[%cYZZ%] 
Research by Maybank
Hold - TP RM1.15

"2Q headline profit watered down by one-off depreciation"

2Q24 core PATMI nearly doubled from a year ago on higher ASPs and lower cost, which offset weaker output. 2H24 earnings will likely be better HoH especially in 4Q on output recovery and lower cost. Following our earnings revisions, we upgrade TSH to a HOLD (from SELL) with a new TP of MYR1.15 on higher PER peg of 12x FY24E, -0.75SD of 5Y mean (from MYR1.00 on 11x PER). A slightly higher peg is warranted due to stabilised CPO price and its improving financials with net cash position forecasted by year-end. We prefer SOP MK (BUY, CP: MYR2.78, TP: MYR3.18).

Analyst:
Ong Chee Ting, CA
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$KLSE-TSH 
Research by Maybank
Hold - TP RM1.15

"2Q headline profit watered down by one-off depreciation"

2Q24 core PATMI nearly doubled from a year ago on higher ASPs and lower cost, which offset weaker output. 2H24 earnings will likely be better HoH especially in 4Q on output recovery and lower cost. Following our earnings revisions, we upgrade TSH to a HOLD (from SELL) with a new TP of MYR1.15 on higher PER peg of 12x FY24E, -0.75SD of 5Y mean (from MYR1.00 on 11x PER). A slightly higher peg is warranted due to stabilised CPO price and its improving financials with net cash position forecasted by year-end. We prefer SOP MK (BUY, CP: MYR2.78, TP: MYR3.18).

Analyst:
Ong Chee Ting, CA
ct.ong@maybank-ib.com