming overwhelmed by a possible year-end holiday infections spike, with occupancy in the capital Jakarta already reaching 84%. (The Edge) Thai Central Bank Eases Rules on US$16.6bn Soft Loans for Smaller Firms Thailand's central bank has further relaxed rules on its THB500bn (US$16.6bn) soft loan programme aimed at helping smaller firms cope with the impact of the coronavirus pandemic. Given the prolonged Covid-19 situation domestically and internationally, some small and medium enterprises (SMEs) still have insufficient income to support their businesses, the Bank of Thailand (BOT) said in a statement issued on Monday. The BOT adjusted its definition of business groups seeking the funding to enable SMEs to easier access the programme, which started in April as part of a bigger coronavirus response package. The BOT also allowed SMEs to apply for the lending two times, rather than once previously, before April 18 next year, it said. The loans programme has so far been slow to gain traction, due to what businesses say were tougher lending conditions. The central bank has approved about THB123bn of loans so far. (The Edge) Japan Industrial Output Unchanged on Month in November Industrial output in Japan was flat on a seasonally adjusted basis in November, the Ministry of Economy, Trade and Industry said. That missed expectations for an increase of 1.2% following the 4.0% gain in October. On a yearly basis, industrial production sank 3.4%, matching forecasts following the 3.0% drop in the previous month. Upon the release of the data, the METI maintained its assessment of industrial production, saying that it is picking up. Industries that increased included production machinery, business-oriented machinery and iron and steel. These were offset by declines among motor vehicles, chemicals and plastic products. Shipments were down 0.9% on month and 3.9% on year, while inventories fell 1.1% on month and 8.7% on year. The inventory ratio slipped 1.8% on month and 1.2% on year. Industries that contributed to the decline in inventories included chemicals and production machinery. These were offset by gains among iron and steel, paper and plastic products. According to the METI's forecast of industrial production, output is expected to sink 1.1% in December and then spike 7.1% in January. Industries that contributed to the decline in shipments included motor vehicles, electrical machinery and petroleum products. These were mitigated by gains among production machinery, business oriented machinery and electronic parts and devices. (RTT) Page 6 of 9
9. 29-Dec-20 Korea ’s Consumer Sentiment Retreats Amid Worst Virus Wave South Korean consumer confidence weakened sharply in December from a 10-month high as a resurgence of the coronavirus led to tighter restrictions on activity. The Bank of Korea’s consumer sentiment index slid to 89.8 from 97.9 in November for its lowest reading in three months, the central bank said in a Tuesday statement. The biggest declines were seen in subindexes measuring the outlook for spending among households and their assessment of the economy. Korea is going through its worst virus wave since the pandemic began, with daily cases surging to around 1,000 from below 100 at the start of November. The jump in infections has led to speculation the government may enforce its strictest virus measures. Such a move would resemble a lockdown as non-essential facilities would be ordered to close. (Bloomberg) Vietnam PM Eyes Raising of 2021 GDP Growth Target to 6.5% Vietnam is looking to raise its economic growth target for 2021 by 0.5 percentage point to 6.5%, although the coronavirus pandemic and adverse weather are potential obstacles, its prime minister said on Monday. Vietnam's economic growth slowed to 2.91% this year, its lowest level in at least 30 years, due to the Covid-19 pandemic, natural disasters and a sluggish global economy. That rate was still among the world's fastest. "I can say 2020 is the most successful year of Vietnam in the five-year term. Our country is now better than ever," Prime Minister Nguyen Xuan Phuc said, referring to Vietnam's economic performance in 2020. "We previously targeted a growth of 6.0% for next year. Although there remain several obstacles, the government aims to expand the economy 0.5 percentage point higher," Phuc said. The prime minister spoke at a government meeting in Hanoi ahead of the Communist Party's five-yearly Congress, the country's most important event, where a new leadership will be chosen. It is expected to be held in late January. Phuc said Vietnam had done a good job in containing the coronavirus, paving the way for economic activities to quickly rebound. With strict quarantine and tracking measures, Vietnam has quickly contained its coronavirus outbreaks, recording just 1,441 infections and 35 deaths. "The level of success is determined not only by what we have achieved, but also by the obstacles we have overcome," the prime minister said. Vietnam is sticking to its target of average annual growth of 6.5%-7.0% for the next five years. (The Edge) United States Trump Signs Covid-19 Aid Bill Averting Government Shutdown President Trump signed a sweeping pandemic-aid bill ending a standoff with Congress and paving the way for millions of Americans to get economic relief as the coronavirus pandemic surges across the country. Mr. Trump objected to the legislation last week, after it had already passed Congress with overwhelming bipartisan support, saying that lawmakers needed to increase the size of direct payments to Americans to US$2,000, up from US$600 per adult and per child for individuals with adjusted gross incomes under US$75,000. He signed the legislation under pressure from lawmakers of both parties. In a statement, the president called on Congress to remove what he called wasteful spending in the bill and said he would send lawmakers a list of provisions he wants eliminated—an effort that Democrats said they will block. The president also said he expects Congress to vote on separate legislation to increase direct payments to US$2,000. The House was already planning to vote on such a bill on Monday. Mr. Trump said the Senate will “start the process” to vote on legislation to increase the direct payments, as well as roll back Section 230 of the Communications Decency Act and investigate alleged voter fraud. (WSJ) Page 7 of 9
10. 29-Dec-20 Euro-Zone EU Governments Signal Support to Complete China Investment Deal European Union governments signaled support on Monday for completing work on a longsought agreement with China to open the Chinese market further to EU investors , bringing closer a major economic and political victory for both sides. EU member-country envoys urged the European Commission, the bloc’s executive arm, to complete negotiations with the Chinese government within days, according to a European official who spoke on condition of anonymity because the deliberations in Brussels were confidential. Another official said the commission could announce a draft deal imminently. A successful conclusion of talks that began in 2013 on an EU-China investment accord would be a salvo against the “America First” challenge to the multilateral order by outgoing U.S. President Donald Trump. For the EU, the deal would expand access to the Chinese market for foreign investors in industries ranging from cars to biotechnology. Furthermore, the pact would tackle underlying Chinese policies deemed by Europe and the U.S. to be market-distorting: industrial subsidies, state control of enterprises and forced technology transfers. For China, the agreement promises to bolster the country’s claim to be a mainstream geopolitical force and may limit risks resulting from a tougher EU stance on Chinese investments in Europe. It also would strengthen Beijing’s longstanding call for the start of negotiations on a free-trade accord with the EU, which has insisted such a move depended on an investment deal being reached first. (Bloomberg) (TH E RE M AINI N G O F T H IS P A GE IS IN TE N TI O NA L L Y L E F T BL AN K ) Page 8 of 9
11. 29-Dec-20 N e w s I n B r i e f Share Buy-Back Share Buy-Back : 28 December 2020 Company BONIA GKENT HAIO KFIMA PENSONI RANHILL TROP Bought Back Price (RM) Hi/Lo (RM) 388,500 30,000 6,500 5,000 122,600 6,676,926 473,000 0.84 0.76/0.755 2.31/2.30 1.78 0.55 0.89/0.88 0.81/0.80 0.85/0.835 0.76/0.745 2.38/2.27 1.80/1.74 0.55/0.54 0.89/0.875 0.81/0.795 Total Treasury Shares 12,003,300 37,394,200 10,614,588 3,638,600 1,086,900 120,000 7,385,143 Source: Bursa Malaysia (TH E RE M AINI N G O F T H IS P A GE IS IN TE N TI O NA L L Y L E F T BL AN K ) Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 9 of 9
12. For Internal Circulation Only SNAPSHOT OF STOCKS UNDER COVERAGE Company Share Price Target Price (RM) (RM) % upside Recom Market Cap. (RMm) Beta EPS (sen) FY20 PER (X) Div Yield (%) FY21 FY20 FY21 FY20 52weeks 52weeks % Chg FY21 High Price % Chg Low Price % Chg YTD 28-Dec-20 AUTOMOBILE BAUTO 1.39 1.53 10.1% Buy 1,614 1.17 8.7 8.8 16.1 15.8 5.4 4.1 2.13 -34.7 0.94 48.7 -33.8 MBMR 3.32 3.53 6.3% Hold 1,298 1.16 34.6 39.2 9.6 8.5 5.1 6.0 4.11 -19.2 2.50 32.8 -14.0 PECCA 1.65 1.52 -7.9% Sell 285 0.88 4.7 10.9 35.1 15.1 2.8 4.2 1.65 0.0 0.68 144.4 51.4 SIME 2.29 2.60 13.5% Buy 15,578 0.80 15.0 15.0 15.3 15.2 4.4 4.6 2.58 -11.2 1.55 47.4 3.6 UMW 3.23 2.15 -33.4% Sell 3,774 1.83 9.0 24.3 35.7 13.3 1.2 0.9 4.70 -31.3 1.65 95.8 -28.1 BANKS & FINANCIAL SERVICES ABMB 2.91 3.70 27.1% Buy 4,505 1.16 27.4 26.0 10.6 11.2 2.1 2.7 3.06 -4.9 1.48 96.6 10.6 AFFIN 1.83 2.50 36.6% Buy 3,806 1.11 15.3 22.7 12.0 8.1 1.6 2.7 2.04 -10.3 1.25 46.4 -3.7 AMBANK 3.65 4.50 23.3% Buy 10,985 1.07 44.5 36.0 8.2 10.2 3.6 2.2 3.96 -7.8 2.80 30.4 -6.6 CIMB 4.30 5.10 18.6% Buy 42,669 1.18 14.1 29.0 30.5 14.8 1.9 3.5 5.31 -19.0 2.90 48.3 -16.5 HLBANK 18.60 23.00 23.7% Buy 40,320 1.13 115.1 119.0 16.2 15.6 1.9 2.2 19.68 -5.5 11.70 59.0 7.5 MAYBANK 8.54 10.80 26.5% Buy 96,001 0.93 57.5 63.4 14.9 13.5 4.7 5.3 9.01 -5.2 6.96 22.7 -1.2 PBBANK 20.78 25.10 20.8% Buy 80,671 1.41 117.5 130.2 17.7 16.0 1.9 2.8 22.96 -9.5 12.58 65.2 6.9 RHBBANK 5.54 7.00 26.4% Buy 22,216 1.11 51.1 56.6 10.8 9.8 3.2 4.0 5.98 -7.4 4.17 32.9 -4.2 BURSA 8.37 8.30 -0.8% Sell 6,772 1.19 42.1 26.9 19.9 31.2 4.4 2.9 10.98 -23.8 4.32 93.7 