Opcom: Be greedy when others are fearful!

Opcom Holdings Berhad is a Malaysia-based investment holding company. The Company is engaged in renting of building and providing management services to its subsidiaries. The Company operates in three segments: manufacturing, which is engaged in the manufacture of fiber optic cables and systems; trading and engineering services, which is engaged in general trading of fiber and other cable production materials and provision of engineering services, and other operations activities, which is engaged in management service and investment holding activities. Its subsidiaries are Opcom Cables Sdn. Bhd., Opcom Niaga Sdn. Bhd. and Opcom Shared Services Sdn. Bhd.

Recently...Telekom Malaysia (TM) revoked its RM92.5 million contract to Opcom Holdings Bhd that was awarded last October to supply and deliver single-mode optical fibre cables and other cables. 

In a statement yesterday, Opcom said its subsidiary, Opcom Cables Sdn Bhd, has received a letter of revocation from TM and is currently in discussion with TM to negotiate a reinstatement of the award.

What do you think about the revocation of contract? Do you think ....

Read this:

http://www.theedgemalaysia.com/index.php?option=com_content&task=view&id=235143&Itemid=79

Do you think they will get back their contract ? very Likely...

Other reasons:

• NTA 0.59
• Div > 10% 
• Coming April & September dividend
• PE: 5 
• EPS 12 cents
• ROE >15%
• Currently at year low 0.735~!

Let's Rocks!


Update on BREM. Coming dividend at 3% in April. I think the company try to stablize the stock price at current price by distribute the dividends in 2 quarters. Besides, HEAVY share buy back also noted. At current level of RM 1.12. It is really safe!