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Research by Maybank
HOLD – TP RM5.86

"2Q24: Results inline”

MBM's 1H24 results were in line, meeting 49%/54% of ours/consensus fullyear estimates. We maintain our forecasts but raise our TP by 25% to MYR5.86 (based on 7.5x FY25E EPS, +1SD to 5Y mean, vs. 6x (mean) previously). Perodua (P2) sales remain strong after two consecutive record years, with a 17% YoY growth in 1H24 and a sustained huge backlog of c.100k units. We believe P2 is on track for another record year. Our +1SD valuation peg reflects MBM’s upside potential as a proxy to the OEM, given its 3-tier exposure as a shareholder, dealer, and auto parts supplier. Maintain HOLD on balanced risk-reward.    

Analyst:
Loh Yan Jin
[%nSvB%]

$KLSE-MBMR
Research by Maybank
HOLD – TP RM5.86

"2Q24: Results inline”

MBM's 1H24 results were in line, meeting 49%/54% of ours/consensus fullyear estimates. We maintain our forecasts but raise our TP by 25% to MYR5.86 (based on 7.5x FY25E EPS, +1SD to 5Y mean, vs. 6x (mean) previously). Perodua (P2) sales remain strong after two consecutive record years, with a 17% YoY growth in 1H24 and a sustained huge backlog of c.100k units. We believe P2 is on track for another record year. Our +1SD valuation peg reflects MBM’s upside potential as a proxy to the OEM, given its 3-tier exposure as a shareholder, dealer, and auto parts supplier. Maintain HOLD on balanced risk-reward.    

Analyst:
Loh Yan Jin
lohyanjin.loh@maybank-ib.com