Malaysian stocks available at compelling valuations rising


CIMB Research's top three picks are Axiata, Dialog and Malaysia Airports.

KUALA LUMPUR: A number of stocks looking attractive on valuations are rising as the FTSE Bursa Malaysia KLCI Index’s price-to-earnings ratio has fallen below the historical average of 16 times amid continued selling by foreign investors,  Credit Suisse analyst Danny Goh writes in note.

The FBM KLCI's price-to-earnings (P/E) at 15.6 times on Credi Suisse estimates; dipped below historical average only once in last five years when government halted offshore trading of ringgit in 2016.

Stocks trading at or below global financial crisis price-to-book levels include Uzma, Mah Sing, SP Setia, Gamuda, CIMB, AirAsia Group, BAT, Genting, Genting Malaysia, Public Bank.

Shares offering more than 5% dividend yield include Astro, Malakoff, Maybank, SP Setia, Telekom Malaysia, CIMB, BAT, Mah Sing.

Clarity on plans to improve fiscal position, economic growth, ties with China and Singapore, leadership at government-linked companies and finalisation of mega projects can lift sentiment. - Bloomberg
Article type: metered
User Type: anonymous web
User Status:
Campaign ID: 1
Cxense type: free
User access status: 3
Subscribe now to our Premium Plan for an ad-free and unlimited reading experience!

Credit Suisse , valuations

   

Next In Business News

Bursa Malaysia to close on Monday, Oct 11 for Maulidur Rasul
Overall market stays bullish on Budget 2023 hopes, improved global sentiment
Thai headline CPI rises 6.41% y/y in Sept, less than forecast
Proton's sales exceed 100,000 units end-Sept 2022
BNM: Islamic financial sector must continue to advance amid global challenges
Shares in Hibiscus Petroleum up 10% on the back of capital reduction plan, oil price rally
Ringgit marginally higher on rising risk sentiment ahead of Budget 2023
Bursa rally picks up speed as global sentiment turns positive
Trading ideas: Hibiscus Petroleum, Dolomite, Econpile, Majuperak and MSM Malaysia
Consumer prices in Japan’s capital rise at fastest pace since 2014

Others Also Read