Marco, a fundamentally good company (low debt, persistent profitable) with cash rich company
Base on latest annual report 2018, total asset :203million (equity of 190million, liability 13 million) In view of low dept, profit every year contributes to growing of retained profit and equity
Also, 2 land (1 at setapak, 1 at Melaka) has not been reevalauted since long time ago
With the latest market price of 0.115, Marco's market value is onli 121million, which is really undervalue
Despite recent purchasing of 40%share of time galleries SDN BHD (21.8 million), company still had 83million cash at 2018 as compared with 101 million at 2017. Amount of cash is still persistent increasing as documented in recent quarter report
Investing in time galleries, company revenue and profit are anticipated to increase.
We can notice that Marco paid high dividend on 2011(2.15 sen), 2012(0.8sen), 2013(2.2sen) 2014 0.8sen) before its warrant expired on 2014
After maturation of its warrant, company's share increases from 712million to 1054 million. hence, percentage of share of major share holders was diluted as they had sold out warrant earlier.
From the announcement on March this year, main share holder (tan Sri dato tan hua chin) had recent acquired 6% of share (62.5 millionx0.12: rm7.5million).
From my view, Marco is undervalue and holding too much of cash Company is capable to pay up 4sen of dividend anytime and still has balance of at least 40 million cash for operating. As a result, I would said Marco should worth at least rm0.16
Wow...just announced ...strong quarterly result For cummulative 9 months EPS is 1ct For full Year EPS should be 1.4cts Based on current price of 11cts ,PE is only 8. Fair price should be at least 20 cts Some more no borrowing, cash n bank balances -RM 94 Million, NTA 19cts and 2 investment properties which are undervalued in its book. Best
I am going to keep this gem for long term for its dividend plus capital gain Cash company with 2 great properties in Setapak Selangor n Malacca which are ripe for development. -So may JV with JKG Land (same boss) for potential development
dividend payout looks promising, latest revenue up together with profit and profit margin slightly increase, probably a time to relook into company business activity, or at least stop dropping
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....
Li Li
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Posted by Li Li > 2018-06-14 11:33 | Report Abuse
Waiting for 3-4 yrs almost same