04-06-2015, 08:24 PM
Become vested in this stocks last week with 40lots after computing that the conservative liquidation value is $0.20 and its consistent and sustainable dividend.
04-06-2015, 08:24 PM
05-06-2015, 10:03 AM
do not follow this as closely but based on preliminary glance (correct me if I am off), it seems:
1) Market Cap is $32.7m. Cash on hand is $18m with no debt i.e. 55% of the company is worth cash,
2) Means company is trading at only 4X EV/EBITDA now
3) investment industrial property at 7 & 9 Harrison Road (near Tai Seng, Goodpack used to occupy some parts of this building) that is carried at $19.6m on its balance sheet, fully paid up. Occupancy should be in the 90% region.
4) Fair value of property is estimated to be $35m as of 31 Mar 2014. Even if we take a 40% discount to RNAV of the property which is super aggressive, it means the property should be worth at least $21m (pretty close to the NBV).
5) Being conservative, this means that Cash+Property is worth $39m. If we value the existing business at $0, this could potentially mean the company is trading at 20% discount currently at least (not factoring illiquidity discount)
Anyone has further insights on 7&9 Harrison Road?
Cheers.
1) Market Cap is $32.7m. Cash on hand is $18m with no debt i.e. 55% of the company is worth cash,
2) Means company is trading at only 4X EV/EBITDA now
3) investment industrial property at 7 & 9 Harrison Road (near Tai Seng, Goodpack used to occupy some parts of this building) that is carried at $19.6m on its balance sheet, fully paid up. Occupancy should be in the 90% region.
4) Fair value of property is estimated to be $35m as of 31 Mar 2014. Even if we take a 40% discount to RNAV of the property which is super aggressive, it means the property should be worth at least $21m (pretty close to the NBV).
5) Being conservative, this means that Cash+Property is worth $39m. If we value the existing business at $0, this could potentially mean the company is trading at 20% discount currently at least (not factoring illiquidity discount)
Anyone has further insights on 7&9 Harrison Road?
Cheers.
(18-04-2015, 10:39 AM)BlueKelah Wrote: [ -> ]The property is good as an asset backing which provides income and company does not need to pay rent for office space saving on rental overhead.
The financial report is also very simple, with just simple standard items and unlikely to be wrongly/fradulently reported by any accounting company big or small.
Fair value or not for properties should not be such a concern as the value will be there. Most importantly, for such a small cap, is that property asset + the cash of 50% per share provides reassurance that come another financial crisis, it won't face danger of going kaput, unlike other overleveraged company.
In the end its just a matter of waiting, for OPMI who wanna invest, for either a rebound in business(pretty unlikely) or a realization of asset value by some sales or further investment using available cash pile.
Do note in last report, other than cash of 16m+, the other major non-current asset is 19.5m property(yielding 3.9%) and 8.6m investment securities(yielding 5%+). The current distributorship side business is running at breakeven. There is no debt on balance sheet.
Market cap stands at 31m now so buying P.D could be seen as paying for an investment portfolio of property and shares yielding about 4%+ with a side of free cash. Plenty of margin of safety. If you looking for growth then look elsewhere.
Dividend yield (now 5.5%) has historical stability and though arguably not completely sustainable if we extrapolate the earnings from first half, there is still plenty of cash to distribute over next few years until distribution business picks up, or management could redeploy the cash during market downturn for more dividend income. There is no need for a cut in dividend as the company has good yielding property and securities as mentioned above contributing to the bulk of the payout.
P.D may not be in the property business as management claims but it definitely is looking more and more like an investment holding company now
-v-
05-06-2015, 02:10 PM
05-06-2015, 03:19 PM
15-07-2015, 09:52 PM
16-07-2015, 08:50 AM
(15-07-2015, 09:52 PM)theasiareport Wrote: [ -> ]Anyone heading to the AGM next week?
I'm likely going next week as an observer
16-07-2015, 10:16 AM
(16-07-2015, 08:50 AM)secretinvestors Wrote: [ -> ](15-07-2015, 09:52 PM)theasiareport Wrote: [ -> ]Anyone heading to the AGM next week?
I'm likely going next week as an observer
what shall we expect from the AGM? Maybe someone should ask the management how they going to deploy the cash-pile on the balance sheet?
16-07-2015, 12:52 PM
16-07-2015, 03:25 PM
(16-07-2015, 10:16 AM)desmondxyz Wrote: [ -> ](16-07-2015, 08:50 AM)secretinvestors Wrote: [ -> ](15-07-2015, 09:52 PM)theasiareport Wrote: [ -> ]Anyone heading to the AGM next week?
I'm likely going next week as an observer
what shall we expect from the AGM? Maybe someone should ask the management how they going to deploy the cash-pile on the balance sheet?
There will not be much progress as PM Data has been the same co since listing in mid 90s. Only thing that they did right was to have benefited from asset inflation and their sole ind bldg.
17-07-2015, 06:19 AM
Ask them about capital allocation and also to be more aggressive on shareholder buybacks.
(16-07-2015, 03:25 PM)greengiraffe Wrote: [ -> ](16-07-2015, 10:16 AM)desmondxyz Wrote: [ -> ](16-07-2015, 08:50 AM)secretinvestors Wrote: [ -> ](15-07-2015, 09:52 PM)theasiareport Wrote: [ -> ]Anyone heading to the AGM next week?
I'm likely going next week as an observer
what shall we expect from the AGM? Maybe someone should ask the management how they going to deploy the cash-pile on the balance sheet?
There will not be much progress as PM Data has been the same co since listing in mid 90s. Only thing that they did right was to have benefited from asset inflation and their sole ind bldg.