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Valuetronics - ICE Lighting Up The Way

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Publish date: Wed, 01 Apr 2015, 12:27 PM
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We brought Valuetronics on a 2-day roadshow to meet institutional clients on 23 and 25 Mar. The feedback was generally positive while key concerns still lie on the slowdown in the LED business. We have also visited its factories in Shenzhen and were impressed by its cost control and automation efforts, as well as robust production activities.

Maintain BUY and SGD0.64 TP (36% upside), as at 2.5x FY16F ex-cash P/E and forecast 8% yield, Valuetronics is still an undervalued gem.
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