Their last quarter results stated that their US customer has already transferred their broaching machines to the company and also 20 CNC machines have already been installed to cater for new business in military and aerospace. Military and aerospace businesses have very big profit margins and are difficult to pre-qualify.The prospects of Techfast are fantastic.
Just small net profit of RM1.348 mil for the Qtr 3 (YTD RM3.17 mil ) giving an EPS of 0.59 Sen and (YTD EPS of 1.39.) I project the EPS for FY 2017 to be 1.92, share price at 79.5, it is trading at PE 41.4
If I assume, FY 2018 EPS forcast is with 30% growth, 0.59X4X130%= 3.068 Sen, then Techfast is trading at a forward PE of 25.9, with assumption of 30% growth in EPS using Q3 as a base.
Valuation is still high in this bearish market. I would not buy the share. Take you profit when market open or cut your losses
No change in the company's fundamentals. They are commissioning their 27 new CNC machines and some broaching machines sent by its US customer by this month end to manufacture specialised precision parts for the military and aerospace industry. Next year's profits will be very good.
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....
samsambank
588 posts
Posted by samsambank > 2017-10-23 15:45 | Report Abuse
KESM is super cheap now! Semiconductor stoc