Risk factor
Very poor trading liquidity
Profitability factor
Greatly overvalued vs peers
About
WCE Holdings Berhad, an investment holding company established in 2000 and based in Klang, Malaysia, primarily engages in the development, construction, and operation of highways within Malaysia, encompassing toll collection activities. The company segments its business into Toll Concession, Construction, and Other divisions. A key undertaking includes the comprehensive management of the West Coast Expressway Project, from its initial design and development through to construction and subsequent toll operations. Additionally, WCE Holdings provides construction contracting and project management expertise. It also offers various complementary services such as leasing, maintenance, and other support functions. The company rebranded from Kumpulan Europlus Berhad to its present name, WCE Holdings Berhad, in September 2016.
Company Valuation
Based on key historical and expected multiples, the stock is greatly overvalued relative to its peers. Specifically, the stock is overvalued on EV/EBITDA.