OSK maintain OVERWEIGHT rating on construction sector, driven primarily by:
(i) implementation of the various projects under the ETP, and
(ii) the potential of more contract awards as the Govt attempts to generate a feel-good factor given the potential of an early General Election.
Gamuda, Mudajaya and KimLun are OSK’s top picks
Below are the target price for selected stocks in construction sector.
| Stock | Price (RM) | Target (RM) | Market Cap (RMmil) | Rating |
|---|---|---|---|---|
| AZRB | 0.89 | 1.29 | 965.9 | Buy |
| GAMUDA | 3.73 | 4.78 | 7,461.7 | Buy |
| HSL | 1.79 | 2.32 | 648.3 | Buy |
| IJM | 6.10 | 6.70 | 3,832.0 | Neutral |
| KIMLUN | 1.71 | 2.32 | 1,037.0 | Buy |
| MUDAJAYA | 4.84 | 7.44 | 1,259.1 | Buy |
| MRCB | 2.12 | 2.58 | 4,895.1 | Buy |
| NAIM | 3.14 | 5.10 | 441.5 | Buy |
| SUNWAY | 2.26 | 2.60 | 620.2 | Buy |
| WCT | 3.00 | 3.75 | 3,318.3 | Buy |
Source : OSK Research
Gperak (3623) will be submitting it’s restructuring plan soon.
TSLim, I never follow GPerak before. Any tips?