SWN wrote: Results are indeed very good and propose 2 cents final dividend, still trading below net asset value of 32.6 cents. Could it be the next privatisation candidate?
Even if is slightly above NAV, it is still ok with the 2 cts dividend. Moreover, I went in hoping for delisting offer. According to filing with SGX, the latest shareholding in the hands of the main directors is more than 86% if I remember correctly.
Hai Leck an integrated service provider of scaffolding, corrosion prevention, thermal insulation, refractory, fireproofing, general civil engineering services, civil industrial construction & maintenance in the oil, gas and chemical supporting businesses.
Hai Leck is debt free and free cash holding of more than S$60 million as compare to market cap of S$120m. Hai Leck 1H profit increased by 23% from S$5.67 millions to S$7 millions.
Hai Leck at 30 cents CD is trading at prospective PE of less than 10x. If S$60 million cash, take that off its market cap of S$120 m, and you get S$60m. So its business is being valued at $60 million, or less than 5x earnings. That makes it cheap and don't forget, every year it can generate more free cashflow and zero debt.
Hai Leck last year paid 2 cents dividend. This year 1H it declare 1 cents dividend. If it will to pay final dividend of 2 cents, that give dividend yield of 10%.
With regards to QE3 tapering, Hai Leck is an attractive stock.
Had a look and everything seems fine with regards to business model, financial condition etc. However, only factor that will hold me back is the new warrant issue. Company's PUC is already enlarged with previous warrant issuance and will now go up again.
With considerable cash in its coffer, why are they doing this?. Food for thought.
Hai Leck an integrated service provider of scaffolding, corrosion prevention, thermal insulation, refractory, fireproofing, general civil engineering services, civil industrial construction & maintenance in the oil, gas and chemical supporting businesses.
Hai Leck is debt free and free cash holding of more than S$60 million as compare to market cap of S$120m. Hai Leck 1H profit increased by 23% from S$5.67 millions to S$7 millions.
Hai Leck at 30 cents CD is trading at prospective PE of less than 10x. If S$60 million cash, take that off its market cap of S$120 m, and you get S$60m. So its business is being valued at $60 million, or less than 5x earnings. That makes it cheap and don't forget, every year it can generate more free cashflow and zero debt.
Hai Leck last year paid 2 cents dividend. This year 1H it declare 1 cents dividend. If it will to pay final dividend of 2 cents, that give dividend yield of 10%.
With regards to QE3 tapering, Hai Leck is an attractive stock.
My last post on Hai Leck on 15/2/2014, it was trading at 30 cts. Today it has increase to 37 cents on high volume. Out of 1870 lots done today, more than half are done at 37 cents.
Hai Leck in 5 months has increase by more than 20%. With 1H dividend of 1 cent plus warrant value of about 3 cents (warrent 1 for 2) Hai Leck gain is about more than 35%.
Hai Leck full year result will be on 26/8/2014 and I am expecting full year dividend of 2 cents.
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