Thursday, December 1, 2011

Jobstreet surges 16% in thin trade, amid cautious outlook

KUALA LUMPUR (Dec 1): Shares of Bhd surged nearly 16.2% to RM2.80'' in thin trade on Thursday, in line with the positive market, though analysts expected the fourth quarter to be lacklustre in terms of employment activities.

At 3.25pm, it was up 39 sen to RM2.80 with 1,000 shares done.

The FBM KLCI was up 16.63 points to 1,488.73, off the earlier high of 1,500. Turnover was 1.17 billion shares valued at RM1.25 billion. There were 517 gainers, 266 losers and 266 counters unchanged.

CIMB Equities Research, had in a mid-November report, said Jobstreet's nine-month core profit was 84% of its full-year estimate but 79% of consensus numbers.

It raised its earnings per share (EPS), which lifted its target price though it continued to apply a calendar year 2013 price-to-earnings of 15.4 times, 40% higher than peers.'' It maintained a neutral outlook due to stretched valuations and a tougher 2012.

'We expect a seasonally weaker 4Q as employment activities slow down towards year-end. Pricing is still under pressure and volumes have started to decline. Despite the tight labour market, sentiment remains negative and slower economic growth is the consensus view for 2012,' it said in its report.

No comments:

Post a Comment