http://www.stockhut.com.my/news/142996

https://m.facebook.com/BusyWeekly/posts/1319004694776441:0

Be patient

https://www.facebook.com/rhresearch/posts/1332487583429524:0

VIVOCOM - 进一步下跌，外界普遍不看好

近日，本专页在i3部落格看到非常多关于VIVOCOM的负面消息，但是对于他们的看法有些不赞同。

第一，外界强调之前的IPOWER、INSTACOM到今时今日的VIVOCOM都是属于同一类型，虚张声势的股票。无可否认，IPOWER在2008年的预料之外亏钱令很多股民欲哭无泪。但是，VIVOCOM目前的跌势并不能把这2者归类在一起。VIVOCOM还不曾在任何一个季度遭遇亏损。必须强调，IPOWER和VIVOCOM的董事，甚至是大股东也完全不一样。

至于INSTACOM和VIVOCOM，两者的董事几乎都是一样，但是业务却加入了早前收购的78.6%【NEATA】集团，建筑和铝业。VIVOCOM，无论是建筑或者铝业，每一个超过RM5m的新订单都得发布在交易所。只要大家浏览交易所的通告，就可了解VIVOCOM的盈利透明度。

此外，VIVOCOM也是中国铁建【CRCC】的本地项目交付合作伙伴，密切的关系确保VIVOCOM长期可从【CRCC】手中获得订单。值得一提，CRCC在《财富》杂志全球500强企业中名列80。之前的INSTACOM并未在交易所透露太多资料，了解程度有限。因此，IPOWER、INSTACOM和VIVOCOM不能相提并论。

第二，外界强调CIMB投行甚至是VIVOCOM管理层所提供的新订单额有灌水的可能性。根据【CIMB】2016年9月的报告，VIVOCOM今年所获得的新订单达到RM2.9b。对于这个数据，本专页浏览了VIVOCOM的每一个订单通告，并得到了答案。这RM2.9b的数据确实是存在，但是却包含了还没真正落实的合约。

在2016年9月，VIVOCOM被委任为一项发展总值约RM600m公寓计划的统筹承包商，但是合约总值并未透露，仍需等待双方签署最终合约。在还未落实的情况下，CIMB投行把RM600m纳入进新订单。这个举动的确有误导的成分，但VIVOCOM被委任为统筹承包商却已是个事实，只是发展成本还未敲定。

另一个则是霹雳【BANDAR TASIK AMANJAYA】的项目。根据合约，VIVOCOM将全权负责首阶段兴建工程，并有权选择是否承接其他3个阶段工程合约。每阶段工程总值RM189.5m，并可同时进行。然而，外界只是纳入首阶段工程的RM189.5m，而忽略了其他3个阶段工程的总值。基本上，VIVOCOM已经获得整个项目的合约，加起来的工程总值应该是RM758m，而不是RM189.5m。这2个数据相差RM568m，是个非常大的差别，只能说批评者并未仔细了解合约的内容，

第三，外界看跌VIVOCOM即将发布的业绩，并认为最多只是和上季度扯平。在FY16Q3期间 (2016年7月至9月) ，VIVOCOM除了获得以上【BANDAR TASIK AMANJAYA】总值RM758m的合约，还获得另一项价值RM100m的合约。本专页认为这2项合约可为VIVOCOM带来一小部分的贡献，但是当中还有很多表面看不到的变数。本专页所带出来的讯息是VIVOCOM的FY16Q3业绩仍然还有看头，值得期待。

VIVOCOM在2016年的业绩快速增长，的确令人有些担忧。它的FY16Q1盈利比CIMB投行之前的全年盈利预测高出76%。【NEATA】集团在还未被收购前，其FY15盈利大约是RM9m左右。然而，在FY16首2个季度中，VIVOCOM的建筑和铝业业务一共贡献RM63m的毛利。按照VIVOCOM的订单数据，这确实有可能，因为VIVOCOM在去年11和12月一共从CRCC手中获得价值RM346.7m的订单。至于是不是灌水，本专页认为这可能性不大，毕竟财务报告必须经过专业审计师的审核。一旦发现造假，这对于审计师的名誉影响非常大，属于一项刑事罪。

