Back

Latest Forum Topics / Excelpoint

Post Reply

Excelpoint Post Reply Rate topic
junnies Member	10-Jun-2017 16:08        junnies About Contact  Quote this Post!
x 0   x 0  Alert Admin	no problem...can try looking at the 2016 financial statements. in the third quarter, the profit margin improved a lot, which was followed by an equally good fourth quarter. these two quarters indicate the turnaround situation. then in Q12017 results, you superficially see the results it looks like earnings and profit margin declined compared to 3q16 and 4q16, but iif you look at all their q1 results in the past years, the first quarter is always very weak due to seasonal reasons (Chinese new year in China is cited as the reason), making up 11-17% of the FY profits. so, with this knowledge, the first quarter is actually extremely good, and you know that these results are backed up by consistent revenue growth
Useful To Me  Not Useful To Me
mogambo Senior	10-Jun-2017 01:46        mogambo About Contact  Quote this Post!
x 0   x 0  Alert Admin	thanks for your feedback   I was quite impressed in seeing the top line growth which has doubled in 5 years. from 822 million in FY 2013 to 1456 million in FY 2017.. Athough the bottomline earnings income has been flat in the range of 7 to 10 million dollars for the same time period.   I was attracted seeing its undervalue on PE and Price to Book... I normally go for techno funda stocks which are technically and fundamentally undervalued and which give give more opportunity for profitable postional trades and investment horizon for medium term/ long term.   I have not taken any positions and monitor till further.   I got the gist and the message of yours .. will check deeper against my investment matrix before taking a call... Looks more value when the cash flow unlocks with more cash on the table for the company.   will go through your detailed explaination and carry out my own microscopic examination further checking on the annual reports. Thanks & Cheers junnies      ( Date: 09-Jun-2017 21:52) Posted: negative cashflow and debt look worrying, but can be very simply explained. Excelpoint is borrowing heavily to grow its operations, and gives out half its earnings as dividends and reinvests the other half, whilst paying the minimal interest expense. look at its operating cashflow statements -> it is always borrowing to buy stock to expand its operations. knowing the above, is that good or bad? if you look at the rate of revenue growth vs the net profits of Excelpoint, its clear that using profits alone to expand would be very slow and insufficient. its revenue has been growing by 100m every year whilst its net profits has grown by only a few million in comparison. Excelpoint is an electronics distributor, hence its profit margins are small. to expand, it has to buy a big amount of stock to sell and if it only relies on net profits to expand, it will be very slow. so knowing the negative cash flow and debt, what should we look at to consider whether this sort of growth is healthy or unsustainable? very simply, look at how successful excelpoint has been growing its net profits from 2008 to 2010, its profit margins were affected by the 2008 financial crisis from 2011 to 2013, excelpoint began borrowing heavily to expand its operations and successful improved its net profits substantially. however, in the last quarter of 2014, China' s economy slowed down and Excelpoint' s profit margins were heavily affected, which depressed its net profits in 2014, 2015, and the first half of 2016. however, in the second half of 2016, Excelpoint profit margins quickly recovered along with its operating environment, and profit margins have recovered to the levels of 2011-2013, but net profits have grown as it has grown its revenue.. in 2017, the q1 results were again superb, and the excelpoint chairman is very positive clearly, excelpoint has recovered from its cyclical downturn in 2014-2016, and is ready to have an excellent fy 2017. a lot of this you can take my word for it or look through the annual report sheets yourself. so compare its rate of debt growth vs rate of revenue/net profit growth. in fy 2016, its ebitda was 4+, which is a very healthy interest expense/earning ratio for a growth stock. even during the cyclical downturn in 2014-2016, excelpoint still confidently borrowed plenty of money to expand its operationsm so that once profit margins recover, it reaps the rewards of its revenue growth. even during cyclical downturn, excelpoint still managed to turn profits and comfortably pay off its interest - clearly, it is using debt well to expand, and can easily pay the interest expense short of a unforeseen catastrophe. so, if you confirm the above story i have outlined yourself (not asking you to believe blindly, can dyodd to see if im talking nonsense), you can see that excelpoint now presents a turnaround + growth stock combination. after a steep surge to 70c, it retraced for awhile, but the retracement has ended and the share price is now 66c. furthermore, excelpoint traditionally gives out 50% of its earnings as dividends, so at the current price, you get a combination of turnaround + growth + dividend play. my own target price for excelpoint is at least 1.2 after its 3q results are released. i wrote more about it here, can check it out  https://www.investingnote.com/posts/122225
Useful To Me  Not Useful To Me
junnies Member	09-Jun-2017 21:52        junnies About Contact  Quote this Post!
