Featured Company --- Boustead

One of the feature of my journal is to look at company which I believe is a value investment. To kick off the series, I will just use my simple stock screener to screen the company before looking deeper into it. For a start, the company that I will be featuring today is BOUSTEAD.

Part 1 of this feature will look at the stock screening criteria that I used and a brief history of the company together with some notable financial highlights.

As you can see, based on all the criteria that I have listed, BOUSTEAD financial ratio fits all of them aptly. Moving on, lets see what constitute the key business groups for BOUSTEAD.

85% of business comes from Engineering Service and they comprises of:
a. Oil & Gas engineering
b. Petrochemical engineering
c. Solid waste energy recovery
d. Water & wastewater engineering
e. Industrial real estate solutions

14% of business comes from Geo-Spatial Services

1% of business comes from Investment (Non-core)

What makes this company stands out from the rest?

1. This is the second oldest company in Singapore. Founded in 1828, it has gone through many economic booms and busts. Its ability to survive is testament to the company key business acumen throughout its history.

2. Boustead presence spans 71 countries globally and this makes it less susceptible to any downturn in any one region.

3. Based on Forbes' data over a three year period, the financial statistics speak volume:
- Sales growth: 24%
- EPS growth: 34%
- ROE: 26%
- 2008 represents 6th record year of revenues

This is just to whet your appetite. The second feature on this company will look at a simple analysis of their P&L, Balance Sheet and Cash Flow for the financial ending 2008. Stay tuned.