INVEST STOCK

Can Bumitama spark a revival?

2012-05-28T10:38:00.001+08:00

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Can Bumitama lift interest in palm oil plays?

Bumitama Agri, the newest crude palm oil play to hit the market, has attracted a flurry of bullish calls in its maiden round of analyst coverage. Brokerage houses UOB KayHian, HSBC and DBS Vickers all have buy calls on the stock with target prices of $1.10, $1.14 and $1.35 respectively.

On its April 12 debut, Bumitama closed at 98 cents, about 32% higher than its IPO price of 74.5 cents, with some 233 million shares changing hands. But since then, volume has plunged to between one and five million shares a day. The stock also eased after the initial spike, closing at 91 cents on May 25.

Bumitama is part of Indonesia’s Harita Group, which was founded in 1915 by Lim Tju King, father of Harita chairman Lim Hariyanto Wijaya Sarwono. Over the years, Harita has expanded from a grocery shop into other activities like timber, coal mining and shipping. The palm oil business began in 1996 when Harita bought 17,500 ha of land in Kalimantan. Today, it has a land bank of 191,561 ha with one third planted.

While size is important for commodity plays, it is not the only reason why DBS Vickers likes the stock. Bumitama’s profile puts it in an “exponential growth” trajectory, following active planting and acquisitions since 2004, analysts Ben Santoso and Mervin Song write in their May 24 initiation report.

Bumitama’s trees also have a weighted average age of four years, which means yields will rise as the trees head towards their prime. DBS Vickers estimates that with the increase in matured area, Bumitama’s FFB, or fresh-fruit-bunch output, will grow at a compound annual growth rate of 26.8% between FY11 and FY15.

For the year ended December 2011, Bumitama’s earnings were 762 billion Rupiah ($102.6 million) on sales of 2,805 billion Rp. DBS Vickers is projecting earnings and sales to hit 925 billion Rp and 3,889 billion Rp respectively for FY12, and 1,183 billion Rp and 4,767 billion Rp respectively for FY13.

These translate into PE of 15.7 times and 12.3 times for FY12 and FY13. "None of the upstream planters of similar size within our regional coverage comes close to Bumitama’s growth projection,” says DBS Vickers.

But there are some risks though. Like most Indonesian plantation companies, Bumitama is still a family-owned concern although IOI Corp, the leading Malaysian palm oil player, has significant ownership and board representation. Bumitama’s activities are found further up the value chain, making it is vulnerable to price volatility of crude palm oil and palm kernel. It is also heavily reliant on Wilmar International as a customer, accounting for between 47.2% and 64.7% of its revenue over the past three financial years.

So, will positive support for Bumitama lift the stock and others in the palm oil sector? Or, will recent lacklustre quarterly results weigh them down?

Wilmar and Golden Agri-Resources have fallen more than a quarter and more than 11% over the past year respectively over concerns of a drop in demand from markets like China and operational challenges like lower processing margins.

On May 10, Wilmar announced a much bigger than expected drop in earnings of 51% y-o-y to US$206 million. Since then, its stock has plummeted from around $5 to $3.71. “The market seems to have priced in a much stronger recovery which did not materialise. Instead, Wilmar’s 1Q12 results suggest that the outlook for its prospects in China continue to be quite muted, especially on the oilseeds crushing segment,” notes OCBC Investment Research analysts Carey Wong and Eric Teo. Wilmar’s management has also indicated that excess processing capacity in China might take up to three years to work out, which means margins will remain derpressed in the foreseeable future.

Golden-Agri, while similarly posting a 30% y-o-y drop in earnings for the most recent quarter, received an upgrade from the same OCBC analysts, who felt that recent decline in the company’s share price now warrants a “buy” rating, as its 77 cents valuation forecast remains intact.

MQS

Stock Recommendation & Price Target

2012-05-23T18:49:00.001+08:00

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Formula One: Singapore approves $3.1 billion F1 float

2012-05-23T18:37:00.001+08:00

CVC sells $2b F1 stake in pre-S'pore IPO deal

Private-equity firm CVC Capital has sold a US$1.6-billion (S$2-billion) stake in Formula One to three investors, including American investment manager BlackRock, ahead of the motor-racing company's planned US$3-billion initial public offering (IPO) in Singapore, sources said yesterday.

The pre-IPO deal cuts CVC's F1 stake to about 40 per cent from 63.4 per cent, a source said. The two other investors are asset manager Waddell & Reed and Norway's Norges Bank Investment Management, the asset-management unit of the Norwegian central bank, Norges Bank.

News of the F1 shareholders comes on the day when the company starts pre-marketing for its up-to US$3-billion IPO that is expected to debut next month.

The deal is the long-awaited public floatation of a franchise led by octogenarian Bernie Ecclestone - the colourful Briton of modest upbringing who was once a race-car driver. F1 holds 20 races around the world and has more than 500 million TV viewers.

Finance Asia, which earlier reported the pre-IPO deal, said that the transaction gives F1 an enterprise value of about US$9.1 billion, including US$7.2 billion of equity and US$1.9 billion of debt.

"We view this deal as a validation of the company's valuation," a source said.

BlackRock officials declined to comment and officials at Norges Bank and Waddell were not available for comment.

F1 is seeking to raise at least US$2.5 billion, vying to rank among the world's top IPOs this year.

Malaysia's Felda Global Ventures Holding, is also planning a US$3-billion IPO this year.

The F1 IPO is to be priced before the end of next month, after F1 and its bankers meet investors and fund managers to gauge demand. Mr Roger Tan, chief executive of SIAS Research, said: "I don't think it's going to be priced cheaply... There's a brand premium to it."

F1 to start pre-marketing Singpore IPO: Sources

Formula One will start pre-marketing for its multi-billion-dollar Singapore initial public offering tomorrow after receiving approval from the city's stock exchange for the deal, sources with direct knowledge of the plans said on Monday.

The company is seeking to raise at least US$2.5 billion (S$3.2 billion), vying to rank among the top IPOs in the world this year after Facebook raised as much as US$18.4 billion and a planned US$3-billion listing by Malaysia's Felda Global Ventures Holding.

The IPO is set to be priced before the end of June after the company and its bankers meet with investors and fund managers to gauge demand for the IPO, said the sources, who asked not to be named because they were not authorised to speak publicly on the matter.

Formula One would join British luxury jeweler Graff Diamonds in braving equity markets despite a slump in global stocks. Graff started taking orders yesterday from institutional investors for its up-to-US$1 billion Hong Kong IPO.

IPOs had their worst start in about four years in the Asia-Pacific region with overall equity market activity down about a fifth from last year as investors fretted at buying new shares because of falling markets.

