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WTK

W T K Holdings BerhadKLSE:WTK Stock Report

Market Cap

RM239.2m

7D

5.2%

1Y

15.9%

Updated

16 Oct, 2021

Data

Company Financials
WTK fundamental analysis
Snowflake Score
Valuation3/6
Future Growth0/6
Past Performance0/6
Financial Health4/6
Dividends1/6

WTK Overview

W T K Holdings Berhad, an investment holding company, operates in the timber industry.

Price History & Performance

Summary of all time highs, changes and price drops for W T K Holdings Berhad
Historical stock prices
Current Share PriceRM0.51
52 Week HighRM0.39
52 Week LowRM0.65
Beta1.43
1 Month Change12.09%
3 Month Change15.91%
1 Year Change15.91%
3 Year Change6.25%
5 Year Change-52.34%
Change since IPO-30.96%

Recent News & Updates

Oct 06
Is W T K Holdings Berhad (KLSE:WTK) Using Too Much Debt?

Is W T K Holdings Berhad (KLSE:WTK) Using Too Much Debt?

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

Jun 02
Is W T K Holdings Berhad (KLSE:WTK) A Risky Investment?

Is W T K Holdings Berhad (KLSE:WTK) A Risky Investment?

David Iben put it well when he said, 'Volatility is not a risk we care about. What we care about is avoiding the...

Shareholder Returns

WTKMY ForestryMY Market
7D5.2%-0.09%2.1%
1Y15.9%1.9%8.9%

Return vs Industry: WTK exceeded the MY Forestry industry which returned 1.9% over the past year.

Return vs Market: WTK exceeded the MY Market which returned 8.9% over the past year.

Price Volatility

Is WTK's price volatile compared to industry and market?
WTK volatility
WTK Beta1.43
Industry Beta1.02
Market Beta1

Stable Share Price: WTK is less volatile than 75% of MY stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: WTK's weekly volatility (4%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1970n/aPatrick Wonghttps://wtkholdings.com

W T K Holdings Berhad, an investment holding company, operates in the timber industry. It operates through Timber, Plantation, Trading, and Manufacturing segments. The Timber segment extracts and sells timber; and manufactures and sells plywood, veneer, and sawn timber, as well as provides reforestation and related services.

W T K Holdings Berhad Fundamentals Summary

How do W T K Holdings Berhad's earnings and revenue compare to its market cap?
WTK fundamental statistics
Market CapRM239.23m
Earnings (TTM)-RM138.95m
Revenue (TTM)RM360.75m

0.7x

P/S Ratio

-1.7x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
WTK income statement (TTM)
RevenueRM360.75m
Cost of RevenueRM363.21m
Gross Profit-RM2.46m
ExpensesRM136.49m
Earnings-RM138.95m

Last Reported Earnings

Jun 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.30
Gross Margin-0.68%
Net Profit Margin-38.52%
Debt/Equity Ratio33.7%

How did WTK perform over the long term?

See historical performance and comparison

Dividends

2.0%

Current Dividend Yield

-3%

Payout Ratio

Valuation

Is W T K Holdings Berhad undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: WTK (MYR0.51) is trading below our estimate of fair value (MYR7.25)

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


Price To Earnings Ratio

PE vs Industry: WTK is unprofitable, so we can't compare its PE Ratio to the MY Forestry industry average.

PE vs Market: WTK is unprofitable, so we can't compare its PE Ratio to the MY market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate WTK's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: WTK is good value based on its PB Ratio (0.3x) compared to the MY Forestry industry average (0.6x).


Future Growth

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

13.4%

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 W T K 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.


Past Performance

How has W T K Holdings Berhad performed over the past 5 years?

-73.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: WTK is currently unprofitable.

Growing Profit Margin: WTK is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: WTK is unprofitable, and losses have increased over the past 5 years at a rate of 73% per year.

Accelerating Growth: Unable to compare WTK's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: WTK is unprofitable, making it difficult to compare its past year earnings growth to the Forestry industry (116.5%).


Return on Equity

High ROE: WTK has a negative Return on Equity (-17.74%), as it is currently unprofitable.


Financial Health

How is W T K Holdings Berhad's financial position?


Financial Position Analysis

Short Term Liabilities: WTK's short term assets (MYR480.8M) exceed its short term liabilities (MYR194.8M).

Long Term Liabilities: WTK's short term assets (MYR480.8M) exceed its long term liabilities (MYR169.3M).


Debt to Equity History and Analysis

Debt Level: WTK's debt to equity ratio (33.7%) is considered satisfactory.

Reducing Debt: WTK's debt to equity ratio has increased from 22.9% to 33.7% over the past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: WTK has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: Insufficient data to determine if WTK has enough cash runway if its free cash flow continues to grow or shrink based on historical rates.


Dividend

What is W T K Holdings Berhad current dividend yield, its reliability and sustainability?

1.96%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: WTK's dividend (1.96%) is higher than the bottom 25% of dividend payers in the MY market (1.51%).

High Dividend: WTK's dividend (1.96%) is low compared to the top 25% of dividend payers in the MY market (4.12%).


Stability and Growth of Payments

Stable Dividend: WTK's dividend payments have been volatile in the past 10 years.

Growing Dividend: WTK's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: WTK is paying a dividend but the company is unprofitable.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

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

2.0yrs

Average management tenure


CEO

Patrick Wong (51 yo)

8.58yrs

Tenure

RM497,139

Compensation

Mr. Haw Yeong Wong, also known as Patrick, has been Managing Director of W T K Holdings Berhad since March 1, 2013. Mr. Wong serves as General Manager of Kuching Plywood Berhad. Mr. Wong is responsible for...


CEO Compensation Analysis

Compensation vs Market: Patrick's total compensation ($USD119.55K) is about average for companies of similar size in the MY market ($USD123.96K).

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


Leadership Team

Experienced Management: WTK's management team is considered experienced (2 years average tenure).


Board Members

Experienced Board: WTK's board of directors are not considered experienced ( 2 years average tenure), which suggests a new board.


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.


Top Shareholders

Company Information

W T K Holdings Berhad's employee growth, exchange listings and data sources


Key Information

  • Name: W T K Holdings Berhad
  • Ticker: WTK
  • Exchange: KLSE
  • Founded: 1970
  • Industry: Forest Products
  • Sector: Materials
  • Market Cap: RM239.232m
  • Shares outstanding: 469.08m
  • Website: https://wtkholdings.com

Number of Employees


Location

  • W T K Holdings Berhad
  • Bangunan Hung Ann
  • No. 1, Jalan Bujang Suntong
  • Sibu
  • Sarawak
  • 96000
  • Malaysia

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/10/16 11:04
End of Day Share Price2021/10/15 00:00
Earnings2021/06/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.