37.4 ANNJOO 1.65 0.61 -63.0% Sell 890 1.59 -20.4 2.1 na 78.5 0.0 0.5 1.67 -1.2 0.42 297.6 35.2 CHINHIN 1.63 0.40 -75.5% Sell 907 0.38 -0.6 4.0 na 40.7 0.6 0.9 1.63 0.0 0.40 307.5 126.4 CHINWEL 1.15 1.30 13.0% Buy 332 1.07 7.4 11.8 15.5 9.8 1.3 4.0 1.44 -20.1 0.68 69.1 -16.7 CMSB 2.04 1.76 -13.7% Sell 2,169 1.58 9.9 16.3 20.6 12.5 1.1 1.2 2.39 -14.6 0.83 145.8 -10.1 CSCSTEL 1.43 1.35 -5.6% Buy 528 1.28 6.9 9.1 20.7 15.8 2.3 3.1 1.43 0.0 0.54 164.8 34.9 ENGTEX 0.76 0.64 -15.2% Hold 329 0.54 2.2 3.9 34.5 19.2 1.3 1.3 0.87 -12.7 0.42 79.8 0.7 GADANG 0.45 0.29 -34.8% Sell 324 1.71 5.8 4.0 7.7 11.2 2.2 2.2 0.72 -38.2 0.23 97.8 -36.0 GAMUDA 3.80 3.34 -12.1% Sell 9,551 1.20 20.7 20.6 18.4 18.4 1.6 1.6 4.30 -11.6 2.36 61.0 -2.6 GDB 0.95 1.11 16.8% Buy 594 1.22 4.3 7.9 22.3 12.0 2.1 2.1 1.02 -6.9 0.33 187.9 54.5 IJM 1.78 1.63 -8.4% Sell 6,446 1.18 6.9 6.2 25.7 28.8 1.7 2.2 2.33 -23.6 1.15 54.8 -18.0 INTA 0.31 0.53 73.8% Buy 163 1.18 2.0 4.8 15.1 6.3 0.8 2.5 0.40 -23.8 0.15 103.3 13.0 KAB 1.03 0.20 -81.1% Sell 960 0.78 0.6 1.2 176.7 85.7 0.4 0.4 1.22 -15.6 0.33 209.3 167.6 11.4 BUILDING MATERIALS CONSTRUCTION PESONA 0.25 0.21 -14.3% Sell 170 0.83 -2.2 2.2 na 11.0 0.0 4.1 0.30 -18.3 0.13 88.5 SUNCON 1.93 1.68 -13.0% Sell 2,488 0.81 5.5 9.4 35.0 20.6 2.3 3.6 2.10 -8.1 1.25 54.4 1.0 WCT 0.53 0.58 9.5% Buy 737 1.72 1.4 4.5 37.0 11.8 0.0 0.0 0.88 -40.4 0.24 116.4 -39.1 LITRAK 4.16 4.71 13.2% Buy 2,216 0.65 49.2 33.1 8.5 12.6 6.0 6.0 4.75 -12.4 3.30 26.1 -9.4 CARLSBG 23.10 24.10 4.3% Buy 7,063 1.31 57.9 79.7 39.9 29.0 2.3 3.5 39.17 -41.0 17.34 33.2 -21.2 HEIM 23.12 25.50 10.3% Buy 6,985 1.05 60.0 88.2 38.5 26.2 2.4 3.7 31.74 -27.2 17.30 33.6 -14.7 AEON 1.03 1.25 21.4% Buy 1,446 1.07 6.6 8.9 15.7 11.6 3.9 3.9 1.45 -29.0 0.67 53.7 -27.5 AMWAY 5.80 6.00 3.4% Buy 953 0.59 30.0 33.8 19.3 17.2 4.7 4.7 5.91 -1.9 4.50 28.9 3.1 F&N 32.48 40.00 23.2% Buy 11,913 0.56 114.2 117.5 28.5 27.6 1.8 2.0 34.84 -6.8 24.12 34.7 -6.8 FOCUSP 0.94 0.76 -19.1% Buy 207 0.61 3.6 5.1 25.8 18.5 2.1 2.4 0.97 -2.6 0.32 193.8 154.1 HUPSENG 0.94 1.00 6.4% Sell 752 0.59 5.1 5.7 18.5 16.4 6.4 6.4 1.08 -13.0 0.75 26.2 4.4 JOHOTIN 1.98 2.60 31.3% Buy 609 1.27 14.3 17.1 13.8 11.6 3.0 3.5 2.07 -4.3 0.98 102.0 14.5 -19.9 CONSUMER Brewery Retail LHI 0.71 0.84 19.1% Buy 2,573 na 2.8 4.7 25.5 15.2 1.2 2.0 0.96 -26.6 0.43 64.0 NESTLE 138.60 143.00 3.2% Sell 32,502 0.47 247.0 290.3 56.1 47.7 1.8 2.0 148.70 -6.8 120.00 15.5 -5.7 PADINI 2.88 3.20 11.1% Buy 1,895 0.97 13.0 18.5 22.1 15.6 2.6 3.1 3.59 -19.8 1.78 61.8 -11.1 POHUAT 1.78 1.88 5.6% Hold 472 1.08 19.5 19.7 9.1 9.0 5.1 4.5 2.06 -13.6 0.69 158.0 17.1 QL 6.01 7.00 16.5% Buy 14,626 0.60 9.8 11.0 61.1 54.4 0.5 0.6 7.20 -16.5 4.33 38.7 10.9 SCIENTX 12.44 12.60 1.3% Hold 6,430 0.69 81.0 81.2 15.4 15.3 1.8 2.0 12.90 -3.6 5.96 108.7 31.6 Note: SCIENTX proposed 2 for 1 bonus issue shares and 1 for 5 free warrants. For more detail please refer to 21-Sept-20 report. SIGN 0.51 0.60 17.6% Buy 131 1.53 -0.5 3.4 na 14.9 0.0 3.5 0.53 -3.8 0.15 242.2 17.9 14.08 14.50 3.0% Buy 4,020 0.91 92.0 97.7 15.3 14.4 6.4 6.7 15.64 -10.0 9.26 52.1 -6.6 GENTING 4.55 5.68 24.8% Buy 17,520 1.45 -8.9 18.4 na 24.7 1.4 4.0 6.05 -24.8 2.91 56.4 -23.1 GENM 2.71 3.20 18.1% Buy 15,320 1.10 -27.6 8.4 na 32.3 2.2 3.0 3.26 -17.0 1.83 48.1 -14.7 2.20 2.40 9.1% Buy 2,956 0.73 9.8 17.0 22.4 13.0 4.7 7.3 2.63 -16.5 1.88 17.0 -13.9 Tobacco BAT GAMING Casino NFO BJTOTO HEALTHCARE Hospitals/ Pharmaceutical DPHARMA 3.41 1.92 -43.7% Sell 2,408 0.63 7.9 9.1 42.9 37.3 1.5 1.7 4.38 -22.1 1.05 224.8 140.1 IHH 5.72 6.25 9.3% Buy 50,206 0.76 6.2 10.8 92.8 52.8 0.3 0.6 5.94 -3.7 4.55 25.7 4.6 KPJ 1.00 1.05 5.0% Hold 4,280 0.82 2.8 4.0 35.3 25.2 1.5 1.9 1.04 -3.8 0.72 38.9 5.8 HARTA 12.46 23.60 89.4% Buy 42,708 0.96 12.7 103.9 98.5 12.0 0.6 5.0 21.16 -41.1 5.32 134.2 127.4 KOSSAN 4.80 9.01 87.7% Buy 12,265 0.79 45.4 150.9 10.6 3.2 3.7 12.4 9.75 -50.8 2.06 133.0 130.8 SUPERMX 6.39 12.33 93.0% Buy 16,779 1.52 20.5 147.9 31.2 4.3 0.0 8.7 11.95 -46.5 0.63 912.7 839.9 TOPGLOV 6.26 8.84 41.2% Buy 50,222 1.03 21.8 127.0 28.7 4.9 1.9 11.0 9.77 -35.9 1.52 312.7 299.6 ALLIANZ 14.68 17.39 18.5% Buy 2,597 0.89 272.2 288.3 5.4 5.1 3.7 3.9 16.87 -13.0 11.40 28.8 -9.0 TUNEPRO 0.41 0.48 17.1% Buy 308 1.28 3.0 6.1 13.6 6.7 3.0 6.0 0.59 -30.5 0.20 105.0 -27.4 ASTRO 0.91 1.06 16.5% Buy 4,745 1.09 12.6 9.7 7.2 9.3 8.2 8.2 1.31 -30.5 0.71 29.1 -28.3 MEDIA PRIMA 0.28 0.28 0.0% Hold 305 1.32 -1.3 2.4 na 11.4 0.0 7.2 0.31 -9.8 0.11 150.0 -1.8 STAR 0.36 0.36 -1.4% Sell 261 1.13 -6.8 -1.3 na na 0.0 0.0 0.54 -32.7 0.23 60.0 -25.8 Rubber Gloves INSURANCE MEDIA
13. For Internal Circulation Only SNAPSHOT OF STOCKS UNDER COVERAGE Company Market Cap . Share Price Target Price (RM) (RM) LCTITAN 2.82 3.58 27.0% Buy 6,410 MHB 0.46 0.50 9.9% Hold 728 MISC 6.72 8.90 32.4% Buy PANTECH 0.45 0.29 -34.8% Sell PCHEM 7.49 9.10 21.5% SERBADK 1.72 2.10 22.1% % upside Recom (RMm) Beta EPS (sen) PER (X) Div Yield (%) 52weeks 52weeks % Chg FY20 FY21 FY20 FY21 FY20 FY21 High Price % Chg Low Price % Chg YTD 1.28 3.4 10.7 83.3 26.4 0.0 0.4 2.98 -5.4 0.98 189.2 17.0 1.74 -10.4 0.6 na 79.7 0.0 0.0 0.97 -53.1 0.26 78.4 -47.7 29,996 0.66 50.1 49.2 13.4 13.6 4.5 4.5 8.55 -21.4 6.32 6.3 -19.2 332 1.29 4.8 2.2 9.3 20.7 4.2 1.5 0.52 -13.6 0.25 79.8 -9.2 Buy 59,920 1.59 18.1 31.3 41.4 23.9 1.7 2.4 7.96 -5.9 4.00 87.2 1.9 Buy 5,801 1.36 17.6 20.3 9.8 8.5 2.9 3.5 2.52 -31.7 1.02 68.6 -21.8 OIL & GAS UZMA 0.58 0.61 6.1% Sell 13,556 1.63 0.0 4.9 na 11.8 0.0 0.0 1.03 -44.2 0.31 85.5 -40.4 VELESTO 0.15 0.16 10.3% Hold 1,191 1.80 -0.4 -0.2 na na 0.0 0.0 0.41 -64.6 0.09 61.1 -61.8 FGV 1.29 1.30 0.8% Hold 4,706 1.24 8.1 6.6 15.9 19.5 0.0 0.8 1.59 -18.9 0.72 80.4 -15.1 IJMPLNT 1.85 2.40 29.7% Buy 1,629 1.35 4.0 9.6 46.8 19.2 1.1 1.1 2.48 -25.4 1.01 83.2 -21.6 IOICORP 4.47 4.80 7.4% Hold 28,010 0.91 12.6 17.6 35.4 25.5 1.8 2.3 4.78 -6.5 3.41 31.1 -3.0 KLK 24.20 27.30 12.8% Buy 26,099 0.94 67.6 101.4 35.8 23.9 2.1 2.1 25.40 -4.7 17.40 39.1 -2.4 SIMEPLT 5.15 5.66 9.9% Buy 35,456 0.86 10.7 20.2 48.1 25.5 1.7 2.7 5.61 -8.3 3.81 35.2 -5.2 TSH 1.15 1.29 12.2% Buy 1,587 1.53 4.9 5.4 23.7 21.4 1.7 1.7 1.59 -27.7 0.56 105.4 -25.3 UMCCA 5.06 4.51 -10.9% Sell 1,061 0.71 -11.9 13.5 na 37.5 1.6 1.8 5.45 -7.2 4.00 26.5 -5.4 GLOMAC 0.32 0.43 36.5% Buy 242 0.62 1.5 2.5 20.9 12.5 3.2 3.2 0.38 -17.1 0.24 31.3 -13.7 HUAYANG 0.27 0.34 25.9% Buy 95 1.07 -20.6 -2.2 na na 0.0 0.0 0.41 -33.3 0.15 86.2 -25.0 IBRACO 0.57 0.62 9.7% Buy 280 0.69 6.6 7.9 8.6 7.2 1.3 2.7 0.72 -21.5 0.23 145.7 -18.7 IOIPG 1.60 1.77 10.6% Buy 8,810 1.01 11.2 11.3 14.2 14.1 0.9 1.9 1.77 -9.6 0.83 93.9 29.0 MAHSING 0.88 1.26 43.2% Buy 2,136 1.31 2.4 9.2 36.7 9.6 1.4 3.4 1.47 -40.1 0.31 188.5 24.8 SIMEPROP 0.69 0.76 10.1% Buy 4,693 1.18 1.8 4.1 37.7 17.0 1.4 2.2 0.94 -26.6 0.48 45.3 -24.6 SPSETIA 1.04 1.16 11.5% Buy 4,219 1.40 4.2 8.4 24.9 12.4 0.5 2.4 1.63 -36.2 0.55 89.1 -35.0 SUNWAY 1.61 1.76 9.3% Buy 7,871 0.81 7.1 10.5 22.8 15.3 2.8 4.7 1.87 -13.9 1.22 32.0 -10.6 PLANTATIONS PROPERTY REIT CMMT 0.64 0.74 16.5% Buy 1,311 0.57 2.7 4.6 23.4 13.9 4.5 7.2 1.02 -37.7 0.59 7.6 -36.5 SUNREIT 1.50 1.66 10.7% Sell 5,137 0.59 7.8 9.3 19.3 16.2 4.9 5.7 1.92 -21.9 1.34 11.9 -17.6 POWER & UTILITIES MALAKOF 0.91 1.11 22.7% Buy 4,423 0.78 7.0 6.9 12.9 13.1 6.6 6.9 1.02 -11.3 0.65 40.3 4.0 PETDAG 21.22 20.60 -2.9% Hold 21,081 0.72 24.7 73.6 85.9 28.8 0.8 2.7 23.79 -10.8 17.08 24.2 -7.5 PETGAS 17.24 18.70 8.5% Buy 34,113 0.71 97.4 97.3 17.7 17.7 6.9 4.0 18.45 -6.6 12.97 32.9 7.5 TENAGA 10.58 11.40 7.8% Buy 60,355 0.91 75.6 85.8 14.0 12.3 3.9 4.5 13.10 -19.2 9.50 11.4 -16.8 YTLPOWR 0.75 0.62 -17.3% Sell 6,084 1.01 0.9 2.4 82.3 31.1 0.0 0.0 0.80 -5.7 0.45 66.0 3.5 TELECOMMUNICATIONS AXIATA 3.75 4.68 24.8% Buy 34,386 0.97 9.2 14.0 40.8 26.8 2.1 3.2 4.75 -21.1 2.66 41.0 -9.3 DIGI 4.20 4.40 4.8% Hold 32,655 0.77 16.7 17.9 25.1 23.4 3.8 4.1 4.68 -10.3 3.74 12.3 -5.8 MAXIS 5.07 5.20 2.6% Hold 39,663 0.71 18.9 21.4 26.9 23.7 3.6 3.9 5.70 -11.1 4.59 10.5 -4.7 TM 5.38 5.80 7.8% Buy 20,302 0.81 28.3 33.2 19.0 16.2 2.6 3.1 5.59 -3.8 3.09 74.1 40.8 ELSOFT 0.71 0.70 -0.7% Buy 473 1.24 1.1 4.1 63.6 17.1 1.2 4.4 0.90 -21.2 0.39 83.1 -15.1 INARI 2.68 3.26 21.6% Buy 8,846 1.01 4.7 8.9 57.1 30.0 1.6 3.1 2.77 -3.2 0.90 197.8 57.6 MPI 24.10 29.40 22.0% Buy 4,793 0.62 76.9 109.1 31.3 22.1 1.1 1.2 26.26 -8.2 7.39 226.1 110.7 TECHNOLOGY Semiconductor & Electronics N2N 0.73 1.15 58.6% Buy 433 1.37 4.0 4.1 18.1 17.6 4.1 4.1 1.00 -27.1 0.34 111.2 3.4 SKPRES 2.15 2.45 14.0% Buy 1,688 1.04 6.1 10.2 35.5 21.0 1.4 2.4 2.29 -6.1 0.66 225.8 58.1 UNISEM 6.00 6.52 8.7% Buy 4,672 0.79 17.6 28.2 34.1 21.3 1.5 2.3 7.01 -14.4 1.53 292.2 177.8 TRANSPORTATION Airlines AIRASIA 0.91 0.77 -14.9% Sell 3,024 1.75 -93.2 -7.3 na na 0.0 0.0 1.73 -47.7 0.50 81.0 -46.8 AIRPORT 5.98 6.50 8.7% Buy 9,922 1.15 -30.0 -13.9 na na 0.0 0.0 7.73 -22.6 3.92 52.6 -21.3 Freight & Tankers PTRANS 0.26 0.35 34.6% Buy 495 1.02 2.1 2.6 12.4 10.1 3.8 4.0 0.33 -20.5 0.12 109.9 11.7 TNLOGIS 0.89 1.21 36.0% Buy 458 0.87 -1.4 1.7 na 51.6 0.0 0.0 1.10 -19.1 0.26 242.3 76.2 WPRTS 4.40 4.80 9.1% Buy 15,004 0.54 18.5 18.4 23.8 23.9 2.5 3.1 4.55 -3.3 2.97 48.1 4.5 SNAPSHOT OF FOREIGN STOCKS UNDER COVERAGE Company Share Price Target Price (S$) (S$) % upside Recom Market Cap. (S$m) Beta EPS (cent) FY20 FY21 PER (X) FY20 FY21 Div Yield (%) FY20 52week 52week % Chg FY21 High Price % Chg Low Price % Chg YTD BANKS & FINANCIAL SERVICES DBS 25.13 26.60 5.8% Buy 63,863 1.16 188.5 217.3 13.3 11.6 3.0 4.0 26.47 -5.1 16.65 50.9 -2.9 OCBC 10.07 9.10 -9.6% Sell 45,049 1.03 74.9 87.7 13.4 11.5 3.2 3.6 11.23 -10.3 7.80 29.1 -8.3 UOB 22.68 23.80 4.9% Buy 37,939 1.10 188.3 200.8 12.0 11.3 3.5 4.4 26.75 -15.2 17.12 32.5 -13.3 4.61 5.82 26.2% Buy 29,497 0.87 30.5 31.7 17.4 17.4 4.3 3.0 4.95 -6.9 2.83 62.9 11.9 PLANTATIONS WILMAR BUY : Total return within the next 12 months exceeds required rate of return by 5%-point. HOLD : Total return within the next 12 months exceeds required rate of return by between 0-5%-point. SELL : Total return is lower than the required rate of return. Total Return is defined as expected share price appreciation plus gross dividend over the next 12 months. Gross dividend is excluded from total return if dividend discount model valuation is used to avoid double counting. Required Rate of Return of 7% is defined as the yield for one-year Malaysian government treasury plus assumed equity risk premium.
