Ya...especially to a cash-rich fundamentally strong company sold-down for no apparent reason

Finally seen the bottom !!

MMS Ventures eyes Main Board transfer in 2H
By
Ben Shane Lim / The Edge Malaysia | March 29, 2017 : 5:00 PM MYT
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This article first appeared in The Edge Malaysia Weekly, on March 20 - 26, 2017.


AMID the rally in semiconductor stocks, MMS Ventures Bhd (MMSV) has largely gone unnoticed due to its listing on the ACE Market. Many large funds simply do not have the mandate to take positions in ACE Market stocks.

Even with a 27% rally in its share price over the past two weeks to 75 sen per share last Thursday, MMSV is valued at only 12.6 times earnings. In contrast, larger semiconductor stocks like Globetronics Technology Bhd and Inari Amertron Bhd are valued at 52.8 times earnings and 21.65 times earnings respectively.

But MMSV may soon shed its ACE Market discount.

“We hit the net profit requirement back in 2015. We only need three years cumulative net profit of RM20 million to qualify for a promotion to the Main Board. It is something that we are planning. If all goes well, we might be on the Main Board by the third or fourth quarter,” says chairman and managing director Sia Teik Keat, adding that the final decision lies with the Securities Commission Malaysia.

With a cumulative net profit of RM33.08 million over the past four years, MMSV should not have a hard time securing SC’s approval.

Furthermore, Sia expects MMSV’s 1H2017 net profit performance to further build a case for promotion to the Main Board.

“Barring any unforeseen circumstances, we anticipate that earnings will be at least 20% higher in the first half,” he says.

MMSV booked a 13.7% year-on-year increase in revenue to RM35.6 million for the financial year ended Dec 31, 2016. Meanwhile, net profits rose by 17.8% y-o-y in the same period to RM9.52 million.

A 20% increase in net profits for FY2017 would translate into an earnings per share of 7.1 sen. In turn, that values the company at only 10.5 times forward earnings.

Sia is able to speak confidently about earnings prospects because the project-based nature of the group’s core operations offers earnings visibility.

MMSV produces testing and inspection equipment for LEDs, specifically, for smart devices, the automotive industry and general lighting as well. The inspection equipment has to be ordered by LED manufacturers ahead of a new product cycle.

New features are expected in this year’s line-up of smartphones — expecially Apple’s 10th anniversary iPhone 8 — that will act as a catalyst for semiconductor companies such as MMSV.

This year, Sia says orders from new customers as well as MMSV’s diversification into wafer inspection equipment will drive earnings growth.

“We managed to secure some new clients for our visual inspection equipment this year. On top of that, our wafer inspection is still on a low base. We have only received orders for the first few units; we expect this segment to grow,” he explains.

Sia says MMSV diversified last year into inspection machines for the LEDs semiconductor wafers — thin slices of crystalline semiconductor material.

“The degree of difficulty for wafer inspection is much higher. It is a high value machine that commands higher margins. It also has less competition.”

The group’s venture into wafer inspection is a direct result of research and development investment over the years, he adds. For now, MMSV has secured two customers for the wafer inspection machines, but expects the business to grow because the platform for the machines is relatively universal.

The main driver of MMSV’s earnings however, will continue to be the visual and inspection equipment for LEDs.

“One of our key products are visual inspection machines to inspect lenses for the flash in smart devices. Our clients include the top four LED makers in the world,” says Sia.

Currently, the smart devices segment makes up about 40% of profits. Automotive makes up about 25% while 10% comes from general lighting.

Going ahead, however, Sia anticipates more sales in MMSV’s smart devices segment that will increase its contribution to profits to 55%.

“Our automotive segment has a lower volume, but much higher margins. This is because automakers have longer product cycles and tight tolerances for quality. Smart devices have much higher volume, because phone makers are constantly launching new products. However, it is also more competitive, so margins are a little lower,” he notes.

Sia claims MMSV’s technology is on a par with its Taiwanese peers. However, MMSV boasts a cost advantage, with a substantial portion denominated in ringgit. Meanwhile, the bulk of MMSV’s earnings are in US dollars.

“We have been doing this for about 20 years and have a strong pool of technical expertise. Japan, for example, is ahead of us. But they are more expensive as well,” he says.

Between higher profits and the possibility of a Main Board listing, MMSV will certainly be an interesting stock to wat

Why drop? Giving consistent dividends about 6% still drop. Everyone please stop selling

Whatever it is, this year is a difficult year for most stocks.

Thiis quarter's solar contribution dropped 7.1 million to only rm36,000 compared to last year's corresponding quarter.

Lack of sales and unfavourable foreign exchange.

