Taiwan Cement (1101) Earnings: February Sales Reach NT$4.80B, Despite 34.3% Drop

Taiwan Cement on Smartkarma

Taiwan Cement (1101 TT) is set to raise US$395m through its global depository share (GDSs) issuance, along with a concurrent US$420m convertible bond offering. According to analyst Clarence Chu, the deal is relatively large and may take 19.5 days of three months average daily volume (ADV) to process. Chu also notes that the stock’s recent momentum has been less than ideal. However, the deal has been well flagged and short interest remains high.

In another report, analyst Clarence Chu states that Taiwan Cement (1101 TT) is planning to raise US$400m through its upcoming global depository receipts (GDRs) offering, with an additional US$500m to be raised through convertible bonds. Chu points out that this process may take a while as the company requires multiple approvals, giving investors ample time to position themselves. As of the latest closing, the equity component of the GDR listing is around 388m shares or 19.5 days of three months ADV. Despite the lackluster momentum, Chu believes the deal is well flagged and may still attract interest from investors.

A look at Taiwan Cement Smart Scores

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Taiwan Cement Corporation, a leading cement manufacturer, has a bright long-term outlook according to the Smartkarma Smart Scores. The company has received a perfect score of 5 for Value, indicating that it is currently undervalued and has potential for growth in the future. This is good news for investors who are looking for companies with strong fundamentals and potential for long-term returns.

In addition, Taiwan Cement scored a respectable 3 for Resilience, suggesting that it has a stable financial standing and is well-equipped to weather any potential economic downturns. However, the company received a lower score of 2 for both Dividend and Growth, indicating that it may not be the best option for investors seeking high dividend payouts or rapid growth.

Overall, Taiwan Cement‘s Smart Scores suggest that it is a solid investment for those looking for long-term value and stability. With its diverse product range and subsidiary businesses, the company is well-positioned to continue its success in the cement industry. As always, investors should conduct their own research and consider all factors before making any investment decisions.

Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
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