Pros
- Acceptable moat – only listed road specialist, many years of experience and track record
- Strong financials, FCF, ROE, margins
- Good dividend yield
- Even though undertaking mostly government projects, margins are high – shows management competence
- China Sonangol catalyst (construction of condos, overseas opportunities, can be acquisition target)
- Oil and gas industry catalyst
- Property development catalyst
- Overseas JV opportunities -$6.75 mil set aside for overseas business expansion
- Won huge project for CTE widening from LTA – shows competency and trustworthiness of the company
- Can acquire other smaller companies with cash hoard
- MRT contract catalyst
- Lots of awards won and in August 2010, OKP made it to the Forbes Asia’s ‘Best Under A Billion’ List
- Highest order book in company history till 2014 and winning lots of contracts of late
- Construction expenditure by government usually increases during downturn
- Or ...