UMS Holdings

[WH Cheng]

What's the reason of the sell down? I thought the results was very good and the bonus issue is positive (from the past experience). Strangely I can't understand and tempted me to buy more =)

My guess:
1) year on year first quarter profit improvement of 200+% while second q improvement of only 75+%
2) CEO mention next 2 quarters will be slower.
3) PE ~12+ at $1.10. Not unreasonably high but higher than past few years average.

Not vested.

positive => buoyant semiconductor equipment demand
negative => there is a margin squeeze on the renewed contract by AMAT => how big an impact? we don't know
neutral => contribution from new ventures is still insignificant.
 
Overall=> positive ? negative ? neutral ? especially from FCF perspective, only time will tell...................

Frankly, there has been a lot of theories being talked about among investors on why the price dropped so low after having had so many good news fron this ctr.. But, we will never know for sure what is/are the exact reason(s) for this selloff..... Guessed we don't really need to know, if the price can recover, we just move-on,...