Translate This Page

Tuesday, January 4, 2011

HLIB Research maintains Buy on Time dotCom, TP 95c (Edge)

Hong Leong Investment Band (HLIB) Research is maintaining its Buy on TIME DOTCOM BHD [] and rolled forward its target price to end-2011 at 95 sen.

It said on Tuesday, Jan 4 that recent events, which saw Time dotCom signing agreements with DiGi and Astro, were consistent with its view that the company stands to benefit from the increasing need for wholesale fiber-broadband services.

The research house said over the weekend, Maxis Bhd chief executive officer Sundip Das also mentioned that Maxis was in talks with Time dotCom, further reinforcing its belief that more wholesale agreements are in the pipeline.

“For the beginning of the New Year, we roll-forward our target price to end-2011 at RM0.95 based on a rolled-forward PAT base year to 2011 in our sum-of-parts estimate,” it said.

HLIB Research said its target price assumes Time dotCom’s business carries on as usual and does not take into account any contribution from the proposed acquisitions of GTL, GTC and AIMS.

“Additionally, our target price does not take into account any contribution from the recently proposed agreement with Astro. We maintain our BUY call on the stock, pending the inking of the deal with Astro and await the outcome of the proposed acquisitions in March,” it said.

No comments: