Thursday, 3rd Oct 2019 MAIN MARKET Consumer IPO Price : RM 0.23
Fair Value (FV)
RM 0.30
BACKGROUND
SDS Group Bhd (SDSG) Group is principally involved in:
1. Manufacturing and distributing of bakery products, and 2. Operating food and beverages (F&B) outlets. SDS products are sold via wholesale and retail channels. Wholesale channel - SDSG produce varieties of breads, buns, rolls and cakes and distributed to mini markets, convenience stores, sundry shops, supermarkets and hypermarkets under its brand name “Top Baker” and “Daily’s”. Retail channel – SDSG produce varieties of bakery, confectionary and other F&B products and sold through 33 F&B outlets in Johor under the brand name of “S.D.S” and Fanpekka Café by S.D.S.
VALUATION/RECOMMENDATION
We like SDSG for its proven track record with established brands, stable earnings growth and clear strategy plan for expansion, and believe the company is poise to benefit from the growing demand of bakery products in Malaysia.
We have a subscribe recommendation with a target price of RM0.30 derived based on 13.0x PE of our estimated EPS of 2.3 sen for FY20E. The target price represents a potential return of 29.0% over the IPO price.
Pity to the above sour grape dude - in Mad now due to miss this EXPLOSIVE $$$ SDS tomorow ( MONDAY ) listing ! Ha ha haa 5X.....Condolence to him Sob sob sob !
FAIR VALUE >> 30 SEN by MERCURY SECURITIES ## Can't rule out that HOT SDS May even hit 50 sen .
## Oso Thanks to DOW JONE which STEAMINGGG almost 400 points
I think a brief upward maybe at most 2 hours.But I values it below 20 cent(in less than 15 market day).Probably 15 cent below as rising costs the main contributor.
Short term assets do not cover its short term liabilities. Quite weak the balance sheet....Bahaya...even drop fundamental tiada to sustain. Better counter anyone?
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....
sunchaser
30 posts
Posted by sunchaser > 2019-08-25 00:06 | Report Abuse
Another new ipo coming