x 0   x 0  Alert Admin	negative cashflow and debt look worrying, but can be very simply explained. Excelpoint is borrowing heavily to grow its operations, and gives out half its earnings as dividends and reinvests the other half, whilst paying the minimal interest expense. look at its operating cashflow statements -> it is always borrowing to buy stock to expand its operations. knowing the above, is that good or bad? if you look at the rate of revenue growth vs the net profits of Excelpoint, its clear that using profits alone to expand would be very slow and insufficient. its revenue has been growing by 100m every year whilst its net profits has grown by only a few million in comparison. Excelpoint is an electronics distributor, hence its profit margins are small. to expand, it has to buy a big amount of stock to sell and if it only relies on net profits to expand, it will be very slow. so knowing the negative cash flow and debt, what should we look at to consider whether this sort of growth is healthy or unsustainable? very simply, look at how successful excelpoint has been growing its net profits from 2008 to 2010, its profit margins were affected by the 2008 financial crisis from 2011 to 2013, excelpoint began borrowing heavily to expand its operations and successful improved its net profits substantially. however, in the last quarter of 2014, China' s economy slowed down and Excelpoint' s profit margins were heavily affected, which depressed its net profits in 2014, 2015, and the first half of 2016. however, in the second half of 2016, Excelpoint profit margins quickly recovered along with its operating environment, and profit margins have recovered to the levels of 2011-2013, but net profits have grown as it has grown its revenue.. in 2017, the q1 results were again superb, and the excelpoint chairman is very positive clearly, excelpoint has recovered from its cyclical downturn in 2014-2016, and is ready to have an excellent fy 2017. a lot of this you can take my word for it or look through the annual report sheets yourself. so compare its rate of debt growth vs rate of revenue/net profit growth. in fy 2016, its ebitda was 4+, which is a very healthy interest expense/earning ratio for a growth stock. even during the cyclical downturn in 2014-2016, excelpoint still confidently borrowed plenty of money to expand its operationsm so that once profit margins recover, it reaps the rewards of its revenue growth. even during cyclical downturn, excelpoint still managed to turn profits and comfortably pay off its interest - clearly, it is using debt well to expand, and can easily pay the interest expense short of a unforeseen catastrophe. so, if you confirm the above story i have outlined yourself (not asking you to believe blindly, can dyodd to see if im talking nonsense), you can see that excelpoint now presents a turnaround + growth stock combination. after a steep surge to 70c, it retraced for awhile, but the retracement has ended and the share price is now 66c. furthermore, excelpoint traditionally gives out 50% of its earnings as dividends, so at the current price, you get a combination of turnaround + growth + dividend play. my own target price for excelpoint is at least 1.2 after its 3q results are released. i wrote more about it here, can check it out  https://www.investingnote.com/posts/122225
Useful To Me  Not Useful To Me
josephyeo Elite	09-Jun-2017 18:10        josephyeo About Contact  Quote this Post! Style: Fundamental
x 0   x 0  Alert Admin	Dividend of 2.5cts normal n 1.5 cts special were declared. Total - 4 cts per share. Therefore dividend yield is 6% on today' s closing price of 66 cts. mogambo      ( Date: 09-Jun-2017 15:51) Posted: Debt is 1.8 time equity but looks managable.... Everything looks good here for this under valued scrip , Price to book is at 0.765,, Price to Earning PE is at 6.7,,, Dividends Yield is at   3.8%,,,   ROE is at 11% for last 2 years, ... Revenues has grown 21%, EBITDA 60% , Net Income 67% Normalised EPS 56%, Common equity has diluted by 20% ... My only concern is why the Cash Flow is negative and showing more outflows   from 15 million in 2013 it has outgrown over a period to 67 million   negative... why?? anyone has the answers. NoNameAtAll      ( Date: 04-May-2017 10:22) Posted: Look at the DEBT too. Got profit but don' t do repayment of debt?
