RHB raises Tambun Indah's fair value

RHB Research raised its fair value on shares of Tambun Indah Land Bhd to RM1.08 from 95 sen, saying the upside potential for the property developer’s real estate values in the northern state of Penang is substantial.

"Having more than 500 acres of land bank close to the Penang Second Bridge, Tambun Indah is expected to enjoy higher pricing for its products," the research house said in a note on Wednesday.

"This will translate to margin and revaluated net assets value expansion."

The research house said it continues to see value in the stock even though the company’s share price has appreciated by 33 per cent since it first issued a note in October last year.