I Love Starbucks

Company Background – Berjaya Food Berhad (“BFood”)

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BFood engages in the development and operation of the Starbucks, Kenny Rogers Roasters and Jollibean Foods café and restaurant chains.
Technically Speaking 
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Oversold positions are seen as well as it has reached the lower bound of Bollinger Band. Strong support line at RM1.80, we may potentially see an upward rebound from the support line.

Fundamentally Speaking
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Based on the above simple desktop analysis, the current equity value is estimated to be approx. RM1.70 and it is expected to increase to RM1.90 by end Apr 2017 (based on annual expected return of 12.0%).

Analysts‘ Current Target Price

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At current trading P/E in excess of 25.0x , it is definitely not cheap. However, given the fact that it is in oversold position as well as the price has been supported by the numerous Buy calls by analysts, this may represent potential trading opportunities.

DISCLAIMER: ALL ARTICLES CONTAINED IN THIS SITE ARE FOR INFORMATION AND ILLUSTRATIVE PURPOSES ONLY AND DOES NOT PURPORT TO SHOW ACTUAL RESULTS. IT IS NOT, AND SHOULD NOT BE REGARDED AS INVESTMENT ADVICE OR AS A RECOMMENDATION REGARDING ANY PARTICULAR SECURITY OR COURSE OF ACTION. SOURCES USED IN THIS SITE HAVE NOT BEEN INDEPENDENTLY VERIFIED FOR ACCURACY. YOU SHOULD SEEK INDEPENDENT AND PROFESSIONAL INVESTMENT ADVICE IN REGARD TO YOUR INVESTMENT DECISIONS. THE AUTHOR MAY HOLD POSITIONS IN THE SECURITIES MENTIONED ABOVE.

Author: Ken Utau

Markets Observer + Food Lover

1 thought on “I Love Starbucks”

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