Biosensors   

Is Biosensors a good buy?

Hi divearse,u still holding to Straits Asia resources,I'm reluctant to sell even though hit $2.18 this morning

divearse      ( Date: 29-Jul-2009 23:59) Posted: People are still collecting this for long, may not be spectacular but consistent, does this stock really goes down? a wee bit from time to time but mainly up recession or not. Due to its speed many BB are not playing this, so is great for retail investors.

 

Vol has been picking up and price did not surge although STI went >2600.The weak and imaptient ones are fully out,I believe limited downside from here say 55cts but upside is everyone's guess.Collection phase from 45-55cts almost 3 months and management at its AGM last Tue 28July has assured investors that its USD 45mil due sept 2009 ,no problem as cash on hand is already $60mil plus positive cash flow from operations-comfirmed turn around for FYE 2010 March as its first quarter reported expoential growth in revenue despite the absenve of licencing fees(last year USD40mil).

BB is collecting for final push,CEO and major holder,director Yoh-Chie Lu has assured investors that co is definitely on path to profitability as he stands to benefit the most with the bulk of 305mil registered in his and wife's account and his brother Hong Liang Lu under DB Nominees

 

People are still collecting this for long, may not be spectacular but consistent, does this stock really goes down? a wee bit from time to time but mainly up recession or not. Due to its speed many BB are not playing this, so is great for retail investors.

 

Wow resillience almost everycounter down,BIG is up with vol,> good things to come

 

Today with US at borderline between green and red, people will be looking for laggards, Bio seems to be one of them, Li Heng trade summary now shows that 444K sell vs 99K buy, decide yourselves, maybe it is just a push down and then collect or it is really gong to cheong.....wee or it is really help people to cover shorts

 

I have got a strong feeling that BB are pushing Biosensors up to $0.60. It is way lagging behind the STI index.

 

Cheers! long long long!

 

I thot chips are used either in computer memory, casino tables and potatoes, but don't understand why they are used in sgx china stocks. When was the word coined? Anyone? Tks.

 

Why not go and learn to read the financials, instead of avoiding S-chips altogether?   :)

NEWBAB      ( Date: 28-Jul-2009 20:14) Posted: Hi Uncle Cheongwee, Know your big name thru SAR.  Yes, I agree with you, this Biosensor is a slow one and a letdown, regret buying too 1 month ago when it was 0.525.  Missed the boat to sell yesterday at 0.555 due to greed as I was queuing 0.585.  May I know what you mean by S-chips?  Sorry a bit mountain tortoise here, blue chips I know but not s-chips.  You recommended Li Heng and Long cheer, but I don't fancy any more china stocks as I got stuck with Ferro China which now got suspended.  Had learnt a lesson and will never buy china stocks again as you never know the financials are how true.  Kindly advise. Thanks.     cheongwee      ( Date: 28-Jul-2009 17:13) Posted: This one is slow, me sold already and put into Li Heng. This one is a letdown, why not move to s-chip,

 

hello.. s-chips = china counters listed here (in s'pore)

NEWBAB      ( Date: 28-Jul-2009 20:14) Posted: Hi Uncle Cheongwee, Know your big name thru SAR.  Yes, I agree with you, this Biosensor is a slow one and a letdown, regret buying too 1 month ago when it was 0.525.  Missed the boat to sell yesterday at 0.555 due to greed as I was queuing 0.585.  May I know what you mean by S-chips?  Sorry a bit mountain tortoise here, blue chips I know but not s-chips.  You recommended Li Heng and Long cheer, but I don't fancy any more china stocks as I got stuck with Ferro China which now got suspended.  Had learnt a lesson and will never buy china stocks again as you never know the financials are how true.  Kindly advise. Thanks.     cheongwee      ( Date: 28-Jul-2009 17:13) Posted: This one is slow, me sold already and put into Li Heng. This one is a letdown, why not move to s-chip,

 

Hi Uncle Cheongwee,

Know your big name thru SAR.  Yes, I agree with you, this Biosensor is a slow one and a letdown, regret buying too 1 month ago when it was 0.525.  Missed the boat to sell yesterday at 0.555 due to greed as I was queuing 0.585. 

