For QE1/3/2017, YeeLee's net profit dropped by 48% q-o-q or 47% y-o-y to RM6.2 million while revenue was mixed - down 8% q-o-q but up 6% y-o-y - to RM268 million. Revenue dropped q-o-q due to lower sales of beverages, Campbell's products and palm-based products. This led to a drop in profits. (The result was announced on May 31.)
Table: YeeLee's last 8 quarterly results
Graph: YeeLee's last 44 quarterly results
YeeLee (closed at RM2.49 last friday) is now trading at a PE of 11.9 times (based on last 4 quarters' EPS of 20.93 sen). At this PER, YeeLee is deemed quite attractive for a well-diversified group with large exposure to consumer spending.
YeeLee is in a long-term uptrend which is well-supported by either its 10-month SMA line at RM2.50 or its 20 or 30-month EMA lines at RM2.20-2.30.
Chart 1: YeeLee's monthly chart as at Jun 2, 2017 (Source: Chartnexus)
Yeelee has a strong support from its horizontal line at RM2.43.
Chart 2: YeeLee's weekly chart as at Jun 2, 2017 (Source: Chartnexus)
Despite the weaker financial performance, YeeLee is a good stock to hold for long-term investment based on attractive valuation & positive technical outlook.
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