第四，基于VIVOCOM拥有3张凭单，外界认为它的盈利稀化程度非常大。目前VIVOCOM的股数是3.23b。一旦全部凭单被行使，股数将提升6.7%，意味着盈利也将被稀化6.7%。但是，需注意的是，VIVOCOM最早到期的凭单是WB，2018年9月。同时，这3张凭单都是以溢价交易，短期内不会有人去行使。换句话说，在未来的一年内，大家根本不需在意凭单所带来的稀化程度。一年的时间有很多事情可发生，毕竟有4个季度业绩可公布。

总结，本专页在深入了解后，认为VIVOCOM暂时还是值得投资。虽然当中还有很多不确定因素，但是就算输了VIVOCOM这一战也不怨不悔，毕竟做足了功课，也做了最坏的打算。本专页没有水晶球，不可预见VIVOCOM的未来前景，只能凭手上的资料去预测。

技术面来看，VIVOCOM已跌破支撑0.18，短期内看跌至0.16左右。对于已持有的股友，可考虑先止损，再以更低价累积。

每个人的看法都不一样，这也没有绝对的对或错。有时股票也需要讲究缘分，并不是每支股票都适合每个人。

#VIVOCOM
纯属分享，买卖自负！

http://www.malaysiastylonews.com/158912/china-rancang-bina-bandar-bawah-tanah-terbesar-dunia-di-bandar-malaysia/

Your motive is very clear indication of judgement before court trial.

Be responsible when you wish to write something and be honest if you wish to publish something that may affect innocent investor.

Mr Jay, I think you make a big mistake. Please validate the HOA direct with Vivocom official with a simple call. I can very confident my list of order books is accurate and stood at approximately rm3bil up to today. Maybe u are not a shareholders and you don't even have a courage to do so. Vivocom as project delivery partner with crcc is still waiting award for crcc on Gemas Johor double railway and other new project.

Those are still holding n be positive and be patient. There is many people wish you to sell now. Think why? Think why a company make two quarter continuous profits n increase order books n suddenly still so many bad articles out before q3 n q4. If you don't trust Vivocom, go validate yourself with them as shareholders.

Bnmenang, singinvestor, heaven123,Martin, Heng, goldentriangle
I always with you. Thanks for motivating each other.

And also don't call me sifu, I done my best as Vivocom shareholder.

Conman , again wish u good luck. I think back and we should learn from each other. Tq

Anyway good luck conman, wish u make more money

Conman I won't put salt in someone wound. Not like u

3.38 falling 2.79. Rm 0.50 falling a single day. Those holding at 3.30 above must be shock too.

Anyway thanks Jay

You may agree/disagree/agree to disagree
It seem belong to someone ID that missing in action.

More effective way go see the new office and check what expansion they are into. What if you are wrong? Just a guess

I do not wish to argue. Jay do not even has proven facts any HOA is cancel. And are you sure your figure will match q3 n q4 result. Why guess and why not wait q3 to see result in your eye. I m not a short term trader neither contra player.

