Thursday, May 4, 2017

Know Your Stocks - How Expensive is Apex Mining Co. Inc, (APX) fundamentally based from their Dec 2016 Annual Report?

Apex Mining Company, Inc. (APX) was incorporated on February 26, 1970 primarily to carry on the business of mining, milling, concentrating, converting, smelting, treating, preparing for market, manufacturing, buying, selling, exchanging and otherwise producing and dealing in gold, silver, copper, lead, zinc brass, iron, steel and all kinds of ores, metals and minerals. The Company's operation is situated in the municipalities of Maco and Mabini, Compostela Valley.

In February 2012, the Company unveiled Apex 3000, the project which was created to help expand the Company's current processing capacity of 850 tons per day (TPD) to 3,000 TPD by the end of 2013. However, In December 2013, the Board of APX approved a new, more realistic expansion program considering the ore deposit at the underground mines in Maco, Compostela Valley, which will increase the capacity of Maco Mines from 850 TPD to 1,500 TPD. The Company's mine produces bullion containing gold and silver, all of which are smelted in Hongkong through Heraeus Limited.

On September 11, 2014, the Board approved the purchase of Monte Oro Resources & Energy, Inc. (MORE). MORE owns Paracale Gold Ltd. which, through a subsidiary, owns a mineral processing plant in Camarines Norte and 40% of Bulawan Mineral Resources Corporation; among others.

On June 24, 2015, the Company acquired 98% of the total outstanding capital stock of Itogon-Suyoc Resources (ISRI). ISRI is a holder of four Patented Mineral Claims and owns the mill and production facilities in Sangilo. Itogon, Benguet.






As of May 03, 2017, APX was last traded price at PHP 1.88, one of the top gainers with an 18.24% increase from the last traded price. The current market price is 2.44 times higher compare to their recorded book last December 2016. Not yet expensive for most value investor since a PBV of more than 3 is considered expensive.

In terms of P/E, the company recorded a trailing P/E of 31.33 meaning, for every 1PHP earning last 2016, investors of this company are willing or is paying 31.33Php. With a 31.33 P/E and with growth rate of 500% from 2015 to 2016, the company trailing PEG ratio would only be 0.06 which means, investors of this company are paying 31.33Php for every 1Php income last 2016 for a 500% growth rate from 2015 to 2016, quite a bargain if based on this parameter. A fair valued stock usually has PEG ratio of 1 meaning, what you are paying for that earning- the P/E is equivalent to the growth rate- increase in EPS.

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Wednesday, May 3, 2017

Know Your Stocks - How Expensive is CEB fundamentally based from their Dec 2016 Annual Report?

Cebu Air, Inc. (CEB), which is an airline company that operates under the trade name "Cebu Pacific Air," was incorporated on August 26, 1988. The Company was granted a 40-year legislative franchise to operate international and domestic air transport services in 1991. CEB commenced its scheduled passenger operations in 1996 with its first domestic flight from Manila to Cebu. International operations began in 2001 with flights from Manila to Hong Kong.

CEB pioneered the "low fare, great value" strategy in the local aviation industry. In 2005, the Company adopted the low-cost carrier (LCC) business model, whose strategy is to offer affordable air service to passengers.

On March 20, 2014, CEB acquired 100% ownership of Tiger Airways Philippines, including a 40% stake in Roar Aviation II Pte. Ltd., a wholly-owned subsidiary of Tiger Airways Holdings Limited.

CEB currently operates a fleet of 55 aircraft which comprises of eight Airbus A319, 33 Airbus A320, eight ATR 72-500, and six Airbus A330 aircrafts. It operates its Airbus aircraft on both domestic and international routes.

As of December 31, 2015, the Group operates an extensive route network serving 56 domestic routes and 41 international routes with a total of 2,685 scheduled weekly flights. It operates from
seven hubs located in Pasay City, Metro Manila; Lapu-Lapu City, Cebu; Clark, Pampanga; Davao City, Davao del Sur; Ilo-ilo City, regional center of western Visayas region; and Kalibo, Aklan.

As of May 02, 2017, CEB was last traded price at PHP 109.90, this is just 1.99 times higher compare to their recorded book last December 2016, not expensive yet for most value investor since a PBV of more than 3 is considered expensive.

In terms of P/E, the company recorded a trailing P/E of 6.83 meaning, for every 1PHP earning last 2016, investors of this company are willing or is paying 6.83Php only. With an 6.83 P/E and with growth rate of 122.38% from 2015 to 2016, the company trailing PEG ratio would only be 0.06 which means, investors of this company are paying 6.83Php for every 1Php income last 2016 for a 122.38% growth rate from 2015 to 2016. A fair valued stock usually has PEG ratio of 1 meaning, what you are paying for that earning- the P/E is equivalent to the growth rate- increase in EPS.

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Monday, May 1, 2017

Know Your Stocks - How Expensive is MEG fundamentally based from their Dec 2016 Annual Report?

Megaworld Corporation was incorporated on August 24, 1989 to engage in the development of large scale, mixed-used planned communities or townships that integrate residential, commercial, leisure and entertainment components. The Company is also engaged in other property-related activities such as project design, construction oversight and property management. On August 19, 1999, the Company changed its corporate name to the present one to coincide with its conversion from a purely real estate company into a holding company, although MEG continues to focus on its core competence in real estate development.

MEG's real estate portfolio includes residential condominium units, subdivision lots and townhouses, condominium-hotel projects as well as office projects and retail spaces. Since its incorporation in 1989, the Company and its subsidiaries and associates have launched approximately 371 residential buildings, office buildings and hotels consisting in aggregate of more than 6,786,146 square meters of floor area.

As of December 31, 2015, the Company's subsidiaries and associates include Empire East Land Holdings, Inc.; Global-Estate Resorts, Inc.; Suntrust Properties, Inc.; Paseo Center Building Administration, Inc.; Richmonde Hotel Group International Limited; Bonifacio West Development Corporation; Suntrust Home Developers, Inc.; and Palm Tree Holdings & Development Corporation.

As of April 27, 2017, MEG was last traded price at PHP 4.06, this is just 1.03 times higher compare to their recorded book last December 2016, not expensive yet for most value investor since a PBV of more than 3 is considered expensive.

In terms of P/E, the company recorded a trailing P/E of 11.60 meaning, for every 1PHP earning last 2016, investors of this company are willing or is paying 11.60Php. With an 11.60 P/E and with growth rate of 12.90% from 2015 to 2016, the company trailing PEG ratio would be 0.90 which means, investors of this company are paying 11.90Php for every 1Php income last 2016 for a 12.90% growth rate from 2015 to 2016. A fair valued stock usually has PEG ratio of 1 meaning, what you are paying for that earning- the P/E is equivalent to the growth rate- increase in EPS.

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