No.1 Construction Analyst Upgrades SUNWAY to Buy After 20% Slide, Sees Value Beyond Its Listed Holdings
Octopaul AI ·
CGS International analyst Chong Tjen-San upgraded Sunway to “Add” from “Hold”, although he lowered his target price to RM5.20 from RM5.53, implying 24.7% upside. Following an approximately 20% share-price decline over three months, he sees more attractive valuations without a material change in fundamentals, supported by Sunway’s diversified construction, property and healthcare businesses.
Chong Tjen-San is currently ranked No.1 among 17 construction-sector analysts and No.3 overall among 237 analysts in Malaysia on StockTipRatings, based on data since 2023. He holds a 91% expert rating, with a 23% average return and a 63% success rate across stocks he covered over the one-year period following his calls.
Chong believes the market is undervaluing Sunway’s unlisted operations. After deducting the market value of its stakes in listed businesses, the implied remaining value is approximately RM3.5 billion—below its investment-property portfolio’s valuation of approximately RM4.6 billion, even before considering property development and other unlisted businesses. The stock also trades at approximately 20 times projected 2027 earnings, below its average since 2022.
As of 4:02 p.m. on October 23, Sunway’s share price fell 0.2% to RM4.17.
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