At 3.38pm, it was up 26 sen to RM7.31. There were 1.72 million shares done at prices ranging from RM7.04 to RM7.37. Its recent high was RM7.46 on Oct 7.
The FBM KLCI was up 2.64 points or 0.15% to 1,821.50. Turnover was 1.74 billion shares valued at RM1.23bil. There were 550 gainers, 227 losers and 267 counters unchanged.
It said MAHB had stated it was reconsidering its long-held objective of defending its AAA credit rating status.
CIMB Research viewed the latest development as positive because it means that there will be less dilution from the issue of new ordinary shares, and the overall weighted average cost of capital (WACC)
can be lower.
(WACC is the rate that a company is expected to pay on average to all its security holders to finance its assets.)
“We maintain Hold rating and our discounted cashflow based target price of RM7.20,” it said.
CIMB Research said the downside risk to the share price is limited, but weak traffic growth and KLIA2-related costs are likely to lead to uninspiring results in the coming quarters.