MAXS 2016 Outlook


MAX’s portfolio consists of homegrown and international brands such as “Max’s Restaurant”; “Pancake House”, “Yellow Cab”; “Krispy Kreme”; “Jamba Juice”; “Teriyaki Boy”; “Dencio’s”; “Maple”; “Kabisera ng Dencio’s”; “Sizzlin’ Steak”; “Le Coeur De France”; and “Singkit”. As of December 31, 2014, there are a total of 541 outlets across these brands.

If you’re really interested in the most uninteresting stuff, MAXS last quarter’s performance is not really that impressive and I am a Certified Securities Representative and not a business consultant so I don’t really care on how they plan to improve their business.

Balance Sheet
Item Period Ended Fiscal Year Ended(Audited)
Current Assets 2,298,473 2,361,840
Total Assets 10,268,179 9,901,194
Current Liabilities 2,929,089 4,396,730
Total Liabilities 5,919,682 5,868,324
Retained Earnings/(Deficit) 434,858 114,103
Stockholders’ Equity 4,348,497 4,032,870
Stockholders’ Equity – Parent 4,302,570 5,382,544
Book Value 5.51 5.17
Income Statement
Item Current Year (3 Months) Previous Year (3 Months) Current Year-To-Date Previous Year-To-Date
Gross Revenue 2,413,953 894,544 7,369,205 2,772,575
Gross Expense 2,331,735 878,268 6,934,834 2,820,330
Net Income/(Loss) Before Tax 82,218 16,276 434,371 -47,755
Net Income/(Loss) After Tax 65,378 5,286 313,116 -31,361
Net Income/(Loss) Attributable to Parent 72,641 6,285 320,755 -8,947
Earnings/(Loss) Per Share (Basic) 0.09 -0.05 0.41 -0.02
Earnings/(Loss) Per Share (Diluted) 0.09 -0.05 0.41 -0.02

So if you believe that the stock price movement has anything to do with this quarterly data it is really up to you. Rather, let’s look at the company’s stock data since you’re buying the stock and not the underlying fundamentals.

Status Open Market Capitalization 21,524,224,075.20
Issue Type Common Outstanding Shares 1,087,082,024
ISIN PHY5906K1026 Listed Shares 546,590,680
Listing Date Dec 15, 2000 Issued Shares 1,087,082,024
Board Lot 100 Free Float Level(%) 31.08%
Par Value 1.00 Foreign Ownership Limit(%) 40%
Last Traded Price 19.94 Open 20.00 Previous Close and Date 19.80 (Dec 21, 2015)
Change(% Change) up  0.140 (0.71%) High 20.75 P/E Ratio
Value 1,919,463.00 Low 19.88 Sector P/E Ratio
Volume 94,900 Average Price 20.23 Book Value
52-Week High 35.50 52-Week Low 19.64 P/BV Ratio

Let’s analyze the price movement from different aspects. Last close price of 19.94 is lower than the average price of 20.23, textbook knowledge tells us that this situation always present a good opportunity. Only 31.08% of the outstanding shares is being publicly traded which is 337,365,093.059 shares and only 94,900 has been traded previously as of this writing which means only a handful is interested to sell and those who already accumulated enough are now currently holding. Even an idiot can figure out what’s going on so who needs a guru?

Lastly, let’s look at the chart


We try to make things as simple as possible not shower you with unnecessary confusing words. MFI indicates that smart money is moving in gradually and drifting away from the oversold level. The Almighty SWAG is waving not just a buy signal but it’s a signal to accumulate. The expected switchover of the Parabolic SAR will confirm the reversal of trend that will attempt to break 25 in about 90-day time period. Cut quick with your cut loss methodology if the plan don’t work out.

Recommendation: BUY/ACCUMULATE

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