Penguin International

[LocalOptimal]

Hi everyone,

This is my first post and I'm also new to investing (Started work slightly more than a year ago). I have taken a strong interest in this counter due to its strong balance sheet, debt-free and solid business model, and I have also been happily vested since 0.20. I hope I'm not too late to this party.

While the entire market is seeing red today, Penguin is one of the rare counters that managed to fly into the green zone. I expected a higher push in price today, but perhaps it's due to the negative market outlook around it. When the mini-correction is over, I hope to see this bird flying even higher.

As an earlier poster has mentioned, the fair value of this counter is ever-changing. Conservatively, if the next 2 quarters managed to achieve an average of 7 mil net profit, and using a conservative P/E of 7, I calculate a fair value to be above 0.30. It'll probably be my first exit point. But I'll definitely continue to keep as I believe there is more growth.

A quick question, FCF was negative this quarter. Dropped from 51 mil to around 40 mil. I noticed a huge chunk of the decrease was attributed to Trade Receivables. Is this a sign of more profits to come, or is this already factored into reported income?

Thanks and I hope to enjoy future discussions on this counter.

Receivable mean billed, but not paid yet. Yes, it was already included into income statement. You can refer to annual report, revenue section to know the way the revenue was recognized.

Wish you all the best on your VB experience.

Thanks for the clarifications.

[yaosheng]

in today's business times (11th Aug), there's a profile on Five Aluminium Boat & Engineering. anyone thinks it's pretty similar to penguin, just on a smaller scale?

- both build aluminium vessels with wide-ranging commercial applications
- both target offshore O&G industry
- Five is expanding into chartering their own boats, similar to what Penguin did a while back

[wahkao]

in today's business times (11th Aug), there's a profile on Five Aluminium Boat & Engineering. anyone thinks it's pretty similar to penguin, just on a smaller scale?

- both build aluminium vessels with wide-ranging commercial applications
- both target offshore O&G industry
- Five is expanding into chartering their own boats, similar to what Penguin did a while back

Looks like a baby boat. You cant carry more than 5 pax
[Image: cav1.jpg]

[LocalOptimal]

Don't know much about Five, but did a quick google search, the vessels they produced seems like a smaller class of those of Penguin's..., as what wahkao has also mentioned.

[dydx]

Today (15Aug14, Friday), Penguin again touched the recent high of $0.27 and closed at $0.265 - up $0.01, or 3.9% - backed by a high volume transacted of 6.267m shares. Who are the buyers who are prepared to buy in volume at the current price level? It is also very gratifying to note that share price wise, Penguin has out-performed the STI by a whopping 250% since Jul13 - the starting point for the steady and sharp share price advance from the low $0.08 level over the last 13 months……
https://sg.finance.yahoo.com/q/bc?t=2y&s...1&c=%5ESTI

What is most remarkable is that there seems to be a total absence of any "BUY" call by brokers or analyst reports on Penguin so far..

[LocalOptimal]

Today (15Aug14, Friday), Penguin again touched the recent high of $0.27 and closed at $0.265 - up $0.01, or 3.9% - backed by a high volume transacted of 6.267m shares. Who are the buyers who are prepared to buy in volume at the current price level? It is also very gratifying to note that share price wise, Penguin has out-performed the STI by a whopping 250% since Jul13 - the starting point for the steady and sharp share price advance from the low $0.08 level over the last 13 months……
https://sg.finance.yahoo.com/q/bc?t=2y&s...1&c=%5ESTI

What is most remarkable is that there seems to be a total absence of any "BUY" call by brokers or analyst reports on Penguin so far..

Grats to all who vested from below 10cts. The value has more than tripled. If my belief is to be right, it'll not just stay at triple...

Noticed the rebound back to 27 cents today after stabilizing at 0.250-0.255 cts for the past few days. It is indeed remarkable that despite trading at such high volumes everyday, there still seem to be no analyst reports on it. I thought brokerages prefer to cover high-volume counters?

[thor666]

I am hoping there is no analyst reports for as long as possible. This is a long term investment until the fundamentals change.

(vested)

[Ben]

I am pretty sure this forum is being monitored by brokers and analysts. I do not know why there is no analyst coverage till now. Could it be that all the analysts saw something that discourage them from buying? Or could it be that the funds are silently targeting to accumulate a certain quantity before issue a report to let the price shoot for the moon?

[CY09]

Second option is more likely. A recent example is valuetronics; while there had been coverage for 1 yr in vb on it. Analyst reports only came out 1 to 2 months back. I suspect brokerage reports are published for retailers only when some conditions are met

[CityFarmer]

I am pretty sure this forum is being monitored by brokers and analysts. I do not know why there is no analyst coverage till now. Could it be that all the analysts saw something that discourage them from buying? Or could it be that the funds are silently targeting to accumulate a certain quantity before issue a report to let the price shoot for the moon?

Average volume of last 10 days, base on POEM, was less than 5 mil share, or average $1.3 mil in value daily. I don't know the minimum to trigger a coverage, but it might be too low for analysts or brokerage houses.