Risk factor
Very poor trading liquidity
Profitability factor
Excellent dividends
About
Favelle Favco Berhad, an investment holding firm, is a global player primarily engaged in the design, manufacturing, distribution, servicing, sale, and rental of cranes, prominently featuring its Favelle Favco and Kroll brands. The company's operations are divided into its Cranes and Intelligent Automation Group segments. Its extensive crane offerings include heavy-duty equipment such as offshore oil and gas pedestal cranes, towering construction cranes, and specialized shipyard cranes. Beyond its crane business, Favelle Favco Berhad delivers complete design, engineering, and maintenance services for sophisticated automation solutions, process analysis tools, and custom equipment across various industries. The firm also designs, fabricates, sells, maintains, and leases winches, hydraulic systems, and material handling apparatus, in addition to supplying spare parts and providing comprehensive management for cranes. In its automation capacity, it provides integrated industrial automation solutions, encompassing everything from design, engineering, and testing to project management of plant instrumentation, along with ongoing support. This includes expert engineering for the setup, activation, and upkeep of environmental and process analyzers. Furthermore, the company engineers and trades specialized machinery tailored for the oil and gas industry. Founded in 1923 and headquartered in Klang, Malaysia, Favelle Favco Berhad is a subsidiary of Muhibbah Engineering (M) Berhad.
Company Valuation
Considering past and projected metrics, the stock is 'cheaper' than its peers. In particular, the stock is underpriced on P/E, 'cheap' on EV/EBITDA, undervalued on P/FCF.