Some reasons:
Producing around RM 400 mil free cash flow (FCF) consistenly but its market cap is at RM 5.8 bil, indicating BJTOTO is selling at 14 times FCF only.
Attactive dividend policy which gives around 6% yield at current price of RM 4.28
Defensive business in inflationary environment.Sales tends to pick up during economic slowdown
Potential privatisation target at RM 4.90 per share (Very very likely) :)
Sunday, April 10, 2011
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