Update shared on 22 Nov 2025
Fair value Increased 1.34%KLCC Property Holdings Berhad's analyst price target has been raised from RM8.83 to RM8.95, as analysts cite slightly stronger revenue growth expectations and a lower discount rate. This is partially offset by a marginal decrease in forecast profit margins.
Analyst Commentary
Following the adjustment in target price for KLCC Property Holdings Berhad, analysts have provided additional perspectives on the company’s outlook. Their comments reflect both optimism about recent improvements and caution regarding persistent challenges.
Bullish Takeaways
- Bullish analysts highlight slightly stronger revenue growth projections, which have contributed to a higher valuation target.
- The lower discount rate applied in recent models signals increased confidence in the company’s stability and future cash flows.
- Ongoing resilience in core business lines is cited as a driver for continued healthy occupancy and tenant retention.
- Consistent execution of operational strategies is viewed as supportive of long-term asset value and steady income streams.
Bearish Takeaways
- A marginal decrease in forecast profit margins gives some analysts pause, especially amidst rising operating costs in the sector.
- Bears voice concern regarding the sensitivity of valuation to macroeconomic changes and fluctuations in the property market.
- There is caution about potential headwinds if revenue growth does not materially exceed expectations in subsequent quarters.
- Some analysts note that improvements in rental yields remain gradual, which could limit near-term upside in share price.
What's in the News
- KLCC Property Holdings Berhad has appointed Encik Ahmad Hakimi bin Muhammad Radzi as Chief Financial Officer, effective 1 November 2025. He will succeed Encik Rohizal bin Kadir, who will be reassigned within the Group (Key Developments).
- The Board has announced a Second Interim Dividend of 1.96 sen per ordinary share for the financial year ending 31 December 2025. The dividend will be payable on 30 September 2025 to eligible shareholders (Key Developments).
Valuation Changes
- Consensus Analyst Price Target has risen slightly from MYR 8.83 to MYR 8.95 per share.
- The Discount Rate has declined from 8.82% to 8.56%, reflecting a modest reduction in risk premium.
- The expectation for Revenue Growth has increased from 3.15% to 3.24%.
- Net Profit Margin is now forecasted at 45.75%, down from the previous estimate of 46.62%.
- The Future P/E Ratio has risen modestly from 23.34x to 23.90x.
Disclaimer
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