These 3 Companies Are Trading Close To Their 52-Week Low Prices
- Original Post from The Motley Fool Sg

As an investor, one of the methods that I use to search for investment ideas is stock screening.
One of my personal favourite screens is the 52-week low list. This screen, which is usually performed weekly, will give me a list of companies that are trading at their 12-month low.
Why do I like this screen? As a value investor, I like to search for companies that are trading at good value. The 52-week low could be a good place to start, since these companies might have been ignore by the investment community for various reasons. Some deserve to be.
Occasionally, however, the market might have been overly negative. These companies could have good long-term prospects, despite some short-term headwinds. My job, then, is to try to separate the wheat from the chaff.
So what are the companies that have shown up on this week’s list? Here are three of them:
The first on the list is Sarine Technologies Ltd (SGX: U77).
Sarine Technologies is an Israel-based company engaged in developing, manufacturing, marketing and selling precision technology products for processing of diamonds and gemstones.
Recently, Sarine issued a profitability guidance, estimating that its third-quarter revenue would just exceed US$11 million and that it would record a minimal operating loss of several hundred thousand dollars. Comparatively, last year’s third quarter revenue and net profit were US$17.3 million and US$4 million respectively.
The company stated that the buildup of surplus inventories of polished diamonds in the mid-stream, ongoing illicit operations infringing on its intellectual properties and uncertainties stemming from litigations pertaining to these issues impacted equipment sales in the third quarter.
At the current price of $0.925, Sarine Technologies is trading at a price to earnings ratio (P/E) of 16.3 times.
The next company on the list is Yeo Hiap Seng Ltd (SGX: Y03).
The company operates through two divisions, namely Food and Beverage, and Property. Example of brands distributed by the company includes Yeo’s, H-TWO-O, Pink Dolphin and Justea.
In its last quarterly result announcement, it stated that revenue was down by 23% year-on-year to S$87.2 million. Similarly, profit attributable to shareholders was down by 35% year-on-year to S$5.3 million. The weaker financial performance was due to the transition to new distributors in Cambodia, competitive pricing and general market weakness.
The challenging operating environment is expected to continue due to soft economic conditions, weak outlook for its key markets, competitive selling prices, and uncertainty in raw material prices.
At the current price of $1.27, Yeo Hiap Seng is trading at a P/E ratio of 4.61 times.
The last company on the list today is Indofood Agri Resources Ltd (SGX: 5JS).
Indofood Agri is a vertically integrated agribusiness with principal activities that span the entire palm oil supply chain. The group also engages in the cultivation of rubber, sugar cane and other crops. Though Indofood Agri is widely diversified, plantations segment is by far the biggest profit contributor to the group.
Indofood Agri’s share price has been declining for the last five years. Cumulatively, the decline wrote off about 65% of its market capitalisation during the period.
At the current price of $0.45, Indofood Agri is trading at a P/E ratio of 9.6 times.
A Foolish conclusion
It’s worth noting that not every company with a stock price near a 52-week low is a legitimate bargain. A declining stock price can decline yet further if the underlying business performance continues to weaken.
Nothing we’ve seen about the companies above should be taken as the final word on their investing merits. The information presented in this piece should be viewed only as a useful starting point for further research.
$Indofood Agri(5JS.SI) $Wilmar Intl(F34.SI) $Sarine Tech(U77.SI) $Yeo Hiap Seng(Y03.SI)

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How Did The Oilseeds and Grains Business Of Wilmar International Limited Fare In 2017?
- Original Post from The Motley Fool Sg

In late February, Wilmar International Limited  (SGX: F34) released its 2017 full year earnings update. As a quick introduction, Wilmar is an agricultural company that has four business segments: Tropical Oils; Oilseeds and Grains; Sugar; and Others.
Given the complexity of Wilmar’s business, it may be useful for investors to have a look at each segment individually.
In previous articles, I had discussed the Tropical Oils and Sugar segments. In this article, I will have a quick review of the business performance of the Oilseeds and Grains segment in 2017.
The following table shows the revenue and profit numbers that the Oilseeds and Grains segment delivered for the fourth quarter and the whole of 2017 and 2016:

