Small Cap Investing: Food Empire (SGX)

Company Profile

Food Empire Holdings is a leading food and beverage company that manufactures and markets instant beverage products, frozen convenience food and confectionery. Food Empire Holdings’ products are exported to over 50 countries in markets such as Russia, Eastern Europe, Central Asia, China, Indochina, Australia and the US. The Group has 18 offices (representative and liaison) in countries including Russia, Ukraine, Kazakhstan, Uzbekistan, Iran, Poland, Turkey, Belgium, Bahrain, Mongolia and Vietnam.

Food Empire & Brand Value

Quick Market Stats

Currently trading at PE less than 10x

Fundamentals

Consistent increase in EPS and NAV
ROE > 10% and manageable gearing position

Technical

Anticipate resistance around $0.78. Range-bound to uptrend with support around $0.45.

Latest Developments / Prospects

Indicative Desktop Valuation

Strictly for illustrative purpose only:

For illustration only. Assuming 4% y-o-y growth for next 5 years and to be followed by long term growth of 2.0% y-o-y. Margin of safety > 25%.

Disclaimer: This is not an investment advice or endorsement. Please refer to the general disclaimer of this blog.

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