Safe haven? The strong interest in BAT (RM39) recently caught our attention. The share price has risen 11% in the past one month to a record high, after consolidating at the RM35 level for almost two years. Amid the ongoing war tension, it is indeed understandable that BAT is sought for its resilience and its dividend appeal.
Good timing for Guinness. If BAT, which offers single-digit earnings growth and 5.5% net dividend yield can be re-rated in the prevailing market, we feel that Guinness, (RM3.64) which offers all the defensive qualities and even higher dividend yield of 7.7% also stands a good chance.