Rowsley Ltd – What really matters in a Stock
“Rowsley Ltd., an investment holding company, engages in the diversified real estate business in Singapore, Malaysia, the United Kingdom, the People’s Republic of China, the Middle East, and internationally. The company’s Property Development and Investment segment engages in the development and construction of development property for sale and investments; and the holding and management of investment properties. Its Architectural, Engineering and Town-Planning segment provides architectural, master planning, urban design, civil and structural, and mechanical and electrical engineering services, as well as interior design and project management services. The company’s Hospitality segment is involved in the hotel operation and management activities. Its Investments segment holds investments in equity securities, as well as provides management services. The company also provides consulting engineering services. Rowsley Ltd. was founded in 1950 and is based in Singapore.” – SGX
Comparison will be with Kingsmen Creatives (5MZ)
1) IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED.
- Price to book ratio : 1.275 (27.5% Above fair value) | 1.023
- Price to earning ratio : – ( Below industry standard – 29.09) |9.027
2) LEARN ABOUT THEIR NUMBERS
- Debt To Equity : 28.65% | 9.4%
- Growth Performance : – 1%| -6.81%
- Dividend Yield : -Doesn’t give out-| 3.41%[ 5 years]
- Current Ratio : 1.897 |1.688
- Book Value per share : 0.0863
- Cash Flow per share : -0.0122
- Poor management ability ( 0 dividend growth | Neg net profit margin | Neg Net Income | overall Neg cashflow within its business)
3) Technical Analysis
Price action on the monthly chart seem to have formed a head and shoulder pattern with a bearish strength characteristic. Look at the huge sell off at $0.2, it might be a squeeze play by institutional traders. A live market order would have a 1:0.4 RR.
4) Would I be vested into this?
Nope, numbers are obviously very questionable, technical shows alot of big dirty players in this stock pair (is a good thing) but it doesn’t give me a good RR ratio for an entry. This stocks requires a thorough research on the company strength and it ability to be sustainable in a longer time frame.
Personal thought: What is the company really doing with all its asset? – Its a really big comapny