(But next quarter may see slight improvement as USD is now 4.46 compared to last quarter around 4.0) anyway , sales for solar need to improve for tek seng to be hot stock like before

Posted by dragon1 > Nov 25, 2016 10:25 AM | Report Abuse

The person telling you or asking you to buy is the person who is selling to you.
If not, so hardworking keep telling you how good is the company.

If the person is so smart, he should have already explore this counter during the Rising time and not at this timing, calling for BUY CALL from 1.20.


Agree. This wahaha has been tricking people since the day of retrenchment news(end Sept)
He has been telling people to buy the falling knife since price started to fall from 1.20+

skyrider Agreed with you dragon1 !
---------------------------------------------------------------------------------------------------------------
dragon1 Kukubird- pleasd read my comments from day 1 since you check on my history.
I have been playing TS during the early booming and know it more you.
I think my comments given are so far good.

I think those who sell at apprx 1.2 will thanks me
Those who didnt buy since 1.20 will also thanks me :) if they happen to consider my comments seriously.
12/11/2016 08:
dragon1 skyrider - thanks for your acknowledgment.
13/11/2016 15:4

Yes...spot on

I have done my part and duty as a shareholder and informed due information to comrades here who are mostly minorities and unprotected.

For your info: i clarified this news and then, this bad-intentioned wahaha became unhappy , so attacked me and other well-meaning forummers for finding out the facts since September 27, 2016


Sharesa
34 posts
Posted by Sharesa > Sep 27, 2016 02:15 PM | Report Abuse X

Hi

This morning I called the TS solartech 04-5015544

I called to verify the news.
They speak in Mandarin.

I asked them whether the retrenchment news is true, yes they said.
I asked how many staff, about 200+, they said

I asked why? They said no sales....

So i sold all

(All this info was in this forum on 27 September 2016)

Just admit you have lost wahaha. You are an extreme coward to admit

Just admit you lost wahaha. You are a real coward

Are you plain idiot?

You are holding plenty of TS shares at a loss now. Your average price is around 1.20

If Monday i decide to buy , my buy price is only 0.955 . I beat you

I am a winner if its talking against you.

Because i have not spent a single cent to enter Tek seng yet. You got no more money left to buy...too bad for you dumbo.

Wahaha is losing a lot of money . He has been averaging down from 1..40 till now.
He has no more money to buy anymore

Stupid investor who does not know how to calculate.

Serves you wahaha right for losing money !!!

Just think deeply, price from 1.40 , suddenly drop to 1.1 level. Means something negative was there which only insiders know except public, that is people like us.

Gusheng, its not a fight.

It is to straighten out the facts with this moron "wahahaha."

One month ago, as there was a sudden news circulation about Tek Seng retrenchment,I called Tek Seng office Immediately to clarify with their staff whether they really had a retrenchment. The person in charge answered that , indeed a retrenchment was done due to "no new sales". And while on that day, price of Tek seng suddenly plunged from around 1.3 to 1.1 level.
So, upon hearing that news from the staff, i instantly sold all my holdings at 1.17 and then informed people here. From that day onwards, Tek Seng price has gone only South.

That is where this idiot wahaha came in and deny all and incite everybody.

Idiot wahaha...i sold at 1.17. Breakeven. I have cash in hand to buy, if i choose to enter.

Unlike you, already half-dead averaging down.

Ok? If you continue to argue and put up more excuses for yourself and talk-down on others , proves that you are worst than a moron

This moron and extreme idiot wahaha is frustrated with his life as he is holding Tek Seng at a huge loss. He has been averaging down since the price drop from 1.17 till today. A brainless person and stupid investor he is.

Wahaha..you are the BOdOH one bought since 1.17 and average down till today and you are holding at a loss

I sold at 1.17 and still deciding when to enter if i want to. I have not loss anything and have not spent a single cent yet

I get berserk on you wahaha because i have never seen anyone more dumb, childish , foolish and always in denial, than you

WahHa is the stupidest of stupids.

I Sold at 1.17 and if i decide to buy at around 0.90+,will be a gain.

Unlike you, buy since one month ago from 1.17 until today .... Until no more money to buy and holding at a loss.... Go and cry

hahhahahahaha i can understand ur frustration here. why bother to say u might re-enter into TS again? i told u that u are just plain dumb. if u sold urs at high and re-enter at so low, that is pure stupidity and u knew it. that is why u are so pissed off...


