tag:blogger.com,1999:blog-37872616.post6710642337536862611..comments2024-03-28T11:49:10.369+08:00Comments on BULLy the BEAR: Starburst IPOla papillionhttp://www.blogger.com/profile/01372278083694506953noreply@blogger.comBlogger13125tag:blogger.com,1999:blog-37872616.post-37106084018731964112017-01-16T15:40:38.200+08:002017-01-16T15:40:38.200+08:00Hi,
Sorry, didn't really keep track of the re...Hi,<br /><br />Sorry, didn't really keep track of the results after they ipo-ed. Didn't seem very good though.la papillionhttps://www.blogger.com/profile/01372278083694506953noreply@blogger.comtag:blogger.com,1999:blog-37872616.post-533499609826529192017-01-16T12:11:38.126+08:002017-01-16T12:11:38.126+08:00any update on Starburst? just noted the company bu...any update on Starburst? just noted the company buy back it own share last weekAnonymousnoreply@blogger.comtag:blogger.com,1999:blog-37872616.post-67630726325404617572014-07-09T23:46:12.999+08:002014-07-09T23:46:12.999+08:00Applied 51 lots...didn't get any. Oh well...th...Applied 51 lots...didn't get any. Oh well...those who got any sure huat because it's only about 10 to 16% chance of getting it. 400+ times oversubscribed! LOLla papillionhttps://www.blogger.com/profile/01372278083694506953noreply@blogger.comtag:blogger.com,1999:blog-37872616.post-39738402940304831222014-07-04T22:27:30.998+08:002014-07-04T22:27:30.998+08:00Hi mw,
Thanks for your input :)
I agree with yo...Hi mw,<br /><br />Thanks for your input :) <br /><br />I agree with you. The only thing that is missing is the track record of them being able to generate contracts regardless of recession. Otherwise, there's no earnings visibility, revenue and cashflow becomes lumpy and we start to see their metric dropping like flies. It's hard to make any forecast in this kind of business.<br /><br />They did say they are trying to get more even revenues per year by going more into their maintenance business segment. Not sure how that will pan out in the near future.la papillionhttps://www.blogger.com/profile/01372278083694506953noreply@blogger.comtag:blogger.com,1999:blog-37872616.post-64639149275337335452014-07-04T21:34:11.376+08:002014-07-04T21:34:11.376+08:00Hi LP,
I think the main concern here would be gro...Hi LP,<br /><br />I think the main concern here would be growth. Oh yes, thanks for a very comprehensive summary of the IPO and also the financial metrics of this business.<br /><br />Being so niche, I wonder what the growth prospects are like? Granted their ROE is off the charts and that NPM is also very high, but based on the nature of their business (i.e. contractual), it would be tough to gain any visibility into future prospects so as to forecast revenues.<br /><br />Their CFS is also rather rather lumpy, and you don't get much assurance that they can consistently generate FCF. <br /><br />In short, I will take a wait and see attitude before I conclude that the business has a "moat".<br /><br />Regards.Musicwhizhttps://www.blogger.com/profile/10950754156386935254noreply@blogger.comtag:blogger.com,1999:blog-37872616.post-934053241320805912014-07-04T12:16:22.731+08:002014-07-04T12:16:22.731+08:00Hi Eugene,
Ah..thanks so much for your encouragem...Hi Eugene,<br /><br />Ah..thanks so much for your encouragement :)<br /><br />Haha, my specialty is in rights issue for reits because I've been doing that so many times. FA on company stocks? Nah, very much less so.la papillionhttps://www.blogger.com/profile/01372278083694506953noreply@blogger.comtag:blogger.com,1999:blog-37872616.post-69389436171824210772014-07-04T12:14:07.877+08:002014-07-04T12:14:07.877+08:00Hi Derek,
LOL, you are interested too? Nah, I don...Hi Derek,<br /><br />LOL, you are interested too? Nah, I don't have the power to hype up - my blog is not so popular like AK's haha<br /><br />Good luck for your IPO - I've not decided whether to punt it or not yet :)<br /><br />Yeah, I know about the verification. It's the same when I comment on other blogs. Sometimes I've to refresh again and again just to see what the words/numbers are.la papillionhttps://www.blogger.com/profile/01372278083694506953noreply@blogger.comtag:blogger.com,1999:blog-37872616.post-9216944301715600952014-07-04T12:12:26.410+08:002014-07-04T12:12:26.410+08:00Hi B,