Total Value Date Receive LOA Date Commerce Date Completion Durations Remarks
1 Pavilion Hilltop, Mont Kiara fr CRCC 34,762,000.00 11/12/15 1/12/16 7/12/18 18 months
2 Rumah Selangorku Bdr Ulu Klang fr CRCC 116,400,000.00 12/8/15 1/18/16 7/1/17 18 months
3 1 Gateway Klang, Selangor fr CRCC 195,525,000.00 11/12/15 1/12/16 12/1/18 3 years
4 Neata Aluminium old orderbook as September 2016 351,753,000.00 11/12/15
Kemensah height (82.4mil),tamarind square(10.3mil),lumi tropicana (37.7mil), KL Gateway (15.4), Eclipse Residence (15mil)
5 Teras Millenium to Instacom for Telco Hub sites 29,000,000.00 11/12/15 1/12/16 8/12/16 7 months
6 Jointly Develop Kharisma Port Indonesia 1/15/16 No agreement sign
7 Desa Tasik Project fr Coneff Corp (2 block Commercial) 240,418,000.00 1/20/16 3/8/16 12/8/19 45 months
8 Desa Tasik Project fr Coneff Corp (24 storeys Condo ) 230,000,000.00 1/26/16
HOA status 9. PBT Engineering for Third Avenue Cyberjaya to Neata 22,500,000.00 4/4/16 4/4/16 9/4/17 17 months
10 V-Development fr Gated Housing Bdr Ulu Klang 15,000,000.00 4/4/16 7/1/16 2/1/18 18 months
11 Green Venture Chepor Hulu Kinta Project 90,000,000.00 4/26/16 HOA status
12 De Facto Wilayah Sultan Azlan Shah Hulu Kinta Project 160,000,000.00 5/5/16 HOA status
13 Goldenhill Accenture Genting Sempah pahang project 46,000,000.00 5/20/16 7/20/16 7/20/18 24 months
14 Kiara5 Development Kg Kayu Ara Sg buloh 25,000,000.00 6/23/16 8/23/16 2/23/18 18 months
15 Lim Hoo Seng Construction Lorong stonor project to Neata 12,800,000.00 6/23/16 6/30/16 5/1/19 35 months
16 Seni perspek Bandar tasik Amanjaya Daerah kinta 756,000,000.00 8/4/16 JCA status
17 Green Venture Wilayah Chepor Project 18storeys Apartment 100,000,000.00 8/19/16 24 months
18 Dazamega Mukim Hulu Kinta Project 600,000,000.00 9/1/16 48 months
Total Project Pipeline that annouced in BursaMalaysia 3,025,158,000.00. HOA status

I merely sharing now, do not want to comments further.

http://www.channelnewsasia.com/news/business/world-s-largest-underground-city-at-kl-terminal-to-be-gem-on/3232964.html#.WBAiDHTCZX4.facebook

Road to q3 is still a month to go. Be strong n hold tight. Above article say all. Thanks you again for sharing.

The most funniest part!
"yes it did sold down a lot but that is normal in stock market ... price up or down "

All posted by traderman
Stock: [VIVOCOM]: INSTACOM GROUP BERHAD
Aug 3, 2016 08:15 PM | Report Abuse

Heard will close shop

Stock: [VIVOCOM]: INSTACOM GROUP BERHAD
Aug 8, 2016 04:15 PM | Report Abuse

disagreetoagree, soon vivo will go 50 cent and you can bang head to the wall

Stock: [VIVOCOM]: INSTACOM GROUP BERHAD
Aug 12, 2016 10:16 AM | Report Abuse

disagreetoagree, actually you already super losers on vivo ... first the stock went up to 37.5 cent last round ... it means something already happen ... yes it did sold down a lot but that is normal in stock market ... price up or down ... then at the low of 23 cent, it recover back to current 29 cent ...this is almost 30% rise ....

and you still like an idiot bashing vivo a bad stock ... so from head till tail, you just making yourself a joker. continue be a joker. i know your style ... once vivo break 30 cent and go 45 cent ... then when it profit taking back to 38 cent ... you will come in and said vivo a bad stock ...

Adamcuties, receive my salute of respect !

Zul, pasti Bomoh Ibrahim cun punya mari

Bonus2016, I will top up some Bornoil before coming quarters result.

Bruce, vivo still a month to go for q3 result, and a lot announcement still in q not announce. I m long holder. Does not bother me much. I want to see full year revenue.

It not once but twice doing the same shit. Using own last name edit people ID name to comment. Goldentriangle bro, u know now who.

Traderman, A man that change it's own ID name to other people ID name and comment fake information. Creditability zero.

Support price is very strong at 0.165.

Bonus2016, don't give up. Continue your hardworks. Once the share price up, it's will prove who right and wrong.

