Risk factor
Very poor trading liquidity
Profitability factor
Solid dividends
About
RGB International Bhd., an investment holding company established in George Town, Malaysia, in 1986, focuses on the creation, marketing, distribution, and sale of Electronic Gaming Machines (EGMs) and associated equipment under its proprietary RGBGames brand. The firm organizes its extensive activities into key operational segments: Sales and Marketing, Technical Support and Management, Engineering Services, and a general 'Others' category. Its comprehensive product lineup extends beyond EGMs to include various casino equipment, gaming-related parts and components, amusement machines, accessories, self-service solutions, and advanced slot management systems. Additionally, RGB International's operations encompass property rental; the manufacturing, refurbishment, technical support, maintenance, management, and commercialization of both gaming and amusement machinery. The company is also involved in promoting security surveillance products and systems, offering sales and upkeep for information technology hardware and software, conducting machinery and equipment repairs, and providing management consulting. Furthermore, it delivers comprehensive technical and managerial support for its range of gaming and amusement devices. With a broad international presence, RGB International conducts business across Malaysia, Cambodia, Laos, Vietnam, Singapore, Macau, the Philippines, Timor-Leste, and Nepal. The company was rebranded as RGB International Bhd. in May 2010, having previously traded as Dreamgate Corporation Bhd.
Company Valuation
Based on key historical and expected multiples, the stock is slightly undervalued relative to its peers. In particular, the stock is underpriced on P/E, 'cheap' on EV/EBI
Target Price
The average target price of 0037.KL is 0.26 and suggests 23.8% upside potential. Usually, this means a BUY recommendation among investment firms, or a recommendation to i