4 companies caught my eye in this round of quarterly results release. They are BIG, PROTASCO, SCICOM and CUSCAPI.

Cuscapi caught my eye not only from their profits but also what they mentioned in their prospects.

To understand more about e-invoice, read this article:

https://www.nst.com.my/business/economy/2024/11/1130267/e-invoice-adoption-rate-set-rapid-growth-driven-regulatory-changes

The article mentions this:

In short, millions of businesses in Malaysia will soon have to use e-invoicing systems and Cuscapi's profits are likely to boom.

How to value Cuscapi?

By annualising Cuscapi's latest quarterly profit of RM4.88 million and using the 17x PE that IFCA MSC is trading at, Cuscapi is valued at RM0.35. This was the price that Cuscapi was trading at about 6 months ago. This RM0.35 target price is very conservative given that Cuscapi's quarterly profits are likely to boom beyond the RM4.88 million that they reported this quarter. At current share price of RM0.195, Cuscapi is grossly undervalued. It is a matter of time before the share price increases.