[Audio] Genting Berhad: The Widest Discount in its History, with Potential Catalysts Ahead for Value Recovery

Disclaimer: This article is in no way financial advice, nor solicitation to buy or sell shares in this company. It is purely for educational purposes only. You are highly recommended to conduct all necessary due diligence and make your own informed decisions before making any financial decisions. The writer already owns shares in this company and may at any point in time increase or reduce their position without prior notice. Do not try to copy trade!

When people think of Genting, what typically comes to mind is Genting Casino and Resorts World Genting hotel attached to the casino. While it is true that Genting derives the majority of their revenue from the gambling business, their other segments are quite big too.

Separately, Genting also has a wide geographical footprint, with business operations all around the world.

Since the 2018 gambling tax hike, GENTING had started facing headwinds after headwinds and carried out questionable corporate actions causing its share price to continue to slide down, from a high of over RM10 per share to below RM3 today. These prices are about as low as the pandemic panic crash prices back in April 2020.

The COVID pandemic severely affected Genting’s operations, causing them to fall into losses. However, recent years show that they are in the process of recovery.

In this article, let’s briefly explore Genting’s various businesses, analyze the valuation mismatches, and, more interestingly, look at some potential positive developments that could help rerate the company back to its average valuations.

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