He is the co-founder, Non-Independent and Non-Executive Chairman of ECS ICT Berhad and had played a major role in the listing of the company on the Main Market of Bursa Securities on 15th April 2010.
PETALING JAYA: UOB Kay Hian is turning bullish on the Malaysian technology sector, with local electronics manufacturing services, manufacturers, logistics and financial technology companies observed as impending beneficiaries.
The research house has issued an “overweight” call on the sector following its inaugural New Economy Conference 2017, entitled “The Edge For Tomorrow”.
“Among the featured companies, we maintain our ‘buy’ call on ECS ICT Bhd with a target price of RM1.68, pegged to nine times its 2018 price-to-earnings ratio.
“ECS is a proxy to the rising ICT spending in Malaysia on the back of the country’s focus on a digital economy,” UOB Kay Hian said in a report yesterday.
The research house said ECS has strong distribution channels with 6,100 resellers (excluding cash payment clients) with a diversified portfolio of more than 40 brands.
“ECS’ thin margins (net 1.6% to 1.7%) is due to its business nature. It is better than the worldwide industry’s 1% net margin. Despite thin margins, ECS has consistently delivered low-teen returns on equity in the past few years.”
The company's share price looked attractive at the moment...PE less than 8, nta rm 1.50, dividend yield ard 5%. Good balance sheet. More and more companies emphasize on e commerce. And this requires new hard and software as well as renewal of these equipment in a certain period. Being1 of the largest ICT distributor, ECS should benefit on it, esp. with the strengthening of ringgit tis year
Post election consumer sentiment improves significantly due to 'once in a lifetime' tax holiday. ECS might see great improvement in sales and profits in coming quarter.
Based on profit history, it share price will soon going back to RM1.40-RM1.50 with profit slowly going back to normal level of EPS=15 to 18 sen/share. Is good for long term investment.
1) At Rm1.03 with NTA of Rm1.54 ECS ICT is now selling at a nice 34% Discount to NTA which qualifies it As A Margin of Safety Stock. Ben Graham wants at least 30% discount to NTA as a Margin of Safety.
1) At Rm1.03 with NTA of Rm1.54 ECS ICT is now selling at a nice 34% Discount to NTA which qualifies it As A Margin of Safety Stock. Ben Graham wants at least 30% discount to NTA as a Margin of Safety.
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....
asdf
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Posted by asdf > 2017-05-18 10:50 | Report Abuse
tcq is selling almost everyday.
Is he quitting ?