Daily Focus

Malaysia Equity Research PP 12941/04/2011(029386) 29 Sep 2010

Highlights
Axiata Group (RM4.50; Buy; Price Target: RM5.10; AXIATA
MK) XL looking better • • • We raise XL’s earnings by 7-31% on strong outlook, resulting in 2-7% higher earnings for Axiata XL’s fair value is raised to Rp6,900, leading to higher RM5.10 SOP valuation for Axiata Reiterate Buy on Axiata as domestic and overseas divisions are doing well

Key Indices FBMKLCI FBMEmas FBM100 Daily Volume (m shrs) Daily Turnover (RMm) Daily Turnover (US$m) Market Key Data (%) 2009A 2010F 2011F (x) 2009A 2010F 2011F Current 1,460 9,764 9,548 977 1,256 406 % Chng -0.3 -0.4 -0.4

EPS Gth -6.9 21.2 17.3 PER 19.8 16.4 13.9

Div Yield 3.1 3.3 3.3 EV/EBITDA 10.4 9.1 8.1

Gamuda (RM3.80; Buy; Price Target: RM4.40; GAM MK)
Strong performance all around • • • 4QFY10 slightly ahead of our forecast Budget 2011 will shed more light on MRT project Maintain Buy and RM4.40 TP. Gamuda is our high conviction infrastructure pick.

Source: HwangDBS Vickers Research
Stock Picks – Large Cap Maybank RHB Capital Gamuda Stock Picks – Small-mid Cap MRCB Jobstreet Dayang Enterprise

Price (RM) 28/9 8.71 7.03 3.80

Target Price 9.90 8.30 4.35

Price (RM) 28/9 2.03 2.26 2.20

Target Price 2.25 3.30 3.00

Source: Bloomberg; HwangDBS Vickers Research

Refer to important disclosures at the end of this report

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