By: DanielXX
No, this is not a hotstocknot article. I wrote this article for NextInsight about one of the lesser-known stocks in my virtual portfolio, and thought I'd reproduce it here in my blog. As always, grab the facts, but be sceptical of my opinions and think it through yourself.
You may be aware of a Stock Challenge organized by NextInsight and that I am one of the invited participants. In my virtual portfolio is a stock called Silverlake Axis, and I’m writing this article as many people are not familiar with it.
The company is a software services provider for banks, with a focus on Asian banking. Here is how the company describes itself on its website: “Silverlake Axis is a leading provider of end-to-end universal integrated banking solution. The Group's award winning Silverlake Axis Integrated Banking Solutions are implemented at over 75 customer sites in Asia including 40% of the Top 20 Largest Banks in South East Asia.”
I shall not go too much into the details of what constitutes core banking software, which is what Silverlake provides.
Generally, my research on a company’s business does not go beyond the first layer. Instead, I generally try to understand the competitive strengths of the company and its place in the industry value chain, rather than its product specifics.
Silverlake (market cap: S$381 million at stock price of 34 cents) has two key characteristics which appeal to me: Read more...