Useful To Me  Not Useful To Me
mogambo Senior	09-Jun-2017 15:51        mogambo About Contact  Quote this Post!
x 0   x 0  Alert Admin	Debt is 1.8 time equity but looks managable.... Everything looks good here for this under valued scrip , Price to book is at 0.765,, Price to Earning PE is at 6.7,,, Dividends Yield is at   3.8%,,,   ROE is at 11% for last 2 years, ... Revenues has grown 21%, EBITDA 60% , Net Income 67% Normalised EPS 56%, Common equity has diluted by 20% ... My only concern is why the Cash Flow is negative and showing more outflows   from 15 million in 2013 it has outgrown over a period to 67 million   negative... why?? anyone has the answers. NoNameAtAll      ( Date: 04-May-2017 10:22) Posted: Look at the DEBT too. Got profit but don' t do repayment of debt?
Useful To Me  Not Useful To Me
NoNameAtAll Member	04-May-2017 10:22        NoNameAtAll About Contact  Quote this Post!
x 0   x 0  Alert Admin	Look at the DEBT too. Got profit but don' t do repayment of debt?
Useful To Me  Not Useful To Me
josephyeo Elite	04-May-2017 09:56        josephyeo About Contact  Quote this Post! Style: Fundamental
x 0   x 0  Alert Admin	1st quarter is traditionally a low quarter for Excelpoint. With this excellent set of result, current year is likely to be their best of the last 5 years.   Dividend - there were 2 dividends declared last financial year, 2.5 cts normal n 1.5 cts special, giving a total of 4 cts per share. This gives a yield of around 6%.  on current price of 65.5 cts(date of posting)   To junnies - tks for your posting. Save me some works.
Useful To Me  Not Useful To Me
junnies Member	04-May-2017 09:30        junnies About Contact  Quote this Post!
x 0   x 0  Alert Admin	Excellent set of results released for Excelpoint yesterday. Excelpoint improved on Q1 2016 results by posting a 26.5% revenue increase and 61.6% net profit increase for Q1 2017. Comparing Q42016 to Q12017, although profit margins dipped, causing a decrease in net profit from 3.575m to 1.909m, revenue actually increased by 14m from 350 to 363 (slight rounding error converting from USD to SGD). what is truly impressive about excelpoint is its continued revenue growth. what i noticed about excelpoint' s profit margins are that because they are so low, a small fluctuation makes a big difference in their net profit, but excelpoint has managed to remain profitable even when their profit margins are the lowest.  when profit margins improve,coupled with the steady and consistent revenue growth, excelpoint' s earnings can suddenly explode and become truly superb. Also, its CEO and Chairman Albert Phuay had an optimistic outlook," The first quarter performance has demonstrated our business resilience amidst geopolitical and economic uncertainties. A positive first quarter economic growth in the countries that we operate in, especially China, gives us confidence in growing our business. Our focus segments remain strong and we see continued demand for our products. With infrastructure projects arising in emerging markets, coupled with our strong technical expertise, we are well-positioned to capture these opportunities. The Group will continue to explore new collaborations and relevant product lines to increase our product portfolio." At the point of this posting, share price of Excelpoint has surged up 4.85% to 0.65, giving it a current dividend yield of 3.85% with a P/E of 7. If revenue growth continues (almost guaranteed) and profit margins improve (very likely), coupled with the bullish outlook shared by the CEO/Chairman Albert Phuay, the share price of Excelpoint could surge quickly. Risks: Thin liquidity traded, profit margins could stagnate, high borrowings used to fuel growth 1. Improving Revenue 1Q' 16 - 288m 2Q' 16 - 329m 3Q' 16 - 417m 4Q' 16 - 350m Fy2016 - 1383536 1Q' 17 - 363m 3. Improving net profit: 1Q' 16 - 1185 2Q' 16 - 1,710 3Q' 16 - 3402 4Q' 16 - 3575 Fy2016 - 9874 1Q 17 - 1909
