Brokers' Digest (The Edge)

Below are the information obtained from The Edge:

Public Bank Bhd - Buy with target price of RM9.20
Hubline Bhd - Strong buy with target price of RM2.60
Dialog Group Bhd - Buy with targer price of RM1.38
MRCB - Buy with target price of RM1.63
DXN Holding Bhd - Buy with target price of RM0.85
TRC Synergy Bhd - Buy with target price of RM2.48
Kinsteel Bhd - Buy with target price of RM4.30
KSL Holdings Bhd - Buy with target price of RM2.37
N2N Connect Bhd - Trading buy with target price of RM3.25

Personally, N2N connect looks very attractive ...

Good results from Nylex, how about Titan Chemicals?

Nylex (Malaysia) Berhad has released a good quarterly result end 30 Nov 06 recently. Nylex, which distributes petrochemicals and its related products in bulk, has two man division - polymer and industrial chemicals.
For the first half ended 30 Nov 06, it posted a higher net profit of RM26mil from RM7mil a year earlier on the back of increased revenue of RM620mil against RM344mil.
Is this situation indicates that Titan Chemicals will announce a very impressive Q4 result too? Let's wait and see does Titan Chemicals result will meet my expectation? (which i have posted in my previous blog)

Titan Chemicals share price has decreased back to RM.1.48, within the range before the sudden increased in last 2 week. Local substantial holder such as Permodalan Nasional Berhad, Yayasan Palaburan Bumiputra and Skim Amanah Saham Bumiputera disposed quite a number of Titan share in Jan 07. Hopefully a foreign fund or investor has bought up the share and will emerge as substantial shareholder in the near future which will increase the profile of Titan Chemicals.
No worry for the disposal by local players as we seldom see they will create any impact ...

Stocks pick by a foreign research house

Read this information in this week The Edge:

Autos - UMW
Banks - Maybank, AMMD, BCHB, Malaysian Planations
Conglomerate - Sime Barby
Construction - IJM and Road Builder
Media - Media Prima, NSTP and Star Publications
Plantation - IOI Corp, KL Kepong, PPB Oil Palm, IJM Plantation
Property - SP Setia, E&O Property, Mah Sing
Telcos - TM and DiGi
Tobacco - BAT
Utilities - Tenaga Nasional
Gaming - Genting
Transport - AirAsia

Surprise ... Titan Chemicals (5103)

Titan share price moved aggresively today. It opened gap this morning at 1.50, as compared to yesterday closing at 1.47. It closed at 1.58 with intra high at 1.61. The volume surged high as well, with 69,503 (lots) done.
I was so surprised and it opened gap this morning. There is no specific development in the company or any good news released. One thing that can relate to the uptrend of Titan would be the decrease of oil price which is the main cost production for Titan.
Anyhow, I still believe that oil price is secondary to Titan. Demand and supply should play the most important role to determine the margin that Titan will enjoy. As stated in my previous blog, higher or lower oil price will have the impact to Titan when they are in the process to pass the higher cost to the consumers and customers. Of course, I hope that lower oil price will provide some advantages to Titan in short term.
Titan Q4 earnings release will be due in Feb'07. Hopefully they will release Q4 result by early of Feb'07. I expect Titan to post a net profit of at least RM100mil and propose final dvidend of at least 3 sen.
It's time to prove that one of the local research house call is totally wrong! It remains its 'sell' recommendation when Titan released Q3 result. Prior to Q3 result announcement, it stated that high oil price will hit Titan. After that, it stated that the selling price for Titan products are lower due to lower oil price. Now, i realise why I hardly see a good call from this research house ...
Let us wait for the Q4 result!

News about E&O subsidiary - E&O Property (3468)

There is an article about E&O Property in this week The Edge paper, with the title - E&O to ride property recovery.
The price targets from Hwang-DBS Vickers speak it all. It ranges from RM2.60 to RM2.85. There is an upside of between 35.8% and 50%, as its current price is RM1.90.
Profit projections from the research houses like JP Morgan and Citigroup are very positive and attractive. As an average, for FY07 - around MYR100mil and its around MYR110mil for FY08. This translates to EPS of 15 sen to 19 sen respectively.
E&o closed at RM1.83 last friday and would be very attractive for value investors to start accumulating it. It is a better way to enter E&O Prop thru E&O in my opinion where E&O has construction arm too - Putra Perdana and hotel operation. One more point to be added, Putra Perdana is operating quite independently from E&O where it does not undertake any major project from E&O. Furthermore, E&O share price is slightly lower than E&O Prop at this moment.

Latest News about Nextnation

Nextnation share price has been dropping consistently over the last few weeks. Selling pressure remains high where there are more sellers than buyers. Last minute buying always happens which keep the price well above 0.60.
Recently, Nextnation wholly-owned subsidiary, Ozura Sdn Bhd has partnered with one of the best telecommunication provider in Malaysia, DiGi in running Mobile Game Tournament. This online mobile game tournament is powered by Ozura's proprietary mobile gaming platform, FunlogiX. More information about the tournament can be obtained at http://www.digi.com.my/whatshot/promotions/coke/index.do and DiGi WAP site. The most excitement for the tournament would be the prizes offered - Proton Savvy cars!
Ozura has provided their technology to more than 5 mobile operators internationally within the past 6 months. FunlogiX is one of the most sought after platforms in the mobile gaming industry.
Peh from Ozura said that Ozura revenue is expected to increase many fold and 2007 will be an exciting year for Ozura.
Looking at the current share price, it is very good offer for investors who are looking for the value and want to enjoy the growth with the company.
I expect Nextnation to post a net profit of at least RM5.8mil for Q3, which will be released in March 2007. For the financial year ended 30 April 2007, net profit of at least MYR20mil is expected from Nextnation.