Thanks for your input. I know my weakness i...Hi B,<br /><br />Thanks for your input. I know my weakness is at cash analysis - I don't have enough accounting knowledge to make sense of the numbers. Argh..But i'll work on it lol<br /><br />Regarding the negative cash flow in FY2013, I think most of their cash are tied up in the half completed work under their balance sheets. I also think they have little problems collecting money from them from the short record they provided so far. <br /><br />But to do a IPO just to raise cash for general working purposes...why not borrow? There's interest to be paid but I don't know..I think the real reason is that the founder wants to cash out. I also don't understand why a company like Hock Lian Seng wants to do an IPO too.<br /><br />Oh well, some things we don't have to understand. Ultimately, we just have to decide if this is a good buy, lol<br /><br /><br />la papillionhttps://www.blogger.com/profile/01372278083694506953noreply@blogger.comtag:blogger.com,1999:blog-37872616.post-58581678830527412832014-07-04T11:13:29.076+08:002014-07-04T11:13:29.076+08:00Once again, a really good write-up by LP. Thanks a...Once again, a really good write-up by LP. Thanks alot for the comprehensive coverage. Been following your posts since the AIMS REIT Rights issue. Always easy to read, digest and understand. Keep it up please.Anonymoushttps://www.blogger.com/profile/05527786303774935128noreply@blogger.comtag:blogger.com,1999:blog-37872616.post-54843463671827983042014-07-04T10:19:26.623+08:002014-07-04T10:19:26.623+08:00LP,
I was hopping no one blogs about it. Let it s...LP,<br /><br />I was hopping no one blogs about it. Let it slip under the radar and I can increase my chances. <br /><br />Now that the cover is blown. Its everybody game.<br /><br />*hmm..seems like I'm hyping it up further. LoL<br /><br />Cheers!<br />Derek<br /><br />PS: I'm having a hard time deciphering the words for verification.Derekhttp://thefinance.sgnoreply@blogger.comtag:blogger.com,1999:blog-37872616.post-26645148396055401692014-07-03T23:36:24.512+08:002014-07-03T23:36:24.512+08:00Hi LP
I think the reason why they would want to i...Hi LP<br /><br />I think the reason why they would want to ipo 20% of it is mainly to raise capital for obviously leasehold land and working capital purposes.<br /><br />If you see at the ending cash and cash equivalent as of 2013 it is actually at a negative and due to the nature of their industry of having to recognize these revenue and collect receivables based of percentage completion, it appears that the company might in need of a cash.<br /><br />A lot is perhaps down to how they are going to structure their working capital and sustain the healthy level of margins they are getting right now. Fair risk to me but growth potential might be there.Bhttps://www.blogger.com/profile/09041255778427742477noreply@blogger.comtag:blogger.com,1999:blog-37872616.post-13994510466149899142014-07-03T18:28:07.217+08:002014-07-03T18:28:07.217+08:00Hi 15HWW,
Yea, it's certainly worth a second ...Hi 15HWW,<br /><br />Yea, it's certainly worth a second look. Maybe can punt for a stag lolla papillionhttps://www.blogger.com/profile/01372278083694506953noreply@blogger.comtag:blogger.com,1999:blog-37872616.post-50039700160273199042014-07-03T18:23:21.232+08:002014-07-03T18:23:21.232+08:00Hi LP,
That's a very good and comprehensive a...Hi LP,<br /><br />That's a very good and comprehensive analysis of Starburst. As you have mentioned, on the surface, they do appear to have some moat and the valuation is not demanding. <br /><br />Will be taking a closer look at it after it lists since getting one lot at IPO is pretty meaningless. My 15HWWhttp://www.my15hourworkweek.comnoreply@blogger.com