OneApex    Last:0.295   -

Eps 33c nav 61c....share price only 25c

eggs cracked~ :p

 

Probably ssh take profit

 

Wow drop 11% in one day. Insider trading. 

 

Wow drop 11% in one day. Insider trading. 

 

The new asset ie chicken farm..at today top property/land prices cant be cheap..

 

If they buy a new asset, the difference is the new asset is worth a lot more than the book value of the old asset since it was revalued. The new asset with higher technology could also mean more production, more earnings. With the same multiple, higher valuations. Will need more information to determine the company worth purely on business, hopefully value accretive. 

 

If they buy a new asset, the difference is the new asset is worth a lot more than the book value of the old asset since it was revalued. The new asset with higher technology could also mean more production, more earnings. With the same multiple, higher valuations. Will need more information to determine the company worth purely on business, hopefully value accretive. 

 

If they buy a new asset, the difference is the new asset is worth a lot more than the book value of the old asset since it was revalued. The new asset with higher technology could also mean more production, more earnings. With the same multiple, higher valuations. Will need more information to determine the company worth purely on business, hopefully value accretive. 

 

They sell their asset but now they also need to relocate....and/or buy new asset... net net ...no change actually

 

For Chew' s group, I don' t think using PE alone is the right way to determine if the stock is cheap or not. As some of you have correctly pointed out that the earnings are distorted due to 1 time asset disposal which will not be recurring in the future. However, with that being said the asset disposed was sold at a price which was higher than the book value when it was initially purchased which was not reflected in the stock price. This has thus been reflected  as cash in the company books which we will need to consider to better value the worth of the group.

To calculate the company using asset play. The recurring income of Chew' s group is 2mil from its operations. Using a conservative approach to value the business at 10 PE, this gives us 20mil for this part of the business. In addition to the 43mil of cash that the company holds, this gives us a total of 20+43 = 63mil. At $0.60 which the shares is trading today, the market capitalisation is standing at $50.7mil. This represent 24% upside potential of the stock.

Using asset play to value can be likened to buying a wallet with $10 inside and paying $5 for it. You could use the cash inside the wallet to pay for the purchase and likewise have some extra cash. Likewise anyone who  have bought the whole company could use the $43mil cash to pay the shareholders to offset some of the cost. 

2 cents worth. Have accumulated some stocks in this counter.
 

 

????

 

Die lah.   Once a company is the targetted one for a share transaction, it gives me a spooky feeling that if the transaction is successful, our shares will be shorted like no tomorrow just like QTV which says " it is good for the company" . Can anyone imagine that it is good for a company?

Demostation      ( Date: 21-Aug-2017 16:08) Posted: Wow it seems that some party wants share transaction with the company.   Please don' t   germ or gem or opporunists who are interested to borrow the shares. Then headache lor.

 

Wow it seems that some party wants share transaction with the company.   Please don' t   germ or gem or opporunists who are interested to borrow the shares. Then headache lor.

 

i am keeping til end of 2017

 

If you sell tomorrow, possibly you' ll get a second spring later on.

It' s going to fluctuate a little until the deal firm up.

(Just an opinion only)

tcshares      ( Date: 10-Aug-2017 17:42) Posted: as usual, this counter creeps up quietly....nice move...

 

as usual, this counter creeps up quietly....nice move...

 

Haha, going up today

 

not bad

 

here it goes again!

 

No problem.. just my opinion only from my years of observation

seesong89      ( Date: 27-Jul-2017 08:49) Posted: ah i see... ok i learnt something new today! Thanks! nqing87      ( Date: 26-Jul-2017 18:13) Posted: There's a saying "cash is king".. nav may not be that accurate indicator to see if a counter is undervalue.. if u observe, there are tonnes of counters trading far below nav and continue to be in this way.. such as counters in the property sector and oil/gas.. the assets can sometimes be re-value, such as cases in oil/gas sector where many counters have to do write-off and provisions and the nav drop.. and the assets may not be actually liquidable when it comes to the case where u need money for cash flow.. look at swiber and some oil/gas counters that declare chp 11.. their nav is high, but whether they can turn this assets into cash to repay debt is another thing.. but cash is cash.. so normally the share price will eventually move accordingly to the amt of cash sitting.. the only counter which i see so far which share price is trading much below cash sitting for prolong period is creative.. but creative is a special case i think cos it keeps making losses and market is factoring in future performancr into the share price.. if u also observe, there are counters such as the telecom sector which is trading way above its nav.. companies that run on light asset model will also be facing low nav.. so nav can only be just a rough guide.. have to look at many other factors such as p/e ratio (present/future), debt, cash sitting, sector sentiment, dividend etc.