Sunway Holdings RM1.49: Buy

Sunway Holdings RM1.49: Buy
- New RM500m property project
New property development in Gombak. Sunway’s latest residential
property project in Gombak is larger than its existing Sunway
Rydgeway in Melawati, with a GDV of RM500m vs RM165m. Earnings
contribution, however, is only expected post-2011. The latest
acquisition is in line with Sunway’s strategy to develop niche residential
units within its local property development segment to diversify group
earnings. Maintain Buy with a TP of RM1.90.