hahahahaha...maybe the management is getting fed up too with the non-action of Action Asia stock!!! Have just declared a 0.5 cents dividend out of the blue. Half-year didnt want to declare anything, now 3Q declare surprise 0.5 ct.
Anyway, kudos to the management cos the business is doing excellently well. If only, they know how to generate a higher profile among investors. PE of 3X is absurd!
Yes this stock looks dirt cheap & good - but 3Q is not going to be repearted in 4Q, which is typically a slower period quarter on quarter when the shipments have largely been put to sea for the Christmas season.
Still, Action Asia has done very well and its stock price should be something like 35 cents - not 21 cents.
Yes, low PE of only about 3X this year's earnings....
Management is inactive about promoting the investment merits of the stock, although management holds a significant stake. Maybe to them it makes little difference whether their holding is worth a lot more or less, since they are in the business for the long term and have no intention to sell out or raise funds for the business.
Beyond the quarterly reports & press releases, Action Asia has done little - any roadshow to meet analysts & fund managers? Any media coverage?
The low profile explains a lot why the stock is undervalued .... Investors will have to wait for some catalyst to re-rate the stock, which in the meantime looks like having minimal downside risks and promises at least a decent dividend (1 cent last year, which is 5% yield if you buy at 21 cents currently)
Yes, pity no strong effort by the company to promote the investment merits of the stock.
But looking at the size of the buy queue at 20.5 cents, I am sure there is accumulation going on.
688 lots buy at 20.5 cents, and 32 queueing to sell at 21 cents.
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