Tashin Holdings Berhad (KLSE:TASHIN) - Share price, News & Analysis

Q: What is the Fair Price of TASHIN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

TASHIN (MYR0.5) is trading below our estimate of [[fair value]] (MYR0.85)

TASHIN fundamental analysis
Snowflake Score
Valuation	4/6
Future Growth	0/6
Past Performance	5/6
Financial Health	5/6
Dividends	3/6

TASHIN Stock Overview

Tashin Holdings Berhad, an investment holding company, processes, manufactures, and trades in steel products in Malaysia.

Rewards

Trading at 41.8% below our estimate of its fair value

Earnings grew by 200.4% over the past year

Risk Analysis

High level of non-cash earnings

Dividend of 12.12% is not well covered by earnings

Does not have a meaningful market cap (MYR173M)

Tashin Holdings Berhad Competitors

Mycron Steel Berhad

KLSE:MYCRON

RM148.8m

Eonmetall Group Berhad

KLSE:EMETALL

RM168.7m

Prestar Resources Berhad

KLSE:PRESTAR

RM171.5m

Leon Fuat Berhad

KLSE:LEONFB

RM187.6m

Price History & Performance

Summary of all time highs, changes and price drops for Tashin Holdings Berhad
Historical stock prices
Current Share Price	RM0.49
52 Week High	RM0.68
52 Week Low	RM0.40
Beta	2.34
1 Month Change	17.86%
3 Month Change	-10.00%
1 Year Change	-16.81%
3 Year Change	67.80%
5 Year Change	n/a
Change since IPO	2.06%

Recent News & Updates

Aug 11

Tashin Holdings Berhad (KLSE:TASHIN) Seems To Use Debt Quite Sensibly

The external fund manager backed by Berkshire Hathaway's Charlie Munger, Li Lu, makes no bones about it when he says...

Jun 24

Market Still Lacking Some Conviction On Tashin Holdings Berhad (KLSE:TASHIN)

Tashin Holdings Berhad's ( KLSE:TASHIN ) price-to-earnings (or "P/E") ratio of 2.6x might make it look like a strong...

Shareholder Returns

	TASHIN	MY Metals and Mining	MY Market
7D	11.2%	0.8%	0.2%
1Y	-16.8%	-1.7%	-3.5%

Return vs Industry: TASHIN underperformed the MY Metals and Mining industry which returned -1.7% over the past year.

Return vs Market: TASHIN underperformed the MY Market which returned -3.5% over the past year.

Price Volatility

Is TASHIN's price volatile compared to industry and market?
TASHIN volatility
TASHIN Average Weekly Movement	5.6%
Metals and Mining Industry Average Movement	6.3%
Market Average Movement	5.5%
10% most volatile stocks in MY Market	11.7%
10% least volatile stocks in MY Market	2.7%

Stable Share Price: TASHIN is not significantly more volatile than the rest of MY stocks over the past 3 months, typically moving +/- 6% a week.

Volatility Over Time: TASHIN's weekly volatility (6%) has been stable over the past year.

About the Company

Founded	Employees	CEO	Website
2017	n/a	Choon Teik Lim	https://www.tashin.com.my

Tashin Holdings Berhad, an investment holding company, processes, manufactures, and trades in steel products in Malaysia. The company offers slit coils, steel plates and sheets, steel pipes, flat and square bars, expanded metals, checkered plates, and C purlins for use in the electronics and electrical, industrial stamping, automobiles, furniture, fabrications, and engineering industries. It also manufactures and trades in steel material and general hardware products.

Tashin Holdings Berhad Fundamentals Summary

How do Tashin Holdings Berhad's earnings and revenue compare to its market cap?
TASHIN fundamental statistics
Market Cap	RM172.75m
Earnings (TTM)	RM62.43m
Revenue (TTM)	RM412.97m

2.8x

P/E Ratio

0.4x

P/S Ratio

Is TASHIN overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
TASHIN income statement (TTM)
Revenue	RM412.97m
Cost of Revenue	RM309.49m
Gross Profit	RM103.48m
Other Expenses	RM41.05m
Earnings	RM62.43m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	0.18
Gross Margin	25.06%
Net Profit Margin	15.12%
Debt/Equity Ratio	24.1%

How did TASHIN perform over the long term?

See historical performance and comparison

Dividends

12.1%

Current Dividend Yield

28%

Payout Ratio

We’ve recently updated our valuation analysis.

Valuation

Is TASHIN undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast

Key Valuation Metric

Which metric is best to use when looking at relative valuation for TASHIN?

Other financial metrics that can be useful for relative valuation.

The above table shows the n/a ratio for TASHIN. This is calculated by dividing TASHIN's market cap by their current preferred multiple.
What is TASHIN's n/a Ratio?
n/a Ratio	0x
n/a	n/a
Market Cap	RM172.75m

TASHIN key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	0.5x
Enterprise Value/EBITDA	2.3x
PEG Ratio	n/a

Price to Earnings Ratio vs Peers

How does TASHIN's PE Ratio compare to its peers?

