PROPERTY
$IOIPG / 5249 (IOI PROPERTIES GROUP BERHAD) $SIMEPROP / 5288 (SIME DARBY PROPERTY BERHAD) $IBRACO / 5084 (IBRACO BERHAD)
Research by TA
Overweight

“Sky High Prospects ”

This report dives into the exciting rise of developers’ share prices, showing why this surge is more than just a fleeting trend but rather a golden opportunity worth accumulating. The Malaysian property sector is poised for a period of significant growth, driven by the end of the BNM's interest rate hike cycle, major infrastructure projects, the establishment of special financial hubs and economic zones, and homeowner-friendly policies. In addition, the burgeoning Data Centre thematic play, which was absent during the 2013 upcycle, is now a significant growth driver. The property market is not only riding a wave of positive news but is also backed by solid fundamentals and growth prospects. Despite the sector’s current valuation being above the long-term average, the strong economic fundamentals and new growth drivers provide a compelling case for continued upward momentum. Maintain Overweight. Top Buy Picks are IOIPG, SIMEPROP and IBRACO.

Analyst(s):
Thiam Chiann Wen
cwthiam@ta.com.my