Aug 22, FA/TA for Transpac

Simple FA for Transpac,

• - PE - 4.9X ( if compared against EV/EBITDA 4.33, it is not at Fair PE). 
• - NAV - $0.99 (50% above premium)
• - Yield - $0.41/Share or 25% (extremely high yield)

Transpac is Financial Asset Management paying out unbelieveable $0.41/share. It is similar to those Unit Trust Fund - in a layman word. Looking at the Annual report, Profit before tax is S$61,658k and Dividend payout is 0.41(Dividend payout as of 2010) x175,228k (Total Ordinary Shares) = S$71,843,480. So they payout more than what they earned? Personally, my opinion is "This is a high risk high return stock".

TA for Transpac,

• Trend - Up
• Momentum - Overbought
• Support - 1.63 (good entry)
• Resistance - 1.97

This Transpac is on upward trend, and good entry should be at 1.63. (*but do note the downside risk on the fundamental valuation).