Tuesday, October 23, 2012

TAS- a shipbuilder with a positive technical outlook

TAS Offshore Bhd ('TAS') is a small company involved in shipbuilding & ship repair. Its main markets are Malaysia and Singapore. For QE31/82012, it reported a net profit of RM2.7 million on a revenue of RM17.8 million (go here for more). Its annualized EPS would be about 6.2 sen. At RM0.485, the stock is trading at a PE of 8 times, which is relatively expensive for a small cap.Its Price to Book is about 0.6 time (based on NTA of RM0.80 as at 31/8/2012) & it has a dividend yield of 3%.

Chartwise, the stock seems to have broken above its bottoming phase last week when it broke above the horizontal resistance at RM0.45. With this breakout, the stock can slowly climb to test its next few resistance at RM0.55, RM0.60 & RM0.70.

Based on technical consideration, TAS could be a good stock for a medium-term investment/trade. A good entry level is at RM0.45.

Chart: TAS's weekly chart as at Oct 23, 2012_3.00pm (Source: Quickcharts)

In addition to the disclaimer in the preamble to my blog, I hereby confirm that I do not have any relevant interest in, or any interest in the acquisition or disposal of, TAS.

1 comment:

luckystock2 said...

Hi Alex ,
Can you share your opinion on Waseong's fundamental and technical outlook ?