Ho Bee Investment Ltd reported its 1Q07 results - revenue surged 366% yoy to S$245.8 million and net profit
after tax and MI jumped 425% yoy to S$69.1 million. Compared with the first quarter of the preceding year,
EPS rose substantially to 9.37 cents, up from 2.13 cents. The main contribution came from the recognition of
sales of the Group’s condominium project – The Coast at Sentosa Cove. The results are in line with our
estimates and we are not surprised with the robust performance. In our last report dated 23 April 2007, we
have already priced in all its land bank in our RNAV valuation and arrived at a fair value of S$2.21 per share.
With its share price hovering around S$2.40 per share, we believe the stock is fully valued at this point in time.
We maintain our HOLD call on Ho Bee. (Pang Chin Hong)
－
