$CAPITALA (5099.MY)$ 🚀 Six years since Covid, CapitalA is ...
$CAPITALA (5099.MY)$ 🚀 Six years since Covid, CapitalA is embarking on a new chapter.
⚡ 1. The Financial "Clean-Up" (PN17 Exit)
* Capital Reduction: On Jan 22, 2026, the High Court approved an RM 5.5 billion capital reduction, effectively wiping out accumulated losses.
* PN17 Status: With the airline business moved to AirAsia X and the balance sheet reset, the company is expected to be officially lifted from PN17 status by late February 2026.
* Institutional Inflow: Once the PN17 tag is removed, many institutional funds that were restricted from buying the stock are expected to enter, triggering a significant "re-rating."
* PN17 Status: With the airline business moved to AirAsia X and the balance sheet reset, the company is expected to be officially lifted from PN17 status by late February 2026.
* Institutional Inflow: Once the PN17 tag is removed, many institutional funds that were restricted from buying the stock are expected to enter, triggering a significant "re-rating."
🧩 2. Sum-of-the-Parts (SOTP) Valuation: The Hidden Value
The market is currently valuing Capital A at roughly RM 2.5 billion, but the sum of its individual parts tells a different story:
* Teleport (Logistics): Recently valued at RM 2.1 billion ($500M) in a pre-IPO round. It handles 15% of SE Asia's cross-border e-commerce.
* ADE (Maintenance/MRO): A high-margin cash cow valued at RM 1.5 - 2.0 billion. It is expanding to 14+ hangar lines and servicing third-party airlines.
* AirAsia MOVE (Super App): Valued at RM 0.8 - 1.2 billion as a pure-play Online Travel Agency (OTA).
* Santan & IP: Valued at RM 0.3 billion.
* Intrinsic Total: ~RM 4.7 - 4.9 Billion.
* Conclusion: The stock is currently trading at a ~50% discount to its intrinsic value.
✈️ 3. Capital A vs. AirAsia X: Which to Pick?
The group has split into two distinct investment vehicles:
* Capital A: The Asset-Light Tech Play. High margins, tech-multiples, and low sensitivity to oil prices. Best for value-seekers looking for a "coiled spring" re-rating.
* AirAsia X (AAX): The Pure-Aviation Play. High growth, high scale, but high sensitivity to fuel prices and currency. Best for those betting on the tourism boom.
📈 4. 2026 Target Prices & Sentiment
* Analyst Consensus Target: RM 1.05 (current price ~RM 0.59).
* Bull Case: RM 1.70 (if Teleport IPO is fast-tracked).
* Sentiment: Most major houses (RHB, Maybank, Kenanga) remain Bullish, citing the "clean" balance sheet as the primary catalyst.
📅 5. Key Milestones to Watch
* Feb 2026: Official PN17 upliftment announcement from Bursa Malaysia.
* Feb 26, 2026: 4Q2025 Earnings (First look at the "Aviation-free" financial results).
* Late 2026: Potential Teleport IPO preparations to unlock further shareholder value.
* Feb 26, 2026: 4Q2025 Earnings (First look at the "Aviation-free" financial results).
* Late 2026: Potential Teleport IPO preparations to unlock further shareholder value.
> Bottom ** for Investors: Capital A is no longer an airline stock—it's a logistics and engineering powerhouse trading at a deep discount because of its legacy PN17 baggage. As the "baggage" is dropped in Feb 2026, the gap between the RM 0.59 price and the RM 1.00+ intrinsic value is expected to close.
Also, dividen is expected to be resumed ASAP.
Disclaimer: Community is offered by Moomoo Technologies Inc. and is for educational purposes only.
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A village boy from Sibu, Sarawak, all in or go home.
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Cool_Running : That intrinsic Value is how ur boss tell you the company is earning, but u only get peanut for bonus. Until .... he could deliver a gold bar to you. who knows
大家齐齐发 : Will the virus in India affect the price of AirAsia?
Green Astronaut OP : Nipah virus is locallised outbreak at a hospital in Barasat and also Nipah virus is not aiborne like Covid-19. It should not affect AAX or CapitalA, minimal impact on regional travel demand.
Also, many countries started to do thermal screening for arrivals from India.