Excel – http://1drv.ms/1yeFjSl
Notes – http://tinyurl.com/pqmyptm
- 5-Y DCF:
- Good Scenario: 0.58 (Fair value uncertainty: VERY HIGH)
- Base Scenario: 0.52 (Fair value uncertainty: EXTREME)
- Bad Scenario: 0.46 (Fair value uncertainty: EXTREME)
- Ugly Scenario: 0.42 (Fair value uncertainty: EXTREME)
- At current price (0.665), based on RDCF, assumption of FCFF growth rate in the next 5 years is 14.8%.
- Absolute EY%:
- FY14 (EPS: 0.034) – Fair value 0.56 (Fair Value Uncertainty: VERY HIGH)
- R4Q (EPS: 0.042) – Fair value 0.69 (Fair Value Uncertainty: HIGH)
- FY15 (EPS: 0.038) – Fair value 0.63 (Fair Value Uncertainty: VERY HIGH)
- FY16 (EPS: 0.043) – Fair value 0.7 (Fair Value Uncertainty: HIGH)
- EPS applied to reach the current stock price (0.665): 0.04
- 5-Y DCF:
- FY14 FCFF is negative because higher capex.
- This is another good stock, but I am just not sure about its growth drivers because Malaysia market in stock trading is not as big as US/Europe. There are only handful of stock broking firms in Malaysia.
- I will move EFORCE to the Research List, and may revisit EFORCE if this company has new products or business direction.
Latest Financial – Q4 2014 Financial Report (24 Feb 2015) http://www.bursamalaysia.com/market/listed-companies/company-announcements/1883561
At the time of writing, I did not own shares of EFORCE.