[%xYFu%] 
Research by MPlus
Buy – TP of MYR 3.40

“Recovery In Sight” 

Upgrade to Buy, with unchanged TP of RM3.40 as the share price has retraced from RM3.38 range towards the recent low point of RM2.48. Our TP is based on an assigned P/E of 15.0x pegged to its FY24f EPS of 22.7 sen. The 15x P/E is justified at a ~30% discount to its 5Y average P/E 21.4x as we are in a commodity upcycle phase with rising investments in the EV, solar and E&E and the recent China recovery. The ongoing supply constraints of tin ore in Indonesia and Myanmar and the highly correlated MSC price with tin price despite earnings volatility may drive the P/E elevated going forward.

Analyst(s):
Loui Low
[%yYIj%]

$KLSE-MSC 
Research by MPlus
Buy – TP of MYR 3.40

“Recovery In Sight” 

Upgrade to Buy, with unchanged TP of RM3.40 as the share price has retraced from RM3.38 range towards the recent low point of RM2.48. Our TP is based on an assigned P/E of 15.0x pegged to its FY24f EPS of 22.7 sen. The 15x P/E is justified at a ~30% discount to its 5Y average P/E 21.4x as we are in a commodity upcycle phase with rising investments in the EV, solar and E&E and the recent China recovery. The ongoing supply constraints of tin ore in Indonesia and Myanmar and the highly correlated MSC price with tin price despite earnings volatility may drive the P/E elevated going forward.

Analyst(s):
Loui Low
louilow@msec.com.my

$MSC / 5916 (MALAYSIA SMELTING CORPORATION BERHAD)