Useful To Me  Not Useful To Me
josephyeo Elite	03-May-2017 19:24        josephyeo About Contact  Quote this Post! Style: Fundamental
x 0   x 0  Alert Admin	Excelpoint reports another quarter of good results .. improved top n bottom line. Will post more later. josephyeo      ( Date: 22-Mar-2017 17:20) Posted: Closed at 70 cts, up 41% from date of post. Reached a high of 73 cts. Fyi. josephyeo      ( Date: 27-Feb-2017 16:48) Posted: Share with you my post on Excelpoint -   1. Improving topline: 1Q' 16 - 287,992 2Q' 16 - 328,358 3Q' 16 - 416876 4Q' 16 - 350308 Fy2016 - 1383536   2. Improving gross profit: 1Q' 16 - 16,644 2Q' 16 - 18,627 3Q' 16 - 21233 4Q' 16 - 20651 Fy2016 - 77156   3. Improving bottomline - net profit: 1Q' 16 - 1185 2Q' 16 - 1,710 3Q' 16 - 3402 4Q' 16 - 3575 Fy2016 - 9874   4. Trading below nta: Nta : 83.8 cts Current price : 49.5 cts   5. Excellent dividend: Company has been consistent in distributing dividends. The dividend varies from 2.5 cts per share to 4.0 cts per share. Current year total dividend declared is 4.0 cts. on price of 49.5 cts, it gives a yield of above 8%.   6. Low Valuation: On current price of 49.5 cts, the company has a PE of around 5x. With improving top and bottom line, the valuation will be lower.   7. Given the current trend in top and bottom and management optimism i believe the profit will be better for year 2017, barring unforseen circumstances and all things being equal.   Personally, am going for long hold. In the meantime, am look forward to the yearly lucrative dividends.   Please note .. this company is outside the radar of most people, its thinly traded, and there is often a gap between buy and sell price. This counter is not for punters or short term investors .. in my views.   This posting is not an encouragement to buy or sell. Its for sharing only.
Useful To Me  Not Useful To Me
josephyeo Elite	22-Mar-2017 17:20        josephyeo About Contact  Quote this Post! Style: Fundamental
x 0   x 0  Alert Admin	Closed at 70 cts, up 41% from date of post. Reached a high of 73 cts. Fyi. josephyeo      ( Date: 27-Feb-2017 16:48) Posted: Share with you my post on Excelpoint -   1. Improving topline: 1Q' 16 - 287,992 2Q' 16 - 328,358 3Q' 16 - 416876 4Q' 16 - 350308 Fy2016 - 1383536   2. Improving gross profit: 1Q' 16 - 16,644 2Q' 16 - 18,627 3Q' 16 - 21233 4Q' 16 - 20651 Fy2016 - 77156   3. Improving bottomline - net profit: 1Q' 16 - 1185 2Q' 16 - 1,710 3Q' 16 - 3402 4Q' 16 - 3575 Fy2016 - 9874   4. Trading below nta: Nta : 83.8 cts Current price : 49.5 cts   5. Excellent dividend: Company has been consistent in distributing dividends. The dividend varies from 2.5 cts per share to 4.0 cts per share. Current year total dividend declared is 4.0 cts. on price of 49.5 cts, it gives a yield of above 8%.   6. Low Valuation: On current price of 49.5 cts, the company has a PE of around 5x. With improving top and bottom line, the valuation will be lower.   7. Given the current trend in top and bottom and management optimism i believe the profit will be better for year 2017, barring unforseen circumstances and all things being equal.   Personally, am going for long hold. In the meantime, am look forward to the yearly lucrative dividends.   Please note .. this company is outside the radar of most people, its thinly traded, and there is often a gap between buy and sell price. This counter is not for punters or short term investors .. in my views.   This posting is not an encouragement to buy or sell. Its for sharing only.
