Sponsor by Innity

Sponsor by cwyeoh

Sponsor by Nuffnang

Thursday, February 17, 2011

KLCI Stock - SAPCRES / 8575 - 2011 Quarter 3

Company Info
Market Capital (Capital Size)4,596,200,812 (Large)
Par ValueRM 0.20

My Analysis
Forecast P/E now(3.6-0.07)/0.1892 = 18.66 (High)
Target Price3.22+0.07 = 3.29 (PE 17.0, EPS 0.1892, DPS 0.07)
DecisionNOT BUY unless price around 3
Revenue third consecutive quarter largely increasing but still slightly lower than preceding year corresponding quarter, eps third consecutive quarter increasing and also higher than preceding year corresponding quarter, reduced negative free cash flow and negative net cash flow, low liquidity ratio, very high gearing ratio, high receivables and payables period, contract increasing, marine services division remaining loss
First Support Price3.3
Second Support Price3.0

Research House
CIMB Target Price3.95 (2011-01-04)
ECM Target Price4.2 (2011-01-17)
AMMB Target Price4.4 (2011-01-27)
Maybank Target Price3.8 (2011-01-27)
MIDF Target Price3.95 (2011-01-27)

Accounting Ratio
Return on Equity13.60%
Dividend Yield1.94%
Profit Margin9.86%
Tax Rate7.89%
Asset Turnover0.7809
Net Asset Value Per Share0.82
Net Tangible Asset per share0.7
Price/Net Tangible Asset Per Share4.07
Cash Per Share0.54
Liquidity Current Ratio1.2504
Liquidity Quick Ratio1.2158
Liquidity Cash Ratio0.3282
Gearing Debt to Equity Ratio2.3697
Gearing Debt to Asset Ratio0.631
Working capital per thousand Ringgit sale17.2%
Days to sell the inventory10
Days to collect the receivables222
Days to pay the payables243

My notes based on 2011 quarter 3 report (number in '000):-
- Revenue increased from RM898.1 million in the preceding quarter to RM1.015 billion mainly due to higher revenue from the Installation of Pipeline and Facilities (“IPF”) division

- Profit before tax however decreased from RM112.8 million in the second quarter to RM100.1 million in the current quarter mainly due to lower contribution from drilling and lower activities in the marine services division

- Revenue for the current quarter of RM1.015 billion was marginally lower compared to last year's corresponding quarter of RM1.024 billion mainly due to lower activities in the marine services division, mitigated by higher activities in IPF

- Profit before tax decreased from RM115.5 million to RM100.1 million mainly due to a weaker USD affecting drilling division’s financial performance and the lower activities in marine services division

- Estimate next 4Q eps after 2011 Q3 result announced = 0.043*4*1.1 = 0.1892, estimate PE on current price 3.6 = 18.66(DPS 0.07)
- Estimate next 4Q eps after 2011 Q2 result announced = 0.0417*4*1.05 = 0.1751, estimate highest/lowest PE = 16.22/12.79 (DPS 0.07)
- Estimate next 4Q eps after 2011 Q1 result announced = 0.1345(maintain same eps as year 2010 due to revenue decreased but profit increased), estimate highest/lowest PE = 17.77/15.54 (DPS 0.07)
- Estimate next 4Q eps after 2010 Q4 result announced = 0.1345*0.95 = 0.1278, estimate highest/lowest PE = 19.09/14.08 (DPS 0.07)
- Estimate next 4Q eps after 2010 Q3 result announced = 0.0422*4*0.8 = 0.135, estimate highest/lowest PE = 18.67/15.48 (DPS 0.06)
- Estimate next 4Q eps after 2010 Q2 result announced = 0.0414*4*0.9 = 0.149, estimate highest/lowest PE = 16.71/11.01 (DPS 0.06)

SAPCRES latest news (English)

SAPCRES latest news (Chinese)

No comments:

Post a Comment