ISOTeam (“ISO”) caught my attention. Despite sitting on a record order book, ISO has tumbled approximately 44% from an intra-day high of $0.385 on 10 Apr 2018 to close near a four year low at around $0.215 on 10 Jan 2019. The share price decline was attributable in part to its 4QFY18 surprise loss announced in Aug 2018 (financial year ends in Jun). Nevertheless, my gut feel is that 4QFY18 should mark the trough in earnings and results should improve on a quarter on quarter basis in the next few quarters.
This post was originally posted here. The writer is a veteran community member and blogger on InvestingNote, with username known as el15, with more than 200+ followers.
As this company is a potential turnaround play, I have arranged a 1-1 meeting with Mr Anthony Koh, Executive Director and Chief Executive Officer and Mr Richard Chan, General Manager (collectively, “Management”) last month. First, a description of ISO…
Description of ISO
ISO has grown from a company doing repairs and redecoration (“R&R”) & addition and alteration (“A&A”) projects in 2014 (when I first met them) to a multi-disciplinary company which provides complete solutions to the built environment. See Figure 1 below for its business segments.
Fig 1: ISO complete solutions provider
Key takeaways from the meet-up
1.4QFY18 loss was due to several factors, some of which are unlikely to be repeated
ISO reported a 4QFY18 net loss of S$2.0m in Aug 2018. Overall, FY18 net profit dropped 71% from S$6.4m in FY17 to S$1.9m in FY18. This drop was mainly attributable to the following factors, some of which are likely to be one off: …
The revised cooling measures implemented in the middle of 2018 has finally pushed Q418 sales to a dip since Q217. It was only slightly down by 0.1% quarter on quarter and most of the decline was mainly due to landed sales so in all essence the demand for private property is still pretty buoyant.
With the introduction of the new cooling measures, which coincides along with the increase in tandem in interest rates, it brings the share price of City Development (CDL) down from the 52 week high of $13.6 to the last closing price of $8.08. (Jan 4th 2019)
This post was originally posted here. The writer is a veteran community member and blogger on InvestingNote, with username known as 3Fs, with more than 1,300+ followers.
That is a very sharp decline and if you are an investor who buys at the peak and it can get very painful to see your portfolio colored in a patriotic sea of red.
But is there value now in the company after such a steep decline?
Cooling Measures In This Decade
For years since post gfc days when the first cooling measures was introduced in 2011, the demand for private property and residential has been pretty stable and moving. It never for once dent the expectations of the public that property prices are going to come down because of the measures put in place. …
This post was originally posted here. The writer is a veteran community member and blogger on InvestingNote, with username known as KennyChia, with 200+ followers.
The recent 40+% sell-down of Sunpower caught my attention as it has always been on my watchlist due to its strategic positioning in the “Green” China economy. Upon further research, it seems that the event-driven selldown had nothing to do with the fundamentals of the company, which in fact were improving (increasing order book size, earnings, and operating cash flows). In order to keep this post brief, I have attached useful sources below that goes into detail the long-term investment merits of Sunpower as well as the recent events that transpired.
The Event – America 2030 Capital
In summary, Guo Hongxin (Founder & Executive Chairman) and Ma Ming (Executive Director), made personal loans by collateralizing their Sunpower shares (approx 1.89% of Sunpower’s total issued shares). The lender is America 2030 Capital. However, the collateral was allegedly forfeited as they had breached terms in the loan contract (this is currently being disputed between borrower and lender). Hence, America 2030 Capital took control of the collateralized Sunpower shares and supposedly sold in the open market, which caused the sell down.
Guo and Ma then obtained an interim injunction to prevent America 2030 “from selling or otherwise dealing in company shares which were used as collateral for personal loans”. They also “lodged a report with the Commercial Affairs Department of the Singapore Police Force over the loan agreement with America 2030”. …
This post was originally posted here. The writer is a veteran community member and blogger on InvestingNote, with username known as SmallCapAsia.
With a higher than average tolerance for risk, I’m a big fan of growth shares and you’ll find a number in my portfolio.
I’m looking at adding a couple more to my portfolio in the near future and three that I’m considering are listed below.
#1 United Global Limited (SGX: 43P)
United Global Limited is an independent lubricant manufacturer and trader providing a wide range of high quality and well-engineered lubricants.
The company produce their own in-house lubricant brands such as “United Oil”, “U Star Lube”, “Bell 1”, “HydroPure” and “Ichiro” as well as manufacturing lubricants for third-party principals’ brands.
United Global Limited serves clients mainly from the automotive, industrial, and marine industries. To date, the company has a wide distribution network covering over 30 countries.
Source: United Global Limited Annual Report 2017
United Global Limited revenue has been moving in sideways in the past 5 years. Despite that, its bottom line growth has delivered spectacular results. From FY2013 to FY2017, the company’s revenue was hovering around USD 100 million. …
Top 11 Things Every Investor Must Know (before they really start stock investing).
Just to provide some context on why we decided to create this infographic; over the weekend, we attended the SGX’s My First Stock Carnival, held at Vivocity. This carnival was attended by many people who’re interested to start their investing journey.
This is a carnival meant for helping both the young and old to get started on investing in their first stock.
We also presented on how Fintech can help speed up the learning journey of a budding investor. Most investors do fundamental analysis (FA) for their stock selection criteria. There’s also global macro analysis which is essential in letting investors know about the overall sentiments of the stock market.
So, to help more people to increase their financial and investment literacy, we’ve created an infographic about the Top 11 Things Every Investor Must Know (before they start stock investing). …
All listed companies on SGX are mandated to report their financial performance periodically. Every quarter, companies must report their financial performance using a structured set of 3 financial statements. The financial statements adhere to international accounting standards and the local Singapore reporting standards have very similar formats making it easy for investors to review.
We decided contribute to the InvestingNote community with an educational piece to demystify the 3 financial statements.
When read with begin with A…B…C…, when we sing with begin with Do… Re…Me…
That at least how the song lyrics go.
But when we want to understand and assess the financials of a stock, we need to begin with the 3 financial statements, namely:
Balance Sheet (or Statement of Financial Position)
Income Statement (or Profit/Loss Statement)
Cash Flow Statement
Financial statements are reported based on time periods. By reviewing the 3 financial statements, investors are able to deduce the financial position of the business and how its financials have changed over time. …
For the first session of the talk, Executive Director & Deputy CEO of Oxley Holdings Limited, presented their current projects from various countries including UK. The management is very confident that the debt level will be reduced significantly moving forward and is very positive with future sales.
Our CEO, Shanison Lin was the second speaker. He shared with the audience his personal experience on how to use InvestingNote platform to catch the trending discussion stocks for the uptrend.