KUALA LUMPUR (Apr 24): Shares of Tenaga Nasional Bhd rose in active trade today after MIDF Research has maintained its “Buy” rating on the stock with an unchanged target price of RM17.20 and said it expects Tenaga to post another set of good results in 2QFY15 on the back of potentially improved margin.
At 12.30pm, Tenaga (fundamental: 1.30; valuation: 1.80) gained 0.28% or four sen to RM14.52 with 5.16 million shares done.
In a note today, the research house said this could be credited to the lower generation cost incurred due to favourable generation mix and fuel cost.
“We reiterate our Buy call on Tenaga with an unchanged TP of RM17.20 which implies 15x FY15 P/E and 14x FY15 P/E,” it said.
(Note: The Edge Research's fundamental score reflects a company’s profitability and balance sheet strength, calculated based on historical numbers. The valuation score determines if a stock is attractively valued or not, also based on historical numbers. A score of 3 suggests strong fundamentals and attractive valuations.)