Latest news with #CloudpointTechnologyBerhad
Yahoo
30-05-2025
- Business
- Yahoo
Cloudpoint Technology Berhad First Quarter 2025 Earnings: EPS: RM0.009 (vs RM0.007 in 1Q 2024)
Revenue: RM35.6m (up 2.7% from 1Q 2024). Net income: RM4.50m (up 22% from 1Q 2024). Profit margin: 13% (up from 11% in 1Q 2024). EPS: RM0.009 (up from RM0.007 in 1Q 2024). We've found 21 US stocks that are forecast to pay a dividend yield of over 6% next year. See the full list for free. All figures shown in the chart above are for the trailing 12 month (TTM) period Looking ahead, revenue is forecast to grow 10% p.a. on average during the next 3 years, compared to a 9.9% growth forecast for the IT industry in Malaysia. Performance of the Malaysian IT industry. The company's shares are down 1.9% from a week ago. We should say that we've discovered 3 warning signs for Cloudpoint Technology Berhad (1 is a bit concerning!) that you should be aware of before investing here. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
10-05-2025
- Business
- Yahoo
We Like The Quality Of Cloudpoint Technology Berhad's (KLSE:CLOUDPT) Earnings
Investors signalled that they were pleased with Cloudpoint Technology Berhad's (KLSE:CLOUDPT) most recent earnings report. According to our analysis of the report, the strong headline profit numbers are supported by strong earnings fundamentals. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. One key financial ratio used to measure how well a company converts its profit to free cash flow (FCF) is the accrual ratio. In plain english, this ratio subtracts FCF from net profit, and divides that number by the company's average operating assets over that period. You could think of the accrual ratio from cashflow as the 'non-FCF profit ratio'. Therefore, it's actually considered a good thing when a company has a negative accrual ratio, but a bad thing if its accrual ratio is positive. While having an accrual ratio above zero is of little concern, we do think it's worth noting when a company has a relatively high accrual ratio. That's because some academic studies have suggested that high accruals ratios tend to lead to lower profit or less profit growth. For the year to December 2024, Cloudpoint Technology Berhad had an accrual ratio of -0.28. Therefore, its statutory earnings were very significantly less than its free cashflow. Indeed, in the last twelve months it reported free cash flow of RM28m, well over the RM20.4m it reported in profit. Cloudpoint Technology Berhad's free cash flow improved over the last year, which is generally good to see. That might leave you wondering what analysts are forecasting in terms of future profitability. Luckily, you can click here to see an interactive graph depicting future profitability, based on their estimates. As we discussed above, Cloudpoint Technology Berhad's accrual ratio indicates strong conversion of profit to free cash flow, which is a positive for the company. Based on this observation, we consider it possible that Cloudpoint Technology Berhad's statutory profit actually understates its earnings potential! And on top of that, its earnings per share increased by 6.9% in the last year. At the end of the day, it's essential to consider more than just the factors above, if you want to understand the company properly. If you'd like to know more about Cloudpoint Technology Berhad as a business, it's important to be aware of any risks it's facing. Case in point: We've spotted 1 warning sign for Cloudpoint Technology Berhad you should be aware of. This note has only looked at a single factor that sheds light on the nature of Cloudpoint Technology Berhad's profit. But there is always more to discover if you are capable of focussing your mind on minutiae. For example, many people consider a high return on equity as an indication of favorable business economics, while others like to 'follow the money' and search out stocks that insiders are buying. So you may wish to see this free collection of companies boasting high return on equity, or this list of stocks with high insider ownership. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
15-04-2025
- Business
- Yahoo
Declining Stock and Decent Financials: Is The Market Wrong About Cloudpoint Technology Berhad (KLSE:CLOUDPT)?
