MyEG / Wong Thean Soon

[winston]

not vested

MY E.G. Services
MOH project provides a healthy outlook

MOH appoints MyEG as online payment systems provider for Covid-19 test screening and quarantine management for returning travellers & foreigners.

We see multiple monetisation opportunities for MyEG from the Covid-19 test screening, mandatory quarantine and ‘meet and greet’ service.

We keep our earnings forecasts pending a conference call with management.

Reiterate Add with an unchanged RM1.96 TP, based on 24x P/E.

Source: CIMB

https://rfs.cgs-cimb.com/api/download?f ... 4374537298

[winston]

not vested

More healthy revenue streams post-Covid

We see the new MOH e-payment concession as a potential game changer for MyEG’s future earnings, offering an expansion into online travel services.

Our sensitivity analysis indicated a potential RM93m-120m contribution to MyEG’s FY21-22F revenue for every 1% market share of tourist arrivals.

We raise FY21-22F EPS by 7-10%. Reiterate Add, with a higher RM2.10 TP.

Source: CIMB

https://rfs.cgs-cimb.com/api/download?f ... FD85576356

[winston]

not vested

My EG Services (MYEG MK)
Official Launch Of MySafeTravel

MYEG has official launched MySafeTravel, a digital health pass system which eases the process of entering Malaysia’s borders amid the COVID-19 pandemic.

We envisionMYEG is now poised for a new leg of earnings growth, driven by a trifecta of new
revenue streams, including mandatory COVID-19 swab tests, commissions from private quarantine facilities and meet-and-greet services.

Maintain BUY and target price of RM2.12.

Source: UOBKH

https://research.uobkayhian.com/content ... 2935cab528

[winston]

not vested

My EG Services (MYEG MK)
Major Catalysts Have Emerged

Strong conversation under MySafeTravel’s Covid-19 swab test and quarantine services, the government’s just-announced foreign worker amnesty programme, a likely extension of MYEG’s tax incentive, and the potential travel bubble with China in Jan 21 are forming strong rerating catalysts for MYEG.

We understand that MySafeTravel is operating smoothly since its launch on 1 Nov with convincing volumes for its COVID-19 test and quarantine services.

Maintain BUY and target price of RM2.12.

Source: UOBKH

https://research.uobkayhian.com/content ... 190e375fae

[winston]

not vested

3Q20: Record-high Net Profit On Earnings Growth From Several New Initiatives

3Q20 core net profit rose yoy to RM70.8m on the back of:
a) good COVID-19 testing volumes;
b) resumption of matching services on the foreign worker redeployment programme; and
c) expansion of its e-government services to include driver’s licence, motorcycle road tax and insurance renewal.

MYEG should continue to deliver earnings growth, driven by MySafeTravel.

Maintain BUY. Target price: RM2.12.

Source: UOBKH

https://research.uobkayhian.com/content ... 7d878d298d

[winston]

not vested

MyEG gets three-year extension to provide e-govt services

by Tan Siew Mung

Electronic delivery of driver and vehicle registration, licensing and summons services, and utility bill payments (e-services).

Source: The Edge

https://www.theedgemarkets.com/article/ ... t-services

[winston]

not vested

Potential proxy for Covid-19 vaccine play?

MyEG has entered into a 3-year Covid-19 vaccine distribution contract with Zhifei Biopharmaceutical, which will also involve Phase 3 trials in Malaysia.

MyEG is also looking to secure Halal certification from JAKIM to increase vaccine acceptance, especially among the global Muslim population.

Reiterate Add with an unchanged RM2.50 TP, still based on 23x CY22F P/E.

Source: CIMB

https://rfs.cgs-cimb.com/api/download?f ... 66638E8A54

[winston]

not vested

My EG Services (MYEG MK)
Establishing Solid Grounds

Cushioned by resilient demand for MySafeTravel and foreign workers’ COVID-19 tests,
MYEG is poised to deliver significant qoq earnings lift.

MYEG will also indirectly benefit from the recently awarded NIISe project through its stake in S5 Systems.

Meanwhile, a likely extension of tax incentive status, potential approval to distribute saliva test kits in Singapore and emerging mega gains from the funding of China technology start-ups are forming strong catalysts for MYEG.

Maintain BUY and target price of RM2.65.

Source: UOBKH

https://research.uobkayhian.com/content ... 1bcd27d936

[winston]

not vested

Affin Hwang Research initiates coverage on MyEG as it expects the stock's valuation to rerate on strong earnings growth

by Tan Siew Mung

As MyEG launched a vast array of new products and services in 2020, he also expects some services such as Covid-19 screening, MySafeTravel, online grocery, renewal of motorcycle road tax, to contribute materially to the group's 2021 revenue.

TP: RM 2.70

Source: theedgemarkets.com

https://www.theedgemarkets.com/article/ ... ate-strong

[winston]

not vested

My EG Services (MYEG MK)
4Q20: Another Record-High Net Profit

MYEG’s 4Q20 core net profit was RM75.5m.

The yoy improvement was due to overwhelming COVID-19 testing volumes and foreign worker amnesty programmes.

Moving forward, MYEG will continue to deliver earnings growth driven by MySafeTravel
and the recently launched SafeQ.

The likely extension of a tax incentive status and emerging gains from China’s startup investments are also forming strong re-rating catalysts for MYEG.

Maintain BUY. Target price: RM2.65.

Source: UOBKH

https://research.uobkayhian.com/content ... 9ea61fa7bd