14. COMPANY UPDATE Tuesday , December 29, 2020 FBMKLCI: 1,643.90 Sector: Building Materials THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* TP: RM0.40 (-75.5%) Chin Hin Group Berhad Ex-Bonus TP: RM0.26 Last Traded: RM1.63 Proposes to Acquire 51.5% Stake in CHGP and Onefor-Two Bonus Issue Chan Mun Chun Tel: +603-2167 9731 Sell mcchan@ta.com.my Proposes to Acquire 51.5% Stake in CHGP CHINHIN has proposed to acquire 176.6mn ordinary shares or 51.5% stake, as well as 37.6mn warrants in Chin Hin Group Property Bhd (CHGP) from related parties, for a total cash consideration of RM88.9mn. The purchase consideration is based on 45.0sen per ordinary share and 25.0sen per warrant. Following the acquisition, CHINHIN’s shareholdings in CHGP will increase from zero to 51.5%. The group has obtained an exemption from a mandatory offer obligation from the Securities Commission Malaysia. The purchase consideration will be funded via a combination of internally generated funds, bank borrowings, and fund-raising exercise. CHGP is mainly involved in property development, assembling and sales of new commercial vehicles, rebuilding commercial vehicles and bodyworks for sale, and provision of commercial vehicles for rental and fleet management services. Despite 68.1% of CHGP’s revenue was derived from assembling and trading of commercial vehicles in FY20, the group’s bottom line was mostly contributed by property development division. Proposes for 1-for-2 Bonus Issue Separately, CHINHIN has also proposed to undertake 1-for-2 bonus share issue. The proposed bonus issue entails the issuance of 278.2mn new shares, which will increase its enlarged share base to 834.6mn shares. The proposed acquisition and bonus issue are expected to be completed in 1Q2021. Our View Although the proposed acquisition will enable CHINHIN to expand into the property development segment, which is complementary to the group’s existing building materials business, we are mildly negative on the acquisition as the purchase price of 45.0sen/share for CHGP translates into a price-to-book ratio of about 1.1x, based on CHGP’s financial position as at end-2QFY21. We deem the acquisition price to be slightly pricey despite we expect CHGP’s earnings to improve going forward, underpinned by a gradual recovery of property sector. The net gearing of CHINHIN is expected to increase from 1.1x to 1.3x post acquisition. On the other hand, we are positive on the proposed bonus issue as it will help to improve the stocks trading liquidity and marketability. Impact No change to our FY20-FY22 earnings projections pending shareholders’ approval for the proposed acquisition of CHGP and proposed bonus issue. www.taonline.com.my Share Information Bloomberg Code Bursa Stock Code Listing Share Cap (mn) Market Cap (RMmn) 52-wk Hi/Lo (RM) 12-mth Avg Daily Vol ('000 shrs) Estimated Free Float (%) Beta Major Shareholders (%) CHIN MK CHINHIN 5273 Main Market 556.4 906.9 1.63/0.40 1575.2 32.0 0.1 Chiau Beng Teik- 30.0 Divine Inventions - 19.8 Forecast Revision Forecast Revision (%) Net profit (RMmn) Consensus TA's / Consensus (%) Previous Rating FY20 FY21 (3.3) 22.1 (3.0) 19.2 110.6 115.0 Sell (Maintained) Financial Indicators Net Debt / Equity (%) CFPS (sen) Price / CFPS (x) ROA (%) NTA/Share (RM) Price/NTA (x) Share Performance (%) Price Change 1 mth 3 mth 6 mth 12 mth FY20 107.2 (5.3) (30.6) (0.3) 0.7 2.2 FY21 96.0 0.2 817.5 2.0 0.8 2.1 CHINHIN 19.0 18.1 152.7 120.3 FBM KLCI 3.1 9.1 10.6 2.6 (12-Mth) Share Price relative to the FBMKLCI Source: Bloomberg Page 1 of 2
15. 29-Dec-20 Valuation We reiterate SELL call on the stock with an unchanged target price of RM0 .40, based on 10x CY21 EPS. Earnings Summary Profit & Loss (RMmn) YE Dec 31 Revenue EBITDA 2018 2019 2020F 2021F 2022F Balance Sheet (RMmn) YE Dec 31 2018 2019 2020F 2021F 2022F 1105.4 72.9 1056.5 70.7 835.1 41.4 965.1 65.3 1004.6 72.6 Fixed assets Others 469.7 139.2 462.4 102.6 465.2 122.6 470.6 122.6 475.6 127.6 603.1 Dep. & amortisation (22.0) (30.5) (27.7) (30.2) (30.6) NCA 608.9 564.9 587.8 593.1 Net finance cost (22.3) (24.7) (23.1) (11.2) (10.5) Cash 52.7 55.9 46.8 47.9 63.1 33.7 22.9 (3.4) 30.2 37.9 Others 495.8 549.8 495.0 491.2 467.4 548.5 605.7 541.8 539.1 530.4 1157.4 1170.6 1129.6 1132.3 1133.5 ST borrowings 425.3 434.4 412.4 381.3 350.2 Other liabilities 207.5 221.0 209.4 227.2 237.6 CL 632.8 655.5 621.7 608.5 587.8 Shareholders' funds 417.7 422.1 414.8 430.7 452.7 95.1 11.8 79.3 13.7 79.3 13.7 79.3 13.7 79.3 13.7 PBT Taxation (9.6) (7.6) 0.9 (6.9) (8.7) CA Net profit Core profit 22.9 22.2 18.0 22.9 (3.3) (3.3) 22.1 22.1 28.1 28.1 Total assets GDPS (sen) 1.5 2.0 1.0 1.5 1.5 Div Yield (%) 0.9 1.2 0.6 0.9 0.9 Cash Flow (RMmn) YE Dec 31 2018 2019 2020F 2021F 2022F PBT Non cash expenses 33.7 35.9 22.9 51.6 (3.4) 50.9 30.2 41.4 37.9 41.0 (28.2) (30.7) (22.2) (18.1) (19.2) (110.3) (28.4) 3.4 22.7 30.4 Non Operating expenses Changes in WC LT borrowings Other LT liabilities NCL 106.9 93.0 93.0 93.0 93.0 Total capital 1157.4 1170.6 1129.6 1132.3 1133.5 Ratio YE Dec 31 2018 2019 2020F 2021F 2022F 6.6 6.7 5.0 6.8 7.2 4.0 (36.8) 4.1 3.3 (0.6) (114.5) 4.0 (766.6) 5.0 27.0 32.3 Operational cash flow (68.8) 15.4 28.6 76.1 90.1 Capex (56.1) (45.8) (35.0) (40.0) (40.0) Others 4.2 41.4 4.4 4.4 4.4 Investment cash flow (51.9) (4.4) (30.6) (35.6) (35.6) EBITDA Margins (%) Debt raised/(repaid) Dividend 118.8 (8.3) 13.9 (13.8) (2.1) (5.6) (11.1) (8.3) (11.1) (8.3) Core EPS (sen) EPS Growth (%) 12.7 (20.0) (20.0) (20.0) PER (x) 40.9 39.6 (273.3) 41.0 12.8 (27.6) (39.4) (39.4) GDPS (sen) 1.5 2.0 1.0 1.5 1.5 (0.1) (0.1) 0.0 0.0 0.0 Div Yield (%) 0.9 1.2 0.6 0.9 0.9 Net cash flow (17.3) 23.8 (29.7) 1.1 15.1 Beginning cash Ending cash 47.1 29.8 29.8 53.5 53.5 23.9 23.9 25.0 25.0 40.1 (468.7) 112.7 (457.8) 108.2 (444.8) 107.2 (412.7) 96.0 (366.5) 81.3 6.4 Others (6.9) Financial cash flow Forex effect 103.5 Net debt (RMmn) Net gearing (%) ROE (%) 5.4 5.5 (0.8) 5.2 ROA (%) 1.9 2.0 (0.3) 2.0 2.5 NTA (RM) 0.7 0.8 0.7 0.8 0.8 P/NTA(x) 2.2 2.1 2.2 2.1 2.0 Stock Recommendation Guideline BUY : HOLD : SELL : Not Rated: Total return within the next 12 months exceeds required rate of return by 5%-point. Total return within the next 12 months exceeds required rate of return by between 0-5%-point. Total return is lower than the required rate of return. The company is not under coverage. The report is for information only. Total Return is defined as expected share price appreciation plus gross dividend over the next 12 months. Gross dividend is excluded from total return if dividend discount model valuation is used to avoid double counting. Required Rate of Return of 7% is defined as the yield for one-year Malaysian government treasury plus assumed equity risk premium. Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. As of Tuesday, December 29, 2020, the analyst, Chan Mun Chun, who prepared this report, has interest in the following securities covered in this report: (a) nil Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 2 of 2
16. ECONOMIC UPDATE Tuesday , December 29, 2020 FBMKLCI: 1,643.90 THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Malaysian Economy Steady Recovery in Exports Shazma Juliana Abu Bakar Farid Burhanuddin Tel: +603-2167 9608 Tel: +603-2167 9220 shazma@ta.com.my farid@ta.com.my www.taonline.com.my Exports Malaysia’s exports improved further to record a growth of 4.3% YoY, amounting to RM84.43bn in the month of November, up from 0.2% YoY gain observed in October 2020. The result came in better-than-consensus anticipation of 3.1% YoY increase. On a monthly basis, total exports, however, decreased by 7.3% MoM from RM91.05bn a month ago (Oct20: 2.4% MoM). Breakdown showed domestic exports (which contributed to about 81.8% of total exports in November) increased by 1.7% YoY to RM69.07bn during the month. Meanwhile, re-exports were valued at RM15.36bn. That was 18.1% higher than a year ago. Figure 1: Statistical Summary of Malaysia’s Trade Performance 2019 and 2020 Trade Performance Exports (RMbn) YoY % MoM % Imports (RMbn) YoY % MoM % Total Trade (RMbn) YoY % MoM % Trade Balance (RMbn) YoY % MoM % Sep 78.3 (6.1) (4.0) 69.44 2.5 (1.5) 147.7 (2.3) (2.8) 2019 Oct 90.9 (6.4) (10.9) 73.29 (8.7) 1.3 164.1 (7.5) (5.4) Nov 80.9 (5.4) (10.9) 74.26 (3.6) 1.3 155.2 (4.5) (5.4) 145.7 8.8 17.6 6.7 17.70 (43.4) (20.3) 4.3 (61.9) (21.3) (61.9) 2019 995.1 -0.80 849.4 -3.50 1,844.5 -2.10 Sep 88.93 13.6 12.4 66.96 (3.6) 1.6 155.88 5.5 7.5 2020 Oct 91.05 0.2 2.4 68.93 (6.0) 2.9 159.98 (2.5) 2.6 Nov 84.43 4.3 (7.3) 67.61 (9.0) (1.9) 152.04 (2.0) (5.0) 133.11 21.97 22.12 16.82 163.86 18.0 149.3 66.3 25.9 0.8 151.6 (24.0) 23.1 11M19 908.64 (1.2) 775.53 (3.9) 1,684.17 (2.4) 11M20 885.02 (2.6) 721.16 (7.0) 1,606.17 (4.6) Source: DOSM, TA Securities Figure 2: Exports Growth (Jan16 – Nov20) Figure 3: Domestic Exports vs. Re-Exports (Jan18 – Nov20) Source: DOSM, TA Securities Page 1 of 5
