SING HOLDINGS is set to soar when its Punggol EC proves to be a winner soon. People are expecting this EC to be a resounding success. Sing Holdings @ 49 cents is a bargain.
A LEADING instant coffee player in Russia and Eastern Europe, a China-oriented aluminium maker and a semiconductor company paying a 10 per cent dividend were among 30 companies highlighted by small-cap specialist DMG & Partners Research yesterday.
These companies either have undervalued assets, promising prospects in fast-growing industries, or high market shares in niche industries, DMG said in this year's edition of its book Top Singapore Small Cap Companies: 30 Jewels.
DMG head of research Terence Wong, speaking at The Fullerton Hotel where clients met the management of some of these companies, said: "If the small-cap company spikes up, even if I like the company, I will sell the stock. You must know when to board the train, and when to alight from it."
Smaller listed companies often fall under the radar of institutional investors and can reap the highest percentage returns for investors once they are deemed undervalued by the market.
DMG said Food Empire (target price $0.84), a food and beverage company in Russia and Eastern Europe, will benefit from falling raw material prices.
Aluminium alloy maker Midas Holdings (target $0.75), with a two-thirds market share in China's train carriage segment, has the potential to attract many orders amid a positive outlook for China's railway industry. And semiconductor company UMS Holdings (target $0.71) is paying an attractive dividend of around 10 per cent while generating strong cash flow, DMG said.
Other companies it named included consumer plays Eu Yan Sang and Sino Grandness, construction sector plays Lian Beng Group, Tiong Woon and Yongnam Holdings, Indonesian property developer Sinarmas Land, and oil and gas companies Ezion Holdings, Kreuz Holdings, Nam Cheong and Mencast Holdings.
China Railway Investment Corp, a wholly funded company established by the now defunct Ministry of Railways, recently announced seven tenders for passenger trains and freight wagons worth tens of billions of yuan, the Beijing Times reported Wednesday.
These are the first batch of public tenders to be announced since the reform of the previous Ministry of Railways in March, when its responsibilities were transferred to the Ministry of Transport and China Railway Corp.
The report said that the total value of the public tenders of China Railway Corp this year is expected to top 100 billion yuan ($16.34 billion). The public tenders for bullet trains, which have been halted for over two years, are also expected to be resumed soon.
Geo Energy may be a good bet at this price (37.5 cents) if coal price has bottomed & starts to recover. It's very close to where JIM ROGERS bought a short while back.
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