Traderman, thanks for explaining.

Busy today. Principal from oversea visit me.
I did not compare Vivocom with compile.
I not comparing Vivocom with gadang and Gkent either.

But Vivocom just into two quarter revenue under construction business. Why not give Vivocom some time. Let wait q3 result n see what go further.

Tomorrow opening should be 0.195. Let hope it can break 0.200 tomorrow.

At least 4 to 5 announcement should be on the way before q3 result. Q3 result estimate total profit between 25mil to 30mil. In construction, project progressive billing seldom delay. Cause they need to meet deadline for every project.

Blog: TOP 10 SMALL-MID CAP INVESTMENT
Oct 22, 2016 11:31 PM | Report Abuse

Total Value Date Receive LOA Date Commerce Date Completion Durations Remarks
1 Pavilion Hilltop, Mont Kiara fr CRCC 34,762,000.00 11/12/15 1/12/16 7/12/18 18 months
2 Rumah Selangorku Bdr Ulu Klang fr CRCC 116,400,000.00 12/8/15 1/18/16 7/1/17 18 months
3 1 Gateway Klang, Selangor fr CRCC 195,525,000.00 11/12/15 1/12/16 12/1/18 3 years
4 Neata Aluminium old orderbook as September 2016 351,753,000.00 11/12/15
Kemensah height (82.4mil),tamarind square(10.3mil),lumi tropicana (37.7mil), KL Gateway (15.4), Eclipse Residence (15mil)
5 Teras Millenium to Instacom for Telco Hub sites 29,000,000.00 11/12/15 1/12/16 8/12/16 7 months
6 Jointly Develop Kharisma Port Indonesia 1/15/16 No agreement sign
7 Desa Tasik Project fr Coneff Corp (2 block Commercial) 240,418,000.00 1/20/16 3/8/16 12/8/19 45 months
8 Desa Tasik Project fr Coneff Corp (24 storeys Condo ) 230,000,000.00 1/26/16
9 PBT Engineering for Third Avenue Cyberjaya to Neata 22,500,000.00 4/4/16 4/4/16 9/4/17 17 months
10 V-Development fr Gated Housing Bdr Ulu Klang 15,000,000.00 4/4/16 7/1/16 2/1/18 18 months
11 Green Venture Chepor Hulu Kinta Project 90,000,000.00 4/26/16
12 De Facto Wilayah Sultan Azlan Shah Hulu Kinta Project 160,000,000.00 5/5/16
13 Goldenhill Accenture Genting Sempah pahang project 46,000,000.00 5/20/16 7/20/16 7/20/18 24 months
14 Kiara5 Development Kg Kayu Ara Sg buloh 25,000,000.00 6/23/16 8/23/16 2/23/18 18 months
15 Lim Hoo Seng Construction Lorong stonor project to Neata 12,800,000.00 6/23/16 6/30/16 5/1/19 35 months
16 Seni perspek Bandar tasik Amanjaya Daerah kinta 756,000,000.00 8/4/16 JCA status
17 Green Venture Wilayah Chepor Project 18storeys Apartment 100,000,000.00 8/19/16 24 months
18 Dazamega Mukim Hulu Kinta Project 600,000,000.00 9/1/16 48 months
Total Project Pipeline that annouced in BursaMalaysia 3,025,158,000.00

Project Not Annouce Yet
19 Tropic Regal Sarawak 250,000,000.00
20 V Plaza Balakong 23,000,000.00
21 Regal Singapore 200,000,000.00
22 M101 Skywheel 500,000,000.00
23 Penang Tunnel 350,000,000.00
24. Gemas double track railway
25. Crcc HSR KL Singapore

Buyer today has cheated seller at very last minute trading. Buyer collected cheaply at 0.190 at high volume instead of buy at higher price. Don't play contra

https://www.facebook.com/zhao.andy.75/posts/1077152299066040

CRCC step closer for Malaysia HSR project. CRCC was the current vendor for Singapore MRT. With CRCC participate in Bandar Malaysia n HQ building will be built there, HSR project will be a bonus for Vivocom.

