SkyWorld's share price weakness offers buying opportunity
KUALA LUMPUR: SkyWorld Development Bhd's recent share price slump presents an exceptional buying opportunity as its fundamentals remain intact and earnings are poised for a strong recovery, according to Hong Leong Investment Bank (HLIB).
SkyWorld Development Bhd's recent share price decline to 34 sen, down 30.3% year-to-date, has presented an opportunity for investors according to Hong Leong Investment Bank (HLIB). HLIB maintains a Buy rating on the stock with an unchanged target price of 90 sen, attributing the decline to potential fund-specific considerations or lack of buyers rather than any deterioration in the company's fundamentals.
The investment bank highlighted that SkyWorld's prospects are at their strongest since listing, citing strong fundamentals, a new growth driver in Penang, and record-high unbilled sales. HLIB expects earnings to strengthen in the second quarter, driven by higher recognition of completed unit sales and increased progress billings, with a projected three-year earnings compound annual growth rate of 82.6% from FY26 to FY29.
Brief written by urgent.news from New Straits Times's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
