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Research by RHB
Buy (Maintained) – TP RM29.60

“A Solid Start To FY24F; Stay BUY"

Stay BUY and MYR29.60 TP, 25% upside and c.6% yield. Heineken Malaysia’s 1Q24 results were broadly in line, underpinned by robust festive demand. The premiumisation strategy and price increase are likely to support profit margin, thereby offering earnings visibility notwithstanding subdued consumer sentiment on the back of heightened inflationary pressures. With that, we believe its current valuation is undemanding, considering the diminished regulatory risks with the political stability and generous dividend payout.

Analyst:
Soong Wei Siang 
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$KLSE-HEIM
Research by RHB
Buy (Maintained) – TP RM29.60

“A Solid Start To FY24F; Stay BUY"

Stay BUY and MYR29.60 TP, 25% upside and c.6% yield. Heineken Malaysia’s 1Q24 results were broadly in line, underpinned by robust festive demand. The premiumisation strategy and price increase are likely to support profit margin, thereby offering earnings visibility notwithstanding subdued consumer sentiment on the back of heightened inflationary pressures. With that, we believe its current valuation is undemanding, considering the diminished regulatory risks with the political stability and generous dividend payout.

Analyst:
Soong Wei Siang 
soong.wei.siang@rhbgroup.com