It is hard to get excited after looking at Cloudpoint Technology Berhad's (KLSE:CLOUDPT) recent performance, when its stock has declined 26% over the past three months. However, the company's fundamentals look pretty decent, and long-term financials are usually aligned with future market price movements. Specifically, we decided to study Cloudpoint Technology Berhad's ROE in this article. ROE or return on equity is a useful tool to assess how effectively a company can generate returns on the investment it received from its shareholders. In simpler terms, it measures the profitability of a company in relation to shareholder's equity. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. The formula for return on equity is: Return on Equity = Net Profit (from continuing operations) ÷ Shareholders' Equity So, based on the above formula, the ROE for Cloudpoint Technology Berhad is: 25% = RM20m ÷ RM81m (Based on the trailing twelve months to December 2024). The 'return' is the amount earned after tax over the last twelve months. One way to conceptualize this is that for each MYR1 of shareholders' capital it has, the company made MYR0.25 in profit. See our latest analysis for Cloudpoint Technology Berhad So far, we've learned that ROE is a measure of a company's profitability. We now need to evaluate how much profit the company reinvests or "retains" for future growth which then gives us an idea about the growth potential of the company. Assuming everything else remains unchanged, the higher the ROE and profit retention, the higher the growth rate of a company compared to companies that don't necessarily bear these characteristics. Firstly, we acknowledge that Cloudpoint Technology Berhad has a significantly high ROE. Second, a comparison with the average ROE reported by the industry of 13% also doesn't go unnoticed by us. Probably as a result of this, Cloudpoint Technology Berhad was able to see a decent net income growth of 19% over the last five years. We then compared Cloudpoint Technology Berhad's net income growth with the industry and found that the company's growth figure is lower than the average industry growth rate of 28% in the same 5-year period, which is a bit concerning. The basis for attaching value to a company is, to a great extent, tied to its earnings growth. What investors need to determine next is if the expected earnings growth, or the lack of it, is already built into the share price. Doing so will help them establish if the stock's future looks promising or ominous. If you're wondering about Cloudpoint Technology Berhad's's valuation, check out this gauge of its price-to-earnings ratio, as compared to its industry. Cloudpoint Technology Berhad's high three-year median payout ratio of 106% suggests that the company is paying out more to its shareholders than what it is making. In spite of this, the company was able to grow its earnings respectably, as we saw above. It would still be worth keeping an eye on that high payout ratio, if for some reason the company runs into problems and business deteriorates. While Cloudpoint Technology Berhad has seen growth in its earnings, it only recently started to pay a dividend. It is most likely that the company decided to impress new and existing shareholders with a dividend. Our latest analyst data shows that the future payout ratio of the company is expected to drop to 50% over the next three years. Regardless, the ROE is not expected to change much for the company despite the lower expected payout ratio. On the whole, we do feel that Cloudpoint Technology Berhad has some positive attributes. Its earnings have grown respectably as we saw earlier, probably due to its high returns. However, it does reinvest little to almost none of its profits, so we wonder what effect this could have on its future growth prospects. That being so, a study of the latest analyst forecasts show that the company is expected to see a slowdown in its future earnings growth. Are these analysts expectations based on the broad expectations for the industry, or on the company's fundamentals? Click here to be taken to our analyst's forecasts page for the company. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
04-03-2025
- Business
- Yahoo
Cloudpoint Technology Berhad (KLSE:CLOUDPT) Has Announced A Dividend Of MYR0.01
