KUALA LUMPUR, Nov 5 (Bernama) -- Bursa Malaysia closed higher, buoyed by Bank Negara Malaysia’s (BNM) decision to maintain the Overnight Policy Rate (OPR) at 2.75 per cent, alongside positive cues from Wall Street. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) rose 19.30 points, or 1.19 per cent, to 1,635.86 from Wednesday’s close of 1,616.56. The benchmark index opened 6.72 points higher at 1,623.28, and fluctuated between an intraday high of 1,642.44 and a low of 1,622.62 during the trading session. However, market breadth was negative, with losers outnumbering gainers 723 to 497, while 466 counters were unchanged, 1,075 untraded and 10 suspended. Turnover rose to 3.74 billion units valued at RM3.61 billion compared with yesterday’s 2.81 billion units valued at RM2.57 billion.
Retain outperform recommendation with a higher target price (TP) of RM12.51 3QFY16 revenue (QoQ: +28.3%, YoY: +23.8%). The higher 3Q sales were led by plantation (+30.7%) and downstream manufacturing (+13.9%) segments, although this was partly offset by weaker property sales (-17%). Average CPO prices jumped 29% YoY to RM2,617/m while FFB production dropped by 6% YoY to 439,000k mt (3Q Malaysia: -8% YoY, Indonesia: flat). Plantation sales in Malaysia surged 20% YoY while Indonesia jumped 81% YoY, bolstered by stronger palm oil prices. Biodiesel sales rose 14% YoY to RM22.1m On the other hand, property sales dropped 17% to RM32.6m, due to weaker sales in existing projects. It sold a piece of 10 acre land in Kula to a private school for RM8.7m. 3QFY16 core net profit nearly tripled to RM96.1m. Malaysian plantation earnings surged 60% YoY to RM125.9m while Indonesian plantation has turnaround with a profit of RM22.2m. Property segmen contracted 9% YoY to RM11....