Analysis on Straco Corporation

Straco listed on 20 Feb 2004

Financial Data

Yr                  Earning/Share                  Revenue              Net Profit % Margin
2012                  2.32c                          55.198 mil                 35.7%
2011                  1.91c                          46.122 mil                 35.8%
2010                  2.15c                          51.571 mil                 36.2%
2009                  1.02c                          34.543 mil                 25.6%
2008                  0.89c                          32.300 mil                 23.9%
2007                  0.71c                          24.173 mil                 25.6%
2006                  0.39c                          18.504 mil                 18.2%

Other Data

Cash Bal: 101.148 mil
Debt: NIL
Shares Issued : 843,739,580
Treasury Shares : 25, 190,000
NAV: $0.1823
Div Yield: 2.8%

Business Model

The Group has been one of the few overseas companies that have managed to build up significant presence and influence in the tourism industry in China. The Group showcases high quality tourism-related projects, incorporating entertainment, education and culture to create a unique experience for visitors and audiences. These projects include large-scale public aquariums, cable-car facilities, the protection and redevelopment of historical sites and production of cultural entertainment shows.

http://straco.listedcompany.com/

Opinion

Having seen it few qtrs of report, this company is positive on the growing track. It presented a good margin on its net profit and healthy cash balance with ZERO debt.

Conclusion

Overall, the price of the its stock is selling at a premium but could be worth a look as we can compare with OSIM as it has a low book value but good earning power. As long as it has the pricing power, this company is good to accumulate for the long term.



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