Cyber security business will the next future trend in malaysia as we can see more e commerce business coming up in Malaysia. Don't forget that many venture capitals oversea are interested with cyber security business. One more thing you need to take note is that EFFICEN been making loss since year 2016. We are expecting a turnaround from this company very soon as company is making their effort to venture into cyber security business. What you can get a big return is that find stock business that can turnaround. It will be a fruitful return from it. Just like previously our HBGLOB gain 200% from their result making loss to gain. You need to understand that you cannot wait something appear and out on the market and only decide to enter when see results. By that time will be too late as everyone see the same result like you. Did the same thing like you too.
Not to forget that this company related with ALIBABA. Only this company is directly related with ALIBABA the Tycoon JACK MA.
Singapore Post Ltd is the largest shareholder in Efficient E-Solutions with a stake of 20.8% stake. In turn, Alibaba Investment Ltd has a 14.41% stake in Singapore Post, making it the second largest shareholder.
In technical analysis view, EFFICEN traded from rm0.25.5 - rm0.27 currectly. Today volume started increased with momentum.
Technologies related stock still on strong momentum. Not to forget that this is one of the haven't move much from lowest 52weeks. Its time for this to see TP 0.35. Time will prove you guys when you have patience. Expecting tomorrow will have a strong rally. Possible to see a gap up 0.27 level and test 0.30.
This is a loss-making company with limited revenue. In FY18 the company only managed to record a revenue of RM3.6mil and a whopping loss of -RM7.6mil. Even after deducting all the one of expenses the core loses would still have been RM6.3mil.
I guess the appeal for this company comes from its balance sheet with net tangible asset of more than RM137mil (of which RM 52mil is in cash). However, at the current share price, the company is already trading at a PB of 1x. It would have been more appealing as an investment if the PB is a lot lower. The management decision to enter into the cyber security segment has yet to show any financial reward to shareholder. Investors need to be a bit patient for this business to develop. Till then, expect further quarterly losses in the near future.
MBMR is a direct proxy to Perodua via its 22.6% interest in the company. Valuation is cheap at only 6.4x PE based on FY18 profit of RM166mil. PB is low at only 0.7x BV.
FY19 should deliver another profit growth year to the company. Profit growth will again be driven by the performance of Perodua (via MBMR 22.6% holdings in Perodua) from the still strong sales of new Myvi, sales of SUV Aruz and the introduction of the newly revamp Alza sometime in the 2H19. Aruz which commands a higher margin compared to other models, will help improve the total profit margin of Perodua (which will flow to MBMR’s bottom line as well).
MBMR is expected to achieve a profit of RM200mil in 2019. At the current share price, the company is being valued at only 5.3x which is a lot lower than the industry average of 15x PE. As an example, UMW (another company with exposure to Perodua) is currently trading at a PE multiple of almost 20x.
Hey! Today, R-Table will be covering Efficient E-Solutions Berhad by presenting 10 years financial results in a short, fun & interesting way. Click the link below to watch the video.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
beeair2013
195 posts
Posted by beeair2013 > 2018-07-25 11:32 | Report Abuse
Waking up ?