Let's assume Revenue beaten at 68.9 mil. To beat the 9.7 mil. PBT, the current quarter gain from other income must beat 2.2 mil. To beat above preceding quarter revenue 68.9 mil looks challenging as automotive seen a slow down.
Mid point of 1 USD vs MYR: 2014 May ~ Jul: Midpoint 3.225 2015 May ~ Jul: Midpoint 3.705 ( appreciate ~15 percent compared to preceding period 2014) 2016 May ~ Jul: Midpoint 3.970 ( appreciate ~7 percent compared to preceding period 2015)
I think the below could be the possibility: It will be this week if the QR is fantastic. If they hold it longer that means QR is so so Result might be ugly if QR is on 24th onwards.
once QR maintain as last q..pe 15 may go..with higher expectation full year..image, if profit can sustain for 2 years....no joke...this company may worth 1 b ?
Anyone has any ideas on how the numbers will look this upcoming report? Last 3 corresponding quarters ('13, '14 & '15) saw revenue up slightly from 64+ to 68+ & 68+ million but net profit going from 4+ to 6.7m to over 10m in those 3 years.
at least i oredi realise the gain... if reported very good result, i can buy back even at higher cost... by looking at the previous quarterly result, last coresponding quarter is the strongest... i doubt whehter kesm can exceed that expectation. so i sell first
KUALA LUMPUR: Affin Hwang Capital Research has initiated coverage of KESM with a buy rating and target price of RM11 based on 12 times its calendarised 2017E EPS, for upside potential of 58%.
It said on Monday it sees solid growth prospects for KESM in the automotive space, where there is a strong working relationship with customers and expansion into the testing business. These should drive a three-year-forward earning sper share (EPS) compounded annual growth rate of 35%.
The research house also said the other factors were its hands-on and forward-looking management team.
Although valuation comparables are limited as competitors are mainly integrated device manufacturers (IDM), closest peer Trio-Tech in the US trades at a 14 times 2016E EPS.
“KESM also trades on average at a 56% discount to automotive-related IDMs’ 2016E PE of 20.7x. Thus, at a 2017E PER of eight times, valuation looks attractive. Our target price of RM11 (12 times calendarised 2017E EPS) offers 58% upside,” it said.
To recap, Affin Hwang Capital Research said KESM recorded a strong 2012-15 EPS CAGR of 32%.
“We believe the solid growth is sustainable, underpinned by focused growth in the automotive business and margin expansion from improved product mix and growth in the high-margin testing business.
“Hence, despite the 34% stock price outperformance ytd, we think valuations remain attractive and expect a continued PE re-rating,” it said.
The research house said KESM provides a good proxy to the stable and growing automotive semiconductor segment, in our view. With strong growing demand for electronics for vehicles, from safety to infotainment and autonomous vehicles, and it believes KESM is in the right segment to benefit from an automotive structural growth story.
“We see several re-rating catalysts for the stock, including a strong earnings upcycle and PE expansion, as awareness on the stock remains low and institutional holdings are limited,” it said.
Even if there's a big disappointment in the next qtr's result & the price plunges back to 6.80, Sunright's stake in KESM alone is worth well over 37c per Sunright share, which is over 20% higher than the latter's current price...
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....
陈炎
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Posted by 陈炎 > 2016-09-04 10:51 | Report Abuse
Singapore's