May I know what you mean by S-chips?  Sorry a bit mountain tortoise here, blue chips I know but not s-chips.  You recommended Li Heng and Long cheer, but I don't fancy any more china stocks as I got stuck with Ferro China which now got suspended.  Had learnt a lesson and will never buy china stocks again as you never know the financials are how true. 

Kindly advise.

Thanks.

 

 

cheongwee      ( Date: 28-Jul-2009 17:13) Posted: This one is slow, me sold already and put into Li Heng. This one is a letdown, why not move to s-chip,

 

I've moved to S-Chip. Another party on the way tomorrow.

cheongwee      ( Date: 28-Jul-2009 17:13) Posted: This one is slow, me sold already and put into Li Heng. This one is a letdown, why not move to s-chip,

 

Cheong Wee what is yr TP for Li Heng?

cheongwee      ( Date: 28-Jul-2009 17:13) Posted: This one is slow, me sold already and put into Li Heng. This one is a letdown, why not move to s-chip,

 

This one is slow, me sold already and put into Li Heng. This one is a letdown, why not move to s-chip,

 

Biosensors International Group: Sustaining market share growth

 Biosensors International Group (Biosensors) posted results that beat our expectations. The group posted 1Q10 revenue of US$23.8m (+6% QoQ, -66% YoY) and net profit of US$4.2m (about 10x QoQ growth). Stripping out the one-time US$41m licensing fee in 1Q09, gross profit would have grown about 70% YoY. This quarter is especially pivotal as the group’s performance was primarily driven by its core business, not through exceptional items. We continue to be encouraged by its topline growth, implying market share acquisition and growing acceptance and product entrenchment within the medical community. Biosensor’s 50%-owned Chinese JV also outperformed our expectations with strong market penetration of its products. We continue to view JWMS as a key component of the Biosensors’

long-term China strategy. Competitors are also starting on the same technology track as Biosensors, creating a positive clinical marketing wake effect for Biosensors to boost future sales. We have retained our estimates and prefer to see sustainability of JWMS performance and a more predictable pattern in licensee royalties prior to refining forecasts. We are maintaining our medtech discounted model with a fair value of S$0.74.

Maintain BUY. (Kelly Chia)

*************************************************************************************************************

 

 

Bottomline is where is the VALUE to shareholders???!!!! No dividends. Good lord, even S-Chips are moving faster today.They need to raise capital despite assurances of fulfilling its short term obligations.

< The convertiblle loan of USD 45mil due in Sept,co is in midst of discussing alternative financing and presently very confident existing cash hoard of $60mil can meet this obligation.>

In so many words they intend to keep investors in suspense for a tad longer.

 

So in effect, if there is a horde of US$60 million cash, then paying off the convertible loan is not a problem except that the remaining cash would be down to US$15 million, is it?  Thus it will depend on whether management will use the cash available to pay or resort to alternatives as suggested by Bengster68 and what best, in order to still have the big chunk of cash?

Personally, it would be best not to use the money but to settle the convertible loans by offering loan holders some tangible benefits such as half redemption and half in renewed convertibles at a slight discount from the market price at the date of maturity. I am not too sure of the terms of the convertible loans but as gathered from this forum, the exercise price for conversion to stock is $1.05.  Obviously convertible loan holders would not want to exercise conversion, so probably may demand for cash.  With a renewal mandate acceptable to them, I think should the discount be better than the interests earned, Bond/loan holders should be happy to have the renewal.  This would be very good for BIG and I am certain it would boost the share price very quickly.

