Risk factor
Weak & very vulnerable to price shocks
Profitability factor
Solid dividends
About
Velesto Energy Berhad, an investment holding company, provides services for the upstream sector of the oil and gas industry in Malaysia and internationally. It offers drilling services for exploration, development, and production wells; workover services to the upstream sector of the oil and gas industry; and threading, inspection, and repair services for oil country tubular goods. The company also owns and operates drilling rigs, which are chartered out to oil majors for their exploration, development, and production activities; and hydraulic workover units for the removal and replacement of well equipment to restore the operation of suspended or under-performing wells. In addition, it provides treasury management services; and engineering services for oil and gas exploration, development, and production, as well as leases rigs. The company was formerly known as UMW Oil & Gas Corporation Berhad and changed its name to Velesto Energy Berhad in May 2018. Velesto Energy Berhad was founded in 1988 and is headquartered in Kuala Lumpur, Malaysia.
Company Valuation
Based on key historical and expected multiples, the stock is slightly overvalued relative to its peers. In particular, the stock is reasonably priced on P/E, of fair valu
Target Price
The average target price of 5243.KL is 0.25 and suggests 22% downside potential. Usually, this means a SELL recommendation among investment firms, or a recommendation to
Buy
Sell