Stocks In Focus MY (Dialog Grp, Globetronics Tech, Tomypak Hldgs) – 17/11/14
DIALOG (7277), GTRONIC (7022), TOMYPAK (7285)
Dialog’s Units Ink RM3b Petronas Gas Deal
Dialog Group’s wholly-owned subsidiaries, Dialog LNG and Pengerang LNG (Two), have entered into a shareholders’ agreement with Petronas Gas for the development of liquefied natural gas (LNG) regasification facilities at Pengerang, southern Johor.
The project, which comprises a regasification unit and two 200,000-cubic metre LNG storage tanks, is estimated to cost RM2.7 billion.
The agreement paves the way for Dialog, Petronas Gas and State Secretary, Johor Inc to be strategic partners in the equity ownership and development of the Pengerang LNG project, each holding a 25 percent, 65 percent and 10 percent stake respectively.
Significance: In a separate report, CIMB Equities Research has advised investors to accumulate shares of the firm as the company embarks on this long-term venture that complements its earlier tank terminal investments in Kertih and Tanjung Langsat.
Globetronics To Release 3D Sensors
Globetronics Technology plans to release three-dimensional (3D) sensors in mid-2015 to tap into the market that is projected to be worth about US$3.4 billion (RM11.4 billion) in 2020.
The group shared that a large bulk of the RM50 million it is allocating for capital expenditure in 2015 will be spent on developing new sensor products for 3D motion control in smart devices and electronic system.
Group chief executive officer Heng Huck Lee notes that the 3D sensor segment is growing rapidly due to its usage in smart, wearable, medical devices, aerospace and robotic applications, and media and entertainment products.
Significance: The group targets to start commercial production of bio-sensors in 2H15, while ramping up production of motion and optic sensors for wearable devices in the 1Q15. Moving ahead, Globetronics expects 1Q15, to perform better due to orders received for new sensors and light-emitting diode chips.
CIMB Research Upgrades Tomypak To Hold
CIMB Equities Research notes RM1.30 will form a floor support for Tomypak Holdings’ shares, after the firm’s new major shareholder Yong Kwet On acquired a 25.4 percent stake at that price.
The research house has been negative on the on the stock since May due to the weak quarterly earnings results. After switching to a more conservative asset-based valuation at 1.3 times 12-months average price-to-book value, it values the stock at RM1.37.
CIMB Research said that Tomypak’s 3Q14 results were in line with its expectation, with the annualised 9M14 net profit coming in at 101 percent of our full-year forecast.
Significance: The research house has upgraded Tomypak from ‘Reduce’ to ‘Hold’ as share price downside looks limited with the floor support.
http://www.sharesinv.com
DIALOG (7277), GTRONIC (7022), TOMYPAK (7285)
Dialog’s Units Ink RM3b Petronas Gas Deal
Dialog Group’s wholly-owned subsidiaries, Dialog LNG and Pengerang LNG (Two), have entered into a shareholders’ agreement with Petronas Gas for the development of liquefied natural gas (LNG) regasification facilities at Pengerang, southern Johor.
The project, which comprises a regasification unit and two 200,000-cubic metre LNG storage tanks, is estimated to cost RM2.7 billion.
The agreement paves the way for Dialog, Petronas Gas and State Secretary, Johor Inc to be strategic partners in the equity ownership and development of the Pengerang LNG project, each holding a 25 percent, 65 percent and 10 percent stake respectively.
Significance: In a separate report, CIMB Equities Research has advised investors to accumulate shares of the firm as the company embarks on this long-term venture that complements its earlier tank terminal investments in Kertih and Tanjung Langsat.
Globetronics To Release 3D Sensors
Globetronics Technology plans to release three-dimensional (3D) sensors in mid-2015 to tap into the market that is projected to be worth about US$3.4 billion (RM11.4 billion) in 2020.
The group shared that a large bulk of the RM50 million it is allocating for capital expenditure in 2015 will be spent on developing new sensor products for 3D motion control in smart devices and electronic system.
Group chief executive officer Heng Huck Lee notes that the 3D sensor segment is growing rapidly due to its usage in smart, wearable, medical devices, aerospace and robotic applications, and media and entertainment products.
Significance: The group targets to start commercial production of bio-sensors in 2H15, while ramping up production of motion and optic sensors for wearable devices in the 1Q15. Moving ahead, Globetronics expects 1Q15, to perform better due to orders received for new sensors and light-emitting diode chips.
CIMB Research Upgrades Tomypak To Hold
CIMB Equities Research notes RM1.30 will form a floor support for Tomypak Holdings’ shares, after the firm’s new major shareholder Yong Kwet On acquired a 25.4 percent stake at that price.
The research house has been negative on the on the stock since May due to the weak quarterly earnings results. After switching to a more conservative asset-based valuation at 1.3 times 12-months average price-to-book value, it values the stock at RM1.37.
CIMB Research said that Tomypak’s 3Q14 results were in line with its expectation, with the annualised 9M14 net profit coming in at 101 percent of our full-year forecast.
Significance: The research house has upgraded Tomypak from ‘Reduce’ to ‘Hold’ as share price downside looks limited with the floor support.
http://www.sharesinv.com