 

AT the AGM,someone asked why PBT $8.861mil and yet income tax was 9.981mil for FYE 31March 2009...despite enjoying pioneer status and tax exempt income here...reply not all co where they operate grant tax exemption.Substantial increase in salaries but reply not very satisafctorily.Why every year grant share option to directors and employees,Biggest share holder ,Yoh-Chie Lu,also the chairman says he has the right to do so...clearly a co that milks its shareholders dry ---not very interested in boosting the share price too.The convertiblle loan of USD 45mil due in Sept,co is in midst of discussing alternative financing and presently very confident existing cash hoard of $60mil can meet this obligation.

allright      ( Date: 28-Jul-2009 09:02) Posted: Biosensors International Group: Sustaining market share growth Summary: Biosensors International Group (Biosensors) posted results that beat our expectations. The group posted 1Q10 revenue of US$23.8m (+6% QoQ, -66% YoY) and net profit of US$4.2m (about 10x QoQ growth). Stripping out the one-time US$41m licensing fee in 1Q09, gross profit would have grown about 70% YoY. This quarter is especially pivotal as the group’s performance was primarily driven by its core business, not through exceptional items. We continue to be encouraged by its topline growth, implying market share acquisition and growing acceptance and product entrenchment within the medical community. Biosensor’s 50%-owned Chinese JV also outperformed our expectations with strong market penetration of its products. We continue to view JWMS as a key component of the Biosensors’ long-term China strategy. Competitors are also starting on the same technology track as Biosensors, creating a positive clinical marketing wake effect for Biosensors to boost future sales. We have retained our estimates and prefer to see sustainability of JWMS performance and a more predictable pattern in licensee royalties prior to refining forecasts. We are maintaining our medtech discounted model with a fair value of S$0.74. Maintain BUY. (Kelly Chia)

 

Biosensors International Group: Sustaining market share growth Summary: Biosensors International Group (Biosensors) posted results that beat our expectations. The group posted 1Q10 revenue of US$23.8m (+6% QoQ, -66% YoY) and net profit of US$4.2m (about 10x QoQ growth). Stripping out the one-time US$41m licensing fee in 1Q09, gross profit would have grown about 70% YoY. This quarter is especially pivotal as the group’s performance was primarily driven by its core business, not through exceptional items. We continue to be encouraged by its topline growth, implying market share acquisition and growing acceptance and product entrenchment within the medical community. Biosensor’s 50%-owned Chinese JV also outperformed our expectations with strong market penetration of its products. We continue to view JWMS as a key component of the Biosensors’ long-term China strategy. Competitors are also starting on the same technology track as Biosensors, creating a positive clinical marketing wake effect for Biosensors to boost future sales. We have retained our estimates and prefer to see sustainability of JWMS performance and a more predictable pattern in licensee royalties prior to refining forecasts. We are maintaining our medtech discounted model with a fair value of S$0.74. Maintain BUY. (Kelly Chia)

 

Yes and no, depends on your invstment strategy, if you like shorting then this is not for you, if you want to park and come back to peek from time to time, this may be a better one than others. I listened to the announcement last night and fell asleep, what I gathered is that they got the 2 million profit without extra-ordinary income like Turomo last Q, and the most important thing is sales, it increased ! Sales team beefed up. Positive cash although need to have more working capital, so Bengster could be right with the options  to get more cash for operation use and the magnitude seems reasonable, so in short, I will long it....come back and peek every quarter...anyway those who have a day job cannot short so much, so this is probably is a good candidate to consider.

tango123      ( Date: 28-Jul-2009 00:54) Posted: Don't waste time on this counter!!!  You can't make much anymore, trading either way.

 

Wow what a comment from tango123, but we cannot fault him/her for saying that as everyone has their own views. But a smart investor looking at results,progress and improvement in profitability of Biosensors in the past 4-6 quarters, one would have to say that it is a tremndous stock. I am merely a small time investor in Biosensors, believing that this stock willl hit $0.80 very soon, or the chances of a takeover will come if the economy recovers. As i always say, right now one of the best stocks to be in will be medical.

 

TP : $0.80