Source: Wilmar 2017 results announcement
For the fourth quarter of 2017, revenue from the Oilseeds and Grains segment was up by 18% year-on-year, mainly driven by higher sales volume in the Manufacturing business. Similarly, the segment’s 2017 full year revenue stepped up by 11% on the back of the Manufacturing business’s sales volume growth.
The segment’s stronger revenue, together with a better crush margin, contributed to the tripling of its 2016 profit in 2017.
$Wilmar Intl(F34.SI)

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How Did The Sugar Business Of Wilmar International Limited Fare In 2017?
- Original Post from The Motley Fool Sg

In late February, Wilmar International Limited  (SGX: F34) released its 2017 full year earnings update. As a quick introduction, Wilmar is an agricultural company that has four business segments: Tropical Oils; Oilseeds and Grains; Sugar; and Others.
Given the complexity of Wilmar’s business, it may be useful for investors to have a look at each segment individually.
In a previous article, I had discussed the Tropical Oils segment. In this article, I will have a quick review of the business performance of the Sugar segment in 2017.
The following table shows the revenue and profit numbers that the Sugar segment delivered for the fourth quarter and the whole of 2017 and 2016:

Source: Wilmar 2017 results announcement
For the fourth quarter of 2017, revenue from the Sugar segment was down by 49% year-on-year, mainly due to a new marketing program which delayed the sales of certain proportions of the sugar produced in 2017 to 2018.
Similarly, the Sugar segment’s revenue in 2017 fell by 14%, driven by lower sales volume in the Milling business, and a weaker performance in the Merchandising, Refining & Consumer Products business. These, along with an impairment of Wilmar’s sugar refinery assets in Australia recognised in 2017, led to a pre-tax loss of US$24.6 million for the Sugar segment in the year.
$Wilmar Intl(F34.SI)

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How Did The Tropical Oils Business Of Wilmar International Limited Fare In 2017?
- Original Post from The Motley Fool Sg

In late February, Wilmar International Limited (SGX: F34) released its 2017 full year earnings update. As a quick introduction, Wilmar is an agricultural company that has four business segments: Tropical Oils; Oilseeds and Grains; Sugar; and Others.
Given the complexity of Wilmar’s business, it may be useful for investors to have a look at each segment individually. In this article, I will have a quick review of the business performance of the Tropical Oils segment in 2017.
The following table shows the revenue and profit numbers that the Tropic Oils segment delivered for the fourth quarter and the whole of 2017 and 2016:

Source: Wilmar 2017 results announcement
We can see that the Tropical Oils segment experienced a mixed year in 2017. Revenue was up by 7%, driven mainly by higher crude palm oil (CPO) prices. But, profit before tax for the year had declined by 38% as a result of lower processing margins in the downstream portion of the segment.
Here’s a table showing some production numbers for the Tropical Oils segment for the same time periods as the previous table:

Source: Wilmar 2017 results announcement
Wilmar’s production of fresh fruit bunches (FFB) for 2017 was 3% higher compared to 2016. The company experienced a higher FFB yield, which increased from 19 tonnes per hectare in 2016 to 19.7 tonnes per hectare. The extraction rate remained flat in 2017 at 20%.
$Wilmar Intl(F34.SI)

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The Good And Bad That Investors Should Know From Wilmar International Limited’s Latest Earnings Update
- Original Post from The Motley Fool Sg

In late February, Wilmar International Limited (SGX: F34) released its 2017 full year earnings update. As a quick introduction, Wilmar is an agricultural company that operates through four main segments: Tropical Oils, Oilseeds and Grains, Sugar, and Others.
There are both positive and negative takeaways from Wilmar’s latest results that investors may want to learn about.
The positives
Firstly, the company reported growth in both revenue and net profit in 2017. For the year, Wilmar’s revenue increased by 5.9% year-on-year to US$43.8 billion while its earnings per share was up by 25.3% to US$0.193.
Secondly, the Oilseeds and Grains segment delivered a strong performance in 2017, with its profit before tax almost tripling from US$251.1 million in 2016 to US$735.0 million.
Thirdly, Wilmar’s associates and joint ventures performed well during the year too. The company’s shares of results from associates and joint ventures was US$228.3 million in 2017, up 62.1% from 2016.
Last but not least, Wilmar’s total dividend for 2017 was S$0.10 per share, 53.8% higher than 2016’s dividend of S$0.065 per share.
The negatives
Firstly, Wilmar’s Tropical Oils and Sugar segments both reported lower profits in 2017. The former saw its profit before tax fall by 38% to US$426.2 million due to weaker crush margins. The latter experienced a pre-tax loss of US$24.6 million in 2017, down from a pre-tax profit of US$125.3 million in 2016; Wilmar attributed the poor performance to the segment’s sales volume being impacted by a new marketing programme.
Secondly, the agricultural giant’s operating cash flow for 2017 was just US$386.4 million, down from US$1.12 billion in 2016, mainly due to an increase in inventories and a decrease in payables.
Lastly, the company’s net debt (total borrowings less cash and deposits) had increased from US$11.7 billion at end-2016 to US$12.6 billion at end-2017. But on a slight positive note, Wilmar’s gearing ratio (debt/equity) had improved from 0.81 to 0.79 as a result of an increase in its equity.
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Here Are 2 Companies That Reported Growth In Their Latest Earnings Updates
- Original Post from The Motley Fool Sg

