BYD Electronic: Back On The Path Of Growth

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About: BYD Electronic (International) Company Limited (BYDIF)
by: The Value Pendulum
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The Value Pendulum
Deep Value, growth at reasonable price, contrarian, micro-cap
Summary

After reporting disappointing earnings in 1H2019, BYD Electronic looks to be back on the path of growth after a strong set of results for 3Q2019, with multiple growth drivers.

There are also long term growth opportunities with the company's non-core businesses such as new intelligent products and automotive intelligent systems.

BYD Electronic trades at 15.0 times consensus forward FY2020 P/E which represents a premium to its historical five-year average forward P/E of approximately 12 times.

Elevator Pitch

Hong Kong-listed Chinese electronics manufacturing services or EMS provider BYD Electronic (International) Company Limited (OTCPK:BYDIF) (OTC:BYDIY) [285:HK] currently trades at 15.0 times consensus forward FY2020 P/E which represents a