There a month more to go for q3, just monitor.

I noticed the bosses was collected a lot in past fews day. That huge amount of shares. It's don't look like collection to encourage retailer to support their share. It's seem like something that they are foreseen that company future will be back to right track. Anything drop to 0.850 is a great buy.

Below article confirm Vivocom participate CRCC project in HSR. GEmas Johor double track railways project still in finalizing BQ by CRCC before award any project to Vivocom.

Vivocom International Holdings Bhd: Construction our main driver for 2016
By The iProperty.com News Team on Apr 04, 2016


KUALA LUMPUR, April 4 : Vivocom International Holdings Bhd, which targets a revenue of RM760 million for this financial year ending Dec 31, 2016 (FY16), expects the construction business to contribute 70-75% of its revenue, mainly driven by projects from China Railway Construction Corp Ltd (CRCC).

Executive director Choo Seng Choon said the group, which was formerly known as Instacom Group Bhd, was predominantly driven by its telco tower builder business. Now, the group is backed by three businesses, which are telco, aluminium and construction following acquisitions over the last two years.

“(For FY16) We hope to do RM600 million for construction, RM80 million for telco and RM80 million for aluminium. That’s our target. That will bring us to RM760 million revenue, which will be an achievement and will be quite comfortable for us.

“The main growth driver will effectively come from construction, by the sheer value of each contract and the volume that they take on,” Choo told SunBiz in an interview recently.

He said Vivocom, which prides itself with being one of the biggest market capitalisation on the ACE Market, aims to transfer to the Main Market within a year, after it delivers its FY16 results.

“2015 revenue is telco-driven so we’re not proven as a construction group yet. This year will be the first year we need to deliver. Once we deliver the results, next year we can start looking at it (moving to Main Market) already.”

Choo said while construction is expected to contribute the bulk of the group’s revenue, the remaining 10-15% will be split between aluminium and telco.

“Currently the bulk of our (construction) jobs is from a mixture of building and infrastructure projects but our main client CRCC is giving 40-50% of the current order book that we have,” said Choo, adding that the remaining portion comes from private entities and public companies.

He said Vivocom’s order book stood at RM2.7 billion and can keep the group busy for three years. Of this, construction makes up RM2.4 billion.

It is bidding for RM2 billion worth of construction jobs, including the M101 SkyWheel in the redevelopment of Kampung Baru, the Gemas-Johor Baru electrified double-tracking project, the Kuala Lumpur-Singapore High Speed Rail project, as well as the Tropics in Kuching by the Regal International Group.

“We hope to get an average of RM1-2 billion a year (order book replenishment) but depending on margins, track record payments and clientele. We do not have the cash muscle to fight with the big construction groups. We have to choose clientele that can pay us on time and that will allow us to roll,” said Choo.

Transforming from a telco tower builder to a construction firm, he opined that Vivocom’s change is not huge and that the skillsets are similar.

“When you’re a telco contractor, you also build and manage projects. The way we run the project is similar to construction. Only difference is the timing, scale and the duration is smaller. In telco, tower sites project takes six to nine months but for construction, each project is two to three years.”

Choo said the recent spectrum reallocation for telcos brings more work opportunities in terms of infrastructure change and upgrades, such as the change of equipment, rebuilding of towers or repositioning of sites, which could convert to an additional revenue of RM20 million to RM30 million per year for the telco arm.

Despite this however, Choo said the focus is still on growing its construction business which is a cash driven one.

“For telco, you lock in for five years with fixed rates but the volume can fluctuate. Because of the fluctuation, I don’t have economies of scale and I don’t have bargaining power for suppliers to get a cheaper rate,” said Choo.

On paying out dividends, he said it will likely come in 2018 once it has built its war chest.

