Media Chinese's target price raised

Kenanga Research raised its target price for Chinese language media platform Media Chinese International to RM1.63 from RM1.33 based on an upward revision in earnings per share by the company.

The research house initiated coverage of the stock with an "outperform" rating and maintains the call due to Media Chinese’s leading position in the Malaysian Chinese media segment.

Media Chinese announced a special dividend of RM0.41 per share on Monday with a proposed capital reduction of RM700 million to finance the move.

“The generous special dividend is a pleasant surprise to us as well as the market given that the group tends to be conservative based on its historical financial track record,” Kenanga said in a note on Tuesday.

Shares in Media Chinese jumped 16.3 percent to RM1.57 on Tuesday, according to the Bursa Malaysia web site, outperforming the broader market’s 0.08 percent rise. -- Reuters

guess target reached at 1.65 today