AMINVESTMENT Bank has maintained its buy recommendation on Mah Sing Group with an unchanged fair value of RM1.13 per share as its current share price offers the potential upside of more than 60%.
“We believe the long-term outlook for Mah Sing remains positive, backed by strong sales achieved in the past few quarters.
“Moreover, we expect the upcoming launches to be well received given their strategic locations and attractive pricing,” the research house said in a note today (Jan 15).
As at 10.08am, Mah Sing’s share price was flat at 70 sen with 129,800 shares changing hands.
In the first nine months of its financial year 2019 (FY19), the property developer chalked up new sales of RM1.136 bil and is on track to achieve its FY19 target of RM1.5 bil.
The sales were mainly secured from new launches during the year, mainly priced below RM500,000.
As for 2020, Mah Sing is targeting new sales of at least RM1.5 bil and has also lined up several launches with a combined gross development value of RM1.8 bil which is 80% higher than FY19’s RM1.0 bil.
About 75% of this year’s launches will be concentrated in the central region of Peninsular Malaysia with the key selling points being affordability; strategic locations; and good connectivity. – Jan 15, 2020, Bernama