MSCI's index for Asia ex-Japan fell about 10.4 per cent over the past month on concerns over slower growth in China and the fallout from Europe's debt crisis. A source close to the Formula One deal said on May 12 the IPO could be delayed because of the ongoing market jitters.

Formula One could have its B+ long-term debt ratings lifted one notch after the IPO because of an expected improvement in its debt profile, Standard & Poor's said in a May 15 report when it put the company on "positive" watch.

The decision "mainly reflects our view that after the IPO in the next two to three years, Formula One's adjusted leverage is likely to lessen significantly and durably and that private equity sponsors will exit Formula One's capital in the medium term", S&P said in the report.

Formula One's IPO approval by the Singapore exchange was reported earlier by Bloomberg.

Formula One, which holds 20 races around the world and has more than 500 million television viewers, is controlled by private equity firm CVC Capital Partners, which has a 63.4 per cent stake.

CVC plans to reduce its stake as part of the IPO along with other shareholders in Formula One, the source added.

Formula One earlier this month unveiled a US$1.8-billion refinancing package to help lay the groundwork for the IPO.

Goldman Sachs, Morgan Stanley and UBS were hired to lead the IPO. Spain's Banco Santander, Singapore's DBS Group and Malaysia's CIMB will also act as joint bookrunners on the deal. REUTERS

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Free Seminar 免費課程

2012-05-21T19:06:00.001+08:00

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Facebook set for US$104b IPO

2012-05-21T11:16:00.001+08:00

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Facebook set for US$104b IPO

In a few short hours, shares of Facebook will begin trading on the Nasdaq stock market under the symbol FB. The company has sold 421.2 million shares at US$38 ($48.4) a piece to raise US$16 billion. According to Dealogic, if an over-allotment is fully exercised, it will bring the total raised to US$18.4 billion. That would make it the fifth largest IPO globally – after Agricultural Bank of China, which raised US$22.1 billion, Industrial & Commercial Bank of China (US$21.9 billion), AIA Group (US$20.5 billion) and Visa (US$19.7 billion).

At US$104 billion, the size of the company also puts it in the big league by market valuation at the time of IPO – behind the Agricultural Bank of China (US$133 billion) and the Industrial & Commercial Bank of China (US$132 billion). It is also the largest for an American company, ahead of United Parcel Service, which listed in 1999 and had a market capitalisation of US$60 billion.

The Facebook IPO has been so well received that the company even increased the size of its offering recently. This is even as global markets have slumped dramatically on fears of a European sovereign debt crisis. The stock is scheduled to begin trading 90 minutes after the Nasdaq opens as it is expected that there will be a large amount of opening-day orders.

It is going to make many rich. Co-founder Mark Zuckerberg is estimated to be worth some US$19 billion ahead of the IPO. Eduardo Saverin, a co-founder who recently gave up his US citizenship and now spends most of his time in Singapore, is estimated to be worth US$2.7 billion. Even Malaysian businessman Vincent Tan has a piece of Facebook, through his company MOL Global, worth about US$133 million.

But will it make new investors rich too? At current valuations of 107 times trailing 12-month earnings Facebook is more expensive than any of the stocks on the Standard & Poor’s 500 Index, according to Bloomberg. There are arguments both for and against the valuation. When Google was listed in 2004 at a price of US$85 a share, many investors called its stock overpriced too. On May 17, Google closed at US$623.05. Yet there have been other dotcom failures too. And even Google was not as expensively priced at the time of its IPO. Can Facebook become the next Google, or even the next Apple, now the world’s biggest listed technology company?

Facebook has 901 million monthly active users who voluntarily share their age, location, gender and interests. That, Facebook argues, makes it one of the most effective advertising platforms in the world. Advertising revenue currently makes up the bulk of the company’s total revenue. Because of the massive amount of social gaming that takes place on Facebook, it has also become an effective intermediary for transactions between gamers and game developers.

For FY2011, Facebook had revenue of US$3.7 billion, up 88% from a year ago, and earnings of US$668 million, up 79.6%. For 1Q2012, revenue rose 44.7% to US$1.1 billion while earnings fell 10.5% to US$137 million on seasonal factors and as the company spent more on its IPO.

Online advertising spending is expected to rise over time given that the majority of people now spend more time on the Internet than on any other media. In particular, the younger generation spends a large proportion of its time on the Internet, and on Facebook. But can Facebook win enough advertising revenue in the coming years to justify its valuation? And can it continue to stay relevant with users?

Many market observers are sceptical. Google, which currently takes in the lion’s share of online ad spending, is a better medium for advertising because people using Google’s services are often also looking for products and services. Advertising helps, rather than hinders – which is less the case with Facebook. There have also been some privacy concerns surrounding Facebook as an advertising medium because users put a lot more personal information on their Facebook profiles than Google can track from search behaviour.

On the other hand, the media industry as we know it today is undergoing a structural change equivalent to the kind that the world experienced when the radio was introduced, when people began going to the movies, and when TV was first broadcast. Such change has a tendency to exceed the wildest expectations of even the most ardent believers, while leaving sceptics in the dust. Facebook represents perhaps the most successful model of that change. Investors are right to take notice.

MQS

Europe fears renewed

2012-05-15T04:07:00.001+08:00

Europe fears renewed

Markets were down this week (May 7-11) as news of fresh turmoil emerging in Europe dampened the small-cap rally on the local bourse. But interestingly, Singapore Telecommunications managed to gain 3.8% in value as investors sought refuge in the blue-chip stock.

On May 10, SingTel also announced a 4.2% yoy rise in revenue to $18.8 billion for the full year ended March 31, 2012, while earnings rose 4.3% to $3.9 billion over the same period. The telco’s results were boosted by mobile growth in Singapore and Australia.

However, SingTel expects Ebitda margins in both countries to dip in the quarters ahead, owing to higher subscriber acquisition and retention costs and warns that start-up losses incurred by mobile advertiser Digital Life could also weigh on margins.

As such, Kelvin Goh of CIMB suggests that investors switch over to StarHub instead, given its prospects for higher dividends. Singtel has recommended a final dividend of 9 cents per share, taking total dividends to 15.8 cents per share for the year.

Oversea-Chinese Banking Corporation was the last of Singapore’s three local banks to report its earnings for the period on May 11.

OCBC beat expectations with earnings hitting $832 million for the three months to March 31, 2012, up 32% from the same period last year. The strong performance was driven mainly by non-interest income, which grew 28% yoy to $790 million, on the back of a significant increase in life assurance profit from the insurance business.

OCBC also benefited from higher wealth management and loan-related fees, but that was partially offset by lower brokerage fees and investment banking income during the period. The bank also recorded a $56 million gain from the sale of property in Melbourne, Australia.

