KUALA LUMPUR (Nov 21): Property developer SHL Consolidated shares are up one sen or 0.28% following Insider Asia's positive outlook on the company.

As at mid-day break, the stock had risen to RM 3.62 on a volume of 17,600 shares.

According to Insider Asia, the company which is primarily a property developer with a solid balance sheet, is cash-rich and pays good dividends with a yield of 4.8%.

"As of 1Q2015, net cash stood at RM288.96 million or RM1.19 per share, equivalent to 32.9% of its current stock price of RM3.62.

"For FY2014, sales increased 12.7% to RM205.3 million while pre-tax profit surged 68.4% to RM80.0 million.

"Investors should, however, note that its sales have been erratic over the last five years, falling from RM249.5 million in FY2010 to RM78.0 million in FY2012 before recovering to RM205.3 million in FY2014.

"For 1Q2015, SHL recorded sales of RM 52.3 million, down 11.0%, but pre-tax profit rose 75.0% to RM23.1 million, due to better sales at its Rawang project," noted the report.

It is expected to benefit more from its new launches at Bandar Sungai Long, Rawang Industrial Estate and Goodview Heights, Semenyih. The company has also ventured into quarrying and manufacturing of bricks and aggregates.

SHL also operates Malaysia's largest clay brick manufacturing plant with an annual capacity of 144 million pieces.

"The stock is trading at a 12-month trailing P/E ratio of 13.9 times and a P/BV of 1.47 times. The company paid dividends of 17.25 sen per share in FY2014, translating into a net yield of 4.8%," the report said.