99 Speed Mart Could Capture Growth Opportunities in Underserved Regions -- Market Talk

Dow Jones
08/19

0225 GMT - Growth opportunities for 99 Speed Mart Retail in underserved regions could drive store expansion and support a three-year earnings CAGR of 10%, RHB IB's Soong Wei Siang says in a note. Its domestic-focused and resilient earnings profile is viewed as attractive amid U.S. tariff policy uncertainties, the analyst says. The Malaysian minimart operator is also well-positioned to capture rising disposable incomes among lower-income groups and benefit from inflation-induced downtrading. Long-term growth is expected to be supported by strategies to expand its addressable market, including diversifying sourcing to enhance product offerings and developing a bulk sales platform to reach underserved customers, he adds. RHB raises its target price on the stock to MYR2.81 from MYR2.45 while maintaining a buy rating. Shares are unchanged at MYR2.50. (yingxian.wong@wsj.com)

 

(END) Dow Jones Newswires

August 18, 2025 22:25 ET (02:25 GMT)

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