IJM

[winston]

vested

Earnings targets for IJM slashed on likely order book miss

Trading at a steep 53% discount to its revised sum-of-the-parts, further valuation support will come from share buybacks and decent FY25–FY27 dividend yields of 3.4%–4.4%.

Source: The Star

https://www.thestar.com.my/business/bus ... -book-miss

[winston]

vested

Value seen in IJM Corp amid allegations

By Lee Weng Khuen

IJM shares are currently trading at a lower forward 12-month price-earnings ratio (PER) of 14.5 times, against Gamuda’s 18.3 times and SunCon’s 20.6 times.

Industrial jobs (excluding data centres) such as E&E facilities and warehouses make up about 33% of its order book.

IJM acquired a 32% stake in ICP from Hume Industries (now known as Hume Cement Industries Bhd [KL:HUMEIND]) for RM95 million in 2004, and subsequently took control of ICP by injecting Malaysia Rock Products Sdn Bhd into ICP for RM110 million. ICP, a market leader in pretensioned spun high-strength concrete piles in Southeast Asia, was taken private by IJM in 2008.

Source: The Edge Malaysia

https://theedgemalaysia.com/node/749032

[winston]

vested

Foundations Solid, Prospects Resilient

Prospects for IJM remain resilient with a robust pipeline of infrastructure and industrial contract flows.

DC tenders have also remained largely unshaken by the US’ AI chip restrictions earlier in the year.

However, we note that IJM will probably miss its FY25 replenishment target due to delays in key projects.

Nonetheless, current valuations present a compelling entry point. Maintain BUY and target price of RM3.00

Source: UOBKH

https://research.uobkayhian.com/content ... e=hs_email

[winston]

vested

4Q Results

Revenue: +2%; RM 1.8b
EPS: -58%; RM 129m; 3.68
Net Asset: 2.93

https://www.bursamalaysia.com/market_in ... id=3558013

[winston]

FY25: Core profit above our expectation

Maintain BUY with a MYR3.18 TP (-5%)

IJM’s FY25 core net profit was MYR528m, we est., 7% above of our forecast with the beat coming from better-than-expected construction profits in 4Q.

We however lower FY26/FY27E core net profit forecasts by 4%/2% as construction job wins in FY25 fell short.

Our RNAV-TP is trimmed by 5% to MYR3.18. BUY maintained; we continue to like IJM for its diversified base in construction, property, industry, port and toll roads.

Source: Maybank

https://mkefactsettd.maybank-ke.com/PDFS/462332.pdf

[winston]

vested

Stronger 4QFY25; aggressive FY26F targets

4QFY3/25 met expectations; construction turned in profit of RM41m.

IJM set aggressive new targets for FY26F — construction new wins: RM6bn8bn (vs. RM2.7bn in FY25) and property presales: RM2bn (+33% yoy).

Reiterate Add, tweak EPS estimates and lower SOP-based TP to RM3.61.

Source: CGS

https://rfs.cgsi.com/api/download?file= ... 7B6BD814E4

[winston]

vested

IJM Corporation (IJM MK) FY25: Results Beat; Aiming Higher In FY26

IJM’s FY25 results beat expectations.

The recognition of major construction milestones saw construction earnings pick up significantly during 4QFY25.

Otherwise, property sales softened due to delayed launches while infrastructure earnings declined due to lower throughput for tolls and ports.

Looking forward, higher replenishment and property sales targets in FY26 point to stronger earnings growth.

Maintain BUY with a higher target price of RM3.15.

Source: UOBKH

https://research.uobkayhian.com/content ... e=hs_email

[winston]

not vested

IJM Corporation (IJM MK) 1QFY26: Results Miss;

Positives Priced In

IJM missed expectations as weaker-than-expected property sales resulted in core net profits declining yoy.

Positively, construction earnings grew on improved construction activity while infrastructure earnings improved sequentially due to narrowing overseas losses.

Looking ahead, while the outlook for the construction segment remains a bright spot, we believe the positives have been largely reflected in the current share price.

Downgrade to HOLD with a lower target price of RM3.10.

Source: UOBKH

https://research.uobkayhian.com/content ... e=hs_email

[winston]

not vested

Large DC win further entrenching client base

IJM has won a large hyperscale DC project worth RM1.26bn, bringing YTD wins to RM4.2bn, on track to meet its RM6bn-8bn guidance for FY3/26F.

This adds to its growing DC portfolio, and we see it as a key share price catalyst.

Reiterate Add and TP of RM3.61.

Source: CGS

https://rfs.cgsi.com/api/download?file= ... 72ECCB1D36

[winston]

not vested

>MYR1.0b job win hattrick

Maintain BUY call and MYR3.18 SOTP-TP

After a couple of months delay, IJM has won a MYR1.26b data centre job win from Sime Darby Property.

This is IJM’s third >MYR1.0b job win this FY.

FYTD job wins and current outstanding book stand at MYR4.2b and MYR8.5b respectively, we estimate.

We maintain our earnings estimates, BUY call and MYR3.18 SOTP-TP.

This job win will go a long way to moderate the weaker-than-expected 1QFY3/26E property sales which accounted for only 9% of our FY3/26E estimate.

Source: Maybank

https://mkefactsettd.maybank-ke.com/PDFS/492287.pdf