Meanwhile, net interest income grew 21% yoy to $951 million, with the largest increases contributed by housing loans, loans to the general commerce sector and to financial institutions. As a result, CIMB analysts Kenneth Ng and Daniel Lau have raised their FY2012-14 earnings per share (EPS) forecasts by 6%-7%, and now value the stock at $10.35 apiece, or 1.49 times book value. They now expect OCBC to outperform over the next 12 months.

Genting Singapore’s results came in below expectations, with revenue of $787 million during the quarter down 14.2% yoy. Its earnings were down by 30.6% to $211.5 million during the same period, owing to higher operating expenses and a lower win rate by the casino operator.

However, analysts note that Genting is well funded and poised to make an acquisition or two in the next 12-18 months with construction of the Westzone at Resorts World Sentosa nearing completion. “We expect future quarters to benefit from a ramp-up in hotel rooms,” writes Loke Wei Wern of CIMB, who expects the stock to outperform.

Real-estate developer City Developments (CDL) reported a muted set of 1Q2012 results, with earnings down 34% yoy to hit $196 million despite a 9.4% increase in revenue to $846.7 million during the period. The fall in earnings was due to higher cost of sales as margins for recently launched projects were much lower than launches that took place a year ago.

During the period, CDL launched The Rainforest Executive Condominiums (EC) in Choa Chu Kang, which is now 94% sold. However, its 702-unit Bartley Residences condominiums – which houses many downsized shoebox units – is just 41% sold. CDL’s other ongoing projects include The Palette, Blosson Residences and NV Residences, which are 73%-100% sold. New launches in 2H2012 include UP@Robertson Quay and Haus@ Serangoon Garden.

Donald Chua of CIMB expects the stock to underperform in the coming months owing to tight valuations and potential cooling measures on the property market by the government.

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Free Seminar 免費課程

2012-05-15T03:13:00.001+08:00

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Stock Recommendation & Price Target

2012-05-11T17:26:00.001+08:00

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Wilmar’s 1Q12 Net Earnings Decline 33.8%

2012-05-10T21:49:00.001+08:00

Asia’s leading agribusiness group, Wilmar International, posted a 33.8 percent decrease in net profit to US$255.9 million despite a 9.8 percent gain in revenue to US$10.5 billion for its first quarter ended 31 March 2012. Despite the strong earnings growth from palm & laurics, consumer products, plantations & palm oil mills, earnings were dragged under by lower oilseeds & grains margins due to the difficult operating environment in China. Similarly, Wilmar’s associates also recorded lower contributions. Nevertheless, the strong volume growth achieved across all its key business segments reflected strong consumption growth and market share gains. As at 31 March 2012, total assets stood at US$39.95 billion while shareholders’ funds grew to US$13.54 billion. Net gearing ratio increased to 1.08x from 0.97x as at 31 December 2011 due to higher net loans and borrowings to meet Wilmar’s working capital and expansion needs.

Significance: Kuok Khoon Hong, Chairman and CEO of Wilmar expects the company’s key business segments, especially palm & laurics, to continue to perform satisfactorily for the rest of the year although oilseeds crushing margin in China is expected to remain challenging due to excess capacity.

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YOMA STRATEGIC HOLDINGS LTD | EGM

2012-05-10T16:53:00.001+08:00

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NOTICE IS HEREBY GIVEN that an Extraordinary General Meeting of the Company will be held at Anson III, Level 2, M Hotel, 81 Anson Road, Singapore 079908 on 25 May 2012 at 10 a.m. for the purpose of considering and, if thought fit, passing with or without modifications the following Ordinary Resolutions.

(a) for the Company to undertake a renounceable non-underwritten Proposed Rights Issue and, in that connection, the Directors be and are hereby authorised to provisionally allot and issue up to 422,117,874 Rights Shares in the capital of the Company, or such other number of Rights Shares as the Directors may determine, at an issue price of S$0.24 for each Rights Share, on the basis of four (4) Rights Shares for every five (5) existing Shares held by the Shareholders of the Company as at the Books Closure Date, on such terms and conditions as the Directors may think fit;

YOMA STRATEGIC HOLDINGS LTD | Approval In-Principle for Rights Issue

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VOLUNTARY CONDITIONAL CASH PARTIAL OFFER FOR WING TAI HOLDINGS LIMITED

2012-05-10T16:11:00.001+08:00

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YOMA STRATEGIC HOLDINGS LTD | Approval In-Principle for Rights Issue

2012-05-08T15:41:00.001+08:00

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Hyflux, Venture & Myanmar plays

2012-05-07T11:29:00.001+08:00

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Hyflux, Venture and Myanmar plays

The earnings reporting season in Singapore is once again in full swing and on May 3, technology services provider Venture Corporation and water treatment company Hyflux announced their results for the first three months of FY2012.

Venture Corp reported a 2.3% yoy fall in revenues to $574.3 million for the period ended March 31, 2012, owing to a seasonal fall in demand, while earnings were down 13% to $35 million.

Although unexciting, Venture’s results were more or less within analyst expectations. In fact, demand for tech solutions among Venture’s customers in the medical and life sciences, networking, test and measurement, industrial and retail sectors is expected to improve in the coming quarters, which should boost the company’s FY2012 revenue.

Gregory Yap of Maybank Kim Eng is maintaining his buy recommendation on the stock. “1Q2012 profits were a bit shy of expectations, [but] this is not enough for us to change our full year forecast,” writes Yap. We retain our view that 2012 should be a better year for Venture, with sequential improvement expected every quarter.”

The analyst expects to see a pick-up in business in 2H2012, when new customers such as Verifone begin contributing to revenue. “While we are forecasting only modest growth for the company this year, we believe this could turn out to be a conservative forecast given the new opportunities opening up for Venture this year, to be followed up on a larger scale in 2013.” The analyst values the stock at $9.65 apiece, representing an upside of up to 22%.

Venture will pay a final FY2011 dividend of 55 cents per share on May 18.

Meanwhile, Hyflux reported a 60% rise in 1Q2012 revenue to $138.9 million, driven by rising municipal demand in China, which contributed some 40% to revenues during the period.

However, earnings for period grew by a narrower 26% yoy to $9.2 million, owing to high raw material and staff costs -- up 96% yoy and 54% yoy respectively. In addition, financing costs were up 22% during the period as Hyflux invested in expanding its pipeline of projects in India and Singapore.

In March, Hyflux announced that it was in partnership with Hitachi and Itochu Corporation to develop a 336,000 cubic metres/day desalination plant in Gujarat, India worth US$600 million ($745 million). Hyflux will provide engineering, procurement and construction services to the project amounting to US$420 million.

The investment comes after Hyflux was forced to abandon its projects in the Middle East and Africa (MENA) region after the political unrest last year. As a result, Hyflux saw gross margins dip to 38% for the quarter compared to 51% in 1Q2011.

