Is White Horse a value trap?

White Horse Berhad is the leading tile manufacturer in Malaysia that is currently trading below its Graham Net Net. The Graham Net Net is a short hand for its liquidation value.

Is this a value trap? I don’t think so. Ceramic tile is not a sunset product.

White Horse Malaysian business has declined due to the soft property market. I expect the Group to return to profitability when the property market recovers. There is growing global demand and hence export potential. My estimate is that this will take another 2 to 3 years before we see any results.

The Group is financially strong and not burning cash giving it time to outlast the economic downturn.

For more insights on Bursa companies, go to “My 29 curated Bursa stocks to make money from”https://www.i4value.asia/2020/07/how-to-cut-dow...