17. 29-Dec-20 Details Exports of manufactured goods (which accounted for 88.1% of total Nov’s exports) increased by 8.1% YoY to RM74.34bn during the month (Oct19: +2.5% YoY to RM79.93bn. This was contributed by steady demand for Electrical & Electronic Products (E&E), as it registered a double-digit growth of 23.6% YoY to RM34.09bn. This was followed by Rubber Products with a hefty increase of 124.8% YoY to RM5.13bn; Optical & Scientific Equipment (+0.6% YoY to RM3.61bn); Palm Oil-Based Manufactured Products (+0.3% YoY to RM1.84); and Wood Products (+3.1% YoY to RM1.52bn). On the other hand, exports of Petroleum Products registered a negative growth of 28.1% YoY to RM4.49bn in November, while shipments of Chemical & Chemical Products and Machinery, Equipment and Parts decreased by 6.6% and 5.0% YoY, respectively. On a MoM basis, exports of manufactured goods declined by 7%. Exports of agriculture goods (67% of total exports) also registered a positive growth of 6.0% YoY to RM5.65bn during the month (Oct19: +28.7% YoY to RM7.17bn). This was due to higher exports of Palm Oil and Palm-Based Products and Natural Rubber by 12.1% and 23.2% YoY, respectively. Nonetheless, contractions were recorded for Sawn Timber & Moulding (-10.7% YoY), Seafood, fresh, chilled or frozen (-20.9% YoY) and Saw Log (-68.8% YoY). On MoM basis, exports of this sector decreased by 21.2%. Meanwhile, shipments of mining goods (which constituted 4.9% of total exports) declined by 34.6% YoY to RM4.15bn. This was mainly due to lower exports of most of the products, such as Liquefied Natural Gas (LNG) (-43.6% YoY), Crude Petroleum (-36.5% YoY), Crude Fertilizers & Crude Minerals (-27.7% YoY), and Condensates and other petroleum oil (-83.7% YoY). This sector increased by 15.8% from Oct’s RM3.58bn. Details also showed an improvement demand across our major trading partners. Shipments to China (16.8% of Malaysia’s total exports) rose by 13.2% YoY to RM14.23bn due to higher exports of E&E products. Higher exports were also recorded to Singapore (+15.4% YoY to RM13.32bn) which also resulting from higher exports of E&E Products; the US (+24.6% YoY to RM9.76bn) due to higher exports of rubber products, E&E products, and Wood Products; the EU (+7.1% YoY to RM6.89bn) underpinned by higher exports of Rubber Products. On the other hand, exports to ASEAN recorded a negative growth of 2.2% YoY to RM23.46, driven by lower exports to Thailand (-14% YoY). Vietnam (-12.3% YoY), Indonesia (-33.7% YoY), and Myanmar (-33.8% YoY). Figure 4: % Share of Major Exports Countries (Nov20) Figure 5: % Share of Major Exports Products (Nov20) Source: DOSM, TA Securities Page 2 of 5
18. 29-Dec-20 Imports In contrast , total imports contracted further by 9.0% YoY in November 2020, steeper than consensus estimates of -6.2% YoY (Oct19: RM68.93bn). The pace of decline was also weaker than -6.0% YoY in October 2020. On a monthly basis, imports decreased by 1.9% MoM. Breakdown showed: - Intermediate goods (54.2% share of total imports) decreased by 10.6% YoY (+3.8% MoM) to RM36.64bn (Oct20: -6.1% YoY) underpinned by lower imports of parts and accessories of capital goods (except transport equipment), particularly electrical machinery, equipment and parts. - At the same time, capital goods (10.6% of total imports) were valued at RM7.19bn, decreased by 26.5% YoY (-0.4% MoM), mainly due to slower imports of capital goods (except transport equipment), primarily electrical machinery, equipment and parts. - Meantime, consumption goods contracted by 7.2% (-0.8% MoM) to RM6.27bn as a result of lower imports of non-durables, especially pharmaceutical products. Consumption goods contributed 9.3% of total imports during the month. By country, China still sustained as Malaysia’s top import country as it registered total imports of RM15.83bn, or 23.4% share, followed by Singapore (RM6.2bn, 9.2% share); the US (RM5.66bn, 8.4% share), Japan (RM5.44, 8.1% share), and the EU (RM4.75bn. 7.0% share). In term of growth, only Indonesia registered an increase among the top 10 import market (8.7% YoY). Imports from China declined by 4.5% YoY while import from Singapore declined by 25.8% YoY during the month. Figure 6: Imports Growth (Jan16 – Nov20) Figure 7: Imports by End-Use (Jan16 – Nov20) Source: DOSM, TA Securities Page 3 of 5
19. 29-Dec-20 Trade Balance Following higher exports value than imports , Malaysia trade surplus increased by 151.6% YoY to RM16.82bn. Nonetheless, trade surplus decreased by 24% from a month ago. In the meantime, total trade decreased by 2% YoY in November 2020, as compared with 2.5% YoY decline in the previous month. It amounted to RM152.04bn lower by 5.0% from RM159.98bn a month ago. Figure 8: Trade Surplus (Jan16 – Nov20) Figure 9: Total Trade (Jan16 – Nov20) Source: DOSM, TA Securities Outlook Despite the resilient November exports performance, total cumulative exports for the first 11 months of this year still posted a decline of 2.6% YoY, amounting RM885.02bn (10M20: -3.3% YoY; RM800.59bn) underlining the coronavirus pandemic's heavy hit on global demand. In the same vein, total imports decelerated by a cumulative 7.0% YoY to RM721.16, leading to a net surplus of RM163.86bn during the period, an advancement of 23.1% a year ago. By products, Petroleum Products decreased by 12.6% YoY to RM64.51bn, followed by Chemicals & Chemical Products (-13.0% YoY to RM52.52bn), Machinery, Equipment & Parts (-6.1% YoY to RM38.32bn), Manufactures of Metal (-15.1% YoY to RM38.32bn) and LNG (-32.9% YoY to RM38.79bn). On the other hand, E&E products increased by 2.2% YoY to RM342.07bn; followed by Palm Oil & Palm Oil-Based Agriculture Products (+13.7% YoY to RM40.31bn), and Rubber Products (+63% YoY to RM23.46bn). We foresee December’s export data to remain positive due to year end demand. Thus, 2020’s full year nominal exports may not be as worst as expected before (MOF’s projection: -5.2% YoY). We also opine exports to sustain its strong growth in 2021 in line with better economic prospect due to recovery in global trade and supply chains. The improvement of exports will be also supported by the improving demand around the world. Globally, new export orders are expanding in countries like China, Germany, India, the UK, Taiwan, Brazil and South Korea, which are among the strongest-performing territories in terms of export order growth. The latest results from Markit Economics showed that global manufacturing output expanded at the fastest pace since January 2018 and at one of the best growth rates over the past decade. Demand continued to revive following earlier Covid-19 lockdowns, including a further rebound in international trade flows. There was also a mild increase in employment, as capacity constraints rose and business optimism hit a near six-year high. The Global Manufacturing PMI posted a 33-month high of 53.7 in November, up from 53.0 in October 2020, remaining above the neutral 50.0 mark for the fifth successive month. Page 4 of 5
20. 29-Dec-20 Figure 10 : Malaysia PMI Manufacturing (Jan17 – Nov20) Figure 11: Regional PMI Manufacturing (Jan17 – Nov20) Source: DOSM, TA Securities [ TH E RE M A ININ G OF T H IS P A GE IS IN TE N TI O NA L L Y L E F T BL AN K] Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 5 of 5
21. Tuesday , 29 December, 2020 TA RESEARCH’S ‘DAILY COMPILED REPORTS’ For Internal Circulation Only L oc al Te ch n ic al R ep o r ts 1. D ai l y Te ch n ic a l St o ck s W at ch 2. D ai l y Mon e y F low of T e ch n i c a l St o ck W at ch 3. D ai l y Mon e y F low of FB MK L CI 4. D ai l y S t o c k S c r e e n Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my
22. Technical View Tuesday , December 29, 2020 THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Daily Technical Stock Watch Malaysia FBM KLCI: 1,643.90 (+2.73, +0.17%) Chartist: Stephen Soo Name FBMKLCI AFFIN ABMB AMBANK AXIATA CIMB DIGI GAMUDA GE NTING GE NM IHH IOICORP MALAKOFF MAXIS MAYBANK MBS B RHBBANK S IME TE NAGA TM WP RTS AE MULUS ARMADA DIALOG DNE X FGV GADANG GLOBE TRONICS HIAP TE CK HIBIS CUS INARI MP I MRCB S AP URA E NE RGY S KP RE S OURCE S S UNCON UE M S UNRIS E VE LE S TO UNIS E M VS INDS WAS E ONG Close 28/Dec 1643.90 1.83 2.91 3.65 3.75 4.30 4.20 3.80 4.55 2.71 5.72 4.47 0.91 5.07 8.54 0.68 5.54 2.29 10.58 5.38 4.40 0.60 0.36 3.42 0.22 1.29 0.45 2.77 0.48 0.59 2.68 24.10 0.48 0.13 2.15 1.93 0.50 0.15 6.00 2.61 0.77 Tel: +603-2167 9607 Change High Low 2.73 1,655.96 1,639.92 0.01 0.02 0.02 0.00 0.11 0.00 0.03 0.09 0.05 0.06 0.03 0.00 0.02 0.10 0.01 0.04 0.06 -0.12 0.04 0.00 -0.01 0.01 0.00 0.01 0.01 0.01 0.03 0.03 0.00 0.05 0.08 0.01 0.00 0.02 0.03 0.02 0.00 -0.01 -0.04 0.02 1.89 2.96 3.69 3.77 4.38 4.22 3.84 4.59 2.74 5.75 4.50 0.91 5.10 8.64 0.70 5.59 2.29 10.80 5.54 4.48 0.62 0.36 3.43 0.23 1.30 0.45 2.77 0.49 0.59 2.68 24.30 0.48 0.13 2.19 1.93 0.50 0.15 6.21 2.68 0.78 1.83 2.88 3.65 3.73 4.20 4.18 3.76 4.48 2.67 5.66 4.44 0.90 5.03 8.45 0.67 5.50 2.24 10.58 5.34 4.39 0.59 0.35 3.38 0.22 1.28 0.44 2.75 0.46 0.58 2.64 23.96 0.47 0.13 2.14 1.89 0.48 0.14 5.98 2.60 0.74 Bollinger Bands Lower Mid Upper 1,578.59 1,638.75 1,698.91 1.51 2.54 3.12 3.61 3.57 4.06 3.63 3.96 2.42 5.45 4.36 0.88 4.92 7.92 0.57 5.12 2.23 10.29 4.97 4.24 0.59 0.30 3.29 0.21 1.14 0.41 2.57 0.26 0.58 2.49 23.47 0.45 0.11 1.97 1.86 0.41 0.14 5.39 2.39 0.54 1.76 2.81 3.47 3.78 4.12 4.16 3.78 4.45 2.64 5.63 4.43 0.90 5.02 8.44 0.66 5.54 2.30 10.70 5.25 4.37 0.66 0.35 3.51 0.22 1.22 0.45 2.76 0.42 0.61 2.61 24.85 0.49 0.13 2.09 1.90 0.47 0.15 5.91 2.59 0.71 2.01 3.07 3.82 3.95 4.67 4.26 3.93 4.93 2.87 5.80 4.50 0.91 5.13 8.97 0.75 5.96 2.38 11.11 5.53 4.49 0.73 0.41 3.74 0.24 1.30 0.48 2.95 0.59 0.65 2.73 26.23 0.52 0.14 2.21 1.95 0.54 0.16 6.44 2.79 0.88 RSI 14d 54.33 61.66 66.15 62.63 55.92 58.69 55.43 51.42 55.37 55.14 57.16 50.41 51.76 49.94 54.45 