BKAWAN: Value Stock That Market May Have Missed

Batu Kawan may be a stock that you never heard of, and yeah that's why the liquidity is low...
BUT there's something worth highlighting about the Company. These are quoted from Kenanga Research:

1. We view BKAWAN as a cheaper proxy to Kuala Lumpur Kepong (“KLK”) since BKAWAN’s 47%
stake in KLK is worth more than its own market capitalization.

2. It also trades at undemanding valuations of 8.5x FY11E PER vs. KLK’s 15.5x. We are expecting FY11E dividend yield of 5.9% and recommend a Sum-of-Parts fair value of RM19.38, implying total upside of 32.4%.

My view: Seriously, at the current market, it is hard to find Company with 5.9% dividend yield and trading at 8.5x PER only... But take note of the share low liquidity. So this stock is good for long term investor interested at dividend, rather than trading play...