Hi Value gang, nothing says "Value" like ~80% of the market cap being cash, no debt, and a PE of 1.0x, and pretty strong growth!
This is one of the stranger stocks out there - GRVY - they are a Korea-based maker of online games. 60% owned by a large Japanese gaming company. Not much news ever comes out of them other than financial results.
So......the market cap (according to Yahoo) is $52m. The cash is $40m, no debt.
They just reported Q2.
Revenues up 16% from Q1. Operating Income up 36% from Q1. Net income went from $2.1m in Q1 to $3.1m in Q2.
So.....if they can make $3.1m each quarter from here, that's $12.4m, which is their enterpise value (market cap minus net cash). So.....they are growing pretty well (Q2 revenues up 200% over last year's Q2), and the PE ex-cash is about 1.0x.
Growth at a reasonable price? You bet.
I think they were in the doldrums for at least 5 years, but have come out of it now, and their online games are doing well. And the market has not yet caught on.
This is my kind of stock, if you haven't figure me out yet......
-----
Seoul, Korea, Aug. 09, 2017 (GLOBE NEWSWIRE) -- GRAVITY REPORTS SECOND QUARTER OF 2017 RESULTS AND BUSINESS UPDATES
Seoul, South Korea – August 9, 2017 – GRAVITY Co., Ltd. ( GRVY) (“Gravity” or “Company”), a developer and publisher of online and mobile games based in South Korea, today announced its unaudited financial results for the second quarter ended June 30, 2017, prepared in accordance with generally accepted accounting principles in the United States.
SECOND QUARTER 2017 HIGHLIGHTS
Total revenues were KRW 27,028 million (US$ 23,631 thousand), representing a 15.7% increase from the first quarter ended March 31, 2017 (“QoQ”) and a 198.4% increase from the second quarter ended June 30, 2016 (“YoY”).Operating income was KRW 4,373 million (US$ 3,823 thousand), representing a 32.6% increase QoQ and an increase of KRW 5,879 million (US$ 5,140 thousand) from KRW 1,506 million of operating loss in the same period last year.Income before income tax expenses was KRW 4,560 million (US$ 3,987 thousand), representing a 34.8% increase QoQ and an increase of KRW 5,772 million (US$ 5,047 thousand) from KRW 1,212 million of loss before income tax expenses in the same period last year.Net Income attributable to parent company was KRW 3,555 million (US$ 3,108 thousand), representing a 63.8% increase QoQ and an increase of KRW 5,160 million (US$ 4,511 thousand) from KRW 1,605 million of net loss attributable to parent company in the same period last year.Mr. Hyun Chul Park, CEO of Gravity said, “We delivered a stronger set of financial results for the second quarter of 2017, compared to the first quarter of 2017 and the second quarter of 2016. Gravity is dedicated to continuously provide better game experiences and innovative content to our global game users.”
http://www.nasdaq.com/symbol/grvy/premarket |
