Hi Guys, Penta is currently (6 jun) trading at PE of 22.14 times @ adjusted TTM EPS of 11.25 sen. My simple logic tell me there is no problem for Penta to get PE of 25 in 1 year time. If now can, why not 1 year after? I'm not saying "why", i'm saying "why not".
I don't usually go for complicated mathematics formula to do valuation because i'm not preparing myself for an exam. My target in share market is to make money.
Put it another way, if future can earn 15 sen EPS, based on current price of RM 2.50, the forward PE is 16 times. Or you are looking for forward PE of below 10 times for tech stock?
Above article is a projection of 1 year, certainly NOT current market. Anyway, just my thinking. Good luck!! ---------------------------------------------------------------------
veln82k6: PE 25 too high for current market lo.. below 15 will buy.. 01/06/2018 08:07
"SEMI forecasts that, in 2019, equipment sales in China will surge 46.6 percent to $17.3 billion. In 2019, China, South Korea, and Taiwan are forecast to remain the top three markets, with China rising to the top."
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
Flintstones
1,762 posts
Posted by Flintstones > 2018-05-31 18:42 | Report Abuse
Good write up. Good luck.