Ho Hup just announced a net profit of rm12.399M for its 1stQ result 2017.This translates to an EPS of 3.31cts or an annualised eps of 13.24 cts. Based on 13.24 cts, PE is at 6.80 which is still considered reasonally good. If you have studied the report, construction profits improved marginally while its property development profits dropped due to completion of project at Parcel A in Bukit Jalil. On a good note, Ho Hup will be launching 2 major property projects in this year, 1)Parcel D at Bukit Jalil with GDV of rm500M 2)Mixed develooment in KK Sabah with GDV of 800M. With its share of profit from JV with Malton at Bukit Jalil, I would expect its earnings ti improve.
The quarter result announced was expected, based on last quarter n projects status, as such, the price movement was slow for many months. The last Friday rally was most likely due to future earnings, will start from 2H of 2017. Handsome gain will be generated from 2H 2017, n more will be in 2018... following the new projects implement.
When every fundamental reasons tell DROP to the share price, it will shot up to RM 1.00 soon. That's how the manipulator earn money in the share market.
Bought HOHUP 28,000 shares@0.835, one tick above key support level of 83 sen. Retracement from the recent high on May 22 at 92 sen. 529,000 shares were traded today below the 4-week average of 1,700,000.
Stop Loss 82 sen, Profit target 89 sen, RRR: 1: 2.6. Invest at your own risk. Happy Investing!
Catalyst Play: Ho Hup Construction Co Bhd posted a 35.0% Y.o.Y drop in its 1Q2017 net profit to RM12.4 mln, from RM19.1 mln a year earlier. The weaker earnings were attributed to a 56.0% Y.o.Y decline in revenue to RM35.6 mln, from RM81.1 mln in 1Q2016. Moving forward, the group expects to see more upbeat results in 2018, following the launching of three projects with gross development value worth around RM1.6 bln towards 2H2017. Ho Hup currently has RM142.0 mln in unbilled sales. (The Star Online)
Everytime mother goes up, warrant goes up in tandem, then the directors quickly sell their warrant. I wonder is it the directors way of losing a bit in mother by buying up the price, then sell warrant when the price goes up in tandem with mother???
this counter want to drop below 0.80 is not possible. weak support of the bid side and market sentiment is not good for few days some more. hope the big boy come to rescue.
HoHup should bounce back to the 80 sen level after continue downtrend for 10 continuos trading days. We are at the lower end of the trading range between 77.5- 88.0 sen. All indicators on oversold conditions. Good entry point at 78.5 sen. Stop Loss at 75 sen. Target Price at 88 sen. Risk-Reward Ration 1:3. Catalyst: HoHup is expecting to announce good earnings result at the 2nd halves of the year.
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....
moneycashrich
2,101 posts
Posted by moneycashrich > 2017-05-19 22:34 | Report Abuse
Thank You UOB