56.60 56.12 37.87 49.76 61.17 54.88 35.85 53.97 39.77 46.23 65.49 51.26 47.72 63.83 47.71 54.02 48.73 48.76 53.85 60.34 51.61 55.53 53.36 54.49 58.77 62.34 stsoo@ta.com.my Moving Averages 10d 30d 50d 1,659.81 1,624.74 1,578.12 1.87 2.93 3.63 3.82 4.35 4.18 3.82 4.64 2.74 5.69 4.43 0.90 5.06 8.64 0.69 5.58 2.28 10.68 5.34 4.38 0.63 0.37 3.41 0.22 1.20 0.45 2.69 0.47 0.61 2.57 24.27 0.49 0.13 2.07 1.91 0.49 0.15 6.08 2.60 0.77 1.70 2.73 3.42 3.63 3.98 4.15 3.74 4.33 2.60 5.58 4.46 0.91 5.06 8.35 0.63 5.39 2.34 10.84 5.05 4.34 0.68 0.32 3.58 0.22 1.21 0.43 2.80 0.36 0.60 2.61 24.45 0.47 0.12 2.04 1.89 0.45 0.14 5.81 2.52 0.62 1.58 2.54 3.23 3.36 3.62 4.08 3.64 3.83 2.40 5.41 4.43 0.91 5.04 7.88 0.58 4.99 2.37 10.56 4.72 4.17 0.69 0.29 3.64 0.21 1.17 0.41 2.84 0.30 0.55 2.60 23.40 0.45 0.11 1.96 1.86 0.43 0.13 5.51 2.47 0.54 www.taonline.com.my DMI DI + 25.55 34.45 29.65 32.26 23.30 28.00 17.53 17.70 28.94 23.42 17.97 14.05 20.72 18.19 26.01 28.77 25.51 10.88 15.96 25.94 18.73 20.46 26.56 12.10 22.28 31.55 23.33 13.36 33.63 22.26 25.75 21.32 25.30 16.81 26.87 20.94 25.63 13.97 30.98 26.36 33.02 DI 22.34 12.67 19.79 16.39 16.05 19.01 15.43 18.71 22.19 18.49 15.07 13.78 14.75 14.02 19.66 14.92 16.84 18.19 21.49 7.82 11.35 24.76 18.89 26.11 17.71 16.48 18.05 21.65 20.69 22.56 19.61 24.66 19.37 7.01 13.94 9.55 18.03 13.66 12.03 15.23 15.15 ADX 23.67 Diff 3.21 49.12 21.78 51.85 9.86 42.00 15.87 42.41 7.25 44.52 9.00 8.95 2.11 9.60 (1.01) 47.70 6.74 43.43 4.93 30.03 2.90 12.65 0.27 13.93 5.97 11.56 4.17 32.94 6.35 47.57 13.85 37.68 8.68 17.20 (7.31) 22.12 (5.53) 54.05 18.12 33.82 7.38 13.59 (4.30) 41.81 7.68 31.69 (14.01) 24.14 4.57 21.30 15.08 32.20 5.28 23.91 (8.29) 52.04 12.95 38.63 (0.30) 13.93 6.14 27.08 (3.34) 33.97 5.94 45.73 9.79 31.99 12.93 24.08 11.40 34.18 7.60 24.78 0.31 41.43 18.95 30.60 11.13 55.55 17.87 Line 19.49 0.08 0.11 0.11 0.11 0.19 0.03 0.05 0.19 0.08 0.07 -0.01 0.03 0.00 0.17 0.03 0.13 -0.04 -0.01 0.19 0.06 -0.02 0.02 -0.08 0.00 0.01 0.01 -0.04 0.05 0.01 0.00 0.15 0.01 0.00 0.03 0.01 0.02 0.00 0.19 0.05 0.07 MACD Signal 24.84 Diff (5.34) DMI MACD Recent Signal BUY SELL DMI MACD Signal Change - 0.09 0.12 0.11 0.14 0.22 0.03 0.06 0.24 0.10 0.08 -0.01 0.02 0.00 0.22 0.03 0.19 -0.03 0.01 0.21 0.06 -0.02 0.03 -0.07 0.00 0.01 0.01 -0.04 0.06 0.02 0.00 0.41 0.01 0.00 0.04 0.02 0.02 0.00 0.21 0.06 0.08 (0.01) (0.01) (0.00) (0.03) (0.04) (0.00) (0.01) (0.05) (0.02) (0.01) (0.00) 0.00 0.00 (0.05) (0.01) (0.06) (0.01) (0.01) (0.02) (0.01) (0.01) (0.01) (0.00) (0.00) 0.00 (0.00) 0.00 (0.01) (0.01) 0.00 (0.25) (0.01) (0.00) (0.01) (0.00) (0.00) (0.00) (0.01) (0.01) (0.01) BUY BUY BUY BUY BUY BUY SELL BUY BUY BUY BUY BUY BUY BUY BUY BUY SELL SELL BUY BUY SELL BUY SELL BUY BUY BUY SELL BUY SELL BUY SELL BUY BUY BUY BUY BUY BUY BUY BUY BUY SELL BUY BUY - SELL SELL SELL SELL SELL SELL SELL SELL SELL SELL SELL BUY BUY SELL SELL SELL SELL SELL SELL SELL SELL SELL SELL SELL BUY SELL BUY SELL SELL BUY SELL SELL SELL SELL SELL SELL SELL SELL SELL SELL SELL BUY BUY BUY SELL - The table above is a compilation of actively traded stocks with some popular technical indicators. The technical BUY/SELL signals on the last four columns are auto generated; the first two being existing or recent signals while the last two represent a signal change from BUY to SELL or the reverse, otherwise no change is indicated by a dash. INTERPRETATION OF TECHNICAL INDICATORS: Bollinger Bands: Variable width bands that narrow during less volatile periods and widen during more volatile periods. As a general rule, in a bearish trend, traders should buy when share price touches the lower band and exit when price touches the middle band. The reverse is true in a bullish trend, ie. Buy when price touches the middle band and sell when price touches the upper band. Momentum traders tend to buy on price breakouts above the upper band, and sell when price breaks down below the lower band. 14-day Relative Strength Index (RSI): A reading below 30 is considered oversold, above 70 is overbought. A rise above 50 with a corresponding share price surge above the 30-day moving average should be taken as a bullish move with good short-term upside potential. A fall below 50 and a simultaneous dip below the 30-day average is bearish and imply further near-term downside risk. Moving Averages: A stock’s short-term trend is bullish if share price stays above the 10-day moving average, and bearish if it stays below. The medium-term trend is positive if share price stays above the 30-day average, and negative if it remains below. A longer-term uptrend is intact if share price sustain above the 50-day average, and is deemed broken if it breaches below this level. Directional Movement Indicator (DMI): The DMI is an indicator of trend strength. A positive DMI difference (DMI diff) value is bullish and indicate a higher DI+ vs. DI-, while a negative DMI diff is bearish due to a lower DI+ vs. DI- (DMI diff = DI+ minus DI-). A crossover of DI+ above DI- triggers a BUY signal, while a SELL signal is flashed when the DI+ crosses below the DI-. The Average Directional Movement Index (ADX) indicates the strength of a trend, whether it is up or down. The higher the value of ADX, the stronger the trend. An ADX value above 25 suggests a trending market or stock, while a value below 20 signal congestion or absence of trend. Daily Moving Average Convergence Divergence (MACD): The MACD diff value is derived from the difference between the MACD line (the 12-day EMA minus the 26-day EMA) and the MACD signal line (the 9-day EMA of the MACD). A positive MACD diff value is bullish, while a negative MACD diff is bearish. A BUY signal is generated when the MACD diff rises above zero, and SELL signal sparked when the MACD diff value falls below zero. Page 1 of 4
23. 29-Dec-20 Technical Comments : Bargain Globetronics & Inari Globetronics is in base building mode above the 76.4%FR (RM2.66), pending uptrend resumption with a breakout confirmation above the Nov peak (RM3.08) to aim for the 123.6%FP (RM3.51) ahead. Stronger uptrend support is from the 200-day ma (RM2.38). Inari needs convincing breakout above the Nov peak (RM2.77) to boost upward momentum towards the 123.6%FP (RM3.21), while uptrend support from the 100-day ma (RM2.42) is reinforced by the 76.4%FR (RM2.33). GLOBETRONICS (7022) RM2.77 (+0.03) BOLLINGER BANDS Upper Middle Lower RM RM RM SIMPLE MOVING AVERAGES 2.94 2.76 2.57 10-day 30-day 50-day RM RM RM DAILY MACD DMI Recent Signal Signal Change SELL Recent Signal Signal Change INARI (0166) RM RM RM SIMPLE MOVING AVERAGES 2.73 2.61 2.49 10-day 30-day 50-day BUY Recent Signal Signal Change DMI Recent Signal Signal Change BUY BUY RM2.68 (+0.05) BOLLINGER BANDS Upper Middle Lower 2.69 2.79 2.83 RM RM RM DAILY MACD 2.58 2.61 2.60 BUY BUY Page 2 of 4
24. 29-Dec-20 Daily Money Flow of Technical Stock Watch Malaysia Chartist : Stephen Soo No 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 37 38 39 39 40 Name Tel: +603-2167 9607 Total Money Flow (RM'mn) stsoo@ta.com.my (A) Total 5D MF Prv. Chg www.taonline.com.my (B) Cur. Chg CLOSING PRICE 18-Dec 21-Dec 22-Dec 23-Dec 24-Dec Chg (A+B) DMF 18-Dec 21-Dec 22-Dec 23-Dec 24-Dec FBMKLCI 16.2 (5.0) (12.2) (1.5) (4.1) (6.6) 10.7 (2.6) 1,652 1,648 1,632 1,648 1,641 (6.33) IN AFFIN ABMB AMBANK AXIATA CIMB DIGI GAMUDA GENTING GENM IHH IOICORP MALAKOFF MAXIS MAYBANK MBSB RHBBANK SIME TENAGA TM WPRTS AEMULUS ARMADA DIALOG DNEX FGV GADANG GTRONIC HIAP TECK HIBISCUS INARI MPI MRCB SAPURA ENERGY SKP RESOURCES SUNCON UEMS VELESTO UNISEM VS IND WASEONG (0.0) (0.2) 0.7 0.4 1.7 0.1 (0.0) 1.2 (0.3) 2.9 (0.4) 0.1 (0.5) (1.9) (1.1) 3.3 (0.2) (0.6) 2.9 0.0 0.0 (0.1) 2.4 0.5 (1.0) (0.1) 0.3 (0.8) (0.8) 0.6 0.1 0.1 0.2 0.4 (0.0) (0.1) (0.2) 0.8 (0.3) (0.3) 0.1 (0.4) (0.1) (0.0) (0.0) 0.8 0.0 (3.2) (0.2) 0.3 (0.1) (0.0) (0.0) (0.2) (0.2) (1.1) (0.1) (0.6) 0.0 0.4 0.0 (0.0) 0.7 0.0 (1.7) (0.1) 0.1 (0.3) (0.3) 0.5 (0.1) (0.1) (0.2) (0.1) 0.1 (0.0) (0.1) (0.2) (1.0) 0.1 (0.0) 0.0 0.1 (0.2) (2.5) 0.4 (0.1) (5.6) (1.0) 0.0 0.1 (0.0) (0.0) (0.4) (0.3) 0.3 (0.2) 1.0 0.1 0.2 (0.1) (0.5) 0.1 (0.1) (1.0) (0.1) (0.1) (0.2) (0.2) (0.1) 0.1 (0.1) 0.0 (0.1) 0.0 (0.2) (0.2) 0.9 0.8 (0.5) 0.1 0.3 (0.1) 0.4 (1.0) 0.1 0.0 1.7 0.2 (0.2) (0.3) 0.1 0.2 0.2 0.2 1.0 (0.6) 0.3 (0.3) (0.3) (0.1) 0.0 0.6 (0.1) (0.5) 0.0 0.3 (0.4) 0.1 0.0 (0.4) 0.1 0.0 0.2 0.0 (0.0) (0.0) 0.3 (0.3) (0.1) (0.0) 0.2 0.1 0.2 (0.3) 0.1 0.2 (0.8) (0.1) (0.1) (0.0) 0.0 (0.1) (0.3) (0.0) 0.0 0.0 0.1 (0.1) (0.1) (0.0) (0.5) 0.3 (0.1) (1.0) 0.0 0.0 0.0 (0.2) (0.6) 0.0 (0.1) 0.1 0.3 0.0 (0.0) (0.0) (0.2) 0.2 0.3 0.1 0.0 0.6 0.8 (2.1) 1.5 0.1 (6.6) (1.3) 3.0 (0.8) 0.2 (0.4) (2.6) (1.3) 3.5 (1.1) 0.2 2.7 0.2 (0.1) (1.1) 4.1 0.4 (5.1) (0.2) 0.6 (1.6) (1.4) 0.5 (0.3) (0.1) 0.2 0.7 0.1 (0.4) (0.5) 1.7 (0.6) (0.6) 0.1 0.3 (0.2) 0.6 1.5 (0.3) 0.2 7.3 1.2 (0.2) (0.3) 0.1 0.2 0.7 0.5 0.7 (0.5) (0.7) (0.3) (0.5) 0.0 0.5 0.5 0.0 0.5 0.1 0.4 (0.1) 0.2 0.1 (0.5) 0.2 0.0 0.3 0.0 0.2 0.1 (0.6) (1.0) 0.5 (0.1) (0.2) 0.2 (0.2) 0.7 0.0 0.1 (2.6) (0.2) 0.1 0.2 (0.0) (0.3) (0.5) (0.3) (1.0) 0.6 (0.2) 0.2 0.2 0.0 (0.5) (0.3) (0.0) (0.5) (0.0) (0.2) 0.4 (0.3) (0.7) 0.5 (0.2) 0.1 0.1 (0.0) (0.0) 0.0 (0.5) 0.4 0.3 1.85 2.90 3.57 3.87 4.38 4.18 3.76 4.65 2.74 5.75 4.40 0.89 5.01 8.46 0.68 5.39 2.28 10.78 5.41 4.28 0.63 0.37 3.38 0.22 1.17 0.47 2.70 0.44 0.62 2.59 24.60 0.50 0.13 2.03 1.90 0.49 0.15 6.80 2.56 0.81 1.87 2.90 3.59 3.74 