Darma Henwa

On valuation, the picture is attractive. The owner-earnings multiple stands at 2.6×; owner earnings: the cash an owner could take out each year. The implied growth embedded in that price is around -24% a year, against analyst forecasts of 44%. The price, in other words, assumes less than the experts do.

Growth is moderate; the safety picture is adequate.

Flags to be aware of: The financial cushion is thinner than comfortable. Reported profits have run ahead of actual cash for several periods. As always: this describes the company's numbers; it is not a recommendation.