--THE SUN


Read more at http://focus.iproperty.com.my/news/1074/vivocom-international-holdings-bhd-construction-our-main-driver-for-2016#W3iMfhewhxC2H5Yo.99

Stock: [VIVOCOM]: INSTACOM GROUP BERHAD
Oct 21, 2016 08:41 PM | Report Abuse

CRRC confident of having the edge in bid for HSR project
October 21, 2016, Friday


CHANGSHA: China-based locomotive expert, China Railway Rolling Stock Corporation (CRRC), is confident it has an edge in bidding for the construction of the Kuala Lumpur – Singapore High Speed Rail (HSR) project.

Luo Chongfu, vice president of CRRC Zhuzhou Locomotive Co Ltd (CRRC ZELC), a subsidiary of CRRC, said with the result of the bidding to be announced soon, the long term relationship built via various projects with Malaysia will give it an edge.

“We have a good and solid bilateral cooperation (on behalf of) China with the Malaysian government.

“CRRC is also fully confident of providing the best technology and products.

“Industry cooperation with Malaysia is also something we highly appreciate,” he added.

Luo said the establishment of the CRRC manufacturing centre in Batu Gajah, Perak, which commenced operations in October 2015, is a clear evidence of the company’s commitment to the Malaysian market.

“What we are very interested in is, cooperation with Malaysia, in the area of transfer of knowledge in manufacturing management.

“This is why a large number of the more than 300 workers in Batu Gajah are locals,” he added.

Luo said this during a media visit to the CRRC locomotive manufacturing facility in Zhuzhou, here.

It was part of a five-day visit by the international media to the province.

The spotlight is basically on the “Intelligent Manufacturing Industry” in Hunan province.

CRRC has to date delivered no less than 300 units of products for various clients in Malaysia, comprising EMUs, TMUs and locomotives.

Meanwhile, Tidfore Heavy Equipment Group (Tidfore) takes its success in supplying port handling equipment to Kuantan Port as a stepping stone to bigger projects in Malaysia.

“We are interested in cooperating with the Malaysian government to enhance the performance of current ports or build new ones,” General Manager Daniel Zhang told a media briefing at the recently built industrial park in Xiantan.

The media visit is being hosted by the Foreign Affairs Office of the Hunan Province People’s Government and is part of a “Go Global” strategy.

As of August this year, companies from Hunan had invested in 86 countries.

They have also entered into 470 areas of international cooperation since the first overseas initiative started in 2000. — Bernama


Stock: [VIVOCOM]: INSTACOM GROUP BERHAD

The important is CRCC get HSR. Vivocom need DS yeoh connection for CRCC is main key factor. It would be bonus if crcc win HSR

Tq suhaimi.

Many people may not like it, cause some may buy at higher price, but this share market and always attracted a lot of syndicate here. I do not want to recommend anything. Buy or sell, you decide. I just want to see what beyond future Vivocom business is coming.

I m shareholder, I believe you guys come here are same. I truly believe midf will not slap own face 5 times even after visited Vivocom recently at 18/10/2016. I went to visit my eye to their new office myself. See through my real eye, they are expanding in big way. I hope u guys go see yourself your own investment. I want to see out year 2017 revenue. Tq

