- Opus Asset Management , a fixed income asset management company
- Pan Asia Capital Management Ltd, a Pan-Asian private equity
- Sakura Management Ltd, a private equity business
Recent Financial Results
From the table & chart below, we can see the sharp rise in the top-line & bottom-line of Geshen in the past 2 quarters.
Table: Geshen's last 11 quarterly P&L account
Chart 1: Geshen's last 11 quarterly P&L account
Geshen's financial position as at 30/9/2015 is deemed adequate, with current ratio at 1.5 times while gearing ratio is slightly elevated at 0.8 times.
Geshen (closed at RM1.46 on November 8) is now trading at a PER of 9.2 times (based on last 4 quarters' EPS of 15.8 sen). Based on this, Geshen is deemed fully valued for a medium-cap stock. However, if the company can maintain its last 2 quarterly earnings going forward, its full-year earning can come to 25 sen. On that basis, its forward PER could be at a fairly attractive 5.8 times.
Geshen has rallied substantially from RM0.20 in early 2014 to nearly RM1.50 today. After such a long rally, the only way to get into the stock is on pullback towards the 10-week SMA line at RM1.00. However, that may not happen anytime soon.
Chart 2: Geshen's weekly chart as at Nov 8, 2015 (Source: Share Investor)
Chart 3: Geshen's monthly chart as at Nov 8, 2015 (Source: Share Investor)
Based on exciting prospects and good financial performance for past 2 quarters, Geshen is a stock worth tracking for long-term investment.
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, Geshen.