KUALA LUMPUR: Maxis Bhd ended its first trading day at RM5.42, or 42 sen above its institutional price of RM5 on Thursday, Nov 19.

For retail investors, it was a 67 sen gain as the retail subscription price was RM4.75. Maxis was the most active counter with 305.78 million shares done, accounting for 22.6% of the total trading volume of 1.35 billion units.

The 30-stock FBM KLCI, in which Maxis would be included from Friday, closed 1.55 points higher at 1,276.65. Turnover was 1.35 billion shares valued at RM2.68. The broader market showed signs of caution with 238 gainers and 457 losers.

Analysts had said  earlier that Maxis' shares have little upside due to the sector's steep valuations and sluggish growth prospects.

Kenanga Investment Research accorded a fair value of RM5.50 for the shares. The research house said its discounted cashflow value of RM5.50 implied a FY2010F multiple of 16.8 times and a yield of 4.7%.

OSK Investment Research valued Maxis at an equity value of RM39.8 billion to RM43.5 billion, implying a fair value of RM5.30 to RM5.80 per share.

"The valuation translates into 14.8 times to 16.2 times CY2010 earnings per share, and is supported by our discounted cashflow target of RM5.80," it said.