Posted by sosfinance > 2020-06-01 14:54 | Report Abuse

Page 28 of Annual Report 2019, OCK towerco biz make about RM150m with EBITDA Margin of 75%. That means the EBITDA is RM113m, if they sell at multiple of 10x (market for large telco is 12.5x), it will be valued about RM1.13b for towerco alone. The market cap today 1 June 2020, only RM508m. The other biz is free, telco services, solar energy, engineering and trading.

Posted by benjajaj > 2020-06-01 15:26 | Report Abuse

Thanks Sosfinance

Posted by sosfinance > 2020-06-01 16:17 | Report Abuse

@benjajaj, OCK may be ripe for investment as they are unlocking their 4,200 towerco biz in two steps, first do placement for their towerco biz to strategic partner - to expand faster (likely Singapore private equity, as mentioned in RHB's report) and second, get it listed about one or two years post placement post expansion. And on top of that, they are riding on 5G (NFCP) implementation, takes about 4-5 years, not to mention their growing ownership of solar power.

Posted by benjajaj > 2020-06-01 16:23 | Report Abuse

@sosfinance oh thanks for the info, I'll read out on it, looks good

Posted by sosfinance > 2020-06-02 10:15 | Report Abuse

1) @benjajaj, welcome, towerco EBITDA is about RM110m, so the estimates valuation (10x EBITDA) for towerco alone to place out to strategic partner is about RM1.1 billion. (50% discount to OCK market cap of RM0.53 billion @ 3 June 2020).

2) Once strategic partner participate, say RM100m, or 10% of the towerco biz, towerco biz can further get loan from bank say, about RM200m (30:70). With RM300m, as mentioned by RHB analysts, OCK can expand in towerco more quickly, expand in Vietnam and increase towers in Myanmar and Malaysia.

3) With expansion, EBITDA will improve from to RM150m say in 2023 (in 2-3 years), and get it listed at EBITDA multiple of 12.5x, valuation of towerco is RM150m x 12.5 = RM1.9 billion. Strategic partner can then sell to the market/public at about RM190m (10%). Making a 90% return.

(estimates only)

Posted by buzzcock > 2020-06-02 12:38 | Report Abuse

I sold HLT with profit and moved to OCK. This counter for swing looks good. So far all the technology-related counters have given me a stable profit. Not too grand, but still gave my heartbeat relax ha-ha! LHT made my heart almost explode just now.

Posted by JohnLabuLabi > 2020-06-02 12:43 | Report Abuse

chart beautifully breakout at 0.58, the best time to accumulate! taking passenger now.

Posted by VLVL > 2020-06-02 13:58 | Report Abuse

Top shareholder holding 73 percent plus 10 percent sharebuy back. Sendiri calculate how much leftover shares in the market. This hidden gem might hit 80 cents soon

Posted by roger3210 > 2020-06-02 14:07 | Report Abuse

better hit n run, be careful of trap.

Posted by roger3210 > 2020-06-02 14:58 | Report Abuse

start dropping now after hit 0.59 R

Posted by kaycee > 2020-06-02 16:23 | Report Abuse

https://www.theedgemarkets.com/article/govt-awards-700-mhz-band-tm-celcom-digi-maxis-and-altel

is this the reason why it is up?

Posted by kanzaki123 > 2020-06-02 16:23 | Report Abuse

^ you run first

Posted by roger3210 > 2020-06-02 16:35 | Report Abuse

already ran at the highest, good luck to those still holding, from chart pattern it looks like double top. beware

Posted by buzzcock > 2020-06-02 16:58 | Report Abuse

It's too early to say it's a double top. have to wait within this week to see.

Posted by kaycee > 2020-06-02 17:41 | Report Abuse

when there is a sudden surge or volume after days of dropping, we should at least let it run its course for a few days. look at the candle stick

Posted by ladybird517 > 2020-06-02 18:51 | Report Abuse

Mid Long term still good.. mco doesnot affect much on its bizz.. 60sen+ anytime..

Posted by sosfinance > 2020-06-02 20:33 | Report Abuse

@kaycee, thanks for the surprising good news. Will be positive for OCK for new contract works. 2nd half will be better than last year (besides towerco and solar pv).

Past few years, capex was delayed by telcos due to uncertainties because of change of government and delay in award of 700Mhz band.

Telco & telco services theme soon? Let the glove sector take a rest.

Posted by Luckyman95 > 2020-06-02 23:43 | Report Abuse

Is ock OK now to in?

Posted by MAD0589 > 2020-06-03 08:01 | Report Abuse

what is the cut loss price?

Posted by roger3210 > 2020-06-03 09:16 | Report Abuse

gap up at 60c, but so fast 60c turn sell Q, be careful if the gap got filled n trn further down, tats the end of the game.

Posted by 123456 > 2020-06-03 09:40 | Report Abuse

Share ni mungkin akan naik kuat kuat kali ini

Posted by kanzaki123 > 2020-06-03 09:50 | Report Abuse

Possibility to fly, or kaput. 50-50 chance

Posted by kaycee > 2020-06-03 09:54 | Report Abuse

the upside is still promising. have to see the chart today to plan for tomorrow.