CIMB Research believes that the orderbook of Vivocom Intl Holdings Berhad (Vivocom) will balloon to RM4bn at year-end if the company succeeds in its target of RM1.8bn for second half 2016. Further, the research house believes that “its contract win of RM3.5bn will surpass our RM3bn estimate for 2016”.
In a “company flash note” today, CIMB Research said that Vivocom’s swelling orderbook “will lend strong support to our FY17F earnings visibility”.
This follows on from Vivocom’s largest contract win to date (which Business Today had reported on yesterday) – refer to our report VIVOCOM INTL HOLDINGS BERHAD – “A MID CAP CONSTRUCTION RISING STAR THAT CONTINUES TO SHINE BRIGHTLY! – that the company had had won a RM756m contract award from the Perak state government to build 4,000 units of affordable housing over four phases.
This contract is the largest win so far for Vivocom this year. The project consists of 15 blocks of 21-storey apartments on 66 acres of land in the Bandar Tasik Amanjaya township, located in Tronoh on the outskirts of Ipoh, Perak.
“The award brings Vivocom’s contract wins YTD to RM1.7bn and outstanding orderbook to c.RM2.2bn,” said CIMB Research.
“A RM4bn orderbook will place Vivocom alongside mid-cap construction companies such as Sunway and WCT that trade at 13-15x P/E vs. Vivocom’s 4x FY17 P/E,” said CIMB Research.
“We maintain Add with an unchanged SOP-based target price, with the construction business valued at 10.5x, based on a 30% discount to the average sector P/E of 15x,” concluded the report.
Other research houses, similarly, have made “BUY ON VIVOCOM” calls – with target prices ranging from 59 sen to RM75 sen per share, signaling strong upside potential and capital appreciation of more than double its current share price.
Given the numerous BUY calls, the general consensus is that at present levels, Vivocom shares represent great value for bargain hunters especially in view of the Bonus Issue (1 for 4) reward just announced.
CIMB has a target price of 78sen for Vivocom, against its current share price of 28 sen at closing today.

“Our shareholders base keeps growing as more and more retailers see value in Vivocom as a long term investment. As at 27th July our shareholders had increased to 16,358 investors from 12,250 in February,” Vivocom executive director Choo Seng Choon (pic) said.
This probably explains why Vivocom’s share price had climbed from 22.5 sen in late June to close at 29 sen last Monday (1 Aug 2016): Fresh funds had entered the stock during the five-week period and hence increased the Company’s shareholders base.
Based on its annualised 1st quarter results, it’s worthwhile noting that Vivocom is currently only trading at less than 10 times price-earnings multiple whilst its peers with similar market capitalisation are currently trading at price-earnings multiples ranging from 14 times to 17 times.
“We pride ourselves on our pursuit of excellence in our core businesses, and we intend to be wealth creators on a sustainable basis for all our loyal shareholders in the long run,” emphasised Choo.

CIMB Research believes that the orderbook of Vivocom Intl Holdings Berhad (Vivocom) will balloon to RM4bn at year-end if the company succeeds in its target of RM1.8bn for second half 2016. Further, the research house believes that “its contract win of RM3.5bn will surpass our RM3bn estimate for 2016”.
In a “company flash note” today, CIMB Research said that Vivocom’s swelling orderbook “will lend strong support to our FY17F earnings visibility”.
This follows on from Vivocom’s largest contract win to date (which Business Today had reported on yesterday) – refer to our report VIVOCOM INTL HOLDINGS BERHAD – “A MID CAP CONSTRUCTION RISING STAR THAT CONTINUES TO SHINE BRIGHTLY! – that the company had had won a RM756m contract award from the Perak state government to build 4,000 units of affordable housing over four phases.
This contract is the largest win so far for Vivocom this year. The project consists of 15 blocks of 21-storey apartments on 66 acres of land in the Bandar Tasik Amanjaya township, located in Tronoh on the outskirts of Ipoh, Perak.
“The award brings Vivocom’s contract wins YTD to RM1.7bn and outstanding orderbook to c.RM2.2bn,” said CIMB Research.
“A RM4bn orderbook will place Vivocom alongside mid-cap construction companies such as Sunway and WCT that trade at 13-15x P/E vs. Vivocom’s 4x FY17 P/E,” said CIMB Research.
“We maintain Add with an unchanged SOP-based target price, with the construction business valued at 10.5x, based on a 30% discount to the average sector P/E of 15x,” concluded the report.
Other research houses, similarly, have made “BUY ON VIVOCOM” calls – with target prices ranging from 59 sen to RM75 sen per share, signaling strong upside potential and capital appreciation of more than double its current share price.
Given the numerous BUY calls, the general consensus is that at present levels, Vivocom shares represent great value for bargain hunters especially in view of the Bonus Issue (1 for 4) reward just announced.
CIMB has a target price of 78sen for Vivocom, against its current share price of 28 sen at closing today.

