SEG International Bhd lags on analyst revisions among 19 companies in Malaysia’s consumer discretionary sector, tracked by at least three analysts, data from Thomson Reuters StarMine shows.
The education prvider has an Analyst Revision Model (ARM) score of 3, the lowest in the sector. This score has declined 46 points over the past 30 days.
It also has below-average Value-Momentum (Val-Mo) and Earnings Quality (EQ) scores of 25 and 37 respectively. The EQ score declined 35 points since the company’s third quarter results were announced on Nov. 1.
Analysts have cut the EPS estimates on the firm for the year ending December 2012 by 5.6 percent over the last month.
The free cash flow of the company for the quarter ended September 2012 stood at 20 million ringgit, down 59 percent from the same period a year earlier.
The firm currently trades at 74 percent of its intrinsic value of 2.69 ringgit. Of the three analysts tracking the stock, one rates it a “buy”, while two recommend a “hold”.
The stock is down 1 percent over the last month, while the sector index is down 1.73 percent for the same period as of Thursday’s close.
At the other end of the spectrum, Tan Chong Motors leads the sector on analyst revisions with an ARM score of 89.
The company’s revenue for the third quarter rose 6 percent on year to 74.3 million ringgit while net income fell 14 percent to 15.8 million ringgit.
StarMine’s Analyst Revision Model ranks stocks based on analysts’ revision of earnings and revenue estimates and changes in their ratings and usually gives additional weight to analysts who have been more accurate in the past.
StarMine’s Val-Mo model combines relative and intrinsic valuation tools, along with analysts’ earnings revisions and price momentum tools. It provides a 1-100 percentile ranking of stocks.
The Earnings Quality model is a percentile (1-100) ranking of stocks based on sustainability of earnings, with 100 representing the highest rank. (Reporting By Tripti Kalro; Editing by Sunil Nair)