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Tuesday, March 20, 2018

Memtech

Memtech - from TA point of view, it is still on a uptrend mode patterns and may likely continue to trend higher! It had a good run from $1.23 on 8th Feb 2018 to touch the high of $1.92 on 13th Mar 2018. Looks rather bullish !
Currently, it is taking a breather after hitting the high of $1.92 and close lower at $1.77 today.
Look for the market confirmation to drive the price higher to re-test the recent high of $1.92 . Breaking out of $1.92 with ease + good volume that may propel to drive the price higher to $2.00 and above.
Not a call to buy or sell.
dyodd




Memtech International Ltd., an investment holding company, manufactures and sells mold, rubber, and plastic components for automotive, industrial and medical, mobile communications, and consumer digital products. The company offers rubber parts; decorative plastics comprising car key fobs, logos, plating rings, audio and temperature control panels, cluster application products, and infotainment panels; and light guide plates, car revolving buttons and keypads, emergency and car buttons, electron shells, steering buttons, hand break lifters, and power window buttons. It also provides TV remote controls and control keypads, gaming controllers, light guide panels, routers, router panels and shells, speakers, and wearable devices; industrial PDA’S, barcode scanners, and blood glucose meters; antennas, mobile antenna casings, window lens products, metal dome and light guide films, and mobile and waterproof housings; and single and double shot, electroforming, and other tooling products. In addition, the company engages in the trade of electronic products; and manufacture of medical equipment and related packaging materials; and production of translucent lens for flash light in mobile phones, as well as touch screen panels. Memtech International Ltd. was incorporated in 2003 and is based in Singapore.

NAV $1.171, Rolling EPS 14.4 cents, PE 21.3 times.. Dividend of 5.5 cents, yield of 3.1% base on current price of $1.77 per share.








From the Past financial results, we are able to see that the diluted EPS as been generally increasing from -1.1 cents (2013 ) to 7.3 cents on 2017.  A vast improvement of CAGR of 50%. Looks promising.

Net Income has generally increasing from the low of -4.8 ( 2013 ) versus 18.8 m( 2017) . A big turn-around as compare to the loss of -$4.8M 4 years ago. 


Return of Assets has been improving from a negative -0.25%(2013) versus +4.78% on 2017.

Return of Equity -3.96% (2013) versus 11.96%(2017)

Looking further into the Balance Sheets items , we can notice that the company is in a Net Net position as it Current Assets ($191.198) is able to cover the total Liabilities ($80.321).



Cash flow Operations is also looking rather healthy that saw its amount increase from $11.09M versus $16.41m(2017).

Net change in Cash also witnessed the healthy grow of $2.75m to $10.08M.

quote : 
CIMB has a price target of $1.76 which is based on 12 x FY19F P/E ( above regional peer's of PE 11.4X).

UOB Kh has a price target of $1.43

It seems that the current price is trading at a premium level and trader/investor might want to take note of this and trade with extra cautious!


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