“Our shareholders base keeps growing as more and more retailers see value in Vivocom as a long term investment. As at 27th July our shareholders had increased to 16,358 investors from 12,250 in February,” Vivocom executive director Choo Seng Choon (pic) said.
This probably explains why Vivocom’s share price had climbed from 22.5 sen in late June to close at 29 sen last Monday (1 Aug 2016): Fresh funds had entered the stock during the five-week period and hence increased the Company’s shareholders base.
Based on its annualised 1st quarter results, it’s worthwhile noting that Vivocom is currently only trading at less than 10 times price-earnings multiple whilst its peers with similar market capitalisation are currently trading at price-earnings multiples ranging from 14 times to 17 times.
“We pride ourselves on our pursuit of excellence in our core businesses, and we intend to be wealth creators on a sustainable basis for all our loyal shareholders in the long run,” emphasised Choo.

CIMB Research believes that the orderbook of Vivocom Intl Holdings Berhad (Vivocom) will balloon to RM4bn at year-end if the company succeeds in its target of RM1.8bn for second half 2016. Further, the research house believes that “its contract win of RM3.5bn will surpass our RM3bn estimate for 2016”.
In a “company flash note” today, CIMB Research said that Vivocom’s swelling orderbook “will lend strong support to our FY17F earnings visibility”.
This follows on from Vivocom’s largest contract win to date (which Business Today had reported on yesterday) – refer to our report VIVOCOM INTL HOLDINGS BERHAD – “A MID CAP CONSTRUCTION RISING STAR THAT CONTINUES TO SHINE BRIGHTLY! – that the company had had won a RM756m contract award from the Perak state government to build 4,000 units of affordable housing over four phases.
This contract is the largest win so far for Vivocom this year. The project consists of 15 blocks of 21-storey apartments on 66 acres of land in the Bandar Tasik Amanjaya township, located in Tronoh on the outskirts of Ipoh, Perak.
“The award brings Vivocom’s contract wins YTD to RM1.7bn and outstanding orderbook to c.RM2.2bn,” said CIMB Research.
“A RM4bn orderbook will place Vivocom alongside mid-cap construction companies such as Sunway and WCT that trade at 13-15x P/E vs. Vivocom’s 4x FY17 P/E,” said CIMB Research.
“We maintain Add with an unchanged SOP-based target price, with the construction business valued at 10.5x, based on a 30% discount to the average sector P/E of 15x,” concluded the report.
Other research houses, similarly, have made “BUY ON VIVOCOM” calls – with target prices ranging from 59 sen to RM75 sen per share, signaling strong upside potential and capital appreciation of more than double its current share price.
Given the numerous BUY calls, the general consensus is that at present levels, Vivocom shares represent great value for bargain hunters especially in view of the Bonus Issue (1 for 4) reward just announced.
CIMB has a target price of 78sen for Vivocom, against its current share price of 28 sen at closing today.

“Our shareholders base keeps growing as more and more retailers see value in Vivocom as a long term investment. As at 27th July our shareholders had increased to 16,358 investors from 12,250 in February,” Vivocom executive director Choo Seng Choon (pic) said.
This probably explains why Vivocom’s share price had climbed from 22.5 sen in late June to close at 29 sen last Monday (1 Aug 2016): Fresh funds had entered the stock during the five-week period and hence increased the Company’s shareholders base.
Based on its annualised 1st quarter results, it’s worthwhile noting that Vivocom is currently only trading at less than 10 times price-earnings multiple whilst its peers with similar market capitalisation are currently trading at price-earnings multiples ranging from 14 times to 17 times.
“We pride ourselves on our pursuit of excellence in our core businesses, and we intend to be wealth creators on a sustainable basis for all our loyal shareholders in the long run,” emphasised Choo.

Vivocom tendered project not yet announce included Gemas Johor double railway track, HSR KL -Singapore, Tropic fr Regal group development and M101Skywheel. All of this is not yet annouce And confirm Vivocom has rendered in above project.