Blog: MASTER (7029) – Another paper packaging player

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4 comment(s). Last comment by milosh 2021-06-11 10:06

Trust

44 posts

Posted by Trust > 2021-06-09 09:19 | Report Abuse

I agreed as they are more in the high margin packaging for First Solar. Dividend is a bonus and capital appreciation to 1,90 might be possible based on the past.

milosh

377 posts

Posted by milosh > 2021-06-09 09:24 | Report Abuse

trust, exactly, but dont be shy with target price, it can be actually really more than that

GreenHorse

11 posts

Posted by GreenHorse > 2021-06-11 10:00 | Report Abuse

First solar malaysia has just exited ramp period. If everything runs smoothly no doubt they are able to earn RM50m per quarter based on their 2019 quarterly revenues. Withh NP margin of 8% they are able to earn EPS of 7 sens per quarter. Annualized it with a PE of 9 as mentioned by you then we can derived a fair value of RM 2.52 (>40% upside). A PE of 10 will derived a fair value of RM 2.80 (>50% upside)

milosh

377 posts

Posted by milosh > 2021-06-11 10:06 | Report Abuse

GreenHorse: thank you for addition info and your take on this one. I agree with you, I just prefer to be more on the downside with some margin of safety, that's why I prefer giving somehow discounted valuations. But yes, I think this company has a really good outlook if everything goes well...

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