ANALYSTS SAY: Buy, Sell, Hold (14 Jan)

We highlight the key points raised in Jumbo Group’s (31.5 cents, unchanged) latest FY annual report:
We started the year hoping that things would be more optimistic by year-end. Unfortunately, the environment remained depressed due to the Delta variant. COVID-19 had almost effectively reduced global travel to non-existent. Coupled with safe-distancing measures and dinein restrictions, the Group’s dominant brands, namely JUMBO Seafood and Zui Teochew Cuisine, which are predominantly communal sharing concepts and popular with larger social groups, were badly affected.

At 31.5 cents, Jumbo is capitalized at S$202.3mln and is currently loss making. It trades at 4.6x price to book ratio and does not pay dividends. Based on consensus 12 months target price of S$0.31, there seems to be no signifi cant upside. We are neutral on Jumbo as valuations look depressed, its outlook still remains uncertain given the recent surge in Omicron cases globally, including in Singapore.

LIM & TAN

DBS VICKERS

Totm Technologies ($0.195, down 1.5 cents) announced that the Group has recorded revenue of S$10.1 million for the half year ended 30 November 2021 (“1H2022”), representing a 263.2% jump year-on-year (“yoy”), as compared to S$2.8 million for 1H2021.

The higher revenue was mainly due to the contribution from the Identity Management and Biometrics business of S$8.0 million, which was derived from the provision of technical support to Indonesia’s Ministry of Home Affairs, maintenance of Indonesia’s current biometric national identity system as well as the supply of a security platform to the Indonesian government.

Totm Technologies’ market cap stands at S$165.6mln, is currently loss making and trades at 2.4x PB. Totm Technologies does not pay dividends and there are currently no analysts covering ToTm Technologies.

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