4.30 4.15 3.86 4.55 2.76 5.75 4.39 0.89 5.05 8.48 0.66 5.44 2.26 10.68 5.40 4.49 0.61 0.35 3.41 0.22 1.18 0.45 2.71 0.45 0.60 2.58 24.50 0.48 0.13 2.03 1.94 0.48 0.14 6.24 2.52 0.77 1.84 2.85 3.52 3.72 4.12 4.19 3.82 4.31 2.61 5.65 4.39 0.89 5.07 8.40 0.65 5.40 2.24 10.58 5.31 4.40 0.60 0.33 3.38 0.22 1.18 0.43 2.71 0.43 0.57 2.59 23.78 0.46 0.13 2.05 1.88 0.46 0.14 6.10 2.54 0.74 1.86 2.89 3.58 3.75 4.21 4.18 3.80 4.53 2.69 5.65 4.39 0.89 5.07 8.49 0.68 5.46 2.23 10.68 5.40 4.41 0.62 0.35 3.44 0.22 1.27 0.44 2.70 0.47 0.58 2.61 23.78 0.48 0.13 2.07 1.90 0.48 0.15 6.06 2.58 0.78 1.82 2.89 3.63 3.75 4.19 4.20 3.77 4.46 2.66 5.66 4.44 0.91 5.05 8.44 0.67 5.50 2.23 10.70 5.34 4.40 0.61 0.35 3.42 0.22 1.28 0.44 2.74 0.46 0.59 2.63 24.02 0.47 0.13 2.13 1.90 0.48 0.15 6.01 2.65 0.75 (0.04) 0.00 0.05 0.00 (0.02) 0.02 (0.03) (0.07) (0.03) 0.01 0.05 0.02 (0.02) (0.05) (0.01) 0.04 0.00 0.02 (0.06) (0.01) (0.02) (0.01) (0.02) 0.00 0.01 0.00 0.04 (0.01) 0.01 0.02 0.24 (0.01) 0.00 0.06 0.00 0.01 0.00 (0.05) 0.07 (0.03) IN IN OUT IN IN OUT IN IN IN OUT OUT IN OUT IN IN OUT IN OUT OUT OUT IN OUT IN OUT OUT IN IN IN OUT OUT OUT OUT IN IN OUT IN IN OUT OUT IN Sources: Bloomberg, TA Securities Daily Money Flow (DMF) Formulation If previous change (A) + current change (B) > 0, then DMF = “IN”; AND if (A) + (B) < 0, then DMF = “OUT”. Money Flow (MF) Calculation The value of money flow is set to zero at the start of the trading day. When a trade is performed, its price is compared to the price of the previous trade (the first trade of the day is compared to the previous day's close). If the prices differ, the money associated with the trade (price times number of shares) is added to or subtracted from the money flow. Additions (inflows, buys) are done on upticks; subtractions (outflows, sells) are done on downticks. Daily Money Flow (DMF) Interpretation In general, money flow trends confirm price trends. As prices rise, money flows are usually positive. As prices fall, money flows are usually negative. A divergence, however, between money flow and price trend can be a signal of a future price trend change. For example, a falling stock price with a positive money flow (IN) can indicate a future rally in the price of the stock. Conversely, a rising stock price with a negative money flow (OUT) implies potential correction in the stock price. Page 3 of 4
25. 29-Dec-20 Daily Money Flow of FBMKLCI Malaysia Chartist : Stephen Soo No 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 Name FBMKLCI MAYBANK PBBANK TENAGA CIMB PCHEM IHH AXIATA MAXIS HLBANK SIME PLT DIGI NESTLE PETGAS GENTING MISC IOI CORP GENM KLK PETDAG HAP SENG HLFG PPB TOP GLOVE RHBBANK PMETAL SIME HARTALEGA SUPERMAX DIALOG TM (RM'mn) INF LOW OUTF LOW NET FLOW 18-Dec 16.2 (1.9) 1.5 (0.6) 1.7 0.4 2.9 0.4 (0.5) (0.5) 0.1 0.1 (0.1) (0.5) 1.2 (0.6) (0.4) (0.3) (0.5) (0.1) 0.2 0.1 (0.5) 4.8 3.3 0.2 (0.2) 0.6 0.1 2.4 2.9 Tel: +603-2167 9607 Total Money Flow (RM'mn) 21-Dec 22-Dec 23-Dec (5.0) (12.2) (1.5) (0.2) (0.4) 0.2 (1.2) 1.2 1.0 (0.6) 1.0 0.3 (0.0) (2.5) (1.0) (0.8) (0.0) 1.4 0.3 (0.0) (0.0) (0.1) 0.2 0.8 (0.0) 0.1 (3.2) 0.8 (0.1) (0.2) (1.1) 0.1 0.0 (0.1) (0.0) 1.0 (1.1) 1.0 (0.1) (0.6) (0.5) 0.7 0.0 0.0 (0.2) (0.0) (0.0) 0.6 0.4 0.0 0.1 (5.6) (0.9) 0.1 (1.0) (0.2) 0.0 0.3 (0.2) 0.1 (0.2) 0.3 (0.6) (0.2) (1.0) (3.2) 0.1 0.1 (0.2) 0.4 0.2 (0.2) 0.3 0.1 0.1 0.1 1.7 (0.4) (0.3) 0.2 (0.2) 0.1 0.7 0.0 0.1 (5.4) 1.0 0.3 (0.6) (0.5) (1.2) 0.6 (0.3) 24-Dec (4.1) (0.3) 0.8 0.1 (0.3) (0.4) (0.1) 0.2 (0.1) (0.1) 0.0 0.1 0.2 0.0 (0.8) (1.5) (0.0) (0.1) (0.0) (0.0) 0.2 (0.0) (0.0) (0.5) 0.0 (0.3) 0.0 (0.4) (1.1) 0.3 (0.1) Total 5D MF (6.6) (2.6) 3.2 0.2 (2.1) 0.6 3.0 0.8 (0.4) (1.0) 1.2 1.5 0.2 (0.3) (6.6) (2.7) (0.8) (1.3) (2.0) 0.1 1.4 (0.2) (0.4) (0.3) 3.5 0.7 (1.1) (2.0) (5.9) 4.1 2.7 22.9 5.0 4.1 8.7 2.0 42.7 (6.7) 16.2 (10.1) (5.0) (16.2) (12.2) (10.3) (1.5) (6.1) (4.1) (49.3) (6.6) stsoo@ta.com.my (A) (B) Prv. Chg Cur. Chg 10.7 (2.6) 0.7 (0.5) (0.2) (0.2) (0.7) (0.2) 1.5 0.7 1.4 (1.8) (0.2) 0.1 0.6 (0.2) 0.2 (0.3) (0.2) 0.1 (0.2) (0.3) (0.3) 0.0 0.1 0.1 0.1 (0.1) 7.3 (2.6) 0.5 (1.1) (0.3) 0.2 1.2 (0.2) (0.0) 0.1 0.0 (0.1) 0.4 (0.5) 0.2 (0.0) (0.0) (0.1) (5.2) 4.9 0.7 (1.0) 0.9 (0.5) (0.5) 0.6 0.5 0.1 2.0 0.1 0.5 (0.3) (0.3) 0.2 18-Dec 1,652 8.46 20.64 10.78 4.38 7.58 21-Dec 1,648 8.48 20.66 10.68 4.30 7.54 5.75 3.87 5.01 18.58 5.08 4.18 140.90 17.30 4.65 6.43 4.40 2.74 24.08 21.24 8.43 18.56 18.62 6.64 5.39 8.05 2.28 12.36 7.16 3.38 5.41 5.75 3.74 5.05 18.58 5.15 4.15 137.40 17.56 4.55 6.45 4.39 2.76 24.02 21.06 8.39 18.14 18.62 6.62 5.44 8.00 2.26 12.50 7.24 3.41 5.40 COMPANIES INFLOW OUTFLOW 17 (13) 11 (19) 14 (16) 19 (11) 11 (19) www.taonline.com.my CLOSING PRICE 22-Dec 23-Dec 1,632 1,648 8.40 8.49 20.46 20.60 10.58 10.68 4.12 4.21 7.41 7.58 5.65 3.72 5.07 18.48 5.04 4.19 137.90 17.48 4.31 6.38 4.39 2.61 23.88 21.02 8.39 17.50 18.62 6.69 5.40 7.81 2.24 12.60 7.05 3.38 5.31 5.65 3.75 5.07 18.52 5.16 4.18 138.40 17.30 4.53 6.46 4.39 2.69 24.00 21.14 8.45 17.50 18.84 6.73 5.46 7.91 2.23 12.72 6.92 3.44 5.40 24-Dec 1,641 8.44 20.56 10.70 4.19 7.50 5.66 3.75 5.05 18.48 5.18 4.20 139.20 17.32 4.46 6.50 4.44 2.66 24.20 21.22 8.49 17.60 18.90 6.49 5.50 8.00 2.23 12.58 6.81 3.42 5.34 (A+B) DMF Chg (6.33) IN (0.05) IN (0.04) OUT 0.02 OUT (0.02) IN (0.08) OUT 0.01 OUT 0.00 IN (0.02) OUT (0.04) OUT 0.02 OUT 0.02 OUT 0.80 IN 0.02 OUT (0.07) IN 0.04 OUT 0.05 OUT (0.03) IN 0.20 IN 0.08 OUT 0.04 OUT 0.10 IN 0.06 OUT (0.24) OUT 0.04 OUT 0.09 IN 0.00 IN (0.14) IN (0.11) IN (0.02) IN (0.06) OUT Daily Trading Participation Date Retail Ins titution Foreign Total 18-Dec 35.0% 38.9% 26.1% 100% 21-Dec 22-Dec 23-Dec 24-Dec 43.3% 43.6% 41.1% 45.3% 43.2% 44.2% 45.7% 42.9% 13.5% 12.3% 13.2% 11.8% 100% 100% 100% 100% Sources: Bloomberg, TA Securities Daily Money Flow (DMF) Formulation If previous change (A) + current change (B) > 0, then DMF = “IN”; AND if (A) + (B) < 0, then DMF = “OUT”. Money Flow (MF) Calculation The value of money flow is set to zero at the start of the trading day. When a trade is performed, its price is compared to the price of the previous trade (the first trade of the day is compared to the previous day's close). If the prices differ, the money associated with the trade (price times number of shares) is added to or subtracted from the money flow. Additions (inflows, buys) are done on upticks; subtractions (outflows, sells) are done on downticks. Daily Money Flow (DMF) Interpretation In general, money flow trends confirm price trends. As prices rise, money flows are usually positive. As prices fall, money flows are usually negative. A divergence, however, between money flow and price trend can be a signal of a future price trend change. For example, a falling stock price with a positive money flow (IN) can indicate a future rally in the price of the stock. Conversely, a rising stock price with a negative money flow (OUT) implies potential correction in the stock price. Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. As of Tuesday, December 29, 2020, the chartist, Stephen Soo, who prepared this report, has interest in the following securities covered in this report: (a) nil Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 4 of 4
26. Technical View Tuesday , December 29, 2020 THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Daily Stock Screen Malaysia End Day Census of 28.12.2020 Chartist: Stephen Soo Tel: +603-2167 9607 stsoo@ta.com.my www.taonline.com.my Report Description: The Daily Stock Screen is a retail product which can be a very useful guide for momentum trading and trading ideas. The following list is derived from the screening of more than 1000 stocks currently listed on Bursa Malaysia to identify: the top 20 breakout, 20 breakdown, and 20 ‘potential’ breakout stocks which just climbed above the middle Bollinger band, with potential to appreciate toward the upper Bollinger band. [MIDDLE BOLLINGER RANGEBOUND] List of 20 Potential Breakout Stocks (Short-term BUY for upside toward Upper Bollinger Band or higher to TAKE PROFIT/ SELL) No 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Stock Name SARAWAK CONSOLIDATED INDUSTR COMPUTER FORMS (MALAYSIA) BH BATU KAWAN BHD KPOWER BHD RIVERVIEW RUBBER ESTATES BHD SUNGEI BAGAN RUBBER (M) CHOO BEE METAL INDUS BHD TASCO BHD LEADER STEEL HOLDINGS BHD LION POSIM BHD SEE HUP CONSOLIDATED BHD PERUSAHAAN SADUR TIMAH MALAY EITA RESOURCES BHD CAHYA MATA SARAWAK BHD PRESTARIANG BHD PIE INDUSTRIAL BHD AJ INOMOTO MALAYSIA BHD MALAYAN CEMENT BHD WCE HOLDINGS BHD AYS VENTURES BHD Price 5.60 2.20 17.90 6.77 3.05 3.10 1.71 3.06 0.78 0.61 0.95 3.82 2.00 2.04 0.93 2.34 15.80 2.69 0.44 0.36 Bollinger Band Lower Middle Upper 4.21 5.16 6.11 1.68 2.05 2.42 17.33 17.72 18.12 4.43 5.70 6.97 2.76 2.95 3.15 2.78 2.99 3.20 1.20 1.50 1.80 2.49 2.80 3.12 0.53 0.67 0.82 0.40 0.53 0.65 0.59 0.78 0.98 3.62 3.73 3.84 1.82 1.92 2.02 1.73 1.89 2.06 0.48 0.71 0.94 1.88 2.12 2.35 14.72 15.26 15.80 2.34 2.52 2.69 0.26 0.35 0.44 0.21 0.28 0.35 RSI 14-day 60.94 71.14 65.72 72.82 55.89 63.50 70.57 64.54 68.38 67.36 66.27 64.12 71.80 69.09 83.74 71.16 69.41 68.65 74.11 83.81 5-day 5.79 2.14 17.78 6.37 3.01 3.05 1.55 2.74 0.69 0.59 0.94 3.71 1.94 1.87 0.83 2.23 15.39 2.48 0.37 0.31 Moving Average 10-day 30-day 5.49 4.89 2.14 1.89 17.81 17.20 6.12 5.30 3.02 2.91 3.04 2.88 1.50 1.33 2.84 2.73 0.68 0.60 0.58 0.48 0.85 0.81 3.71 3.65 1.94 1.79 1.91 