MAYBANK STOCK REVISITED

Maybank stock code 1155
Price RM7.55
12 Months high 7.650  (08-Mar-10)
12 Months low 3.820  (08-Apr-09)

Maybank covered in this blog before when its' still within a range bound  of RM6.60 - RM7.05. Read it: Maybank- stock code 1155 
Mentioned on that post:
"It's buy on rebound near support (6.60) if that what you are looking for, with a couple of weeks  holding period allowance."

Yes, it fell to RM6.60 and rebounded and staged RM7.05 level breakout. After rebounded, it  took several weeks to go as high as RM7.65.

Maybank is a index-linked heavyweight counter, looking at the chart it can be categorized as a momentum stock not different from FBM KLCI trend. Breakout signal and 'trend is your friend' adage are good ones to apply with this stock.

Right now it need a breakout form recent high as a signal new fresh buying. Which I think that come soon especially with:
1. Its latest development,
2.Recent research house revised target price. For example Hwang DBS Vickers revised Maybank target price to RM9.00.  (more research houses are expected to revised its target) 
3. Last but not least, CIMB has moved very far which made Maybank as the next likely KLCI heavyweight stock candidate to be pushed.
4.Maybank is a laggard with low foreign shareholding (11%) vs. CIMB (40%) and Public Bank (26%).  (data by HDBS Vickers)

Below: Maybank Daily chart (click to enlarge)

MAYBANK CONSENSUS RECOMENDATIONS ANALYSIS  - source:  REUTERS 

Check other data : thestarbiz maybank

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Maybank 1155

Maybank stock code 1155
Last price :RM6.77    52-wk High  RM7.08            52-wk Low   RM3.50

A friend of mine who is still holding Maybank shares under ESOS keep on asking what I think of Maybank shares.  I ask him back what he think of  KLCI? I keep telling him that Maybank is a FBM KLCI heavyweight, it moves just like KLCI movement. Maybank already moved up a lot since Feb 08 and now seem sluggish (could be due to holiday season) just like the composite index. Currently, Maybank, in-synced  with KLCI, just move within a small range-bound. Since the main active trader is EPF (so are with most other index-linked counters), I will say it much depend  a lot what EPF going to do with Maybank. EPF still  buy and sell 'rinse and repeat' activities is there. As a blue chips, it is well supported and no major correction (yet) seen coming.

Maybank itself is not currently a star among the banking stocks compared to CIMB or Public bank. Also, we have like RHB and EONcap's MA events that are stealing the spotlights. The purchases of oversea banks 'profitability' can only be seen in the long run. According to ECMlibra, Maybank will finally allay sceptics’ concerns when it continues reporting strong quarterly profits going forward.

Above: Maybank daily chart (click for full view)

Technically, it within a range bound  of RM6.60 - RM7.05 .More of sideway pattern within this range expected. Technical indicator MACD, stochastic, RSI also suggest the same. No sign of going to breakout from this range bound either way yet especially it's into a narrower range within.  For a longer term outlook, a breakout or breakdown signal is needed first to decide.

Nevertheless, Maybank is still potential for short-term trades. With that range-bound, there still a potential gain of 20 to 40cts. It's buy on rebound near support (6.60) if that what you are looking for with a couple of weeks  holding period allowance.

For me I think its better to buy on breakout of 7.05 rather on dip. That should have much better potential. Other way is to wait for a meaningful correction.

Below is consensus recommmendations summary from bloomberg:

Consensus Recommendations
Consensus Recommendation       Company Fiscal Year End Month    Last Updated
Hold                                           June                                          22 Dec 2009   

Analyst Recommendations and Revisions

1-5 Linear Scale       Current    1 Month Ago    2 Month Ago    3 Month Ago
(1) BUY                                2                    2                         1                        1      
(2) OUTPERFORM           2                   2                          1                        1      
(3) HOLD                            10                 10                       8                        8      
(4) UNDERPERFORM     6                   6                         8                        8      
(5) SELL                              2                    2                         2                       2      
No Opinion                        0                   0                         0                      0
Mean Rating                3.18                3.18                   3.45               3.45

check mayban price : thestar

below: Mayban weekly chart (click to enlarge)

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