Tai Sin – What really matters in a Stock ( Hidden gem?!?!)

Happy 2017 everyone

Founded in 1980 (36 years of experience) | Manufacturing, Distribution & Services | Operates in Singapore, Malaysia, Vietnam, Brunei & Indonesia |

I’ll be using ISDN Holding as a fair comparison (In terms of years and market cap)

1)  IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED.

  • Price to book ratio : 0.976 (2.4% undervalued of its actual value)
  • Price to earning ratio :  6.728 (Industry standard harder to determine as alot of numbers are not provided)

2)  LEARN ABOUT THEIR NUMBERS

  • Debt To Equity : 18.184 (Worst than ISDN 8.216)
  • Growth Performance : 15.90% ( Better than ISDN – Negative growth of 5.73%)
  • Current Ratio : 3.027 (ISDN is at 1.921)
  • Cash flow per share : 0.0671 ( Paying $0.37/share)
  • Good management ability ( Constant dividend growth | Positive net income/gross profit margin | positive cash flow)screen-shot-2017-01-03-at-6-43-42-pmscreen-shot-2017-01-03-at-6-43-37-pm
    Screen Shot 2017-01-03 at 6.47.17 pm.jpg

    Sgxcafe.com

    3) TECHNICAL ANALYSIS

    Screen Shot 2017-01-03 at 7.02.37 pm.jpg

    Sgfinance.com – Max Chart

    Market has current upward trend as it continues to make higher highs and higher lows. As of now, market is testing 2015 high of $0.39. If market manages to break that level, there will be a higher chance for market to continue its current trend.

    screen-shot-2017-01-03-at-7-02-44-pm

    Sgfinance.com – 1 Year Chart

    In this chart, market is consolidating (signs of momentum building ) before moving stock price to the right level. Similarly to the overall yearly chart, stock is making CLEAR higher highs and lower highs. Key level is currently at $0.355-0.36.

4) WOULD I BE VESTED?

Yes (I’m already actually)…. why? it has a bigger market cap than ISDN, greater experience and it looks more financially sound. Additionally, current stock price looks reasonable for me to enter.

Article for your read:

“+1 Knowledge point”

“+1 P.I”

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