Useful To Me  Not Useful To Me
7ocean Master	22-Mar-2017 13:57        7ocean About Contact  Quote this Post!
x 0   x 0  Alert Admin	NO $1 NO SELL.... DIVIDEND 4CTS
Useful To Me  Not Useful To Me
alexchew Master	22-Mar-2017 11:10        alexchew About Contact  Quote this Post!
x 0   x 0  Alert Admin	possible sale of company it seems from the movement. Also, i think big boss not so interested in running the biz, want to retire already.
Useful To Me  Not Useful To Me
jm2212 Master	22-Mar-2017 11:01        jm2212 About Contact  Quote this Post!   Mood:
x 0   x 0  Alert Admin	wow....very solid gain leh with low volume transacted...hold this since IPO donkey years agao :(
Useful To Me  Not Useful To Me
josephyeo Elite	20-Mar-2017 23:42        josephyeo About Contact  Quote this Post! Style: Fundamental
x 0   x 0  Alert Admin	Nice close at 60.5 cts today.
Useful To Me  Not Useful To Me
junnies Member	20-Mar-2017 06:39        junnies About Contact  Quote this Post!
x 0   x 0  Alert Admin	what i found discouraging about this stock is that its borrowings have consistently increased over the years without a consistent return in net profit growth. in 2011, its borrowings was 29.6, rev 489m, profit 4.7m. in 2016, its borrowings are 123m, rev 988m, profit 7.05m. doesn' t inspire any confidence in me that the management can leverage its borrowings into quality growth in profit margins and net profit.
Useful To Me  Not Useful To Me
josephyeo Elite	28-Feb-2017 16:38        josephyeo About Contact  Quote this Post! Style: Fundamental
x 0   x 0  Alert Admin	Historically, Excelpoint dividend is paid around month of May each year. Assuming the same payout for the present year and year 2018 and 2019, the dividends to be collected would be - year 2017 May - 4cts year 2018 May - 4 cts year 2019 May - 4 cts Total collected within 27 months ... 12cts. This implies that within a 27 months period you have a return of almost 25% on capital. (12cts / 49 cts x 100 = 24.5%) Currently company trading on a PE of around 5X.  Current dividend yield around 8%, which is among the highest in the market. Just sharing ..
Useful To Me  Not Useful To Me
josephyeo Elite	28-Feb-2017 00:05        josephyeo About Contact  Quote this Post! Style: Fundamental
x 0   x 0  Alert Admin	posted on Nextinsight alexchew      ( Date: 27-Feb-2017 16:51) Posted: where do you post other than nextinsight? Any personal blogs? josephyeo      ( Date: 27-Feb-2017 16:48) Posted: Share with you my post on Excelpoint -   1. Improving topline: 1Q' 16 - 287,992 2Q' 16 - 328,358 3Q' 16 - 416876 4Q' 16 - 350308 Fy2016 - 1383536   2. Improving gross profit: 1Q' 16 - 16,644 2Q' 16 - 18,627 3Q' 16 - 21233 4Q' 16 - 20651 Fy2016 - 77156   3. Improving bottomline - net profit: 1Q' 16 - 1185 2Q' 16 - 1,710 3Q' 16 - 3402 4Q' 16 - 3575 Fy2016 - 9874   4. Trading below nta: Nta : 83.8 cts Current price : 49.5 cts   5. Excellent dividend: Company has been consistent in distributing dividends. The dividend varies from 2.5 cts per share to 4.0 cts per share. Current year total dividend declared is 4.0 cts. on price of 49.5 cts, it gives a yield of above 8%.   6. Low Valuation: On current price of 49.5 cts, the company has a PE of around 5x. With improving top and bottom line, the valuation will be lower.   7. Given the current trend in top and bottom and management optimism i believe the profit will be better for year 2017, barring unforseen circumstances and all things being equal.   Personally, am going for long hold. In the meantime, am look forward to the yearly lucrative dividends.   Please note .. this company is outside the radar of most people, its thinly traded, and there is often a gap between buy and sell price. This counter is not for punters or short term investors .. in my views.   This posting is not an encouragement to buy or sell. Its for sharing only.
