Tambun Indah Land Berhad - Property Come Back??

Company : Tambun Indah Land Berhad

Business:

Small residential property developer in the mainland of Penang. The flagship development is Pearl city township which is near to Batu Kawan Industrial Park. The location is very strategic because of big tech firms are putting their factories in Batu Kawan industrial Park such as Vitrox, Pentamaster, Greatech and etc. The buying power should be strong as the employee of these companies are getting good pay.   

 

 

 

 

 

 

  

Fundamental:

 

 Financially healthy and no problem to pay dividen.

 

2021 revenue and profit surpass previous 3 years. The worst is over for the company and coming years should be profitable if company launch more developments with high take up rate.

 

Lates Q result:

 

Prospect:

• The current take-up is 76% which is not bad for a developer.
• Unbilled sales of RM131 million.
• Close proximity to Batu Kawan which is next phase of growth for tech companies.
• JF APEX- give target price of 93 cents.

 

Challenges:

• Slow launch of projects
• High building materials cost (cement/steel/etc)
• Labour shortage

 

Dividen:

 

Dividen policy is 40% of its profit. Assuming 7 cents dividen that will translate to 7.7% yield based RM0.90 price. Much better than peer of Matrix concept.

 

 

Technical Analysis on Chart:

Suggest buying at consolidation stage and hold for 6 months to 1 year duration. Buy at your own risk.

I have been holding this stock for few years. To be honest it was a mistake that I made without proper analysis. I do not want to sell at lost so keeping it until now.