Cloudpoint Technology Berhad (KLSE:CLOUDPT) will pay a dividend of MYR0.01 on the 2nd of April. Including this payment, the dividend yield on the stock will be 2.6%, which is a modest boost for shareholders' returns. See our latest analysis for Cloudpoint Technology Berhad If it is predictable over a long period, even low dividend yields can be attractive. The last dividend was quite easily covered by Cloudpoint Technology Berhad's earnings. This indicates that quite a large proportion of earnings is being invested back into the business. The next year is set to see EPS grow by 45.4%. If the dividend continues along recent trends, we estimate the payout ratio will be 27%, which is in the range that makes us comfortable with the sustainability of the dividend. It's not possible for us to make a backward looking judgement just based on a short payment history. This doesn't mean that the company can't pay a good dividend, but just that we want to wait until it can prove itself. Investors could be attracted to the stock based on the quality of its payment history. Unfortunately things aren't as good as they seem. Cloudpoint Technology Berhad's earnings per share has shrunk at 61% a year over the past five years. This steep decline can indicate that the business is going through a tough time, which could constrain its ability to pay a larger dividend each year in the future. Over the next year, however, earnings are actually predicted to rise, but we would still be cautious until a track record of earnings growth can be built. Overall, we don't think this company makes a great dividend stock, even though the dividend wasn't cut this year. In the past, the payments have been unstable, but over the short term the dividend could be reliable, with the company generating enough cash to cover it. Overall, we don't think this company has the makings of a good income stock. Market movements attest to how highly valued a consistent dividend policy is compared to one which is more unpredictable. However, there are other things to consider for investors when analysing stock performance. For example, we've picked out 2 warning signs for Cloudpoint Technology Berhad that investors should know about before committing capital to this stock. Is Cloudpoint Technology Berhad not quite the opportunity you were looking for? Why not check out our selection of top dividend stocks. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Yahoo
28-01-2025
- Business
- Yahoo
Returns On Capital At Cloudpoint Technology Berhad (KLSE:CLOUDPT) Paint A Concerning Picture
If we want to find a stock that could multiply over the long term, what are the underlying trends we should look for? Firstly, we'll want to see a proven return on capital employed (ROCE) that is increasing, and secondly, an expanding base of capital employed. If you see this, it typically means it's a company with a great business model and plenty of profitable reinvestment opportunities. Looking at Cloudpoint Technology Berhad (KLSE:CLOUDPT), it does have a high ROCE right now, but lets see how returns are trending. If you haven't worked with ROCE before, it measures the 'return' (pre-tax profit) a company generates from capital employed in its business. To calculate this metric for Cloudpoint Technology Berhad, this is the formula: Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets - Current Liabilities) 0.29 = RM23m ÷ (RM109m - RM30m) (Based on the trailing twelve months to September 2024). Thus, Cloudpoint Technology Berhad has an ROCE of 29%. That's a fantastic return and not only that, it outpaces the average of 9.5% earned by companies in a similar industry. Check out our latest analysis for Cloudpoint Technology Berhad In the above chart we have measured Cloudpoint Technology Berhad's prior ROCE against its prior performance, but the future is arguably more important. If you'd like, you can check out the forecasts from the analysts covering Cloudpoint Technology Berhad for free. On the surface, the trend of ROCE at Cloudpoint Technology Berhad doesn't inspire confidence. Historically returns on capital were even higher at 47%, but they have dropped over the last four years. Meanwhile, the business is utilizing more capital but this hasn't moved the needle much in terms of sales in the past 12 months, so this could reflect longer term investments. It's worth keeping an eye on the company's earnings from here on to see if these investments do end up contributing to the bottom line. On a side note, Cloudpoint Technology Berhad has done well to pay down its current liabilities to 28% of total assets. That could partly explain why the ROCE has dropped. What's more, this can reduce some aspects of risk to the business because now the company's suppliers or short-term creditors are funding less of its operations. Some would claim this reduces the business' efficiency at generating ROCE since it is now funding more of the operations with its own money. Bringing it all together, while we're somewhat encouraged by Cloudpoint Technology Berhad's reinvestment in its own business, we're aware that returns are shrinking. Since the stock has gained an impressive 76% over the last year, investors must think there's better things to come. However, unless these underlying trends turn more positive, we wouldn't get our hopes up too high. If you'd like to know more about Cloudpoint Technology Berhad, we've spotted 2 warning signs, and 1 of them is a bit unpleasant. If you'd like to see other companies earning high returns, check out our free list of companies earning high returns with solid balance sheets here. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio