Thursday, February 23, 2017

Not a surprise that AEM declaring a 1-for-2 bonus issue

AEM just announced its full year 2016 performance and for its stellar FY2016 performance, it declared a one-for-two bonus issue to reward its shareholders.

1.    Profits before tax, excluding impairments, allowances and reversals, surged 50.5%.
2.    Strong customer demand of its technology ensures continual growth and profitability for many years to come.
3.    Generous final dividend of 1.3 cts per share, making total dividends per share of 1.8 cts for FY2016, up 80% from that of previous FY.
4.    Management is so confident that they have declared that they can make $6.5 million operating profit before tax for 1H2017 with their strong order book as at 16 Feb 2017. What does that translate to? It means more than 100% EPS growth in FY2017. Simply Superb!

The price will go through the roof upon the opening bell of 24 Feb 2017 market trading. Is this a surprise? No, if you have done your due diligence and followed up closely.

Refer to my earlier blog to read more about my analysis and prediction:

This multi-bagger is a gem that is worth keeping for the long haul.

Superphang

1 comment:

  1. thanks for the heads up on AEM...i also noticed that there are no significant resistance levels until maybe 2.2-2.4 extending nearly 10 years back...even if the price doubles from current P/E ratio of 6 to 12, it can still be considered a bargain from a fundamental analysis POV considering its explosive profit/revenue growth.

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