BUSINESS › NEWS
Research Houses Revise Target Price For AirAsia
Alliance Research in its note said AirAsia's FY13 core net profit of RM636 million was below expectations due to lower than expected earnings contribution from Thai AirAsia.
"We do not expect Thai AirAsia's earnings growth to normalise this year, as political unrest in Thailand looks set to continue.
"Furthermore, we are seeing increasing earnings risk from the recent adverse forex movements," it added.
As such, it downgraded its recommendation on AirAsia to "neutral" with a lower target price of RM2.41 from RM3.18, previously.
Meanwhile, Kenanga Research said AirAsia's FY13 core earnings of RM709 million which came in below its expectation, made up only 80 per cent of the full year estimate of RM881.6 million.
"The main drags on earnings was mainly higher depreciation and financing costs which saw an increase of 16 per cent and 23 per cent, respectively," it added.
The research firm maintained an "outperform" call on AirAsia but with a revised target price of RM3.01 from RM3.51.
news coverage in our Newswire service.
Previous Top Stories
Other News Headlines
- DPM To Announce BN Candidate For Balingian By-election This Saturday- politic
- Industry On Track To Deliver Profits, Says IATA- business
- Terengganu, T-Team To Sign New Foreign Players Next Month- sports
- Retiring Poor Or Comfortably - It's Your Choice- features
- Malaysia Seeks India's Assistance To Trace Missing Aircraft- world
Most Read News
Pertubuhan Berita Nasional Malaysia,
Wisma BERNAMA,No 28, Jalan 1/65A,
Off Jalan Tun Razak, 50400 Kuala Lumpur, Malaysia.
Tel : 603-2693 9933 ( General Line )
E-mel : email@example.com
This material may not be published, broadcast, rewritten or redistributed in any form except with the prior written permission of BERNAMA.
Best viewed in Firefox 8.0 & Internet Explorer 8.0 with 1024 x 768 resolution