29 Dec '16, 10am

My Bull Case For AEM Holdings (AWX): Introduction When the new management (Lok Wai San & Albert Ng) took over in…

When the new management (Lok Wai San & Albert Ng) took over in 2011, they began a multi-year corporate restructuring process and invested heavily in R&D at the expense of short term pain (FY12,13,14 net loss was -S$1.38m, -S$4.07m, and -S$34.6m respectively). In light of recent events, it seems that the efforts of management has paid off and AEM is ready to rise from the ashes. The company turned in a profit of S$5.7m for FY15 and now possess tremendous growth opportunities over the next 10 years. This is due to its new flagship product (from years of R&D) known as the “high-density test handler”. At S$0.85 per share, AEM is valued at only S$36.3m . With a ttm P/E of 4.35x , I believe this company is greatly undervalued and has the potential to be a multi-bagger. The Business AEM designs and builds manufacturing equipment for the semiconductor …

Full article: http://thefinance.sg/2016/12/29/my-bull-case-for-aem-hold...

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