Dutech Holdings

[MINX]

Brattzz, I was in amaze when I first heard of it. But keep an open mind as anything is possible. Even beggars need to keep up with technology, in order to have a competitive advantage? Haha. A more realistic way of thinking - If most Chinese do not carry cash, how would the beggars survive without keeping up with the trend.
Take a look at the videos in the weibo link below. PS: The first video is hilarious.

http://www.weibo.com/p/10080887fa5976ff5...d980e8aa91
https://www.newsflare.com/video/113987/o...ode-to-beg
http://www.ibtimes.co.uk/beggars-china-n...es-1618396

This just shows how pervasive e-payment is in China. There are tons of articles on e-payments in China. Just google or ask your Chinese friends and you understand.

I'm not taken aback that beggars in China are also going cashless. I use their train stations often and there are no shortage of fake beggars there. And we are talking young able bodied young man, occasionally we do get the ladies having a go as well. I see this young man on his knees with his sad tale(often it's lost his wallet or was robbed and need some help to buy a train ticket home) written in chalk on the floor while i'm leaving shanghai. When i return a few days later after my trip, the same young man is still kneeling there with the same sad tale. I think to myself this lad must be pretty unlucky or very careless to be losing his wallet on a daily basis....

[TTTI]

Dutech mentioned in its latest announcement that its profit is significantly lowered due to:

1) loss position of Almex GmbH (the newly acquired German subsidiary)
2) lower revenue in ATM safes due to the prevailing of e-payment
3) rising prices of raw materials such as steel and Argon wielding gas

CIMB's analysts Roy Chen and William Tng have been covering Dutech. Their reports are consolidated at https://sginvestors.io/sgx/stock/cz4-dut...yst-report

The lastest 3 reports target price and advice are:

1) 3Q FY2016 report
   
Target price 65 cents ADD

2) FY2016 report

Target price 55 cents HOLD

3) 1Q FY2017 report

Target price 53 cents HOLD

In their upbeat reports, they did not highlight the risk of rising e-payment popularity versus holding cash (the need for more ATMs).

Will they advise to SELL in their 2Q FY2017 report? Maybe there will NOT be a 2Q FY2017 report from them.

Thanks for listiing out their calls......

And no, there will NOT be a Q2 report from them cos they have just "ceased coverage"
Yup. There you go.

[mulyc]

What is the latest news out that caused the price to drop so much today?

[CY09]

Hi there is no news. However from my observation, there seems to be a major selldown of numerous stocks on the sgx (ex banks). It is more of a macro trend than that of micro

[YMPL]

Hi there is no news. However from my observation, there seems to be a major selldown of numerous stocks on the sgx (ex banks). It is more of a macro trend than that of micro

http://infopub.sgx.com/FileOpen/Dutech_P...eID=462204

There was a recent news on the profit guidance

[weijian]

There are actually only a few tenets of value investing:
- Margin of safety
- understanding Mr Market and how to react

I would say the 2nd pt brings us to understand the need to resist the urge to seek an explanation for any form/bit of significant price changes. IMO, i think it is easier for one to unknowingly get into a tango with Mr Market if we cant bear uncertainty n always seek for "answers for everything".

[mulyc]

There are actually only a few tenets of value investing:
- Margin of safety
- understanding Mr Market and how to react

I would say the 2nd pt brings us to understand the need to resist the urge to seek an explanation for any form/bit of significant price changes. IMO, i think it is easier for one to unknowingly get into a tango with Mr Market if we cant bear uncertainty n always seek for "answers for everything".

Wise words.

[cif5000]

Maybe the market is less convinced of the "growth by acquisition" now.

Maybe Metric wasn't a bargain where most of its assets are in Intangibles, Inventories, Trade receivables and Deferred tax assets - highly illiquid - and couldn't match most of its liabilities in Pension liabilities and Trade/other payables.

[touzi]

Looks like Dutech only pay interim dividend and not final dividend. Any particular reason for this practice?

http://infopub.sgx.com/FileOpen/Dutech_F...eID=491187

[gongkia]

Dutech revenue and net profit have been falling.

The Chairman cum CEO Dr Johnny Liu hails from China. Did he not foresee that cashless payment systems will displace ATMs and disrupt Dutech's business?