“This set of results support our earlier view that the loss of MENA projects will be difficult to replace, given that they likely have better EPC margins and project [returns] as well as attractive financing terms,” writes James Koh of Maybank Kim Eng. The analyst has downgraded his FY2012-14 earnings estimates for Hyflux by 10%-15% on lower margin assumptions and recommends a sell with a target price of $1.15 apiece from $1.21apiece previously.

What to look out for

FJ Benjamin, Osim International, Wilmar International, Noble Group, Fraser & Neave, Sembcorp Marine and Sembcorp Industries are due to announce their 1Q2012 results next week.

Also, watch out for Myanmar-related stocks such as UPP Holdings, which had just announced its restructuring plans. UPP plans to shift away from paper and pulp manufacturing and look for new businesses -- which could include power plants, construction materials and property development -- in the country and elsewhere in Southeast Asia.

On May 4, UPP said it had signed a memorandum of understanding with Myan Shwe Pyi Ltd (MSPL) to set up a joint venture company to be incorporated in Myanmar. The joint venture firm will buy assets in quarry operations and engineering services for around $18.9 million from MSPL.

The two largest shareholders of UPP are billionaire former broker Peter Lim and Malaysian tycoon Tong Kooi Ong. Among Tong’s business interests is The Edge Media Group, which owns The Edge Singapore. Shares in UPP should resume trading by May 7.

Meanwhile, Yoma Strategic Holdings has obtained approval to go ahead with a 4 for 5 rights issue at 24 cents each to fund the $91 million acquisition of a 70% stake in Star City, a new residential and commercial development near Thanlyin City on the outskirts of Yangon.

MQS

ASCENDAS REAL ESTATE INVESTMENT TRUST PRIVATE PLACEMENT LAUNCH OF PRIVATE PLACEMENT OF 150,000,000 NEW UNITS (“NEW UNITS”) IN ASCENDAS REAL ESTATE INVESTMENT TRUST (“A-REIT”)

2012-05-03T16:39:00.001+08:00

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Record 1Q profit for DBS

2012-04-30T11:02:00.001+08:00

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DBS hits high note with record 1Q profit

On Apr 27, DBS Group Holdings sprang a surprise on the market at around 7.20 a.m. in the morning. It announced that for the 1Q ending March, earnngs were up 16% y-o-y and 28% q-o-q to $933 million, a record for a local bank. It was also way above consensus estimates which ranged from $730 million to $755 million. “With ROE at 12.8% I’m very pleased because we’ve delivered at substantially above our cost of capital,” notes DBS CEO Piyush Gupta at the results briefing. “It is gratifying that every line is at a record high,” he adds.

Net interest income rose 4% q-o-q and 19% y-o-y to $1.3 billion; loans were up 3% and deposits up 4% on the quarter, lowering the loan-to-deposit ratio to 85% as at Mar 31 from 86.3% a quarter ago. Fee income was down 2% on the year (because of a large IPO in 1Q11) but up 19% q-o-q, and treasury income reached a new high of $662 million, up 25% y-o-y, and 49% q-o-q.

Even the bank’s Hong Kong operations have finally delivered results. Earnings rose 46% q-o-q (flat y-o-y) to $190 million. “The Hong Kong business is coming through,” Gupta says. “When we bought Dao Heng Bank, our whole thrust was to use it to bring up China. We had not been successful in doing that for much of the last decade, but we’ve been successful in the last two years,” he adds.

“We’ve used our business in Hong Kong to anchor the growth in China. We’ve grown our RMB business by 45% y-o-y. It is now 24% of our Hong Kong business. RMB loan volume out of Hong Kong is up 27 times, our deposit volume is up 10 times, our corporate deposit base up by multiples [of 530 times] but from a low base,” Gupta recounts.

Regional earnings outside of Singapore and Hong Kong rose 50% q-o-q and 12% y-o-y to $196 million. Singapore accounted for 59% of earnings, with the rest from Hong Kong and what Gupta terms DBS's high growth markets of China, India and Indonesia.

On prospects, Gupta maintains that the loan pipeline continues to be healthy. “Loan growth in the low teens is do-able” he says of this year. “Trade loans are proving to be quite sticky. We’ve been able to replace them when they come due,” he adds.

What analysts say

Leng Seng Choon, an analyst at OSK DMG, is forecasting loans growth of 11% for FY12, for DBS. “Assuming the acquisition of Danamon is completed before end-2012, we are forecasting 2012 loan expansion of 19.2%,” Leng adds.

In addition to loan growth and the trade finance business -- where DBS benefited from the exit of European banks -- Gupta reckons that the bank is set to profit from corporates switching from bank loans to tapping the capital markets. DBS has a 45% market share of the bond market where it’s been involved in almost every perpetual that’s been issued in SGD.

Where analysts are uncertain is DBS’ trading income. For 1Q12, the bank’s net trading income doubled to $325 million. “We do not expect the strength in net trading income to persist at the same pace, but have upgraded our FY12 net trading income numbers to reflect the 1Q12 strength,” Leng says in a results update. He has a neutral rating on the stock, and but has raised his FY12 net earnings forecast by 12.6% to $3.2 billion due to the upward revision for the trading income estimate. Leng has a target of $14.60 based on 1.5 times FY12 book.

Sharnie Wong, analyst at Barclays, says “we believe the pending acquisition of PT Bank Danamon (still subject to the relevant shareholder and regulatory approvals) will limit share price performance in the near term. Moreover, persistently tight liquidity in Hong Kong will constrain margin improvement, in our view.” She too has a neutral rating on the stock.

However, DBS is the top pick at CIMB. “This strong set of results adequately reflects success in its initiatives and cements DBS as our top pick in the sector. Its recent underperformance (now at 1.07 times price to book) following its Danamon bid offers further upside potential than its peers, in our opinion,” says Kenneth Ng in a results update. He is forecasting earnings of $3.17 billion for this year, and has assigned a target of $15.10 for the stock.

MQS

Stock Recommendation & Price Target

2012-04-27T21:28:00.001+08:00

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SG Stock Recommendation & Price Target A-M.pdf Download this file

SG Stock Recommendation & Price Target N-Z.pdf Download this file

HK MY US Stock Recommendation & Price Target.pdf Download this file

MQS

Bullish on Oxley

2012-04-20T21:56:00.001+08:00

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Bullish on Oxley

Ching Chiat Kwong, executive chairman and CEO of Oxley Holdings, has been busy recently. The man behind the developer which made its name selling shoebox units has snapped up four new sites totalling more than $330 million over the past month or so.

