Baker Technology

[endlssorrow]

5-mAY ~~~~~~~~~~~~~~

 

[Pleaseregister]

Before announcement of dividends, it was only trading at 0.35. After announcement it shot up to 0.45...

The 10c already effective included in the price already .....

which means its not worth it if i get it now???

 

[Pleaseregister]

Worth a lot lesser than those who got it @ 0.35 before dividend announcement.
Plus they will not achieve another 900% revenue increase next year.

if i were to get it now and after closure i sell off, is it ok?

 

[Pleaseregister]

Many people will be doing that , only question whois going to buy after xD ?

thats my worry also.. dont even know should buy ? dividend very attractive...

 

[Lost_Found]

Dividend gain 100
Capital loss upon xd more than 100
U think still worth it?

 

[Pleaseregister]

Dividend gain 100
Capital loss upon xd more than 100
U think still worth it?

Thanks for the enlightement lol.... any good hit and run counters now?

 

[HL Tiong]

Post xd, most interest in Baker Tech seems to have fizzled out. But fundamentally, the business is still in pretty good shape.

Dividend yield should average around 7%.
No borrowings.
Discount to book value of around 30+%.

Sounds like a safe bet.

 

[Sinkie]

Post xd, most interest in Baker Tech seems to have fizzled out. But fundamentally, the business is still in pretty good shape.

Dividend yield should average around 7%.
No borrowings.
Discount to book value of around 30+%.

Sounds like a safe bet.

Baker Tech: 2Q13 Net Profit Down 82% To S$11.3 Million.

 

[Alpha_Hippo]

Baker Tech: 2Q13 Net Profit Down 82% To S$11.3 Million.

misleading. Got to take away their one time gain ma.

 

[HL Tiong]

That's right.

Stripping out the one-time gains from both periods 2QFY13 and 2QFY12, net profits for 2QFY13 are S$2.46 million versus 2QFY12 of S$3.09 million. Still a drop of 20%, not small by any accounts, but definitely not as jaw-dropping as 82%.

I also argue that looking at quarterly performance may not give us a good indication of future stock performance. Granted the near term upside catalysts may be lacking but even now without pricing in growth, 78% of its last close of S$0.28 per share is supported by cash, business is still profitable and no fears of interest rate rises crippling the business directly given its zero gearing.

IMHO, it's nicely positioned for an investor with patience. More so given decent dividends between 5-7% per annum is likely going to and able to persist. A little upturn in fortunes can potentially lift this stock.

 

[Sinkie]

That's right.

Stripping out the one-time gains from both periods 2QFY13 and 2QFY12, net profits for 2QFY13 are S$2.46 million versus 2QFY12 of S$3.09 million. Still a drop of 20%, not small by any accounts, but definitely not as jaw-dropping as 82%.

I also argue that looking at quarterly performance may not give us a good indication of future stock performance. Granted the near term upside catalysts may be lacking but even now without pricing in growth, 78% of its last close of S$0.28 per share is supported by cash, business is still profitable and no fears of interest rate rises crippling the business directly given its zero gearing.

IMHO, it's nicely positioned for an investor with patience. More so given decent dividends between 5-7% per annum is likely going to and able to persist. A little upturn in fortunes can potentially lift this stock.

technically it is ugly

and how u derive the assumption of "Stripping out the one-time gains from both periods 2QFY13 and 2QFY12, net profits for 2QFY13 are S$2.46 million versus 2QFY12 of S$3.09 million. Still a drop of 20%, more so given decent dividends between 5-7% per annum is likely going to and able to persist"

can share your thought? when net profit dropped, can still still give 5-7%? or u hoping for them to give out another spcial dividend after the disposal of the Discovery Offshore??

 

[HL Tiong]

Embarassingly I don't know how to read technicals, but it was trading near 52 week lows, so unsurprising that the charts are ugly.

There is no assumption on the adjustments I made to the 2QFY13 and 2QFY12 net profit numbers. Here's what I did from the 2QFY13 announcement (which you can get from SGX).

(i) 2QFY13 revised = S$2.46 million
2QFY13 net profit reported = S$11.32 million
take out one-time gain from disposal of associate = S$8.86 million (page 2)
Revised 2QFY13 = S$2.46 million

(ii) 2QFY12 revised = S$3.09 million2QFY13 net profit reported = S$61.33 million
take out one-time gain from recognition of deferred gain on disposal of subsidiary = S$58.24 million
Revised 2QFY12 = S$3.09 million

Comparing (i) and (ii), that's how I derived 20% drop. No assumption made.

