KUALA LUMPUR (Nov 28): CIMB IB Research has downgraded UOA Development Bhd to “Hold” at RM2.15 with a lower target price of RM2.35 (from RM2.84) and said the group’s 9MFY18 core net profit was below expectations due to weaker-than-expected revenue and gross margin.

In a note Nov 27, the research house said it hence cut its FY18-20F EPS estimates.

“9M18 new property sales came in higher at RM1.14 billion versus RM924 million in 9M17.

“We cut target price to RM2.35 on wider RNAV discount of 30%. We downgrade to Hold despite attractive dividend yield, given the uninspiring earnings outlook,” it said.