The flurry of acquisitions has prompted SIAS Research to upgrade Oxley’s price target by 7 cents to 60 cents. The stock, which has moved 12.86% over the past year, closed at 39.5 cents on Apr 20. “We are much impressed by the new assets as they each have their unique appeal. The four projects will generate about $166 million additional gross profit to Oxley,” states SIAS Research in a report on the same day.

Ching knows property remains a favourite asset with many Singapore investors. Despite round after round of cooling measures, private residential new sales for the first quarter this year hit 6,678 units, up 80.4% compared to the same period a year earlier.

While riding on this buoyant sentiment, Oxley has wisely diversified into other non-residential sectors like office and commercial space. “Oxley always managed to stay ahead of the trend and deliver what the buyers need, from residential shoebox projects to lifestyle and shoebox concepts in industrial and commercial projects,” notes SIAS Research.

The first acquisition is 11 King Albert Park, near the junction of Bukit Timah Road and the Pan-Island Expressway, in the vicinity of schools like Raffles Girls’ Primary School, Hwa Chong Institution, National Junior College, and further down the road, Ngee Ann Polytechnic and Singapore Institute of Management. For many former and present students of these schools, this is where their favourite hangout is located – the iconic McDonald’s fastfood outlet.

However, from Oxley’s perspective, the attraction of this site is the 119,109 sq ft of residential space and 59,554 sq ft of retail space that it can redevelop this site into. SIAS Research estimates Oxley can sell the space at $1,800 psf and $3,500 psf respectively for residential and retail. “Given its proximity to these attractions, we reckon there is huge potential for this site,” the research firm states. Oxley is not paying for the entire purchasing price of $150 million on its own. Joint venture partners have been found for this development, including subsidiaries of listed companies like Lian Beng Group, Heeton Holdings and KSH Holdings.

The second recent acquisition is 339 Joo Chiat Road, a residential and commercial development that sits in between two retail developments. Oxley, which is paying $8 million for this property, might apply for it to be re-zoned into retail purposes, which will fetch a higher selling price of around $2,500 psf, states SIAS Research.

The third acquisition by Oxley, at 66 East Coast Road, is within walking distance of the one at 339 Joo Chiat Road. Oxley is paying $76.1 million for the freehold seven-storey commercial property that now comprises of office units. It sits on a 22,147 sq ft big site. SIAS Research notes that adjacent and nearby properties like Roxy Square and Katong Shopping Complex are worth $2,145 psf and $1,816 psf respectively, and that Oxley is likely able to command prices at around $2,500 psf for the new development, as the developer has a proven track record of including attractive “lifestyle concepts” into its existing developments like Oxley Tower and Robinson Square.

The fourth development, along Cactus Road and formerly known as Seletar Garden, was bought for $96.2 million. The freehold site covers 73,100 sq ft and has a gross plot ratio of 1.4. SIAS Research notes that nearby private apartments, such as Centre Residences are at $1,600 psf, and terrace units of Banyan Villas are at $1,641 psf. Using these figures as a gauge, the new development can likely sell at $1,900 psf while retail space can sell for $2,500 psf.

Recent changes in accounting standards means that Oxley will not be able to recognise any revenue its existing industrial and office developments until they receive their temporary occupation permit. This means that there will be some $250 million that the company can book after 2015.

Investors tracking Oxley would also be glad to know that Ching, who is chauffeured around in a Rolls Royce, has been regularly buying his own company’s shares in the open market. The latest transaction filed on the Singapore Exchange, on March 7, saw him scoop up another 386,000 shares, bringing his total to 620,683,500 shares, or 41.69%. Around this time last year, he was holding on to 577,138,000 shares, or 38.76%.

Of course, Oxley will need to fund these construction activities. On March 30, the company announced that it is exploring options to raise funds for its working capital and is in preliminary discussions with potential investors. SIAS Research believes that this potential fund-raising should strengthen the company’s financial position and thus give it the ammunition to buy more sites. The market will be closely watching how Ching will step up on his deal-making.

MQS

APS in $568m RTO deal with Bright Eagle

2012-04-18T15:33:00.001+08:00

BEREAVEMENT care services provider Asia-Pacific Strategic Investments Ltd (APS) has struck a $568 million conditional sale-and- purchase agreement with Bright Eagle Enterprises Group, an engineering solutions provider in the power generation industry.

The proposed deal, should it be completed, will result in a reverse takeover (RTO) of APS by Bright Eagle, a company incorporated in the British Virgin Islands.

APS stands to gain full ownership of two joint development agreements secured by Bright Eagle. These involve the conversion of up to seven fuel oil-based generation units into coal-based power generators in Pakistan.

In a statement yesterday, APS said it would pay $275.3 million through $20 million in cash, 474.7 million new shares issued at 40 cents each, 234.6 million unlisted warrants issued at two cents, and its entire bereavement business.

The issue price of 40 cents each for the new shares is equivalent to the last traded price of APS, while each unlisted warrant may be exchanged for a new APS share at an exercise price of $1.50 until the May 16, 2014 expiry date.

The cost of $292.7 million for the second and third stages of the joint development agreements will be financed through the issue of 731.8 million new APS shares.

Subject to approval by the Singapore Exchange, a circular containing details of the proposed S&P agreement will be dispatched to APS shareholders, who will vote at an extraordinary general meeting to be convened at a later date.

As Bright Eagle intends to maintain the public listing status of APS and will own more than 80 per cent of the enlarged issued share capital after the completion of all three stages, shareholders will also be asked to vote in favour of a "whitewash waiver" to absolve Bright Eagle from having to make a general offer for the remaining shares in APS.

Commenting on APS's new proposed business direction, its group chief executive officer Choo Yeow Ming said: "This business has excellent prospects in Asia, where we see many opportunities to convert both new and existing fuel oil-based power generating units so they can run on coal, which is a cheaper alternative."

According to Bloomberg data, APS shares last closed at 40 cents on April 4. The company has requested that its trading halt be lifted at 8.30am today.

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MQS

Free Seminar 免費課程

2012-04-18T11:49:00.001+08:00

Please Contact Us or book online now to join the below free seminars.

請即刻聯係我們或上网登记參加以下免費講座。

http://www.utrade.com.sg/page/site/public/english/utradeSG_edu.html

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MQS

Stock Recommendation & Price Target

2012-04-16T16:07:00.001+08:00

Stock Recommendation & Price Target.pdf Download this file

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MQS

More pain ahead for consumers

2012-04-16T10:33:00.001+08:00

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More pain ahead for Singapore consumers

Singapore’s economic prospects may be looking up but consumers here may be no better off as inflation is poised to take a greater toll on their pockets.

The city-state’s economy not only averted a technical recession in 1Q2012 but also exceeded economists’ expectations with growth of 9.9%, in seasonally-adjusted q-o-q annualised terms, after contracting 2.5% in 4Q2011.

