KUALA LUMPUR (Aug 12): Shares of Mitrajaya Holdings Bhd rose 1.7% in early trade today after Hong Leong IB Research said the stock offers compelling case of growth.
At 9.25am, Mitrajaya added 3 sen to RM1.79 with 95,600 shares traded.
HLIB Research has maintained its “buy” rating on Mitrajaya Holdings Bhd and said the company’s 1HFY15 earnings of RM37 million (+49% y-o-y) were within expectations.
In a note today, the research house said Mitrajaya’s orderbook of RM1.8 billion (4.7x cover ratio) to sustain earnings trajectory.
“Job wins to pick up in 2H (YTD: RM230 million) with RM2.8 billion worth of tenders in the pipeline.
“Maintain Buy, target price: RM2.92. Mitrajaya offers a compelling case of robust growth (3 year CAGR: 24%).
“5 sen dividend and 1 for 5 free warrants goes ex on 17 Aug,” it said.