CHEUNG WOH TECH

Quote\' 1. STI gains 0.3% to 2,988.49 at closing (The Daily Edge/Business) ... gained 0.6% to $6.94. Cheung Woh Technologies (CWM SP), a supplier of components for hard disk drives, climbed 3.4% to 46 cents. The company said it is proposing a one-for-five bonus share sale. ... Friday, 23 April 2010 2. SIAS Research maintained \'increase exposure\' rating on Cheung Woh Technologies (Investing/Brokers Call) SIAS Research in an April 23 research report says: \"CWM’s stellar performance in both revenue and earnings impressed us. Particularly, net profit grew over 200% due to mounting revenue, operating efficiency ... Friday, 23 April 2010 Expect Cheung Woh to declare the 1 for 5 shares bonus this coming June. That represent some 20% CD based on the closing price.

Good set of results for year ended Feb 10. Cheung Woh\'s net profit was up 200%. I think it\'s trading at about 5X PE this current year, which is abt the same as MAP Technology and Broadway. So which one is better?

If they are trading at the same valuation, broadway should be better. As Broadway is the bigger company, Broadway should trade at a higher PE compared to Cheung Woh and Map. Note: I am vested in Broadway.

Long time I havent followed this Cheung Woh stock but had it in the back of my mind somewhere... Seems like NextInsight is starting coverage of CW with this article
CHEUNG WOH TECH: FY2011 revenues up 21.9% at S$151 million
Anyone got insights into this company's potential???

Company announced tonight: The financial results of the Group for the Third Quarter are expected to show a significant decline as compared to the previous quarter ended 31 August 2011. The performance of the HDD segment has been severely affected by the floods in Thailand as announced in our announcement on 25 October 2011. In addition, the Group has recorded a substantial foreign exchange loss due to the capital reduction of Tysan Corporation Pte Ltd, a subsidiary of the Company, in the Third Quarter.

1. Whooooo.... negative result. But why has the company been doing consistent share buyback?

2. Is the company looking beyond 3Q and even 4Q for a turnaround? Is the present setback a temporary one and its performance will normalise in due course next year? Cheung Woh is indeed trading at close to 52-week lows. However, in the worst of times, in March 2009, it was going for just 7 cents.

My broker told me, every day there's a blockade at 18 cents, like now 100 lots waiting to buy at 18 cents. It has to be Cheung Woh share buyback programme waiting to absorb any selling at that price. This is the kind of positive action that I like to see -- it shows the management's confidence in the prospects of the company at a time when the market sentiment is negative.