GUH - 3247 is a public listed company with business in Semiconductor segment (Printed Circuit Board), property development and waste water management. However, 90% of the revenue is contributed by the semiconductor (PCB) division.
The semiconductor segment continue to see good growth prospect as consumer electronics demands grow. The recent investment made by one of the largest PCB player in the world - SIMMTECH HOLDINGS CO LTD to invest in RM 508 million in Penang for a PCB plant had highlighted the potential of the growth in this sector.
As you can see, BSLCORP had risen greatly as the share price appreciate upwards on the prospect of the company which deal with semiconductors, PCB assemblies line.
As to date, at RM 2.20, BSLCORP commend a market capitalization of RM 216 million.
Another player - SCOPE also involved in PCB and plantation, had see market capitalization growing as share price see more interest
The market capitalization of SCOPE Industries Berhad is RM 403 million
After looking at the above 2 example, GUH could be seen as very undervalued at the current price of RM 0.47
The company had a NTA of RM 1.68. Balance sheet can be considered as fully impaired from the land and building issue arising from Suzhou, China.
The share price of GUH had not appreciated much, and it is still trading at the range of 50 cents after a series of sell down from weak market condition for the past 1 month.
At the current price, the market capitalization is only RM 132 million.
Moving forward, GUH will be seeing new factory at Yancheng, Jiangshu, China operating in full force for automotive electronics.
Aside from this, they will also be receiving cash proceed from the force disposal of land and building back to the China state government in Suzhou.
At the current price below RM 0.50, GUH is very attractive to invest for long term.
IMPORTANT NOTICE
Please be informed, I am not a professional or certified analyst. I am not a licensed consultant, just a normal retail investor. I am just sharing my ideas and opinion on the market outlook. Any company mentioned should not be interpreted as a buy/sell/trade call. Please do your own research and buy/sell/trade at your own risk.
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