Versus the CI

MMC: At yesterday's closing price of RM2.20, MMC shares have risen 5.2% over the past three months, slightly slower than the Composite Index's 6.16% rise during the equivalent period. Analysts say the stock, which was sold down sharply late last year, has stabilised at current price levels and that investors are now focusing on the group's wide-range of businesses. They said the conglomerate, which has interests in transport, utilities, construction, and engineering, is trading at a discount to its fair value of RM2.40. The company is expected to post robust revenue and earnings growth this year, but a potential major earnings booster could come from its Tanjung Pelepas port operation, if it can persuade a third major line operator to switch ports. Stock Watch On MMCCORP 

Lion Inds: The upward revision of the ceiling price of steel bars and billets in mid-April has provided a big boost to Lion Inds’ share price in the three months under review. The sharp price surge of 81% since late January this year was particularly strong in March, when the market was rife with talks of an imminent steel price increase. In a recent note to clients, Affin Securities said it has upgraded Lion Inds' earnings estimates in line with the higher selling prices for steel, with the company's current-year earnings per share (EPS) forecast at 10 sen. The EPS for the year ending June 30, 2005, has been revised to 17.3 sen. Stock Watch On LIONIND 

New Hoong Fatt: This auto replacement parts maker may not be on most retail investors' radar screen but the company counts institutional funds like Prudential Unit Trusts and HSBC Holdings Plc among its major shareholders. Its share price has been relatively stable, having gained 8.6% since late January this year and outperforming the CI by 2.5%. Analysts say New Hoong Fatt has a decent record, with EBITDA margins of 22% to 25% over the past five years, while net earnings are expected to grow 32% annually over the next two years. The group makes some 350 product types and its recent purchase of two firms adds an additional 150 types of plastic parts to its product portfolio. Stock Watch On NHFATT 

Tong Herr: Nuts and bolts maker Tong Herr's share price has under-performed the CI by 5% over the past three months on concerns that rising wire rod prices could negatively impact on future profit. However, SBB Securities says Tong Herr is expected to maintain margins in the high teens as any cost increase could be passed on to customers, most of whom are in Japan and Europe where demand for steel fasteners remains high. With a cash pile of RM42mil, the company could also easily finance future expansion or increase its product mix. SBB expects Tong Herr's revenue and after-tax profit to grow between 30% and 38% annually from 2003 to 2005. Stock Watch On TONGHER 

Suiwah: The share price of this Penang-based retailer and electronic parts maker has been trending lower in recent weeks despite its strong third-quarter results. During the three-month period, the stock has fallen 6% and has under-performed the broader market by 12%. Recently, the second board company received the Securities Commission's approval to issue 10.1 million new shares to pay for the purchase of the balance 49% stake in its flexible printed circuit board manufacturing arm. On completion of the acquisition, Suiwah plans to make a 1-for-5 bonus issue. The move would increase Suiwah's share capital to more than RM60mil, which would enable the company to qualify for a main board listing. Stock Watch On SUIWAH

Lion Inds: The upward revision of the ceiling price of steel bars and billets in mid-April has provided a big boost to Lion Inds’ share price in the three months under review. The sharp price surge of 81% since late January this year was particularly strong in March, when the market was rife with talks of an imminent steel price increase. In a recent note to clients, Affin Securities said it has upgraded Lion Inds' earnings estimates in line with the higher selling prices for steel, with the company's current-year earnings per share (EPS) forecast at 10 sen. The EPS for the year ending June 30, 2005, has been revised to 17.3 sen. Stock Watch On LIONIND 

New Hoong Fatt: This auto replacement parts maker may not be on most retail investors' radar screen but the company counts institutional funds like Prudential Unit Trusts and HSBC Holdings Plc among its major shareholders. Its share price has been relatively stable, having gained 8.6% since late January this year and outperforming the CI by 2.5%. Analysts say New Hoong Fatt has a decent record, with EBITDA margins of 22% to 25% over the past five years, while net earnings are expected to grow 32% annually over the next two years. The group makes some 350 product types and its recent purchase of two firms adds an additional 150 types of plastic parts to its product portfolio. Stock Watch On NHFATT 

Tong Herr: Nuts and bolts maker Tong Herr's share price has under-performed the CI by 5% over the past three months on concerns that rising wire rod prices could negatively impact on future profit. However, SBB Securities says Tong Herr is expected to maintain margins in the high teens as any cost increase could be passed on to customers, most of whom are in Japan and Europe where demand for steel fasteners remains high. With a cash pile of RM42mil, the company could also easily finance future expansion or increase its product mix. SBB expects Tong Herr's revenue and after-tax profit to grow between 30% and 38% annually from 2003 to 2005. Stock Watch On TONGHER 

Suiwah: The share price of this Penang-based retailer and electronic parts maker has been trending lower in recent weeks despite its strong third-quarter results. During the three-month period, the stock has fallen 6% and has under-performed the broader market by 12%. Recently, the second board company received the Securities Commission's approval to issue 10.1 million new shares to pay for the purchase of the balance 49% stake in its flexible printed circuit board manufacturing arm. On completion of the acquisition, Suiwah plans to make a 1-for-5 bonus issue. The move would increase Suiwah's share capital to more than RM60mil, which would enable the company to qualify for a main board listing. Stock Watch On SUIWAH