Two value-stocks: ADVPKG and TAFI

Here, I 'd like to introduce two stocks, which I picked into my value-stocks portfolio.

Advance Packaging Technology Bhd.

Last week, I bought this counter at a price of RM0.55. Its net working capital per share is about RM0.81. Hence the price/net working capital = 0.68, giving me a quite satisfactory margin of safety. Others factors that make it a value-buy are:

• Zero debt.
• Stable Revenue and profit in the pass ten years
• Consistent dividend payment. (the average net DY is about 5%)
• Plenty of cash in the company. (Cash per share = RM0.63)

Its PE ratio is about 9, not very attractive. But with the above criteria, I think buying this stock with RM0.55 is a good and safe investment.

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Tafi Industries Bhd

I bought this counter at the beginning of March. With a buying price RM0.39, its price/net working capital is about 0.93.

Some good criteria found in this company are:

• Zero debt.
• consistent, and relative high dividend. (three years average of net DY = 7%)
• Low PE ratio. (three years average PE = 5.4)

Besides, its profit shows a gradually growth during the past three years. Hence, with its low PE and good DY, I'm willing to have it in my portfolio although the margin of safety is not that much.

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