The main driver of growth was the manufacturing sector, which expanded 14.7% q-o-q, as electronics production and trade recovered from supply disruptions triggered by the devastating floods in Thailand late last year. Manufacturing accounts for about a quarter of Singapore’s GDP. The construction sector also fared markedly well, expanding 24.6% q-o-q, as more homes were built.

On a y-o-y basis, the economy expanded 1.6% in 1Q2012. The figures, unveiled on April 13, are advance estimates by the Ministry of Trade and Industry, which will release its detailed report card on the economy in May.

The outlook for the quarters ahead should be stable, with the economy expected to grow 1% to 3% this year, according to the Monetary Authority of Singapore (MAS), which says economic conditions in the US are improving, domestic demand in Asia remains firm, and tail risks in the eurozone have receded.

But as far as consumers are concerned, that’s probably where the good news ends. The cost of living is set to creep up even further on increased oil prices and higher wages amid a tight domestic labour market. “The pass-through of costs to consumers is therefore likely to continue, though at a reduced pace,” MAS warns.

Noting that inflationary pressures have been stronger than expected since last October, and will remain elevated over the next few months, the central bank has bumped up its 2012 all-items inflation forecast to between 3.5% and 4.5% from a range of 2.5% to 3.5%.

Its estimate for core inflation, which excludes private road transport and accommodation costs, has also gone up, to a range of 2.5% to 3% from between 1.5% and 2%. Cost pressures, it says, are likely to ease in the latter half of the year.

In a bid to contain inflation, MAS has tightened its monetary policy to allow the local dollar to rise at a slightly faster pace in an undisclosed band against a trade-weighted basket of currencies of Singapore’s main trading partners. It adjusts the pace of appreciation or depreciation by changing the slope, width or centre of the band.

In this case, MAS has increased the slope of its currency band slightly while narrowing the band’s width. “The latest MAS policy stance will ensure that the Singapore dollar remains relatively strong on a trade-weighted basis in the next six months,” says Daiwa.

Investors, meanwhile, will do well to study the implications of rising inflation on companies before ploughing money into stocks. “Even as the market reacts to the strong GDP numbers, investors will also be scrutinizing how higher oil prices, labour costs and freight charges will affect margins,” says DBS Vickers.

Allowing the local currency to appreciate will keep the Singapore interbank offered rate soft. This, accordingly to DMG & Partners, is negative for DBS Group Holdings, as its lower Singapore dollar loan-deposit ratio of 64%, compared to 79% for its Singapore peers, will mean reduced interbank yields.

On the other hand, low interest rates in Singapore will continue to make real estate investment trusts (REITs) attractive as an investment choice for funds, says DMG. Its favourite sector for REITs is retail, with CapitaMall Trust its top pick, as its asset enhancement programmes for four of its malls are completed and 76% of its portfolio is in the “defensive” suburban mall space.

Perpetual bonds, which a growing number of companies in Singapore are offering, may also be worth checking out for investors eyeing higher returns. The latest company selling these instruments is Genting Singapore. Its perpetual bonds offer a coupon of 5.125% a year. Mapletree Logistics Trust’s perpetual bonds pay an annual interest of 5.375%.

MQS

Genting Sp 5.125% Perp - Retail Tranche

2012-04-10T10:31:00.001+08:00

GENS_Perp_Announcement_9Apr2012.pdf Download this file

Note

This is a Genting Spore issued bond @ 5.125% pa interest rate for 1st 10 yrs & 6.125% thereafter.

Client can apply for the IPO via ATM before 16/4 1200 and will be traded on the SGX from 19/4 onwards 0900.

Note this is "retail", for ATM applications.

Expected Timetable of Key Events

Prospective investors are requested to note the following important dates and times in respect of the Offer:

Opening date and time for applications for the Securities under the Reserve Offer : 9 April 2012 at 2.00 p.m.

Opening date and time for applications for the Securities under the Public Offer : 10 April 2012 at 9.00 a.m.

Last date and time for applications for the Securities under the Reserve Offer : 11 April 2012 at 5.00 p.m.

Last date and time for applications for the Securities under the Public Offer : 16 April 2012 at 12.00 noon

Balloting of applications under the Public Offer, if necessary (in the event of an over-subscription of the Securities). Commence returning or refunding of application moneys to unsuccessful or partially successful applicants : 17 April 2012

Expected date of issue of the Securities : 18 April 2012

Expected date of commencement of trading of the : 19 April 2012 at 9.00 a.m.

Under the Public Offer, the minimum subscription is S$5,000 in principal amount of Securities or higher amounts in integral multiples of S$1,000 thereof. Investors can apply for the Securities under the Public Offer at any ATM of DBS Bank Ltd. (“DBS Bank”) (including POSB), Oversea- Chinese Banking Corporation Limited (“OCBC Bank”) and United Overseas Bank Limited and its subsidiary, Far Eastern Bank Limited (“UOB Group”), the internet banking websites of DBS Bank, OCBC Bank and UOB Group and the mobile banking platform of DBS Bank.

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On cue the Myanmar gold rush

2012-04-09T10:41:00.001+08:00

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On cue the Myanmar gold rush

A new era has dawned in Myanmar. After two decades of being silenced, the pro-democracy activist and opposition leader Aung San Suu Kyi has led her party to a landslide victory, winning at least 40 out of 44 seats in a parliamentary by-election despite being just one out of 17 political parties in the contest. Encouraged by the progress the country is making, the US says it is easing sanctions and restrictions on doing business in Myanmar that have been in place since 1988.

This is perhaps just the signal that investors worldwide have been waiting for. In the eyes of infrastructure and property developers, manufacturers, oil and gas and natural resources companies, Myanmar is Asia’s last untapped frontier and opportunities abound.

In a key financial reform, the government has adopted a managed float of the local currency, scrapping a 35-year fixed exchange rate. The kyat opened trading on April 4 at Kt818 to the US dollar, a far cry from the former official rate of Kt6.4 to the dollar. The move also allows the government to intervene against expected heavy inflows of foreign investment dollars and aid that could push up inflation.

Indeed, there has already been a constant flow of foreign business visitors into the country, following US Secretary of State Hillary Clinton’s visit last year. In February, Singapore’s business development agencies, International Enterprise Singapore and the Singapore Business Federation, led a large delegation of Singapore company owners and businessmen from the construction, infrastructure, oil and gas and finance sectors.

According to DMG Research, there are three Singapore-listed companies that offer investors the opportunity to ride on Myanmar’s development, and which have gained an average of 14%, compared to the benchmark STI’s 1%.

Interra Resources, which is mainly involved in the exploration and extraction of petroleum in Myanmar, derives some 70% of its turnover from the country. Interra’s stock has risen more than 6% on Thursday.