1.74 0.77 0.61 2.13 2.09 15.46 15.25 2.47 2.44 0.37 0.32 0.30 0.25 50-day 4.42 1.58 16.43 4.59 2.85 2.84 1.19 2.52 0.53 0.43 0.85 3.50 1.56 1.51 0.53 1.97 15.09 2.21 0.28 0.22 Vol 5,546,800 31,000 104,400 5,442,500 12,100 22,700 1,147,600 4,618,700 26,157,300 598,700 4,000 168,900 599,000 10,441,600 53,664,700 2,161,700 48,300 1,146,100 39,201,100 10,161,800 20-day avg vol 2,180,910 4,375 67,750 1,675,310 8,290 17,880 943,370 2,004,430 15,157,960 404,630 635 30,095 265,855 6,457,515 26,980,210 957,325 25,300 316,075 9,322,755 1,828,275 Raw data sourced from Bloomberg *Note: To qualify in this list above, the first sorting criteria is stock price must have just climbed or stayed ABOVE the middle Bollinger Band, followed by a second criteria that trading volume for the day must be significantly strong. This is a good watch list for momentum traders looking for short-term BUY ideas, as they are laggards with good upside potential towards the upper Bollinger band or higher to TAKE PROFIT/SELL. Caveat: Some stocks may continue to stay range bound and trade sideways, hence traders should refer to their respective charts to spot accumulation (volume growth) or breakout patterns. INTERPRETATION OF TECHNICAL INDICATORS: Moving Averages: A stock’s short-term trend is bullish if share price stays above the 10-day moving average, and bearish if it stays below. The medium-term trend is positive if share price stays above the 30-day, and negative if it remains below this average. 14-day RSI: A reading below 30 is considered oversold, above 70 is overbought. A rise above 50 with a corresponding share price surge above the 30-day SMA should be taken as a bullish move with good short-term upside potential. A fall below 50 and a simultaneous dip below the 30-day SMA is bearish and imply further near-term downside risk. Bollinger Bands: Variable width bands that narrow during less volatile periods and widen during more volatile periods. As a general rule, in a bearish trend, traders should buy when share price touches the lower band and exit when price touches the middle band. The reverse is true in a bullish trend, ie. Buy when price touches the middle band and sell when price touches the upper band. Momentum traders will buy on price breaks above the upper band, and sell when price breaks below the lower band. Alternatively, a sharp move that originates at one band tends to go all the way to the other band, a useful observation when projecting price targets. Page 1 of 2
27. *Note: To qualify in the breakout list below, the first sorting criteria is stock price must close ABOVE the upper Bollinger Band, followed by a second criteria that trading volume for the day must be significantly higher than the 20-day average volume, which signal a bullish breakout. Caveat: We would caution momentum traders that a highly overbought 14-day RSI reading (> 80) and share price pullback BELOW the upper Bollinger Band are early warning signals to exit buy breakout trades. [UPPER BOLLINGER BREAKOUT] Top 20 Breakout Stocks (Generally BULLISH, but can be short-term TAKE PROFIT/ SELL guide) Stock Name 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Bollinger Band Price CN ASIA CORP BHD SIG GASES BHD KESM INDUSTRIES BHD MELEWAR INDUSTRIAL GROUP BHD ANN J OO RESOURCES BHD MYCRON STEEL BHD MALAYSIA STEEL WORKS KL BHD CHIN HIN GROUP BHD LION INDUSTRIES CORP BHD J F TECHNOLOGY BHD HUME CEMENT INDUSTRIES BHD DKSH HOLDINGS MALAYSIA BHD SOUTHERN STEEL BERHAD LEON FUAT BHD SIGNATURE INTERNATIONAL BHD VISDYNAMICS HOLDINGS BHD HAP SENG CONSOLIDATED ELSOFT RESEARCH BHD ANCOM LOGISTICS BHD THETA EDGE BHD Lower 0.47 -0.07 10.93 0.18 0.84 0.31 0.32 1.24 0.27 4.28 1.02 3.28 0.60 0.46 0.34 0.45 8.17 0.59 0.33 0.34 1.32 0.49 13.16 0.59 1.65 0.71 0.72 1.63 0.74 4.95 1.32 3.72 0.92 0.62 0.51 0.68 8.56 0.71 0.49 0.65 Middle 0.79 0.11 11.95 0.31 1.18 0.44 0.46 1.38 0.46 4.58 1.14 3.47 0.73 0.51 0.41 0.54 8.35 0.63 0.39 0.48 Upper 1.11 0.28 12.98 0.44 1.52 0.58 0.60 1.52 0.66 4.88 1.26 3.67 0.86 0.57 0.47 0.63 8.52 0.67 0.45 0.61 RSI 14-day 88.32 99.28 69.42 87.92 89.77 87.77 84.62 90.22 89.18 66.21 73.70 66.33 83.04 77.59 81.73 78.91 65.28 75.20 69.27 84.98 Moving Average 5-day 0.88 0.09 12.45 0.31 1.32 0.44 0.47 1.39 0.55 4.54 1.18 3.38 0.77 0.51 0.42 0.57 8.43 0.64 0.39 0.54 10-day 0.84 0.09 12.05 0.31 1.23 0.44 0.45 1.37 0.50 4.54 1.15 3.42 0.74 0.51 0.41 0.55 8.36 0.63 0.40 0.50 30-day 0.71 0.09 11.35 0.28 1.00 0.38 0.41 1.37 0.39 4.44 1.09 3.46 0.63 0.45 0.38 0.51 8.32 0.63 0.38 0.43 50-day 0.66 0.09 10.45 0.25 0.86 0.34 0.36 1.37 0.34 4.34 0.96 3.26 0.56 0.39 0.35 0.49 7.99 0.63 0.38 0.40 Vol 3,317,300 3,976,900 80,500 151,201,400 14,507,900 24,686,800 135,609,100 5,163,300 125,918,900 4,334,800 2,319,800 776,200 5,760,000 7,582,600 2,931,200 8,493,100 186,900 7,503,600 66,934,500 2,813,400 20-day avg vol 684,520 813,460 89,405 16,082,210 11,825,880 2,281,845 20,172,000 1,024,755 31,844,100 1,688,730 1,044,025 176,710 2,275,015 998,060 769,318 3,394,235 782,445 1,115,510 10,875,120 705,015 Raw data sourced from Bloomberg *Note: As for the top 20 breakdown list below, the sole sorting criteria is stock price must close significantly BELOW the lower Bollinger Band, with the largest distance from the lower band at the top of the table, signaling a severe sell-off which is bearish. Caveat: A stock should bottom out if share price moves ABOVE the falling lower Bollinger Band, which can be a good buy signal for technical rebound upside after the sharp sell-off. [LOWER BOLLINGER BREAKDOWN] Top 20 Breakdown Stocks (Generally BEARISH, but can be short-term BUY guide) Stock Name 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 Price HIL INDUSTRIES BERHAD VERTICE BHD ENRA GROUP BHD SCGM BHD KOMARKCORP BHD APEX EQUITY HOLDINGS BERHAD PARAMOUNT CORP BHD AHB HOLDINGS BHD FINTEC GLOBAL BHD MEGA FIRST CORP BHD SAPURA RESOURCES BHD OCEANCASH PACIFIC BHD DIVERSIFIED GATEWAY SOLUTION TRIVE PROPERTY BHD AE MULTI HOLDINGS BHD KEY ALLIANCE GROUP BHD CAELY HOLDINGS BHD PASUKHAS GROUP BHD EDEN INC BHD MNC WIRELESS BHD 1.01 0.23 0.63 2.20 0.94 0.92 0.81 0.18 0.08 6.61 0.46 0.55 0.15 0.22 0.13 0.05 0.43 0.07 0.15 0.05 Bollinger Band Lower Middle Upper 1.05 1. 15 1.24 0.25 0. 27 0.30 0.65 0. 71 0.77 2.21 2. 57 2.93 0.95 1. 07 1.19 0.92 0. 95 0.97 0.82 0. 86 0.90 0.18 0. 20 0.22 0.09 0. 10 0.11 6.62 6. 95 7.28 0.46 0. 48 0.50 0.55 0. 60 0.65 0.15 0. 17 0.18 0.22 0. 34 0.45 0.13 0. 16 0.19 0.05 0. 06 0.06 0.43 0. 47 0.51 0.07 0. 07 0.08 0.15 0. 16 0.17 0.05 0. 05 0.06 RSI 14-day 33.51 32.39 34.87 22.91 34.23 39.42 39.84 29.86 35.67 27.30 46.69 30.24 36.33 39.19 32.17 37.41 37.15 41.43 42.40 41.57 5-day 1.11 0.28 0.69 2.40 1.09 0.94 0.84 0.19 0.10 6.79 0.48 0.58 0.16 0.30 0.14 0.06 0.45 0.08 0.16 0.05 Moving Average 10-day 30-day 1. 14 1.14 0. 27 0.28 0. 71 0.70 2. 45 2.68 1. 10 1.10 0. 95 0.95 0. 86 0.84 0. 20 0.21 0. 10 0.10 6. 85 7.07 0. 48 0.47 0. 59 0.62 0. 16 0.17 0. 31 0.35 0. 15 0.17 0. 06 0.06 0. 47 0.47 0. 07 0.08 0. 16 0.16 0. 05 0.05 50-day 1.10 0.27 0.69 2.81 1.10 0.92 0.79 0.21 0.10 7.12 0.44 0.66 0.18 0.33 0.16 0.06 0.47 0.07 0.15 0.05 Vol 318,900 9,855,200 58,000 2,753,500 16,476,400 23,300 1,081,600 4,491,800 163,422,700 430,600 69,600 1,262,800 9,071,700 11,433,000 17,358,100 4,877,600 679,800 4,761,900 1,392,300 3,947,200 20-day avg vol 811,115 1,003,770 91,260 1,449,450 7,570,570 54,950 999,520 3,012,600 75,736,220 643,030 56,625 923,915 5,638,860 5,932,462 18,871,480 34,986,400 1,582,255 29,083,680 2,649,745 25,092,410 Raw data sourced from Bloomberg Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. As of Tuesday, December 29, 2020, the chartist, Stephen Soo, who prepared this report, has interest in the following securities covered in this report: (a) nil Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 2 of 2
28. Tuesday , 29 December, 2020 TA RESEARCH’S ‘DAILY COMPILED REPORTS’ For Internal Circulation Only As i an Te ch n ic al R ep o r ts 1. D ai l y For ei gn St oc k W a t ch (F S ST I ) Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my
