CEI CONTRACT MFG: Climbing to 5-year high (while stocks are crashing)!

THERE'S BLOOD on the streets but you wouldn't know it from looking at CEI Contract Manufacturing's share price performance.

CEI is at a 5-year high! It's currently trading at 57 cents.

CEI chart2.16 CEI (57 cents) at a 5-year high. Chart: Bloomberg.
The Group serves customers from a diverse range of market segments. These include analytical instruments, medical equipment, semi-conductor equipment, oil and gas industries, aviation and displays for industrial applications.

The reasons underlying the stock price gains became more evident this morning when the company announced its full-year FY15 results -- and a big hongbao dividend.

» Net profit jumped 110.5% to S$10.8 million.

» The second and final dividend is kept unchanged at 0.4 cents a share but the special dividend soared 161% from 1.84 cents to 4.8 cents.

That totals 5.2 cents, translating into a yield of 9.1% on the share price of 57 cents. Longer-term holders of the stock would have enjoyed another whopper dividend given out with the interim 1HFY2015 results of 4.8 cents a share.

Thus, the total for FY15 is a grand 10 cents a share (post-consolidation of shares).

TanKahuat5.15 Tan Ka Huat, MD. NextInsight photo.For more on the FY15 results, see the announcement on the SGX website.

Investors who caught on to CEI's story when it was highlighted last year in a NextInsight article have one of our readers, Wei, to thank for.

Aside from the hefty dividends, there is a capital gain of about 35% since it was published.

Read his article: "5 Reasons I Invest in CEI CONTRACT MANUFACTURING"

Counter Name	Last	Change
AEM Holdings	2.350	-0.010
Best World	2.460	-0.010
Boustead Singapore	0.965	-
Broadway Ind	0.129	-
China Aviation Oil (S)	0.920	-
China Sunsine	0.415	-
ComfortDelGro	1.490	-0.010
Delfi Limited	0.890	-0.015
Food Empire	1.270	-
Fortress Minerals	0.310	-
Geo Energy Res	0.305	-0.005
Hong Leong Finance	2.490	-
Hongkong Land (USD)	3.040	-0.030
InnoTek	0.525	-
ISDN Holdings	0.310	-
ISOTeam	0.041	-
IX Biopharma	0.043	-
KSH Holdings	0.250	-
Leader Env	0.051	-
Ley Choon	0.046	-
Marco Polo Marine	0.065	-0.001
Mermaid Maritime	0.140	-0.001
Nordic Group	0.310	-0.030
Oxley Holdings	0.089	-
REX International	0.137	-
Riverstone	0.820	-
Southern Alliance Mining	0.445	-
Straco Corp.	0.500	-
Sunpower Group	0.210	-
The Trendlines	0.069	-
Totm Technologies	0.022	-
Uni-Asia Group	0.825	-
Wilmar Intl	3.480	-
Yangzijiang Shipbldg	1.760	-0.020

Counter Name

Last

Change

AEM Holdings

2.350

-0.010

Best World

2.460

-0.010

Boustead Singapore

0.965

Broadway Ind

0.129

China Aviation Oil (S)

0.920

China Sunsine

0.415

ComfortDelGro

1.490

-0.010

Delfi Limited

0.890

-0.015

Food Empire

1.270

Fortress Minerals

0.310

Geo Energy Res

0.305

-0.005

Hong Leong Finance

2.490

Hongkong Land (USD)

3.040

-0.030

0.525

0.310

0.041

0.043

0.250

0.051

0.046

0.065

-0.001

Mermaid Maritime

0.140

-0.001

Nordic Group

0.310

-0.030

Oxley Holdings

0.089

REX International

0.137

Riverstone

0.820

Southern Alliance Mining

0.445

0.500

0.210

0.069

0.022

0.825

3.480

1.760

-0.020

Comments

#2 Catguo 2016-03-17 05:18

I had no idea about this stock 4 days ago. I dig it out by entering 6-7 criterias such as p/e,margins into a stock screener. I brought 59000 shares straight away.i was still a bit scared as I can hardly find any news about CEI. Now I feel relieved after seeing some articles about CEI on this site.Thank you!

#1 Axel 2016-02-02 11:00

Good pick, and so far so good. The orderbook is a little lower now than end-2014 and the Q is can the dividends be sustained? Such a high yield of nearly 20% is definitely a yummy treat. Any visibility on this?

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CEI CONTRACT MFG: Climbing to 5-year high (while stocks are crashing)!

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