Super Group, the instant coffee maker, is a household name in Myanmar and is estimated to have more than 30% of market share. For FY11, about 16% of its turnover came from Myanmar. The stock hit a 52-week high on April 4.

And real estate developer Yoma Strategic, run by Myanmar-born businessman Serge Pun, derives more than 90% of its revenues from the country. Shares in Yoma have already jumped some 150% this year, but got a further boost from the news of the easing of sanctions, and hit an all-time high on April 5.

Separately, one stock that hasn’t been doing so well over the last few days is DBS Group Holdings. The counter has fallen 6% over the week, since it said it is buying a majority stake in Indonesian bank Danamon from Temasek Holdings for $6.2 billion. DBS’s aim is to get a hold on the Indonesian growth story – the economy is expected to grow by more than 6% over these next three years. But not everyone is convinced the deal is a good one. Moreover, legislators, investors and bankers in Indonesia have voiced opposition to the takeover, and while there are no regulatory obstacles for now, it remains to be seen whether the issue would be a hot button in the run up to the 2014 presidential election.

MQS

Apple-mania spreads, Piper Jaffray sees $1,000 stock

2012-04-04T21:12:00.001+08:00

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SAN FRANCISCO/NEW YORK (Reuters) - Apple Inc shares set a record high on Tuesday after Piper Jaffray supported Topeka Capital Market's assertion that the stock should breach $1,000 in a year or two, propelled by emerging markets growth and new products that could include a revolutionary TV set.

Piper Jaffray senior research analyst Gene Munster, a longstanding bull on the world's most valuable company, joined Topeka analystBrian White in predicting a run to $1,000 - but by 2014, versus White's timeframe of around 2013. That would make Apple the world's first trillion-dollar company.

On Monday, White ignited debate on online forums by publishing a report predicting Apple's shares are set to rocket to $1,001 within the next 12 months as it branches into new markets and expands its footprint in China.

Raising Apple's stock price targets has become something of a game on Wall Street as the value has doubled in 2011 alone, driven by a track record of shattering earnings and revenue expectations and sales estimates on the iPad and iPhone.

The company's newest tablet sold 3 million units in its first weekend in March.

"Shares can reach $1,000 based on our belief Apple will continue to win in global mobile devices," Munster, who is maintaining a shorter-term, formal target of $910, said in his Tuesday report.

Apple has in past years persistently defied Wall Street's most bullish expectations, armed with an array of products that have shaken up the music, media and technology industries.

Apple shares set an intraday peak of $632.21, before closing up 1.7 percent at $629.32 on Nasdaq.

"Driven by an ever expanding portfolio of innovative products, a growing integrated digital grid, unmatched aesthetics and a brand that is able to touch the soul of consumers of all backgrounds, Apple fever is spreading like a wildfire around the world and we see no end in sight to this trend," White wrote in an April 2 note initiating coverage of Apple.

White, formerly of Ticonderoga Securities, noted that the latest version of Apple TV - a box used to stream online video - with a refined user interface, could be a prelude to "a full blown TV" over the next year from the company. The new product is expected to revolutionize the way content is distributed into living rooms, similar to the way Apple's iTunes has changed music delivery, analysts said.

Many observers had once cast doubts that Apple's stock could even hit $500 and $600. Today, its median price target stands at slightly below $700, according to Thomson Reuters data.

MQS

Apple Inc (AAPL) Stock Analysis

2012-04-04T13:34:00.001+08:00

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Apple Inc (AAPL)

$629.31
10.68 (1.73%) Tuesday, April 03, 2012

AAPL is undervalued compared to its Price of $629.31 per share, has well above average safety, and is currently rated a Buy.



Apple Inc (AAPL)



Computer (Makers)



Company Information

Business: Apple Inc. and its wholly owned subsidiaries design, manufacture, and market personal computers, portable digital music players, and mobile communication devices, and sell various related software, services, peripherals, and networking solutions. The company sells its products worldwide through its online stores, its retail stores, its direct sales force, and third-party wholesalers, resellers, and value-added resellers.

Capital Appreciation

Value: Value is a measure of a stock's current worth. AAPL has a current Value of $909.64 per share. Therefore, it is undervalued compared to its Price of $629.31 per share. Value is computed from forecasted earnings per share, forecasted earnings growth, profitability, interest, and inflation rates. Value increases when earnings, earnings growth rate and profitability increase, and when interest and inflation rates decrease. We advocate the purchase of undervalued stocks. At some point in time, a stock's Price and Value always will converge.

RV (Relative Value): RV is an indicator of long-term price appreciation potential. AAPL has an RV of 1.64, which is excellent on a scale of 0.00 to 2.00. This indicator is far superior to a simple comparison of Price and Value because it is computed from an analysis of projected price appreciation three years out, AAA Corporate Bond Rates, and risk. RV solves the riddle of whether it is preferable to buy High growth, High P/E stocks, or Low growth, Low P/E stocks.

We favor the purchase of stocks with RV ratings above 1.00.

RS (Relative Safety): RS is an indicator of risk. AAPL has an RS rating of 1.49, which is excellent on a scale of 0.00 to 2.00. RS is computed from an analysis of the consistency and predictability of a company's financial performance, debt to equity ratio, sales volume, business longevity, price volatility and other factors. A stock with an RS rating greater than 1.00 is safer and more predictable than the average stock in the database. We favor the purchase of stocks of companies with consistent, predictable financial performance.

RT (Relative Timing): RT is a fast, smart, accurate indicator of a stock's price trend. AAPL has a Relative Timing rating of 1.52, which is excellent on a scale of 0.00 to 2.00. RT is computed from an analysis of the direction, magnitude, and dynamics of a stock's price movements over one day, one week, one quarter and one year time periods. Once a stock's price has established a strong trend, it is expected to continue in that trend for the short-term. If a trend dissipates, RT will gravitate toward 1.00. RT will explode from bottoms, dive from tops, and reflect changes in price momentum. We favor the purchase of stocks with RT ratings above 1.00.

VST (VST-Vector): VST is the master indicator for ranking every stock in the database. AAPL has a VST rating of 1.55, which is excellent on a scale of 0.00 to 2.00. VST is computed from the square root of a weighted sum of the squares of RV, RS, and RT. Stocks with the highest VST ratings have the best combinations of Value, Safety and Timing. These are the stocks to own for above average, long-term capital appreciation. We advocate the purchase of safe, undervalued stocks rising in price.

Recommendation (REC): AAPL has a Buy recommendation. REC reflects the cumulative effect of all the parameters working together. These parameters are designed to help investors buy safe, undervalued stocks rising in price. They also help investors avoid or sell risky, overvalued stocks falling in price. We recommend that investors buy high VST-Vector, Buy-rated stocks in rising markets.

