RCE Capital likely eligible for Shariah status, says Maybank IB

KUALA LUMPUR: Maybank Investment Bank Research expects RCE Capital Bhd to be eligible for Shariah status in November 2021, which will potentially attract interest from more fund managers, which coupled with a relative resilient earnings outlook, will attract interest from more fund managers.

The research house, which has a "buy" call on the stock, raised its target price to RM2.78 from RM2.09 as it rolls forward our valuation base year to end-2021 from end-2020 and raise its target price-book value multiple to 1.2x from 1x previously.