Penguin International

[CityFarmer]

I have yet to notice any direct comparisons to Penguin on the SGX. If you know, do share thanks.

Nam Cheong is a good direct comparison, though Nam Cheong is building bigger vessels and has strong support from PETRONAS. I was considering to invest in these two companies in mid/late 2012 and after analysing decided to go with Penguin. In the last one year, Penguin share price increased by more than 120% as compared to 40%+ for Nam Cheong.

Yes, Nam Cheong seems a closest comparison. One point about Nam Cheong is its BTS (Build-To-Stock) strategy, which is vastly different from Penguin strategy.

(vested)

[yawnyawn]

I have yet to notice any direct comparisons to Penguin on the SGX. If you know, do share thanks.

Nam Cheong is a good direct comparison, though Nam Cheong is building bigger vessels and has strong support from PETRONAS. I was considering to invest in these two companies in mid/late 2012 and after analysing decided to go with Penguin. In the last one year, Penguin share price increased by more than 120% as compared to 40%+ for Nam Cheong.

Yes, Nam Cheong seems a closest comparison. One point about Nam Cheong is its BTS (Build-To-Stock) strategy, which is vastly different from Penguin strategy.

(vested)

Thanks guys, will take a look at Nam Cheong's AR over the weekend.

[yawnyawn]

Managed to have a quick read at the AR. Three things caught my attention:

1. Penguin managed to secure time charters for two of its laid-up ferries. One ferry has already gone on-hire and the other one is scheduled to commence her charter in 2Q’14. This leaves them with only one ferry idling. Take note that these three ferries were laid-up for the whole of FY2013, and the company had made an impairment provision of $1.25M in FY2013. With two out of the three ferries now starting to contribute, it will certainly improve their bottom lines in FY2014.

2. The new Flex 50 FSIV completed its sea trial successful in Dec 2013 and the first vessel will join its chartering fleet in early 2014. This will further boost its chartering business this year.

3. The top 20 largest shareholders now hold accumulatively more than 50% of total outstanding shares. It was about 47% in FY 2011 and FY 2012. The increase came despite a spike in share price in the past one year, an indication that more big and long term investors are taking an interest in this company. Should these 20 largest shareholders continue to hold or even add on to their position, the share price of penguin will likely continue to rise in coming years.

With the roll out of the new Flex 40 series crewboat, an increasingly enlarging fleet of chartering vessels with improving rates, laid-up ferries now put into good use, the upgrading of its yard to increase capacity, a solid BS with cash exceeding $40M and no debt, I look forward to another good year this year for penguin.

Just to add, there is a new shareholder in the top 20 list - Mr Ng Boon Tin holding 8.077m shares which i can't seem to find any info on him on the internet. Meco Pte Ltd, which has business in desalinating water in a marine environment, previously held 10m shares last March has either sold off or reduced their holdings since they disappeared from the top 20 list.

Overall, there are now 49 shareholders - 43 last year - holding a 1m shares and above and they in total held 60.18% of the outstanding shares in Penguin. More and more big investors are buying into Penguin i presume?

[mslee888]

Nam cheong specialises in OSV mainly PSV and AHTS, defintely more players in this market. Penguin is more on crewboats and FSIV. I am not sure if they are targeting the same market segement. Penguin can be considered a market leader in its own class.
Anyway, lets see if more info can be extracted from the coming AGM.

[dydx]

Just to add, there is a new shareholder in the top 20 list - Mr Ng Boon Tin holding 8.077m shares which i can't seem to find any info on him on the internet. Meco Pte Ltd, which has business in desalinating water in a marine environment, previously held 10m shares last March has either sold off or reduced their holdings since they disappeared from the top 20 list.

Overall, there are now 49 shareholders - 43 last year - holding a 1m shares and above and they in total held 60.18% of the outstanding shares in Penguin. More and more big investors are buying into Penguin i presume?

I must say that the above are good observations!

[mslee888]

Nam cheong specialises in OSV mainly PSV and AHTS, defintely more players in this market. Penguin is more on crewboats and FSIV. I am not sure if they are targeting the same market segement. Penguin can be considered a market leader in its own class.
Anyway, lets see if more info can be extracted from the coming AGM.

[dydx]

Today (11Apr14), backed by another relatively high volume done of over 5.2m shares, Penguin recorded an intra-day high of $0.171 and closed at another new recent high of $0.169…..
https://sg.finance.yahoo.com/q/bc?t=1y&s...1&c=%5ESTI
Against the STI, Penguin has out-performed the overall SG market by some 120% in the last 12 months - quite a remarkable achievement! And this is without the backing of (as far as I know) any recommendation from stockbrokers by way of analyst reports.

But at $0.169, Mr Market is now valuing Penguin at just a small $0.001 premium over its latest (as at 31Dec13) NAV of $0.168/share!

I guess for all Penguin's shareholders - especially those who are taking a longer view on their investment - it pays to spend some time and effort to value this promising company and its businesses by first reviewing the latest FY13 AR…..
http://www.penguin.com.sg/wp-content/upl...n-AR13.pdf

[dydx]

Despite now trading at near its 5-year high, Penguin's share price - last done at $0.172 (vs. recent high at $0.175) - has exhibited great resilience in this morning's mini-correction. Those loose-footed shareholders who became unnecessarily panicky this morning and sold their shares at $0.169 to $0.171 have transferred a portion of their wealth to those who bought over their shares! Clearly, in investment it pays to remain steady when under market stress.

[Ben]

Despite now trading at near its 5-year high, Penguin's share price - last done at $0.172 (vs. recent high at $0.175) - has exhibited great resilience in this morning's mini-correction. Those loose-footed shareholders who became unnecessarily panicky this morning and sold their shares at $0.169 to $0.171 have transferred a portion of their wealth to those who bought over their shares! Clearly, in investment it pays to remain steady when under market stress.

In the last AGM, a SH stood up and complain that this counter is so illiquid and the price is stagnant. He said that he will sell out if the price move by two ticks. Penguin was trading at about 8c then. If indeed he sells when the price move by two ticks, I wonder how he feels today watching the price rally so much. Let see if I will see him again in this coming AGM.

I think today correction is a good and healthy one. And I also believe those who bought today are people with a longer view, and will not sell when price move by two ticks. At today's price, it is still trading below current year NAV and historical PE of 7X. Still have lots of upside potential IMO.

[mslee888]

Take note Penguin AGM is tomorrow, 23 Apr.
Hope to hear some positive news from Penguin management.