I've noticed the recent EMS sector and Semiconductor rally had left this company a laggard, a hidden gem behind the spike in the technology sector.
So when we talk about technology, in Malaysia generally we are focused on the "hardware" perspective, which our capabilities are mainly based on the manufacturing scale, as well as providing precision material to over sea clients or those who stationed in Penang. That being said, there are a few companies that excels in their own territory, MI (5286) is an excellent example of their technology on WLCSP.
Now, you might hear some rumours on this company, saying that it is a con-man company, a scam company or whatsoever. But what you do not know is, the company profitability is growing despite all these haters. But let's look at the facts, or, the numbers.
In FY 2018 Q1, I believe there were some impairment activities as they shut down the timber business, or the old timber business is down due to season, however it is, not important.
As you can see, the company had completely changed and spiked in terms of revenue and profitability since FY 2018 Q2, of course as all business was affected by COVID-19 and MCO, the company in FY 2020 Q2 had a minor setback in terms of YoY growth on the bottom line.
You might think that the company that is growing in QoQ and YoY might be valued at 20, 30 times P/E ratio?
That is because the general investor or "ordinary investors" do not appreciate this company. And why is that so? Remember I mentioned in Malaysia most if not all technology companies focus on the hardware part? THIS company focuses on the software aspect of the technology sector!
ARBB's unique business model compromise of 2 business engine, namely the first - Enterprise Resources Planning (ERP) and Internet of Things (IoT), both are having a super rosy outlook, just check it out online.
Needless to say, ERP has become more and more important in the manufacturing world now with more resources are required to be allocated effectively. I foresee - this company could hit 8 figures in their net profit on the next quarter!
So, if you are looking at an undervalued technology company with PER of 2 to 3 times, would you choose it over a hardware company that face fierce competition but is trading at PER of 20 - 30 times? The choice is yours.
Election related? Then you should not say in this counter only right, bro.... Same applied all counter. For Value investor I don't think is a worried, Trader might need to be more alert.
If you are investor, then you should be more worrying, there is no such case where share price keep dropping when earning result is so strong. When thing looks too good to be true yet share price is telling you the opposite, probably means it is a value trap. Just be extra careful with this counter
How you define is value trap. However I'm also an investor for asiapoly and I saw you seem that not really like the counter like arbb, I saw asiapoly will doing good and better like arbb do. Everyone have different way doing investment. If I'm a investor and I'm not here to worry. I should know what is my role. Value investor, yes . Average down. Trader - less trade on counter. If I know is a value trap then I will quit. But for arbb I dont think is a trap. As I'm buying this counter future. Good trend and quality that not yet been discover.
ARBB owner is a liar, he said in the interview that this year looking forward market cap to hit 1billion but now half year is over, only 100mil+, lol. When owner is a liar, the result could be a lie, n the share price is telling u that.
Roger, don't get you there, if the owner is a liar why 16-17c? Negative 16sen boleh la. Don't pick and choose what you like. You don't seem to have logic at all. TA doesn't go with your whatever psychological analysis or lie test. Unless you are telling me owner is half liar not full liar, then I ask you what is half? 60% liar or 20% liar?
Not here to defend ARBB or encourage buy or sell. But hate some smart ass throw some numbers and pretend expert. You don't need to be 1 to earn money and you don't need a forum to get some credits.
Apa macam Roger punay "I told you"? Hehe at least he didn't say I told you or some crazy comment. Okay support support level is fine for me. But not useful also.
haha, in the past, result looks 'good' and share price tank like mad, in the future when earning start losing steam, share price gonna go to all time low ?
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....
stampid54
310 posts
Posted by stampid54 > 2020-10-23 19:00 | Report Abuse
Probably tonight or this weekend got some show to let us watch