ComfortDelGro – What really matters in a Stock

Opps. I forgot to post yesterday

Passenger land transportation company | Started in 1970 | Operate in 7 Countries ?! (UK, Singapore, China, Australia, Malaysia, Ireland,Vietnam)

1)  IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED.

  • Price to book ratio : 2.406 (140% above premium)
  • Price to earning ratio : 17.98 (Under performing compared to industry standard of 25)

2)  LEARN ABOUT THEIR NUMBERS

  • Debt To Equity : 15.319 ( Very low reliance on financing for growth)
  • Growth Performance : 5.08
  • Current Ratio : 1.276 (Ability to liquidate in peace)
  • Cash flow per share : 0.3563 ( You’re paying $2.6)
  • Above average management ability ( Increasing Dividend payout | Stable growth in net income – with increasing payout ratio| But still incurring losses on their investment – reducing)screen-shot-2016-10-31-at-8-40-13-amscreen-shot-2016-10-31-at-8-40-03-am

Technical Analysis

Market short-term trend is still trending to the bear (down) side, if market breaks the 2.6-2.5 zone, Market have a stronger probability to trend down longer. But if market reverse and break the zone of 3 – 3.15, Market might indicate a strong sign of reversal to the bull (Up) Side.

All in all, Comfortdelgro has good financial statement that I would want to be invested into it…But not at a price where the it’s overvalued…. But you will never know… with SMRT getting privatised…hmmm… What would you do??

“+1 Knowledge point”

“+1 Future PI”

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