For QE30/11/2017, Pantech's net profit dropped 14% q-o-q but rose 57% y-o-y to RM10 million while its revenue unchanged q-o-q but rose 58% y-o-y to RM157 million. Net profit dropped q-o-q mainly due to the trading mix and foreign exchange currency loss.
Table: Pantech's last 8 quarterly results
Graph: Pantech's last 44 quarterly results
Pantech (closed at RM0.635 last Friday) is now trading at a PE of 10 times (based on last 4 quarters' EPS of 6.37 sen). Dividend yield is decent at 3.9%. At these multiples, Pantech is priced fairly for a stock in the O&G sector where recovery is progressing slowly.
Pantech is in a large trading range, with a slight upward biasness. However, it is in an intermediate uptrend line, with support at RM0.63.
Chart 1: Pantech's monthly chart as at Jan 26, 2018 (Source: Malaysiastock.biz)
Chart 2: Pantech's daily chart as at Jan 26, 2018 (Source: Malaysiastock.biz)
Based satisfactory financial performance, fair valuation and mildly bullish technical outlook, Pantech is a good stock for long-term investment.
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