AFFIN : TA Outlook

AFFIN
5185

Personal Entry, Support & Target

Entry: 3.90 - 4.06
Support : 3.90
Cutloss : 2cent below Support = 3.88
Target : 4.56 - 4.74/4.97

From Broker's house forecast, there is no buy call been made despite good result released for 2Q2013


Broker's Forecast

Date	Open Price	Target Price	Upside / Downside	Price Call	Source
20/08/2013	4.26	4.40	+0.14 (3.29%)	HOLD	RHB
20/08/2013	4.26	4.00	-0.26 (6.10%)	HOLD	MIDF
20/08/2013	4.26	4.60	+0.34  (7.98%)	HOLD	KENANGA
20/08/2013	4.26	3.81	-0.45  (10.56%)	SELL	HLG
20/08/2013	4.26	3.70	-0.56  (13.15%)	SELL	CIMB

Quarter Report

		INDIVIDUAL PERIOD		CUMULATIVE PERIOD
		CURRENT YEAR QUARTER	PRECEDING YEAR CORRESPONDING QUARTER	CURRENT YEAR TO DATE	PRECEDING YEAR CORRESPONDING PERIOD
		30/06/2013	30/06/2012	30/06/2013	30/06/2012
		$$'000	$$'000	$$'000	$$'000
1	Revenue	757,118	729,881	1,489,880	1,447,152
2	Profit/(loss) before tax	218,844	195,480	422,369	409,424
3	Profit/(loss) for the period	159,305	140,828	310,139	306,853
4	Profit/(loss) attributable to ordinary equity holders of the parent	159,305	140,828	310,139	306,853
5	Basic earnings/(loss) per share (Subunit)	10.66	9.42	20.75	20.53
6	Proposed/Declared dividend per share (Subunit)	0.00		0.00
		AS AT END OF CURRENT QUARTER		AS AT PRECEDING FINANCIAL YEAR END
7	Net assets per share attributable to ordinary equity holders of the parent ($$)	4.2300		4.0400

AFFIN - An Opportunity?

AFFIN (5185)
Finance Sector


This is the recent evaluation by IB on this counter.

Date	Open Price	Target Price	Upside/Downside	Price Call	IB
07/09/2012	3.41	4.3	+0.89 (26.10%)	BUY	KENANGA
04/09/2012	3.47	4.3	+0.83 (23.92%)	BUY	KENANGA
03/09/2012	3.48	3.5	+0.02 (0.57%)	HOLD	RHB
03/09/2012	3.48	2.82	-0.66 (18.97%)	SELL	CIMB
23/08/2012	3.55	2.96	-0.59 (16.62%)	SELL	HLG

Quoted from KENANGA

"AFFIN announced that BNM has granted it approval to start negotiation with DRB Hicom to acquire an equity stake in Bank Muamalat. This could lead to a rerating of AFFIN. We think its current valuation at a 20% discount to its Book Value is still undemanding.  We rate AFFIN as an OUTPERFORM with a TP of RM4.30"

"While we are optimistic about this acquisition, we also see hurdle for the deal to go through."

"This is because BNM may not allow AFFIN to have an ownership of two Islamic Banking licenses, namely, 100%-AFFIN Islamic Bank and a potential 70% equity stake in BMMB, without merging both entities.  As such, approval of BNM could be a hurdle for the deal to go through."