Why I am Bullish on Q&M
$Q & M DENTAL GROUP (S) LIMITED(QC7.SI)$ is very much in the forefront of Singapore 's fight against the Covid-19 pandemic! On 16 December 2021, the Ministry of Health granted Acumen Diagnostics the Offsite Testing Licence for up to 100 sides island wide. Not only that Acumen Diagnostics Polymerase Chain Reaction Tests have the capability to detect the Omicron variant.
With all these news, Q&M's share price has lately been on an uptrend.
5 analysts have put Q&M on a BUY rating:
DBS at 1.00, CGS-CIMB at 0.835, Maybank Kim Eng at 0.78, Phillip Securities at 0.82 and UOB Kay Hian at 0.78.
Q&M also had a sterling year in 2021. Revenue from medical laboratory & dental supplies increased by a whooping 932% from SGD1. 8 million in 3Q20 to SGD18.4 million in 3Q21. The increase was mainly due to revenue from Covid-19 test kits and testing from the Group 's medical laboratory business.
Total revenue increased by 48% from SGD39. 1 million for 3Q20 to SGD57. 7 million for 3Q21.
Total revenue increased by 62% from SGD83. 8 million for the 9 months ended 30 September 2020 to SGD152. 3 million for the 9 months ended 30 September 2021.
Therefore Q&M's profit before tax increased by 179% from SGD6 million in 3Q20 to SGD16.7 million in 3Q21.
Going forward the Group has initiated a strategy to grow its dental clinics in Singapore and Malaysia as well as in China. It will also focus on rolling out new tests for dengue sepsis and identification of bacteria pathogens and associated antibiotics resistance in pneumonia and bloodstream infections.
Q&M rewarded its shareholders last year in September 2021 with a bonus offer of 1 for 5 shares. It has been paying steady dividends too.
I am confident that Q&M will continue to grow exponentially in future and intend to hold this stock long term. Go Long Go Strong Go Q&M! That's my maxim!
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.
% allocation for sg shares, us shares?