The earnings season had recently come to an end. As is common with every earnings season, there will be some companies posting growth, some posting mixed numbers, and some experiencing declines. Let’s take a look at two companies that delivered growth recently:
1. In early March, Jardine Strategic Holdings Limited (SGX: J37) released its 2017 second half and full year earnings update.
As a quick introduction, Jardine Strategic is a a sprawling conglomerate with interests in many Singapore-listed companies such as automobile distributor Jardine Cycle & Carriage Ltd (SGX: C07), bricks-and-mortar retailer Dairy Farm International Holdings Ltd (SGX: D01), hotelier Mandarin Oriental Limited (SGX: M04), and more.
In 2017, Jardine Strategic’s revenue increased by 7% to US$31.56 billion. Its underlying year profit attributable to shareholders did even better, growing by 11% to US$1.60 billion. As a result, the conglomerate’s underlying earnings per share (EPS) was up by 13% to US$2.76. Jardine Strategic had decided to share the spoils with its investors, as it raised its full-year dividend for 2017 by 7% to US$0.32 per share.
The conglomerate also ended 2017 with a reasonably strong balance sheet. Jardine Strategic’s net debt (excluding financial services companies) of US$3.77 billion as of 31 December 2017 was up from US$2.02 billion at end-2016, but the gearing ratio (net debt over equity) at the end of 2017 was just 6.5%.
In Jardine Strategic’s earnings update, its chairman, Sir Henry Keswick, shared the following comments on the conglomerate’s outlook:
“The Group’s key markets in Greater China and Southeast Asia look well placed for 2018 as the good levels of economic growth seen in 2017 appear set to continue. This, when coupled with the development initiatives that are being pursued across the Group’s businesses, provides the basis for future profit growth.”
2. Wilmar International Limited (SGX: F34) is next in line. The company reported its 2017 fourth quarter and full year earnings update in late February. As a quick introduction, Wilmar is an agricultural company that operates through four main segments: Tropical Oils, Oilseeds and Grains, Sugar, and Others.
In 2017, Wilmar saw its revenue increase by 5.9% to US$43.85 billion. This was mainly due to growth in the Tropical Oil and Oilseeds and Grains segments. Profit attributable to shareholders did even better, climbing 25.4% to US$1.22 billion, as big jumps in the company’s share of results of joint ventures (a 270.7% increase to US$34.81 million) and associates (a 47.2% increase to US$193.51 million) contributed to the bottom-line.
Just like Jardine Strategic, Wilmar also shared the fruits of growth with its shareholders. The agricultural giant’s dividend for 2017 was S$0.10 per share, up from S$0.065 per share in 2016.
Wilmar gave the following useful comments about its prospects in its earnings update:
“Our portfolio of high quality agribusiness enabled the Group to do well in 2017. Looking ahead, we expect our integrated business model to continue to achieve sustained growth. Barring unforeseen circumstances, performance in FY2018 is expected to be satisfactory.
The internal restructuring of the Group’s China operations, with a view to a possible separate listing, has been largely completed. We would like to emphasize that as the proposed listing is still at an evaluation stage, shareholders are advised to exercise caution in trading their shares. There is no certainty or assurance as at the date of this announcement that the listing proposal will be carried out.”
$Jardine C&C(C07.SI) $DairyFarm USD(D01.SI) $Wilmar Intl(F34.SI) $JSH USD(J37.SI) $Man Oriental USD(M04.SI)

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