The other query was on the sustainability of dividends 5-7%.
It is a very good point and there are assumptions made.

Based on half year results, Baker Tech had net profits of S$14.6 million.
This includes one-time gains of S$8.9 million, so let's take it out, giving us a more sustainable S$5.7 million.
Extrapolate this to full year, Baker Tech is expected to report S$11.4 million, or S$0.0144 per share.

Thanks to Sinkie for providing the dividend history. Yes, it would be wishful thinking to consider special dividends or expect them this time around. So let's say a more reasonable dividend to expect is S$0.01 per share. This equates to 69% dividend payout and dividend yield of 3.6 - 4% (assuming your entry price between S$0.25 - S$0.28).

Should Baker Tech give out S$0.015 dividends per share (which is what they did in May excluding special), then it equates to >100% dividend payout and dividend yield of 5.4 - 6%. I am unsure if Baker Tech has a fixed dividend policy but its cash levels can support such a dividend payout.

 

[Sinkie]

Embarassingly I don't know how to read technicals, but it was trading near 52 week lows, so unsurprising that the charts are ugly.

There is no assumption on the adjustments I made to the 2QFY13 and 2QFY12 net profit numbers. Here's what I did from the 2QFY13 announcement (which you can get from SGX).

(i) 2QFY13 revised = S$2.46 million
2QFY13 net profit reported = S$11.32 million
take out one-time gain from disposal of associate = S$8.86 million (page 2)
Revised 2QFY13 = S$2.46 million

(ii) 2QFY12 revised = S$3.09 million2QFY13 net profit reported = S$61.33 million
take out one-time gain from recognition of deferred gain on disposal of subsidiary = S$58.24 million
Revised 2QFY12 = S$3.09 million

Comparing (i) and (ii), that's how I derived 20% drop. No assumption made.

The other query was on the sustainability of dividends 5-7%.
It is a very good point and there are assumptions made.

Based on half year results, Baker Tech had net profits of S$14.6 million.
This includes one-time gains of S$8.9 million, so let's take it out, giving us a more sustainable S$5.7 million.
Extrapolate this to full year, Baker Tech is expected to report S$11.4 million, or S$0.0144 per share.

Thanks to Sinkie for providing the dividend history. Yes, it would be wishful thinking to consider special dividends or expect them this time around. So let's say a more reasonable dividend to expect is S$0.01 per share. This equates to 69% dividend payout and dividend yield of 3.6 - 4% (assuming your entry price between S$0.25 - S$0.28).

Should Baker Tech give out S$0.015 dividends per share (which is what they did in May excluding special), then it equates to >100% dividend payout and dividend yield of 5.4 - 6%. I am unsure if Baker Tech has a fixed dividend policy but its cash levels can support such a dividend payout.

nolah, i know how u derive the drop of the 20%, but just that im curious of how u derive the assummed 6-7% of dividend even after given by the 20% drop.

 

[Jarlaxle]

this counter will chiong.
can see some gains lately

 

[Jarlaxle]

breaking out of pattern liao
can check out

 

[Jarlaxle]

i think today is another high vol day.
good to punt b4 it hit .3 imo

 

[Hoo8899]

Been watching for this counter for quite some time, the biggest problem associated with it is because of the reduction in the order books, but from last month announcement, we have finally see some light when the order books increased to USD55M after several quarters of decreases. USD55M could last for another 12-18 months and is above the 5-years average order books from 2008 to 2012. I have recently vested tempted by its high cash pile, which stood at 23c per share, and also the fact that it has been profitable for the last couple of years with constant dividend and low payout ratio.

 

[MrGachaMan]

What do you think of this shares? Ex-Dividend date is 13/5.Dividend i hear is $0.01 per shares. shares price currently is $0.25

 

[sandwicher]

Excellent balance sheet (full of cash, no debt).
Good Div Yield (4%)
EPS fluctuates too much.
Profit is not consistent.
Order book is expected to be fulfilled in 2015 (and if no further orders due to weak Oil prices?)

I'll give this a miss

 

[Keverus]

looks interesting....

but not vested

any experts care to shed some input?