Stop (Stop-Price): Stop is an indicator of when to sell a long position or cover a short position. AAPL has a Stop of $527.28 per share. This is $102.03 below below AAPL's current closing Price. A stock's Stop is computed from a 13 week moving average of its closing prices, and is fine-tuned according to the stock's fundamentals. High RV, high RS stocks have lower Stops, and low RV, low RS stocks have higher Stops. A stock gets a 'B' or 'H' recommendation if its Price is above its Stop and an 'S' recommendation if its Price is below its Stop.

GRT (Earnings Growth Rate): GRT reflects a company's one to three year forecasted earnings growth rate in percent per year. AAPL has a forecasted Earnings Growth Rate of 31.00%, which we considers to be excellent. GRT is computed from historical, current and forecasted earnings data. GRT often foretells a stock's future price trend. If a stock's GRT trend is upward, the stock's price will likely rise. If GRT is trending downward, the stock's Price will probably fall. We favor the purchase of stocks whose GRT is rising and is greater than the sum of current inflation and interest rates, as shown weekly in our investment climate report.

EPS (Earnings per Share): EPS stands for leading 12 months Earnings Per Share. AAPL has a forecasted EPS of $44.28 per share. We determine this forecast from a combination of recent earnings performance and traditional fiscal and/or calendar year earnings forecasts.

P/E (Price to Earnings Ratio): P/E is a popular measure of stock valuation which shows the dollars required to buy one dollar of earnings. AAPL has a P/E of 14.21. This ratio may be deemed to be high or low depending upon your frame of reference. The average P/E of all the stocks in the database is 46.62. P/E is computed using the formula: P/E = Price/EPS.

EY (Earnings Yield): EY reflects earnings per share as a percent of Price. EY is related to P/E via the formula, EY = 100 / (P/E), and may be used in place of P/E as a measure of valuation. EY has the advantages that it is always determinate and can reflect negative earnings. AAPL has an EY of 7.04 percent. This is above the current average of 2.15% for all the stocks in the database. EY equals 100 x (EPS/Price).

GPE (Growth to P/E Ratio): GPE is another popular measure of stock valuation. It compares earnings growth rate to P/E ratio. AAPL has a GPE rating of 2.19. High growth stocks are believed to be able to justify high P/E ratios. A stock is commonly considered to be undervalued when GPE is greater than 1.00 and overvalued when GPE is below 1.00. Unfortunately, this rule of thumb does not take into account the effect of interest rates on P/E ratios. The operative GPE ratio of 1.00 is valid when and only when interest rates equal 10%. With long-term interest rates currently at 3.28%, the operative GPE ratio is 0.11. Therefore, AAPL may be considered to be undervalued.

Dividend Information

DIV (Dividend): We report annual, regular, cash dividends as indicated by the most recent payments. Special distributions, one-time payments, stock dividends, etc., are not generally included in DIV. AAPL does not pay a dividend.

DY (Dividend Yield): DY reflects dividend per share as a percent of Price. AAPL does not pay a dividend, so it does not have a Dividend Yield rating. DY equals 100 x (DIV/Price). It is useful to compare DY with EY. If DY is not significantly lower than EY, the dividend payment may be in jeopardy.

DS (Dividend Safety): DS is an indicator of the assurance that regular cash dividends will be declared and paid at current or at higher rates for the foreseeable future. AAPL does not pay a dividend, so it does not have a Dividend Safety rating . Stocks with DS values above 75 typically have RS values well above 1.00 and EY levels that are much higher than DY.

DG (Dividend Growth Rate): Dividend Growth is a subtle yet important indicator of a company's financial performance. It also provides some insight into the board's outlook on the company's ability to increase earnings. AAPL does not pay a dividend, so it does not have a Dividend Growth rating .

YSG (YSG-Vector): YSG is an indicator which combines DIV, DY and DG into a single value, and allows direct comparison of all dividend-paying stocks in the database. AAPL does not pay a dividend, so it does not have a YSG rating which is . Stocks with the highest YSG values have the best combinations of Dividend Yield, Safety and Growth. These are the stocks to buy for well above current income and long-term growth.

Price-Volume Data

Price: AAPL closed on Tuesday, April 03, 2012 at $629.31 per share.

Open:AAPL opened trading at a price of $627.30 per share on Tuesday, April 03, 2012.

High: AAPL traded at a High price of $630.13 per share on Tuesday, April 03, 2012.

Low: AAPL traded at a Low price of $626.65 per share on Tuesday, April 03, 2012.

Close: AAPL closed on Tuesday, April 03, 2012 at $629.31 per share.

Range: Range reflects the difference between the High and Low prices for the day. AAPL traded with a range of $3.48 per share on Tuesday, April 03, 2012.

$ Change: AAPL up 10.68 from the prior day's closing Price.

%PRC: AAPL's Price changed 1.73% from the prior day's closing price.

Volume: AAPL traded 2,399,925 shares on Tuesday, April 03, 2012.

AvgVol: AvgVol is the 50 day moving average of daily volume as computed by VectorVest. AAPL has an AvgVol of 21,831,948 shares traded per day.

%Vol: %Vol reflects the percent change in today's trading volume as compared to the AvgVol. %Vol equals ((Volume - AvgVol) / AvgVol ) * 100. AAPL had a %Vol of -89.01% on Tuesday, April 03, 2012

CI (Comfort Index): CI is an indicator which reflects a stock's ability to resist severe and/or lengthy price declines.AAPL has a CI rating of 1.54, which is excellent on a scale of 0.00 to 2.00. CI is quite different from RS in that it is based solely upon a stock's long-term price history. We advocate the purchase of high CI stocks.

Sales / Market Capitalization Information

Sales: AAPL has annual sales of 127,841,000,000

Sales Growth: Sales Growth is the Sales Growth Rate in percent over the last 12 months. AAPL has a Sales Growth of 73.00% per year. This is excellent. Sales Growth is updated each week for every stock. It is often useful to compare Sales Growth to Earnings Growth to gain an insight into a company's operations.

Sales Per Share (SPS): AAPL has annual sales of $137.11 per share. SPS can be used as a measure of valuation when comparing stocks within an Industry Group.

Price to Sales Ratio (P/S): AAPL has a P/S of 4.59. This ratio is also used as a measure of valuation. Here, too, it is useful when comparing stocks within an Industry Group.

Shares: AAPL has 932,000,000 shares of stock outstanding.

Market Capitalization: AAPL has a Market Capitalization of 586,749,000,000. Market Capitalization is calculated by multiplying price times shares outstanding.

Business Sector: AAPL has been assigned to the Computer Business Sector.

Industry Group: AAPL has been assigned to the Computer (Makers) Industry Group.

MQS