Posted by Choivo Capital > 2019-01-02 18:49 | Report Abuse

Very interesting portfolio.

Uchitec is a company i've been looking for a very very long time. But i just cant seem to obtain the understanding i need to know why its such an amazing company and will remain so for a long time.

Posted by L2 > 2019-01-02 22:03 | Report Abuse

Other than some steady, eye-catchy NPM and ROE, this is a rather predictable company with believable commentary and reporting over the years. Some degree of certainty and integrity about it for easier financial and strategic valuation. I don't profess to know the intricate, presumably proprietary, tech in their ODM since little noteworthy has been published, understandably. They have a new product to get to market and to risk-diversify as well as expand across the Atlantic. Having long walked the talk, and being more shareholder-friendly than most, that seems good enough and certainly a better cut above weedy types. HLIB's 26Nov2018 fair value is decent per my own calcs.

Posted by L2 > 2019-01-02 22:10 | Report Abuse

Correction, HLIB should read Affin Hwang.

Posted by Choivo Capital > 2019-01-05 00:15 | Report Abuse

I agree. You thinking is similar to mine. I read the annual reports since IPO of the company.

Very very good management. They understand ROIC very very well. Dont waste money on stupid investments.

Posted by L2 > 2019-01-05 18:25 | Report Abuse

Some of their metrics such as EV/EBIT(DA) and PEG are nothing to write home about but their perennially strong FCF margin and ROC (NOPAT/TangibleCapitalEmployed, my variant) are both important indicators of quality management.

Posted by Choivo Capital > 2019-03-11 01:04 | Report Abuse

I wonder if the success of proton is spilling over to APM and PECCA anot, or is it a one off.

Posted by L2 > 2019-03-12 08:51 | Report Abuse

A growing contribution is likelier than a one-off IF that carmaker's claims are on track for dom and export markets.. Being a steady Toyota/Perodua supplier has some cred.