hey gus seem that today 29 dec some news from help just came out.

semm very attrictive

if you "trust" the guy who wrote the article

erm...not only that but also before this news i already got some tip from people who work in the help

I know staffs at HELP that was offered the stock during the IPO and apparently most of them already sold off the stock.

and now the boss is giving another 200share for some stuff i think

what news?

post up the article.

From Star Online

HELP business model stands it in good stead

News Analsysis by FINTAN NG

FROM its humble beginnings in a row of shophouses in Kampung Attap in 1986, the HELP Group has come a long way.

Then known as HELP Institute, the college was set up by a group of academics at a time when demand for tertiary education spurred the growth of the private tertiary education industry.

The HELP Group was listed on Bursa Malaysia's second board in May this year under the name HELP International Corporation Bhd, the fourth listed education group in the country. SEG International Bhd and Inti Universal Holdings Bhd are both listed on the main board and Stamford College Bhd on the second board.

HELP Group's share price rose to an intraday high of RM2.02 on Oct 4 and closed at RM1.95, which Bloomberg data records as its most recent six-month high. The shares were priced at 80 sen each during the initial public offer period prior to listing.

For the financial year ended Oct 31, the company posted a 11.9% growth in pre-tax profit to RM13.39mil on a 15.3% jump in revenue to RM61.70mil.

The HELP Group stood out from its listed peers on the local exchange due to its business model of not owning properties and its successful tie-ups with good universities throughout the world, an analyst with a local investment bank told StarBiz.

"Its peers have assets tied into fixed capital such as properties so if student numbers fall, revenue falls with it but the properties are still in the books," he added.

The HELP Group does not have any properties on its books that would negatively impact it, he said, adding that even Wisma HELP in Bukit Damansara was owned by Selangor Properties Bhd, which also owned 51% of the company's shares.

The company's tie-ups with top institutions of higher education around the world and its good course management have also stood it in good stead.

In the early years, it was known for its economics and law degrees, which were conferred by the University of London. Its US degree transfer programme has also done well although it was late in offering the programme compared with Inti and several other colleges.

"The company has tie-ups with 20 of the top 100 universities listed on the Times Higher Education Supplement, which makes it an attractive choice for students who study for one or two years locally and then transfer to the partner institution," the analyst said.

Based on the price to earnings band of 10.6 times on FY08 earnings, he has a target price of RM2. The company's shares closed at RM1.49 yesterday.

"This is still very cheap compared to its listed peers in Singapore, Hong Kong and South Korea, where the average price to earnings ratio is 26 times," the analyst said, adding that the other three listed education groups were barely breaking even or making losses.

He said the company had plans in the region where it was tying up with Vietnam National University and also has plans to offer specialised courses for professionals.

Note the following statements



Throw in Bloomberg name to make it sound more interesting whereas the data can be obtained in The Star Marketwatch, hehe



Earning per share is RM0.12 per share which is decent in my opinion. The article did not mention dividen declared was only RM0.03/share. This is translate to about DY of 2% based on current market price.

As for not owing properties, they are paying rental to Selangor Properties which owns HELP anyway. Therefore guess where most of their profit goes to beside paying their staffs.

Who is the analyst?

More interesting, the article mentioned HELP has tie-ups with 20 of the top 100 universities. What does tie-ups mean? This statement is kind of misleading.

Lastly, FYI, NTA of HELP is RM0.82/share.

look at inti...the angmo that bought in the stake at loss position

There's many colleges are tying up with foreign university for those twinning programmes. You've never heard of that?

If Selangor properties is owned by help, when consolidate the group account, it will be an intra-group transaction, this will not be included in the company profit and loss statement.

Lastly for a share that has it's potential, NTA is not a right way to evaluate the Market Price of the shares. Shares in stock exchange is always traded at a premium due to that fact that the investor believe the company will grow. Netherless, it's one of the way. FYI, Proton is always traded at NTA when the last time i bought the shares. (around 4.50)

This post has been edited by keith_hjinhoh: Dec 31 2007, 10:16 AM

Like i said the use of the word tie-up is misleading because i bet HELP got no twinning program with 20 top 100 Uni.

Selangor Prop owns HELP and not the other way around, and therefore money is flowing out into Selangor Prop pocket.

Help was previously a wholly own subsidiary of Selangor Properties, after listing of Help, Selangor properties still is the major shareholder of Help, not the other way round.
Another point to make is that as just like you mentioned if Selangor Properties (should be the other way round), is owned by Help, all the profit made by Selangor Properties must be included in the P&L of Help under associated company or minority interest (depends how much is the stake is). This is the general standard accounting practice.

Yes, a company share is not evaluated based on NTA alone. It is the earning/profit potential that matter the most as if company is making losses, NTA will be reducing while if profit will rise significantly then future NTA will be rising. Having said that, NTA is part of figure that can be useful to evaluate a stock as well, just it doesn't telling the whole picture, one must not totally ignore it. The more influnced figure is PE as it means potential return rat for the future.

Gen-X is right, tied up mean nothing much, it can be just a cooperation or having crossing business between them.

Not mean to recommend to buy or sell on this stock or putting comments on it. Just to clarify some issues.

This post has been edited by cherroy: Dec 31 2007, 11:24 AM

Hi dear friends,
I wonder why people would interest in Selangor Property Berhad? As I am considering Public Mutual Far-East Property & Resorts Fund, and one of the top 5 holdings this fund invested is -Selangor Property Berhad...



what so great about this company? any advice is most welcomed.

Its share price is trading at significant lower than its NTA, not to mention some of those old properties which had not revalue until now. That's the main attraction of this stock. Earning wise is pretty stable but no major upside earning is expected with property sector is under lot of pressure. Dividend yield is around 3.xx%.

So based on earning and dividend, it doesn't look good nor bad, a neutral point or a fair point. As said, main attraction is come from its share price is significant lower than its NTA value. So investment houses might classify it as undervalued stock, that's why fund houses might interested adding it to their portfolio.

Just my personal view. Don't mean to recommend anything on this stock.