29. Technical View Tuesday , December 29, 2020 THIS REPORT IS STRICTLY FOR INTERNAL CIRCULATION ONLY* Daily Technical Stock Watch Singapore FSSTI: 2,840.14 (-1.90, -0.07%) Chartist: Stephen Soo Stock Name Close 28-Dec FS S TI 2,840.14 S INGTEL DBS Tel: +603-2167 9607 Bollinger Bands Mid Upper RSI 14d stsoo@ta.com.my Moving Averages 30d 50d DMI ADX www.taonline.com.my MACD Line Signal DMI MACD Recent Signal Change High Low (1.90) 2,851.82 2,834.58 2,801.07 2,836.69 2,872.32 59.06 2,846.56 2,827.26 2,715.44 29.18 19.69 38.56 9.49 29.92 40.09 (10.17) BUY SELL 2.33 0.01 2.34 2.32 2.29 2.35 2.42 47.58 2.34 2.37 2.27 25.26 18.37 27.93 6.88 0.01 0.02 (0.01) BUY SELL 25.13 (0.04) 25.24 25.01 24.87 25.29 25.72 55.85 25.25 25.14 23.83 28.82 22.74 29.80 6.09 0.31 0.46 (0.15) BUY SELL SELL Lower 10d DI + DI - Diff Diff OCBC 10.07 0.01 10.13 10.01 9.94 10.06 10.19 57.38 10.08 10.02 9.54 24.74 12.56 47.12 12.18 0.12 0.17 (0.05) BUY UOB 22.68 (0.03) 22.77 22.55 22.43 22.77 23.10 56.62 22.76 22.71 21.62 28.46 21.26 37.59 7.20 0.24 0.35 (0.12) BUY SELL J ARDINE M. 55.35 (0.17) 55.93 54.89 53.07 55.03 57.00 60.91 55.80 54.35 50.72 28.15 18.38 41.49 9.77 1.29 1.63 (0.35) BUY SELL 4.61 0.01 4.63 4.56 4.05 4.29 4.52 78.24 4.36 4.29 4.28 37.76 8.88 24.02 28.87 0.06 0.01 0.04 BUY BUY HK LAND 4.16 (0.03) 4.20 4.13 4.10 4.23 4.36 50.08 4.20 4.24 4.09 21.94 19.19 16.81 2.75 0.02 0.04 (0.02) BUY SELL CAPLAND 3.25 (0.01) 3.30 3.23 3.08 3.20 3.33 66.77 3.26 3.14 2.96 27.92 18.34 46.17 9.58 0.08 0.09 (0.01) BUY SELL GENS P 0.85 (0.01) 0.86 0.85 0.82 0.85 0.88 57.30 0.86 0.84 0.78 30.01 16.59 45.79 13.42 0.02 0.02 (0.01) BUY SELL SELL WILMAR KEPPEL 5.40 (0.03) 5.43 5.39 5.08 5.27 5.45 65.97 5.33 5.22 4.96 26.89 14.36 42.03 12.53 0.11 0.12 (0.01) BUY S GX 9.23 0.01 9.30 9.22 8.91 9.15 9.39 53.35 9.25 9.15 9.09 21.82 17.85 13.48 3.97 0.04 0.04 0.00 BUY BUY S IA 4.26 0.00 4.28 4.24 4.24 4.37 4.51 50.38 4.36 4.30 4.00 27.84 27.17 33.98 0.67 0.07 0.11 (0.05) BUY SELL FNN 1.44 0.01 1.44 1.43 1.39 1.42 1.45 61.51 1.43 1.40 1.32 30.07 7.61 49.80 22.46 0.03 0.03 (0.01) BUY SELL CITY DEV 8.04 0.06 8.10 7.92 7.63 7.88 8.14 58.33 7.97 7.81 7.43 24.88 17.43 26.62 7.44 0.12 0.14 (0.02) BUY SELL J ARDINE S . 24.80 (0.01) 25.13 24.80 23.87 25.30 26.72 49.43 25.33 25.12 23.82 21.61 20.45 28.36 1.16 0.26 0.51 (0.24) BUY SELL S G PRES S 1.10 0.01 1.11 1.09 1.08 1.16 1.23 41.79 1.13 1.15 1.09 19.02 24.25 28.57 (5.23) 0.00 0.01 (0.01) SELL SELL SELL SELL J ARDINE C&C 19.46 (0.14) 19.68 19.38 19.26 19.97 20.68 44.47 19.90 20.27 19.61 19.42 23.35 12.49 (3.93) -0.04 0.07 (0.11) SELL GOLDEN AGRI 0.16 0.00 0.16 0.16 0.15 0.16 0.16 51.80 0.16 0.16 0.15 23.71 17.04 24.82 6.68 0.00 0.00 (0.00) BUY S G TECH 3.85 0.00 3.89 3.84 3.80 3.88 3.97 49.75 3.87 3.89 3.78 21.53 20.96 22.55 0.57 0.02 0.03 (0.01) BUY SELL OLAM INT 1.48 0.03 1.48 1.45 1.45 1.52 1.60 42.90 1.54 1.50 1.42 21.30 30.67 38.07 (9.37) 0.02 0.04 (0.02) SELL SELL CAPTALAND INT 2.13 0.00 2.14 2.10 1.89 2.07 2.25 62.46 2.14 2.04 1.97 23.04 15.04 27.27 8.00 0.05 0.05 0.00 BUY BUY S EMBCORP 1.70 (0.01) 1.72 1.69 1.65 1.77 1.89 47.21 1.73 1.76 1.68 17.67 21.15 34.30 (3.47) 0.01 0.02 (0.01) SELL SELL S EMCORP M. 0.14 0.01 0.15 0.14 0.13 0.16 0.18 37.69 0.15 0.15 0.14 19.29 26.90 26.90 (7.61) 0.00 0.00 (0.00) SELL SELL SELL CMFT DELGRO 1.67 0.01 1.69 1.66 1.61 1.67 1.74 51.77 1.69 1.66 1.57 21.31 16.05 36.89 5.27 0.03 0.04 (0.01) BUY S TARHUB 1.30 0.00 1.32 1.30 1.27 1.30 1.32 53.20 1.30 1.30 1.26 20.17 9.75 26.32 10.42 0.01 0.01 (0.00) BUY SELL S IA ENG 1.96 (0.01) 1.97 1.95 1.93 2.00 2.07 51.54 2.01 1.97 1.86 24.60 21.64 35.21 2.96 0.03 0.05 (0.01) BUY SELL IFOOD AGRI 0.29 0.00 0.29 0.29 0.28 0.29 0.30 49.18 0.29 0.29 0.29 30.05 19.53 20.86 10.52 0.00 0.00 (0.00) BUY SELL YZJ 0.95 0.03 0.95 0.93 0.89 0.93 0.98 43.90 0.94 0.93 0.94 18.75 22.03 12.10 (3.28) 0.00 0.00 (0.00) SELL SELL The table above consists of the revamped 30 SGX FTSE Straits Times Index component stocks, sorted by market capitalization in descending order, with some popular technical indicators. Some other popularly traded stocks are included at the bottom section. The technical BUY/SELL signals on the last two columns are auto generated. Page 1 of 3
30. 29-Dec-20 Corporate News : UOB's front-loaded provisions this year position it for a healthy profit rebound in 2021, which could nudge consensus estimates higher. The lender expects credit costs to fall to 30-40 bps and potentially maintain margins at 1.5% as rates stabilize. Management may revert to a 50% dividend payout policy, in the absence of any opposing regulatory advisory. - Bloomberg. Technical Comments: Any share price weakness on United Overseas Bank will be attractive to bargain for recovery upside towards the 61.8%FR (SGD23.28), with a breakout to aim for the 76.4%FR (SGD24.69) ahead, while downside is cushioned by supports from the 50%FR (SGD22.13) and 50-day moving average (SGD21.68). UNITED OVERSEAS BANK LTD SGD22.68 (-0.03) / BOLLINGER BANDS Upper Middle Lower SGD SGD SGD SIMPLE MOVING AVERAGES 23.06 22.75 22.44 10-day 30-day 50-day BUY Recent Signal DMI Recent Signal SGD SGD SGD 22.75 22.74 21.68 DAILY MACD SELL Page 2 of 3
31. 29-Dec-20 INTERPRETATION OF TECHNICAL INDICATORS : Bollinger Bands: Variable width bands that narrow during less volatile periods and widen during more volatile periods. As a general rule, in a bearish trend, traders should buy when share price touches the lower band and exit when price touches the middle band. The reverse is true in a bullish trend, ie. Buy when price touches the middle band and sell when price touches the upper band. Momentum traders tend to buy on price breakouts above the upper band, and sell when price breaks down below the lower band. 14-day Relative Strength Index (RSI): A reading below 30 is considered oversold, above 70 is overbought. A rise above 50 with a corresponding share price surge above the 30-day moving average should be taken as a bullish move with good short-term upside potential. A fall below 50 and a simultaneous dip below the 30-day average is bearish and imply further near-term downside risk. Moving Averages: A stock’s short-term trend is bullish if share price stays above the 10-day moving average, and bearish if it stays below. The medium-term trend is positive if share price stays above the 30-day average and negative if it remains below. A longer-term uptrend is intact if share price sustains above the 50-day average, and is deemed broken if it breaches below this level. Directional Movement Indicator (DMI): The DMI is an indicator of trend strength. A positive DMI difference (DMI diff) value is bullish and indicate a higher DI+ vs. DI-, while a negative DMI diff is bearish due to a lower DI+ vs. DI- (DMI diff = DI+ minus DI-). A crossover of DI+ above DI- triggers a BUY signal, while a SELL signal is flashed when the DI+ crosses below the DI-. The Average Directional Movement Index (ADX) indicates the strength of a trend, whether it is up or down. The higher the value of ADX, the stronger the trend. An ADX value above 25 suggests a trending market or stock, while a value below 20 signal congestion or absence of trend. Daily Moving Average Convergence Divergence (MACD): The MACD diff value is derived from the difference between the MACD line (the 12-day EMA minus the 26-day EMA) and the MACD signal line (the 9-day EMA of the MACD). A positive MACD diff value is bullish, while a negative MACD diff is bearish. A BUY signal is generated when the MACD diff rises above zero, and SELL signal sparked when the MACD diff value falls below zero. Fundamentals of Foreign Technical Picks Bloomberg Ticker ST DBS OCBC UOB JM WIL HKL CAPL GENS KEP SGX SIA FNN CIT JS SPH JCNC GGR STE OLAM CT SCI SMM CD STH SIE IFAR YZJSGD SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP SP Stock Name Close Target Price % upside SINGTEL DBS OCBC UOB JARDINE M. WILMAR HK LAND CAPLAND GENSP KEPPEL SGX SIA FNN CITY DEV JARDINE S SG PRESS JARDINE C&C GOLDEN AGRI SG TECH OLAM INT CAPITALAND INT SEMBCORP SEMCORP M. CMFT DELGRO STARHUB SIA ENG IFOOD AGRI YZJ 2.33 2.86 25.13 10.07 EPS ($) PER(x) Div Yield(%) 52week Price % Chg 2020 2021 2020 2021 2020 2021 High Low YTD 19% 0.1 0.2 18.8 15.0 4.4 5.1 3.42 2.00 -30.86 26.13 4% 1.8 2.2 13.7 11.6 3.4 4.3 26.47 16.65 -2.90 10.96 8% 0.8 1.0 13.4 10.6 3.2 4.5 11.23 7.80 -8.29 22.68 24.44 7% 1.7 2.0 13.3 11.1 3.5 4.5 26.75 17.12 -13.33 55.35 55.34 0% 2.5 3.9 22.6 14.3 2.9 3.1 58.95 37.37 -0.45 4.61 5.45 15% 0.2 0.2 16.3 15.2 2.8 2.3 4.95 2.83 11.89 4.16 5.79 28% 0.4 0.4 10.5 9.7 5.2 5.3 5.90 3.46 -27.65 3.25 3.70 12% 0.2 0.2 19.9 15.6 2.8 3.3 3.97 2.51 -13.33 0.85 0.88 4% 0.0 0.0 NA 26.4 2.5 3.9 0.95 0.51 -8.15 5.40 5.90 8% 0.0 0.4 125.6 13.2 2.0 3.4 6.87 4.08 -20.24 9.23 9.44 2% 0.4 0.4 22.3 21.9 3.5 3.6 10.72 7.96 4.18 4.26 4.05 -5% -1.1 -0.1 NA NA 0.0 0.1 6.43 3.20 -33.12 1.44 NA NA NA NA NA NA NA NA 1.75 1.07 -16.28 8.04 9.76 18% 0.2 0.5 36.7 16.3 1.6 2.1 11.43 6.07 -26.06 24.80 NA NA 2.0 2.6 12.2 9.6 1.4 1.5 33.50 17.81 -19.09 1.10 1.04 -6% 0.1 0.1 15.3 13.4 4.2 4.9 2.21 0.99 -49.54 19.46 24.75 21% 1.0 1.6 14.6 9.2 2.1 3.1 31.45 16.58 -35.35 0.16 0.14 -12% 0.0 0.0 NA 23.9 1.3 2.5 0.25 0.13 -32.34 3.85 4.03 4% 0.2 0.2 23.2 22.1 3.8 3.8 4.42 2.78 -2.28 1.48 NA NA 0.2 0.2 9.3 8.7 5.1 5.1 1.98 1.24 -18.23 2.13 2.31 8% 0.1 0.1 29.2 18.4 4.2 5.5 2.66 1.49 -13.41 1.70 1.84 7% 0.1 0.2 23.3 8.7 1.5 2.8 1.89 0.69 47.36 0.14 0.15 3% 0.0 0.0 NA NA 0.0 0.0 0.89 0.11 -83.15 1.67 1.79 7% 0.0 0.1 49.1 17.6 1.4 4.0 2.40 1.32 -29.83 1.30 1.43 9% 0.1 0.1 15.1 15.5 5.0 5.2 1.55 1.09 -8.45 1.96 1.63 -20% 0.0 0.0 NA 108.9 2.0 3.8 2.88 1.48 -30.50 0.29 NA NA NA NA NA NA NA NA 0.34 0.24 -10.77 0.95 1.22 22% 0.7 0.7 7.1 7.0 21.9 22.1 1.20 0.73 -15.63 Note: The above data is based on Bloomberg consensus Disclaimer The information in this report has been obtained from sources believed to be reliable. Its accuracy and/ or completeness is not guaranteed and opinions are subject to change without notice. This report is for information only and not to be construed as a solicitation for contracts. We accept no liability for any direct or indirect loss arising from the use of this document. We, our associates, directors, employees may have an interest in the securities and/or companies mentioned herein. As of Tuesday, December 29, 2020, the chartist, Stephen Soo, who prepared this report, has interest in the following securities covered in this report: (a) nil Kaladher Govindan – Head of Research TA SECURITIES HOLDINGS BERHAD (14948-M) A Participating Organisation of Bursa Malaysia Securities Berhad Menara TA One 22 Jalan P. Ramlee 50250 Kuala Lumpur Malaysia Tel: 603 – 2072 1277 Fax: 603 – 2032 5048 www.ta.com.my Page 3 of 3