Hupsteel is trading at a great discount to NAV, but with high PE.. While Yongnam is trading at a slight discount to NAV, but at a much reasonable PE.. Both dividends are decent.
Which is a better investment?"
It's a good question, and not straightforward to answer.
Dividend Yield
Hupsteel's dividend yield is 4.8% (1 cent / 21 cents)
Yongnam's dividend yield is 4.2% (1 cent / 24 cents)
So there is not much difference there.
Assuming the conversation now switches to which one will likely see capital gain.
Capital Gain Potential
The case for Hupsteel
The reader is absolutely right that although Hupsteel is trading at great discount to NAV, it is trading a high PE.
A high PE is not attractive, and in normal circumstances, I would ...
