26-05-2022, 05:36 AM
Last trading at HKD 1.39
WO was low PE, high yield, with high payout ratio for most of the time in the past years,
http://www.aastocks.com/en/stocks/analys...mbol=01161
and only recently started to focus on growth, aggressively opening new outlets, expanding service area, and made an acquisition of the struggling competitor Millistrong in June 2021.
Results of the new, fast growth strategy were already visible in the past year with:
EPS HKD 0.25
HKD DIV 0.22
https://www1.hkexnews.hk/listedco/listco...001532.pdf
The 1st half was also covid19 plagued, but still produced EPS HKD 0.087, the 2nd half result was a massive HKD 0.16.
This result may be further increased with recent expansions, potentially turning Millistrong as profitable as the rest of the group, a reopening boom, government handouts, and the closure of some competitors.
Insiders (management) bought in March & April,
https://di.hkex.com.hk/di/NSAllFormList....&g_lang=en&
while Mrs. Lai Yin Ling sold some more in January. She has been selling for years
https://www.wateroasis.com.hk/wp-content...0420_e.pdf
Water Oasis will report half year tomorrow, and due to extended Covid19 closures, the results may be poor. That may be a good entrance point.
The main story will be told in the outlook of the half year report, another point to pay attention is, how quickly & at what cost they manage to restore their workforce, which has been idled in the past months, and some of them probably may have found jobs elsewhere.
WO was low PE, high yield, with high payout ratio for most of the time in the past years,
http://www.aastocks.com/en/stocks/analys...mbol=01161
and only recently started to focus on growth, aggressively opening new outlets, expanding service area, and made an acquisition of the struggling competitor Millistrong in June 2021.
Results of the new, fast growth strategy were already visible in the past year with:
EPS HKD 0.25
HKD DIV 0.22
https://www1.hkexnews.hk/listedco/listco...001532.pdf
The 1st half was also covid19 plagued, but still produced EPS HKD 0.087, the 2nd half result was a massive HKD 0.16.
This result may be further increased with recent expansions, potentially turning Millistrong as profitable as the rest of the group, a reopening boom, government handouts, and the closure of some competitors.
Insiders (management) bought in March & April,
https://di.hkex.com.hk/di/NSAllFormList....&g_lang=en&
while Mrs. Lai Yin Ling sold some more in January. She has been selling for years
https://www.wateroasis.com.hk/wp-content...0420_e.pdf
Water Oasis will report half year tomorrow, and due to extended Covid19 closures, the results may be poor. That may be a good entrance point.
The main story will be told in the outlook of the half year report, another point to pay attention is, how quickly & at what cost they manage to restore their workforce, which has been idled in the past months, and some of them probably may have found jobs elsewhere.