My E.G. Services Berhad (KLSE:MYEG) Ticks All The Boxes When It Comes To Earnings Growth
Nov 25
Malaysian (KLSE) Tech Sector Analysis
UpdatedNov 27, 2022
DataAggregated Company Financials
Companies116
- 7D6.0%
- 3M-1.4%
- 1Y-33.0%
- YTD-31.6%
The Tech industry is up 6.0% in the last week, with Greatech Technology Berhad up 21%. During this same period, the Pineapple Resources Berhad underperformed, falling 28%. In contrast, the industry has lost 33% in the last 12 months. Earnings are forecast to grow by 16% annually.
Sector Valuation and Performance
Has the Malaysian Tech Sector valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Sun, 27 Nov 2022 | RM76.8b | RM34.8b | RM2.6b | 20.8x | 30x | 2.2x |
| Tue, 25 Oct 2022 | RM70.6b | RM34.6b | RM2.8b | 21.1x | 25.6x | 2x |
| Thu, 22 Sep 2022 | RM76.2b | RM34.5b | RM2.8b | 22x | 27.3x | 2.2x |
| Sat, 20 Aug 2022 | RM80.9b | RM32.1b | RM2.2b | 23.4x | 36.9x | 2.5x |
| Mon, 18 Jul 2022 | RM70.8b | RM32.2b | RM2.1b | 18.5x | 33x | 2.2x |
| Wed, 15 Jun 2022 | RM76.5b | RM32.3b | RM2.2b | 21.4x | 35.5x | 2.4x |
| Fri, 13 May 2022 | RM77.4b | RM32.2b | RM2.2b | 20.9x | 34.8x | 2.4x |
| Sun, 10 Apr 2022 | RM87.9b | RM32.0b | RM2.2b | 22.8x | 40.6x | 2.7x |
| Tue, 08 Mar 2022 | RM75.1b | RM31.7b | RM2.2b | 19.4x | 34.8x | 2.4x |
| Thu, 03 Feb 2022 | RM92.7b | RM30.8b | RM2.2b | 26.3x | 42.7x | 3x |
| Sat, 01 Jan 2022 | RM107.6b | RM30.7b | RM2.1b | 30.7x | 50.9x | 3.5x |
| Mon, 29 Nov 2021 | RM108.1b | RM30.7b | RM2.1b | 28.3x | 52.4x | 3.5x |
| Wed, 27 Oct 2021 | RM111.7b | RM31.1b | RM2.1b | 29.6x | 53x | 3.6x |
| Fri, 24 Sep 2021 | RM111.3b | RM30.9b | RM2.0b | 33.3x | 55.3x | 3.6x |
| Sun, 22 Aug 2021 | RM105.6b | RM30.9b | RM2.0b | 30.9x | 52.7x | 3.4x |
| Fri, 09 Jul 2021 | RM93.7b | RM30.9b | RM2.0b | 27.6x | 46.8x | 3x |
| Thu, 01 Apr 2021 | RM96.5b | RM28.7b | RM1.8b | 33.7x | 54.9x | 3.4x |
| Sun, 03 Jan 2021 | RM82.1b | RM27.1b | RM1.3b | 33.7x | 64.2x | 3x |
| Wed, 07 Oct 2020 | RM64.7b | RM26.4b | RM1.1b | 30x | 61.5x | 2.5x |
| Tue, 30 Jun 2020 | RM47.7b | RM25.4b | RM1.0b | 26.2x | 46.6x | 1.9x |
| Fri, 03 Apr 2020 | RM33.5b | RM26.0b | RM1.2b | 16.6x | 28.3x | 1.3x |
| Mon, 06 Jan 2020 | RM46.7b | RM26.0b | RM1.4b | 24.4x | 33.9x | 1.8x |
Price to Earnings Ratio
34.6x
Current Industry PE
- Investors are pessimistic on the Malaysian Information Technology industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 30.0x which is lower than its 3-year average PE of 46.9x.
- The 3-year average PS ratio of 2.6x is higher than the industry's current PS ratio of 2.2x.
Past Earnings Growth
- The earnings for companies in the Information Technology industry have grown 26% per year over the last three years.
- Revenues for these companies have grown 11% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the Malaysian Tech sector?
| MY Market | 2.46% | |
| Tech | 5.96% | |
| IT | 7.27% | |
| Semiconductors | 6.57% | |
| Electronic Equipment and Components | 4.05% | |
| Tech Hardware | 3.47% | |
| Software | 1.71% | |
| Communications | 1.61% | |
Industry PE
- Investors are most optimistic about the Tech Hardware industry which is trading above its 3-year average PE ratio.
- It looks like they are confident that earnings will grow faster in the future than they have historically.
Forecasted Growth
- Analysts are most optimistic on the Semiconductors industry, expecting annual earnings growth of 17% over the next 5 years.
- This is better than its past earnings growth rate of 13% per year.
- In contrast, the Software industry is expected to see its earnings grow by 11% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| GREATEC Greatech Technology Berhad | RM4.51 | 20.9% +RM977.2m | -34.6% | PE46x | |
| INARI Inari Amertron Berhad | RM2.71 | 5.0% +RM485.3m | -35.0% | PE25.9x | |
| MYEG My E.G. Services Berhad | RM0.87 | 8.1% +RM483.5m | -17.9% | PE19.5x | |
| VITROX ViTrox Corporation Berhad | RM7.29 | 4.4% +RM292.8m | -28.9% | PE34.7x | |
| D&O D & O Green Technologies Berhad | RM3.95 | 4.8% +RM290.6m | -31.7% | PE67.5x |
