For QE31/3/2015, Unisem's NP rose 11% q-o-q or 154% y-o-y to RM23.5 million while was mixed- down 2% q-o-q but up 23% y-o-y to RM280 million. The company attributed the higher net profit for the current quarter to the improved gross profit margin as a result of product mix change and higher utilization rates. In addition, Unisem's bottom-line was boosted by gain on disposal of assets of RM2 million in one of its foreign subsidiaries.
The directors expect the performance of the Group to
continue to improve for the second quarter till the end of the financial year
with increasing demand seen for our products and services in the smartphone and
automotive market segments.
Table: Unisem's last 8 quarterly results
Chart 1: Unisem's last 42 quarterly results
Unisem (closed at RM2.43 yesterday) is now trading at a PE of 20 times (based on annualized FY14E EPS of 12.26 sen). At this multiple, Unisem is deemed fairly valued.
Technical Outlook
From Chart 2, we can see that Unisem has been in an uptrend for the past 15-16 months. Its immediate resistance levels are RM2.60 & RM3.00.
Chart 2: Unisem's monthly chart as at Apr 28, 2015 (Source: ShareInvestor.com)
Conclusion
Based on improving financial performance & bullish technical outlook, Unisem remains a good stock for long-term investment. Since it is trading at a PE of 20 times, its upside will be limited.
Note:
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, Unisem.
No comments:
Post a Comment