Share Tip for November - 2

PMETAL 8864

Why PMETAL?

Share Issued ：509，351，877
Market Cap   : 1,202,070,429.72
Par Value: 0.50

FYE: 31/12/2012
Recorded net profit: 191.035million
Net Asset per Share: 2.57
Earning Per Share: 41.75 sens
P/E Ratio : 6.29

SUMMARY OF KEY FINANCIAL INFORMATION 30/06/2013

		INDIVIDUAL PERIOD		CUMULATIVE PERIOD
		CURRENT YEAR QUARTER	PRECEDING YEAR CORRESPONDING QUARTER	CURRENT YEAR TO DATE	PRECEDING YEAR CORRESPONDING PERIOD
		30/06/2013	30/06/2012	30/06/2013	30/06/2012
		$$'000	$$'000	$$'000	$$'000
1	Revenue	795,343	522,385	1,519,586	1,047,446
2	Profit/(loss) before tax	26,848	23,978	62,168	56,744
3	Profit/(loss) for the period	22,821	20,915	49,899	47,082
4	Profit/(loss) attributable to ordinary equity holders of the parent	20,041	19,229	45,287	41,842
5	Basic earnings/(loss) per share (Subunit)	3.95	4.37	8.91	9.51
6	Proposed/Declared dividend per share (Subunit)	0.00	1.00	0.00	1.00
		AS AT END OF CURRENT QUARTER		AS AT PRECEDING FINANCIAL YEAR END
7	Net assets per share attributable to ordinary equity holders of the parent ($$)	2.5800		2.4700

Reason to choose PMetal

1. PMetal had recorded a revenue and profit increment based on 30/6/2012. Therefore the Financial Year End forecast to be recorded grow of 10% in the revenue and profit.

2. As at FYE 2012, Pmetal consist of RM 261 million cash in the hand. Therefore the every share consist of net cash 51 cents. 

3. Low PE Ratio, High Cash in Hand and High Net Asset price had been the attractive point to invest in this share with the current share price is at RM 2.40.

4. The largest shareholder of the company continue acquire own share in the market.

5. Ability to announce Special Dividend

6. Proposal on Dispose 20% equity of Press Metal Bintulu Sdn Bhd worth in Cash 140.49 million USD.

Conclusion

Target Price: RM 3.20