For QE31/3/2017, MPI's net profit dropped 21% q-o-q but rose 11% y-o-y to RM43 million while revenue dropped 1% q-o-q but rose 12% y-o-y to RM396 million. PBT dropped q-o-q due to lower revenue & unfavorable forex differences. Revenue dropped as revenue in Asia and European segments were flat while revenue in USA segment dropped by 6%.
Table: MPI's last 8 quarterly results
Graph: MPI's last 41 quarterly results
MPI (closed at RM11.84 yesterday) is now trading at a trailing PER of 12.7 times (based on last 4 quarters' EPS of 93 sen). At this PER, MPI is deemed fairly attractive. Its dividend yield is also decent at 2.3%.
MPI has a strong rally to RM12.00 in the past 3 months. The volatile price movement in the past few weeks suggests that the share price could have made a temporary top.
Chart: MPI's weekly chart as at April 18, 2017
Based on good financial performance & reasonable valuation, MPI is a good stock for long-term investment. However the stock could have made a temporary top after a strong rally over the past 3 months. Thus you may consider taking profit for at least half your position in this stock.