KUALA LUMPUR (April 13): Hong Leong Investment Bank Bhd (HLIB) has maintained its “buy” call on Genting Bhd, with an unchanged target price of RM6.75, as it sees significant value in the stock, despite the company’s continuous headline losses. Its analyst Tan Kai Shuen said the group’s headline losses for the financial year ended Dec 31, 2022 (FY2022) were mainly attributed to the recognition of large impairment and foreign exchange losses, which he believes contributed to the share price underperformance. “Due to the high per capita income of the locals, their strong spending power was enough to sustain GenS' performance during the pandemic. “In 4Q2022, GenS’ adjusted Ebitda recovered to 89% of the pre-pandemic level [in 4Q2019]. Notably, GenS' share price has performed well, surging 63.4% to S$1.16 (RM3.85), from a one-year low of S$0.71 on July 6, 2022.

Source: The Edge Markets April 13, 2023 09:53 UTC