Stimulus package are good prospects

Stimulus package are good prospects for South-East Asia continued for Yue resources, promote the good image


To stimulate the economy because of the prospect of supporting good, especially in the Southeast Asian countries, so Yue resources (AnnJoo, 6556, Bhd) continue to be analysts sing praises, was "short-term buy" rating.

Analysts pointed out that the company plans to blast the first half of 2010, will be completed in addition to the company to provide higher-quality steel, the can also reduce production costs and enhance profit margins.

"While we maintain our earnings forecasts and to assess, but we will at a reasonable price, from 3.09 ringgit per share, revised up to 3.50 ringgit, because we will be the benefits of these factors pushed to 2010 by year-end."

Preferred shares of Building Materials

The company's potential on the revised catalysts include: a high utilization rate and exports, as well as the ongoing blast furnace plans are designed to improve the company's earnings power.

As the company has the lowest PE ratio in 2010, and the highest three-year earnings per share 18% compound annual growth rate, therefore, continues to be the building materials in the field of securities firms are the preferred shares.