TASHIN PE Ratio vs Peers

The above table shows the PE ratio for TASHIN vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	PE	Estimated Growth	Market Cap
Peer Average	2.9x
MYCRON Mycron Steel Berhad	2.5x	n/a	RM148.8m
EMETALL Eonmetall Group Berhad	5.8x	n/a	RM168.7m
PRESTAR Prestar Resources Berhad	1.8x	n/a	RM171.5m
LEONFB Leon Fuat Berhad	1.5x	n/a	RM187.6m
TASHIN Tashin Holdings Berhad	2.8x	n/a	RM172.8m

Price-To-Earnings vs Peers: TASHIN is good value based on its Price-To-Earnings Ratio (2.8x) compared to the peer average (2.9x).

Price to Earnings Ratio vs Industry

How does TASHIN's PE Ratio compare vs other companies in the MY Metals and Mining Industry?

Price-To-Earnings vs Industry: TASHIN is good value based on its Price-To-Earnings Ratio (2.8x) compared to the MY Metals and Mining industry average (4.9x)

Price to Earnings Ratio vs Fair Ratio

What is TASHIN's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TASHIN PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	2.8x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate TASHIN's Price-To-Earnings Fair Ratio for valuation analysis.

Share Price vs Fair Value

What is the Fair Price of TASHIN when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: TASHIN (MYR0.5) is trading below our estimate of fair value (MYR0.85)

Significantly Below Fair Value: TASHIN is trading below fair value by more than 20%.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.

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Future Growth

How is Tashin Holdings Berhad forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

Future Growth Score

0/6

Future Growth Score 0/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

16.7%

Forecasted Materials industry annual growth in earnings

In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as Tashin Holdings Berhad has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.

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Examine whether Tashin Holdings Berhad is trading at an attractive price based on how much it is expected to earn in the future, and relative to its industry peers and the wider market.

Past Performance

How has Tashin Holdings Berhad performed over the past 5 years?

Past Performance Score

5/6

Past Performance Score 5/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

55.3%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: TASHIN has a high level of non-cash earnings.

Growing Profit Margin: TASHIN's current net profit margins (15.1%) are higher than last year (7.6%).

Past Earnings Growth Analysis

Earnings Trend: TASHIN's earnings have grown significantly by 55.3% per year over the past 5 years.

Accelerating Growth: TASHIN's earnings growth over the past year (200.4%) exceeds its 5-year average (55.3% per year).

Earnings vs Industry: TASHIN earnings growth over the past year (200.4%) exceeded the Metals and Mining industry 87.4%.

Return on Equity

High ROE: TASHIN's Return on Equity (23.3%) is considered high.

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Financial Health

How is Tashin Holdings Berhad's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage

Financial Position Analysis

Short Term Liabilities: TASHIN's short term assets (MYR313.7M) exceed its short term liabilities (MYR113.3M).

Long Term Liabilities: TASHIN's short term assets (MYR313.7M) exceed its long term liabilities (MYR11.7M).

Debt to Equity History and Analysis

Debt Level: TASHIN's net debt to equity ratio (11.5%) is considered satisfactory.

Reducing Debt: TASHIN's debt to equity ratio has reduced from 29.9% to 24.1% over the past 5 years.

Debt Coverage: TASHIN's operating cash flow is negative, therefore debt is not well covered.

Interest Coverage: TASHIN's interest payments on its debt are well covered by EBIT (51x coverage).

Balance Sheet

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Dividend

What is Tashin Holdings Berhad current dividend yield, its reliability and sustainability?

Dividend Score

3/6

Dividend Score 3/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage

12.12%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: TASHIN's dividend (12.12%) is higher than the bottom 25% of dividend payers in the MY market (2%).

High Dividend: TASHIN's dividend (12.12%) is in the top 25% of dividend payers in the MY market (4.87%)

Stability and Growth of Payments

Stable Dividend: Too early to tell whether TASHIN's dividend payments have been stable as they only just started paying a dividend.

Growing Dividend: Too early to tell if TASHIN's dividend payments are increasing as they only just started paying a dividend.

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (28%), TASHIN's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: TASHIN is paying a dividend but the company has no free cash flows.

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Management

How experienced are the management team and are they aligned to shareholders interests?

4.3yrs

Average board tenure

CEO

Choon Teik Lim (69 yo)

no data

Tenure

RM38,000

Compensation

Mr. Lim Choon Teik serves as Managing Director and Director at Tashin Holdings Berhad and has been its Director since April 18, 2018. He served as an Executive Director of Tashin Steel Sdn. Bhd.(tssB) and...

CEO Compensation Analysis

Compensation vs Market: Choon Teik's total compensation ($USD8.55K) is below average for companies of similar size in the MY market ($USD112.38K).

Compensation vs Earnings: Choon Teik's compensation has been consistent with company performance over the past year.

Board Members

Experienced Board: TASHIN's board of directors are considered experienced (4.3 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Data	Last Updated (UTC time)
Company Analysis	2022/08/13 00:00
End of Day Share Price	2022/08/12 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31