KUALA LUMPUR, July 29 (Bernama) -- Bursa Malaysia rebounded to close higher on Wednesday on selective buying of defensive stocks after a volatile trading session. IPPFA Sdn Bhd director of investment strategy and country economist Mohd Sedek Jantan said consumer products and services stocks lifted the key index higher, overcoming lingering geopolitical concerns. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 3.08 points to 1,715.56 from yesterday’s close of 1,712.48. The benchmark index, which opened 1.91 points higher at 1,714.39, moved between 1,710.79 and 1,720.59 during the day’s trading. In the broader market, gainers outstripped decliners 550 to 476, while 612 counters were unchanged, 1,129 untraded, and 48 suspended. Turnover rose to 2.96 billion units valued at RM2.48 billion from 2.94 billion units valued at RM2.56 billion on Tuesday.
Upgrade to outperform call with an increased target price (TP) of RM2.24. Last week, the Federal Government issued provisional safeguard measures for steel coils and reinforced bars at a duty rate of 13.9% and 13.4% imposed respectively towards exporting countries into Malaysian shores. Positive on the measure as it would boost ANNJOO’s steel re-bars ASPs. Upgrade FY17E earnings by 20% on the back of 8% higher ASP assumption. Post earnings adjustment, upgrade ANNJOO to OUTPERFORM (from MP) with higher TP to RM2.24 (from RM1.69) after switching valuation methodology from 0.76x FY17 PBV to 7.0x FY17 PER. Ann Joo Resources Bhd Approval of provisional safeguard measures. Last week, the Federal Government issued provisional safeguard measures in relation to steel coils and reinforced bars after 4 months of investigations. The measure entails safeguard duties of 13.9% for steel coils and 13.4% for steel rebars which will be imposed towards a list of 40 exporting countries begin...