Posted by roger3210 > 2020-06-03 09:58 | Report Abuse

almost can confirm kaput later, see the super huge selling pressure there?

Posted by kaycee > 2020-06-03 10:08 | Report Abuse

it is normal for ppl to take profit first.

Posted by sosfinance > 2020-06-03 10:43 | Report Abuse

Telco services biz likely to benefit (award of 700Mhz band to telcos) as telco has to plan their capex which was delayed for past 2/3 years (see below link). OCK contracting biz dropped significantly in 2018/9 due to the delay implementations of 700Mhz. So, 2020 and 2021 will be a bumper year for contracting biz and its towerco biz growth.

https://www.thestar.com.my/business/business-news/2018/02/03/all-eyes-on-700mhz-spectrum

Posted by roger3210 > 2020-06-03 10:57 | Report Abuse

lol, below opening price, even below yesterday 0.59 support, gg.com

Posted by mrmeow > 2020-06-03 11:33 | Report Abuse

OCK Clients get projects
https://www.nfcp.my/Nfcp/media/Docs/NFCP-1_Award-and-commencement-of-project.pdf

Posted by roger3210 > 2020-06-03 11:34 | Report Abuse

from technical perspective, below 0.59 will be extremely bearish. you have been warned.

Posted by laychee > 2020-06-03 11:40 | Report Abuse

This is due to goreng. I saw one FB post a few days ago promoting this stock. I cannot find the post now. It is either deleted or moved to paid membership section.

Posted by mrmeow > 2020-06-03 12:03 | Report Abuse

Agree but outlook is legit tho, NFCP is confirmed benefit OCK, check the pdf above, OCK Clients get the projects ady. So price wise, still got room to go up, NFCP to OCK cannot be underestimated

Posted by sosfinance > 2020-06-03 13:12 | Report Abuse

February 2020 (extracts from www.nfcp.my)

NFCP 1: Award and Commencement of Project. [Details] [FAQ] - RM290m (I've read OCK has about RM60m contract)

RM3 Billion Allocated For The Rollout Of NFCP Initiatives Throughout 2020. [Press Rele

Posted by holyspirit > 2020-06-03 14:32 | Report Abuse

hi ...good afternoon everyone...i am new here

Posted by holyspirit > 2020-06-03 14:33 | Report Abuse

i have studied OCK and i think their share price is looking good, very positive and bright

Posted by holyspirit > 2020-06-03 14:39 | Report Abuse

Punters only fried glove counter but didn't pay much attention to others....yes, medical supplies and products are important but they forgot tech stock ...online studies and working are essential nowadays ...

Posted by roger3210 > 2020-06-03 15:07 | Report Abuse

game is over, selling pressure pilling up from no where.

Posted by kaycee > 2020-06-03 15:23 | Report Abuse

the upside is stiil intact. fret not

Posted by 123456 > 2020-06-03 16:00 | Report Abuse

Mco company ini x jejas,mungkin share ni akan naik

Posted by roger3210 > 2020-06-03 16:08 | Report Abuse

4pm already, ugly candlestick

Posted by sosfinance > 2020-06-03 16:21 | Report Abuse

@holyspirit, fundamentally its improving over time, last time (2016) is 30:70 (recurring income:contract income), next few years it is 70:30, and with contracting biz coming from NFCP/700Mhz, it will be 60:40. Chartwise, no clue. Growth wise, should be able to achieve double digits (estimating 15-20% conservatively)

Posted by kaycee > 2020-06-03 16:58 | Report Abuse

https://www.malaysiakini.com/news/528561

will this affect OCK tomorrow? hmm...

Posted by roger3210 > 2020-06-03 17:10 | Report Abuse

chart ored warn u in advance.

Posted by AndK > 2020-06-03 18:06 | Report Abuse

As long as the project is running, OCK will gain the benefit doesnt matter who is the winner of the project.

Posted by roger3210 > 2020-06-03 18:11 | Report Abuse

yup, but tomorrow it has to sink 1st :D

Posted by sosfinance > 2020-06-03 18:23 | Report Abuse

delay award spectrum, delay contracts. If NFCP revoked, there will be a negative effect, but OCK already announced the RM60m contracts for Phase 1.

Posted by holyspirit > 2020-06-03 22:37 | Report Abuse

@sosfinance : Thanks for your detailed report. appreciate

Posted by holyspirit > 2020-06-03 22:41 | Report Abuse

@AndK: Yes! indeed. OCK is by commissioning the service of telecommunication. So, who got the deal of 5G doesn't matter.

Posted by roger3210 > 2020-06-04 09:16 | Report Abuse

0.59 support broken ! so hard to break out yet so easy to break down. T2 force selling is on the way

Posted by Candlesticks > 2020-06-04 09:29 | Report Abuse

true. looks like it will drop further.

Posted by sosfinance > 2020-06-04 11:11 | Report Abuse

https://research.rhbtradesmart.com/attachments/21/rhb-report-my_telco_sector-update_20200604_rhb-806285418257499785ed7ecc1c15cf.pdf

RHB uses enlarged share capital (1.135b) to calculate the 65sen target price BUT without adding the warrant exercise (71 sen x 264 warrants) proceeds of RM187m). After including the proceeds, the adjusted TP is 81 sen