Stock Name: HELP
Company Name: HELP INTERNATIONAL CORPORATION
Research House: INTER PACIFIC
Inter-Pacific Research Sdn Bhd has recommended HELP International Corp Bhd an ourperform at RM2.48 with fair value of RM2.94, following a premium to its PER ie 10.9 times, EPS of 27sen FY11 and P/BK of 1.8.
The research house said its recommendation was based on HELP's strong fundamentals reflected by the favorable brand name resulting to strong student growth of about 10,000-11,000 currently; healthy balance sheet and sitting in net cash position; and good growth prospects reflected by the business strategy ie expanding their wings into strategic foreign markets like China and Vietnam via franchise or twinning and increasing expansion in Malaysia which should see student growth hit their 20,000 target by 2010.
"We think HELP's current PER of 9.9 times and nine times for FY10 and FY11 respectively are low, given the overall strong fundamental and health of the company," it said.
Inter-Pacific Research said HELP is seen to be enjoying a strong brand name, reflected by its franchises with reputable foreign universities.
Also, it has garnered "the affiliate centre status" by the prestigious University of London/London School of Economics, which is an endorsement to HELP of its reputation and credibility in delivering quality education, it said.
"We found HELP has a prudent and well strategised business model that clearly maps out its business vision and growth strategies.
"Apart from focusing on the traditional 'brick and mortar' courses, HELP has also embarked into a new milestone that is focusing on: (1) online learning; (2) animation; (3) merchandising; and (4) culinary and vocational," it said.
Company Name: HELP INTERNATIONAL CORPORATION
Research House: INTER PACIFIC
Inter-Pacific Research Sdn Bhd has recommended HELP International Corp Bhd an ourperform at RM2.48 with fair value of RM2.94, following a premium to its PER ie 10.9 times, EPS of 27sen FY11 and P/BK of 1.8.
The research house said its recommendation was based on HELP's strong fundamentals reflected by the favorable brand name resulting to strong student growth of about 10,000-11,000 currently; healthy balance sheet and sitting in net cash position; and good growth prospects reflected by the business strategy ie expanding their wings into strategic foreign markets like China and Vietnam via franchise or twinning and increasing expansion in Malaysia which should see student growth hit their 20,000 target by 2010.
"We think HELP's current PER of 9.9 times and nine times for FY10 and FY11 respectively are low, given the overall strong fundamental and health of the company," it said.
Inter-Pacific Research said HELP is seen to be enjoying a strong brand name, reflected by its franchises with reputable foreign universities.
Also, it has garnered "the affiliate centre status" by the prestigious University of London/London School of Economics, which is an endorsement to HELP of its reputation and credibility in delivering quality education, it said.
"We found HELP has a prudent and well strategised business model that clearly maps out its business vision and growth strategies.
"Apart from focusing on the traditional 'brick and mortar' courses, HELP has also embarked into a new milestone that is focusing on: (1) online learning; (2) animation; (3) merchandising; and (4) culinary and vocational," it said.
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