Wednesday, February 24, 2010

Axiata stock up, is OSK top telecoms pick

Axiata Group Bhd, this year’s best-performing stock on Malaysia’s bechmark index, climbed to its highest level in more than a year after HwangDBS Vickers Sdn Bhd, Kenanga Investment Bank Bhd and OSK raised their stock ratings on quarterly profit.

The shares climbed 3.1 per cent to RM3.61 at 9:56 a.m. in Kuala Lumpur, set for their highest close since Oct. 14, 2008.

Axiata's solid FY09 results demonstrated the early success of the many group-wide initiatives crafted by management over the past 18 months to solidify its position as a leading regional mobile operator, said OSK Research.

As such, OSK has upped the target price on the stock at RM4.24 with a "buy" call.
The research outfit highlights the continued solid execution at Celcom/XL Axiata, its maiden positive "FCF" and no impairment to be undertaken on Idea.

OSK believes the stock remains under-appreciated with consensus forecast upgrades driving a further share price re-rating.

Axiata remains OSK's top Malaysian telecoms pick. - Reuters

No comments:

Post a Comment