Useful To Me  Not Useful To Me
alexchew Master	27-Feb-2017 16:51        alexchew About Contact  Quote this Post!
x 0   x 0  Alert Admin	where do you post other than nextinsight? Any personal blogs? josephyeo      ( Date: 27-Feb-2017 16:48) Posted: Share with you my post on Excelpoint -   1. Improving topline: 1Q' 16 - 287,992 2Q' 16 - 328,358 3Q' 16 - 416876 4Q' 16 - 350308 Fy2016 - 1383536   2. Improving gross profit: 1Q' 16 - 16,644 2Q' 16 - 18,627 3Q' 16 - 21233 4Q' 16 - 20651 Fy2016 - 77156   3. Improving bottomline - net profit: 1Q' 16 - 1185 2Q' 16 - 1,710 3Q' 16 - 3402 4Q' 16 - 3575 Fy2016 - 9874   4. Trading below nta: Nta : 83.8 cts Current price : 49.5 cts   5. Excellent dividend: Company has been consistent in distributing dividends. The dividend varies from 2.5 cts per share to 4.0 cts per share. Current year total dividend declared is 4.0 cts. on price of 49.5 cts, it gives a yield of above 8%.   6. Low Valuation: On current price of 49.5 cts, the company has a PE of around 5x. With improving top and bottom line, the valuation will be lower.   7. Given the current trend in top and bottom and management optimism i believe the profit will be better for year 2017, barring unforseen circumstances and all things being equal.   Personally, am going for long hold. In the meantime, am look forward to the yearly lucrative dividends.   Please note .. this company is outside the radar of most people, its thinly traded, and there is often a gap between buy and sell price. This counter is not for punters or short term investors .. in my views.   This posting is not an encouragement to buy or sell. Its for sharing only.
Useful To Me  Not Useful To Me
josephyeo Elite	27-Feb-2017 16:48        josephyeo About Contact  Quote this Post! Style: Fundamental
x 0   x 0  Alert Admin	Share with you my post on Excelpoint -   1. Improving topline: 1Q' 16 - 287,992 2Q' 16 - 328,358 3Q' 16 - 416876 4Q' 16 - 350308 Fy2016 - 1383536   2. Improving gross profit: 1Q' 16 - 16,644 2Q' 16 - 18,627 3Q' 16 - 21233 4Q' 16 - 20651 Fy2016 - 77156   3. Improving bottomline - net profit: 1Q' 16 - 1185 2Q' 16 - 1,710 3Q' 16 - 3402 4Q' 16 - 3575 Fy2016 - 9874   4. Trading below nta: Nta : 83.8 cts Current price : 49.5 cts   5. Excellent dividend: Company has been consistent in distributing dividends. The dividend varies from 2.5 cts per share to 4.0 cts per share. Current year total dividend declared is 4.0 cts. on price of 49.5 cts, it gives a yield of above 8%.   6. Low Valuation: On current price of 49.5 cts, the company has a PE of around 5x. With improving top and bottom line, the valuation will be lower.   7. Given the current trend in top and bottom and management optimism i believe the profit will be better for year 2017, barring unforseen circumstances and all things being equal.   Personally, am going for long hold. In the meantime, am look forward to the yearly lucrative dividends.   Please note .. this company is outside the radar of most people, its thinly traded, and there is often a gap between buy and sell price. This counter is not for punters or short term investors .. in my views.   This posting is not an encouragement to buy or sell. Its for sharing only.
Useful To Me  Not Useful To Me

                                                         First   < Newer   281-299 of 299   Last