DELEUM Analysis:-

Excel – http://1drv.ms/1Pu8OG9

Notes – http://tinyurl.com/nhnqj82

My View:-

• Valuation
  • Absolute EY%:
    • Trailing:
      • FY14 (EPS: 0.148) – 1.61 (Uncertainty Risk: LOW)
      • R4Q (EPS: 0.143) – 1.55 (Uncertainty Risk: LOW)
    • Forward:
      • FY15 (EPS: 0.161 ± 5%) – From 1.66 to 1.84 (Uncertainty Risk: LOW)
      • FY16 (EPS: 0.167 ± 5%) – From 1.72 to 1.90 (Uncertainty Risk: LOW)
    • EPS applied to reach the current stock price (1.01): 0.093
• Three months ago, valuation of DELEUM is not attractive. But now, after sell down near to 50%, DELEUM is now undervalued.
• 09 Mar 2015 – The RM3.8 billion order book provides long-term earnings visibility as the group’s lengthiest contract extends to 2023.
• The slump of brent crude oil futures is having an effect on the level of activities of the O&G producers and contractors in Malaysia. The slowdown in drilling activity and EOR initiatives could have a slight negative impact on Deleum’s slickline services and well enhancement chemical solutions business.

Latest Financial – Q2 2015 Financial Report (19 Aug 2015) http://www.bursamalaysia.com/market/listed-companies/company-announcements/4833745

At the time of writing, I did not own shares of DELEUM.

https://lcchong.wordpress.com/2015/08/24/deleum-fundamental-analysis-24-aug-2015/