Gamuda order book seen rising to RM37.2bil by July 2025
CIMB Securities Research said Gamuda is on track to meet its end-2025 target of RM40 billion to RM45 billion.
"More importantly, Gamuda's tender book momentum has not shown any signs of abating," it said in a note.
Apart from over-station development (OSD) opportunities in Australia, CIMB Securities noted that Gamuda aims to clinch at least RM7 billion worth of orders from six to seven data centres.
It said this related bid is within the next three months and is in contention to add another RM4 billion each from the Ulu Padas and Northern Perak water supply schemes.
Meanwhile, CIMB Securities said other high-profile bids include RM3 billion worth of order book top-ups from the Penang LRT, road contracts in East Malaysia, New Zealand's Northland Corridor Highway, Brisbane's Sunshine Coast Highway, an RM8.1 billion share of additional works from Taiwan's Xizhi Donghu MRT Line and a host of renewable energy projects in Australia.
Given its highly visible tender pipeline, the firm has raised its financial year 2026 (FY26) and FY27 new contract win targets for Gamuda by 10 per cent and 25 per cent, respectively, to RM22 billion and RM25 billion (from RM20 billion each).
Overall, CIMB Securities said with the increase to its new contract assumptions for Gamuda, the firm has raised its FY26 to FY28 net profit forecasts by 3–5 per cent and introduced FY28 earnings of RM2.1 billion.
Accordingly, the firm has maintained Buy on the stocks and lifted its target price (TP) to RM6.40 from RM5.50.
"Further net asset value upside comes from Gamuda's plans to build up a renewable energy portfolio of 500 megawatts or more," it added.
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