who say dragonfly dojo almost form. you know how to read chart or not? this stock is still cannot breakout decisively, failing which will form a multiyear huge double top and sayonara.
Great. My partial switching to melewar from mycron seems to be vindicated. At almost 40% discount to mycron's valuation, it might just outperform its 71.5% subsidiary from now on.
Yup, there are two Mou s; of which Melewar is hope at least one of the Mou will be crystallised very soon.
Disposal from the investment will has a positive cash impact and no more pulling leg of the existing profit contributed from CRC & Steel Tube division. The loss making investment has at least consuming 30-40% of the net profit or in another word The disposal of the investment will normalise existing net profit by X 1.5 times .
Conservatively to say Maruichi will has it's E.p.s. normalised to $0.133 annually.
Try to furthur elaborate here Maruichi has Asset value of $1.34 , by adding $0.133 annually ( after disposal Mperial ) ; try to imagine how far Maruichi can go ?
Btw, trade cautiously . Pick the strongest with low premium counter only. Do preserve your profit from staged to stages .
Market overall expected to be very volatile ahead. U got to know what u are going to pick. (I have a feeling, some Sifus choose to side line by not giving comments at this moment, unless they are very sure it is resilient to the volatility ahead))
VenFx...i presume you had derived the EPS of 13.3 cents based on the Steel Tube segment's throughput per annum with a certain assumption on Margin per ton..is it your own or from certain assumption based on WealthWizard's derivation earlier?
By the way...is Bursa closed tomorrow - coz of Diwali?
Venfx, I think your profit assumptions may be in error -
1. Melewar has stopped accounting for Mperial losses since FY2015 when its investment in Mperial has turned to less than zero.
2. nevertheless, melewar suffered an exceptional loss of RM7m in Q4 2016 in its engineering division. Otherwise, melewar would have reported a RM6m profit instead of RM1m loss.
3. From my analysis, Melewar's non-mycron operations currently incur about RM2m losses annually.
4. Using Wealthwizard's RM63m profit forecast for mycron, Melewar would reap RM45m of those profits. Deduct out RM3m losses from other operations, melewar profits would be RM42m. This translates to EPS of 18.5sen or PE of 3.4x !!
I'm using rolling over of the x4 qtr to get the propotion to guess my best lost figures of Investment Lost annually; and an average of 6% from annually revenue mainly from Melewar's CRC & Steel Tube to cross check my estimation.
Anyway , if the accuracy of 80% I would feel comfortably also.
Mycron has presented very strong movement rite now; however in a volatile market I would prefer over the laggard player with strong catalyst ahead. I strongly believe, Melewar will try to narrow down the gap with her daughter (Mycron).
TA wise, suggesting Melewar will shoot over the roof if can sustain above 0.670 ; however pls set your cut lost level if 0.580 breached .
{ SIGNIFICANT EVENTS AFTER REPORTING DATE } (Disposal of the Power Business by an Associate)
With reference to Note 16(a)(i), the power associate Mperial Power Ltd (“Mperial”) informed that it has on 5 September 2016 entered into a ‘Transaction Agreement’ with an external foreign party to buy 78.4% equity-stake in Siam Power coupled with its aggrieved bank debts for a total net consideration of THB334 million (approximately 38.2 million). The counterparty is an investment arm of a global asset management company. An earnest deposit and partial payment totalling THB230 million (approximately RM26.2 million) has since been received by Mperial, and the transaction is expected to complete within a 12 months period. Mperial has since repaid RM20 million of the amount of owing to the Group as stated in Note 16(b)(i). Mperial also informed that it is in an advance stage of discussion with a separate potential buyer for the disposal of Siam Power 2, and it hopes to clinch an agreement soon. At the issuance date of the current financial statements, a definitive agreement has not been concluded.
ME : LOOK LIKE THE DISPOSAL GOING TO CRYSTALISED VERY SOON.
Can the person who mentioned that Mperial associate company is going to be disposed please inform us where did you get the source of the news from. No justification or support to your news item means its just a rumour. All strong movement or news have to wait till the US election cools off.
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....
hewiester
449 posts
Posted by hewiester > 2016-10-20 17:06 | Report Abuse
is this some operator pushing the price up and then throw tmrw?