MIDCAP-Lafarge Malayan Cement leads Malaysian materials sector on analyst revisions

Lafarge Malayan Cement leads on analyst revisionsamong 12 companies in the Malaysian materials sector tracked byat least three analysts, data from Thomson Reuters StarMineshows.

The company has an Analyst Revision Model (ARM) score of 94,the highest in the sector. It also has above-average ValueMomentum (Val-Mo) and Earnings Quality (EQ) scores of 75 and 81respectively. A high Smartholdings (SH) score of 80 suggests apotential increase in institutional ownership.

The cement and concrete company's forward 12 month P/BV andP/EPS ratios beat that of its peers by 133 percent and 93percent respectively.

The stock is trading at a 4 percent premium to itsinstrinsic value of 9.50 ringgit.

Of the 11 analysts tracking the stock, seven give it a'strong buy' or 'buy' rating, three recommend a 'hold' while onerecommends a 'sell'.

The shares of the company have risen over 40 percentyear-to-date, while the broader index gained 8.66percent in the same period, as of Tuesday's close.

On the other end of the spectrum, Ta Ann Holdingsand Ann Joo Resources lag the sector on analystrevisions with ARM scores of 2 and 8 respectively.


On Aug. 28, the company said its second-quarter net marginrose 6.3 percent year-on-year to 82 million ringgit in June 2012while revenues increased over 4 percent to 697 million ringgitduring the same period.

StarMine's Analyst Revision Model ranks stocks based onanalysts' revision of earnings and revenue estimates and changesin their ratings and usually gives additional weight to analystswho have been more accurate in the past.

StarMine's Val-Mo model provides a 1-100 percentile rankingof stocks and rates stocks based on a combination of two valueand two momentum metrics.

The Earnings Quality model is a percentile (1-100) rankingof stocks based on sustainability of earnings, with 100representing the highest rank.

The StarMine SmartHoldings model is a global stock selectionmodel that ranks stocks based on the expected future increase,or decrease, in institutional ownership.

(Reporting By Reshma Apte; Editing by Sunil Nair)