Tomei Cons a 'buy', says OSK Retail

OSK Retail Research has made a "buy" call on Tomei Consolidated Bhd with
a target price of 95 sen in view of the company's stable earnings
growth over the years.

In a research note today, OSK said Tomei
also has attractive projected financial year (FY) 2012 dividend yield of
7.1 per cent and undemanding valuation of less than three times FY2012
earnings forecast.

"The company has strong collaboration with
Parkson in the local market and will be tapping Parkson's regional
presence in Vietnam and China," it said.

To date, the gold and
jewellery retailer has 17 retail kiosks in Vietnam and China, which were
mainly located in Parkson shopping complexes, it said.

It said the group planned to open two outlets each in these countries.

"There
are 11 new stores in Tomei's outlet pipeline for the local market,
while it is expected to close down about three or four non-performing
outlets," OSK said.

At mid-day today, the stock was flat at 77 sen. -- Bernama