You really don't know what investing is about. No point discussing with pure FOOL like you here. The readers here will agree with me after reading these few posts. I don't want to drag my level down to your level. Period

sharesa, it's just stupid of what u did. i believe u still have interest in TS that is why u keep talking abt it. u should not hav sold but built positions at very low prices instead because u hav consider to re-enter. ur arit


I think the FOOL is you. I sold at 1.17 to you and now i can buy at any price when i see the price is justified. I also want to see how the next quarter is.

You are the biggest FOOL and sucker here

C'mon wahaha, i remembered your post you said you bought in a lot aroud 1.06/1.07 lah

C'mon wahaha, i remembered your post you said you bought in a lot aroud 1.06/1.07 lah

Ya... I know. I likes TS , so been investing since few years ago. But , we need to be flexible when investing. Market changes without us realising sometimes. As for TS's business...the reality is that the solar prices has decreased...as opposed to 1 year ago. And they are new kid on the block. They were doing pvc just before this solar thing

sharesa, u mentioned insincere and fake? plz check back during the extreme selling off 5 weeks ago, there were people or groups who absorbed those shares. humbly to admit that i'm one of buyers with all positions below 1.00 and i'm looking to increase my stakes when it drops to 0.90 if it can drop further. u can make great money by buying low and u need a lot of guts and patience. from the way u got panic as u claimed that u called to TS office to find out on the retrenchment, i believe u sold off yours on the open market. too bad for u.


Yes , i sold off that day , after i checked with TS office . The lady in charge said no new sales, so have to retrench staff. . Maybe you bought mine at 1.17 that day.

I made the right move..,,at least i do not need to average down daily like you.

I can now enter at anytime when i find the price already cheap enough

In the mean time, i enjoy the show

Deagon1 says:
I found this forum very joking. Will have a Promoter jumped out from no where to hard sell this counter at different time but always during down time. Needless to mention the name.
After a while, will change to another promoter.

Again, always during down time, ask u buy buy buy, give u confident. I will buy as much as u sell...but price is already 1.4 to 0.955.

are these people sincere? Really a contributor to the forum?


Sharesa reply:
They are not sincere. They are fake. Perhaps they bought 100 units only at each tick but claimed they bought tons. In fact, that person is holding at a huge loss right now. True fact

Contract at 40m. But what is the profit margin

When last 2 quarters TS did very well in report, both times the share price went up for a quick short one then deflate.

This already signals something . Something that the management and their cronies know but people like us do not know

Posted by wahahaha > Oct 31, 2016 06:40 AM | Report Abuse

hhahahhahaha idiot like smartInvestor1 is a loser keeps making imaginary profits in his head. i've accumulated a lot when the panic selling weeks ago and i got cheaper than Loh Kok Beng too. Why should i sell at all when my entry is lower than current price and climbing still? empty vessels sound the most. pity this dude hahahhahhahahaha



WAKE UP.... How can u compare your buying price with loh kok beng?
You think you bought than him at lower price recently. Do you know how much he owned n bought when price was below 0.50? Even recently if he buys at 1.20, his average is still much cheaper than most of us.....

Just wondering, yong tai was a loss making garment maker, its China partner , sino hangjin holdings ltd is a loss- making cushion- package maker. Both have no experience in property but they venture into such a large scale property business in melaka, is it viable? Do u think they can last till completion of the project?

Posted by smartInvestor1 > Sep 28, 2016 08:10 PM | Report Abuse

seriously loser wahaha must have bought a lot of 1unit stock. First he suffer loss from 1.29 gap down to 1.09 (-15.5%) Then he thought it is cheap enough to average down at 1.10 and today and further loss (-19%). We will expect he buy more 1 unit stock day after day because he got lot of bullets. Now we finally got the wahaha indicator on this counter.


Well said. I totally agree with u.

wahahaha is an empty barrel but makes the most noise

From 800 staffs reduced to around 500 staff, thats at least 30% down!

Hornbill, can post the article?

Posted by wahahaha > Sep 27, 2016 04:50 PM | Report Abuse

Sharesa, u can talk wat ever u want. No verification on ur part also. hahahaha anyway panic sellers wet their pants today but winners are those bought low and able to hold.

*wahaha, i have said i called TS Solartech 04-5015545 to speak to the staff in charge.
If you think this is a joke, is your loss. I wanted to make sure that i hear it from the people working in the company before i make my move.

Any shareholders here still in doubt, do call them directly. You can make a better decision this way

The woman told me no sales so could mean, for the next quarters' production is off

Why big boss stay quiet ?

I breakeven

Disappointed

They speak in Mandarin.

I asked them whether the retrenchment news is true, yes they said.
I asked how many staff, about 200+, they said

I asked why? They said no sales....

So i sold all

Hi

This morning I called the TS solartech 04-5015544

I called to verify the news

Test