KLCI Stock - KAF / 5096 - 2011 Quarter 4

Company Info

Market Capital (Capital Size)	178,800,000 (Small)
Par Value	RM 1.00

My Analysis

Forecast P/E now	(1.49-0.075)/0.1426 = 9.92 (High)
Target Price	1.14+0.075 = 1.22 (PE 8.0, EPS 0.1426, DPS 0.075)
Decision	Not interested unless revenue and profit exclude other income increase more
Comment	Revenue decreased 31% but higher than preceding year corresponding quarter 5.8%, eps decreased 91% and is second consecutive quarter decreasing and also lower than preceding year corresponding quarter 92.5%, no cash generated from operating due to receivables largely increased however disposal from financial assets managed to cover all expenses, stronger liquidity ratio at low level now, lower gearing ratio at above moderate level now
First Support Price	1.4
Second Support Price	1.36
Risk Rating	MODERATE

Accounting Ratio

Return on Equity	8.21%
Dividend Yield	10.07%
Profit Margin	12.23%
Tax Rate	60.92%
Asset Turnover	0.0846
Net Asset Value Per Share	1.93
Net Tangible Asset per share	1.91
Price/Net Tangible Asset Per Share	0.76
Cash Per Share	1.76
Liquidity Current Ratio	1.9836
Liquidity Quick Ratio	1.9836
Liquidity Cash Ratio	0.9684
Gearing Debt to Equity Ratio	0.943
Gearing Debt to Asset Ratio	0.485
Working capital per thousand Ringgit sale	563.7%
Days to sell the inventory	-
Days to collect the receivables	2098
Days to pay the payables	2690

My notes based on 2011 quarter 4 report (number in '000):-
- Lower pbt due mainly to lower other operating income and higher staff expenses

- Estimate next 4Q eps after 2011 Q4 result announced = 0.1584*0.9 = 0.1426, estimate PE on current price 1.49 = 9.92(DPS 0.075)
- Estimate next 4Q eps after 2011 Q3 result announced = 0.1953*0.85 = 0.166, estimate highest/lowest PE = 8.58/7.74 (DPS 0.075)
- Estimate next 4Q eps after 2011 Q2 result announced = 0.1819*1.05 = 0.191, estimate highest/lowest PE = 7.72/6.73 (DPS 0.075)
- Estimate next 4Q eps after 2011 Q1 result announced = 0.1806*1.05 = 0.1896, estimate highest/lowest PE = 7.94/6.99 (DPS 0.075)
- Estimate next 4Q eps after 2010 Q4 result announced = 0.1729*0.9 = 0.1556(10% drop due to assets decreased), estimate highest/lowest PE = 9.03/7.49 (DPS 0.075)
- Estimate next 4Q eps after 2010 Q3 result announced = 0.0443(average from recent 3 quarter)*4 = 0.1772, estimate highest/lowest PE = 7.93/6.35 (DPS 0.075)
- Estimate next 4Q eps after 2010 Q2 result announced = 0.2262, estimate highest/lowest PE = 6.26/5.11 (DPS 0.075)
- Estimate next 4Q eps after 2010 Q1 result announced = 0.2184, estimate highest/lowest PE = 6.8/4.97 (DPS 0.075)

KAF latest news (English)

KAF latest news (Chinese)