Affin Hwang Capital Research upgrades YTL Corp, higher target price

Affin Hwang Research pointed out that although domestic demand for cement has remained soft due to the prolonged weakness in the property market, prices for bulk cement have risen to around RM240 to RM250 a tonne from RM190 since October 2019, post the acquisition of Malayan Cement by YTL.

KUALA LUMPUR: Affin Hwang Capital Research raised its target price for YTL Corp (YTL) to 96 sen from 70 sen based on a 10% discount to its sum-of-parts and upgrade the stock to Hold (from Sell).

“At the current share price, we believe the stock is fairly valued as the recent strength in YTL’s share price has likely fully reflected the recent recovery in cement prices.