A bit surprise. Hevea is so generous to pay 6.8 sen dividend compared to last year 7.1 sen (dropped by 4.2%), even through PAT dropped by 20.3%. Good dividend yield may possible push share price to RM1 level.
HeveaBoard screen out bark in the process of making higher grade particleboard and utilize the bark to cultivate mushroom in controlled environment. Initial harvest expected in 2 months The company is expected to do well and declare quarterly dividend regularly.
Dividend yield is 0.068 sen/0.70 share price = 9.71%, very attractive~ and current share price equal to 16% discount to NTA per share of RM0.83 as at 31.12.17 Others - EBIT/EV = 24%, ROIC = 18%
Hi Free2invest, the interesting part is FY2017 EPS dropped by 5.33 sen or 31% compared to FY2016, but DPS slightly dropped by 0.30 sen or 4%. FY2017 finance performance is the worst in these 3 years (PAT FY17: RM64mil, FY16: RM81m, FY15: RM74mil). Based on current solid financial position, I would think they can achieve better results for FY2018. You may calculate again the prospects & risk to make up your own decision. :)
The Board and Management also same with us own and buy shares, do they think:Shit, labour issue yet to settle, really jialat la this time. But fine, I love Hevea very much so I want pay cash to buy more shares since share price is so cheap now. Don't you know?
doesnt matter at this price. its too lucrative. just keep average down and help support the company. the director themselves believe so much in their business. what more can u ask for. every company has their minimum value despite 0 earning. i believe hevea is very close to the minimum value at this price.
HeveaBoard moves to ensure sustainability Ho Chung Teng | 06 Apr 2018 00:30
COMPETITION, price war, labour shortage, high raw material prices and a stronger ringgit against the US dollar are the main factors which dragged particleboard manufacturer HeveaBoard Bhd’s net profit down by 20.28% in the financial year ended Dec 31, 2017.
HeveaBoard’s MD Yoong Hau Choon finds it difficult to predict earnings growth for the next few years, especially with the ringgit to-date (April 3) having strengthened 12.72% against the US dollar.
This does not augur well for the company as a stronger ringgit translates to lower revenue, which is derived in the US dollar. Currently, more than 90% of its products are exported.
Despite that, Yoong says the company plans to differentiate itself to ensure sustainable profits. “Although (at the current point) the selling price (of particle board) is going down in an irrational way, we still maintain our selling prices or increase some of the prices.
“These are external factors that we can’t control, but doing this should help us mitigate the impact to a certain extent,” Yoong tells FocusM.
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....
Eagle_T
90 posts
Posted by Eagle_T > 2018-03-30 17:45 | Report Abuse
Final dividend of 2.0 sen
http://www.malaysiastock.biz/Company-Announcement.aspx?id=1046112