Best World

Best World - After touching the low of $1.17 on 14th Feb 2018 , it has since stage on a strong recovery and rises higher to touch $1.90 on 19th Mar 2018, this is rather bullish.

It is now on a uptrend mode and is looking positive to continue to trend higher.
The current price of $1.84 has bounce-off from the lower Trend Line of this uptrend mode direction. This is rather positive. The price is also staying above all the Moving Average of 20,50,100 & 200.
Looking good to rise to re-attempt the recent higher of $1.90. We will need a strong volume to drive the share price higher and cross the immediate resistance of $1.90 smoothly in order to scale higher.

Not a call to buy or sell.
dyodd.

Best World International Limited develops, manufactures, and distributes skincare, personal care, nutritional, and wellness products. The company operates through Direct Selling, Export, and Manufacturing/Wholesale segments. It offers inner harmony products, including Avance for digestive health, circulatory health, natural resistance, rejuvenation, and oral care; and Optrimax weight management products. The company also provides outer harmony products, such as DR’s Secret range of products for complexion; Miraglo that removes impurities on the skin surface; Aestier for wrinkles, fine lines, and loss of firmness; and PentaLab personal care products. In addition, it offers lifestyle harmony products comprising ÜberAir, a series of air-enhancing equipment. Further, the company manufactures and distributes the Aurigen line of supplements through drugstores. It operates in Singapore, Thailand, Taiwan, Indonesia, Malaysia, Vietnam, Hong Kong, China, Korea, the Philippines, Myanmar, and Dubai. Best World International Limited was founded in 1990 and is headquartered in Singapore.

From the Financial results for past 5 years , we can notice that the Total Revenue has been increasing at an amazing speed of $41.08m in 2013 to a high of $220.87m in 2017. An increase of almost 5.4 times of the total revenue being achieved in 2013. Wow! What a spectacular performance.

Next in line, we can see that the Net Income has also been greatly improved at a higher magnitude of CAGR of 700% from $1.43m in 2013 to $55.67m in 2017. This is a superb turnaround with outstanding achievement.

The dividend paying out has also been generally increased from 0.001 cents to 4.1 cents. Although the dividend yield is quite low, but this is considered a growth counter and i think the share price may rise faster than the dividend yield.

The company is on a net net position as can be seen that the Total current assets of 171.974m is more than sufficient to cover the total liabilities of 63.047m.

The Ops cash flow has achieved with a great healthy performance of 0.712m generated in 2013 to a high of  57.211m in 2017.  Net change in Cash has also been doing well from 5.03m in 2013 to a high of 24.26m. 

Return of Assets and Return of Equity has been greatly enhanced from single digits grow to a double digit grow.
Net income margin has staged a strong improvement from 3.57% to a high of 25.21%.

Rolling EPS of 10.1 cents, PE of 18.7 times , Nav of 0.235 . 

For a growth counter , i would roughly pack the average PE of 22-25 times.
if base on PE 22 times - Target Price would be $2.20.
If base on PE 25 times - Target Price would be $2.50.

Best World - The best is yet to be..


Do take note that if there is any change in market condition may affect the price going forward.


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