By the end of this month, this counter will surge and break through 1.00 upon the announcement of the 2nd quarterly earnings report. One thing we have to take note of is the company has already changed the financial year end period from the previous 31 December to 31 March (as referred to the annual report FY2013). Many may think that this does not really matter. In fact, to me, it shows the company's (SCOMIES, a new merged company) intention that it would like to make up a good earning record in the new financial year by discarding its poor earnings records in FY2012 after the acquisition of Scomies Oilfield limited on 12 March 2013. It means that this counter is no longer the old Scomi Marine Bhd but a new consolidated entity of both Scomi Marine and Scomi Oilfield. Scomi Marine in fact does not register good profiting in its marine business in Indonesia due to lower and competitive service charges on the transportation and logistic business which potentially reduce the earnings accordingly. The question is why investors still buy this stock? The reason behind is very simple because SCOMIES whose oil and gas division (the old SCOMI Oilfield) engages in its respective industry which is deemed having good business growth prospect. The value of book orders to date registers MYR 5 billion. Plus, the company is still actively participating in PETRONAS upcoming projects open tenders. It sounds it is ambitious to grow as a main oil and gas player that is comparable to SKPETRO. Actually, the company case is quite similar to Sapura Petroleum which then merged with Kencana Petro to become nowadays SKPETRO. Scomi and Sapura are Malaysia-based conglomerates. Perhaps, both companies share common corporate strategy to grow their business. I think if SKPETRO is a successful case, either does SCOMIES.
@trioloo86: When people board, you alight; When people chase for SERSOL, you get into it - no wonder you lose a lot. This is not the right way to both investing and speculating.Fundamental and technical show it is a good buy oppoturnity now. Why did you not have patience to believe in this counter/ Aiyo, sayang~~~
trioloo86 earned money from Sersol already le, he earned at least RM4K if not mistaken pending exit only haha, it is a very risky counter although i earned from it too but will never go in again, Scomies is better and much more secure :)
Scomies is a very good fundamentally strong co and its a matter of time for its price to go up.Needs to keep and one will be rewarded.Speculative counter is for shoot and scoot only and Scomies is not a speculative counter.
these few days price shot up from 0.67 to 0.76 wit big volume..then down to 0.73 wit volume ..then up 0.785 ..then yesterday down to 0.75 wit moderate volume and let us watch how it perform today..could it absorb selling pressure and move wit increasing volume to break 0.795 n stay above 0.76..so that the next move able to go upward..gud luck
lucky i cut scomies and buy sersol..... if not i will have bad weekend.... scomies no energy la... all money for Oil n gas going to UMW OG ad...... sersol vy aggresive nice...... huat ar....
there is no right or wrong in stock market. As long as can make money. Happy you profiting from sersol. I have studied the company. Definitely not my cup of tea
Hi, SCOMIES folks. This counter indeed has a good potential to fly high. Just keep it regardless of the current price movement. You surely can realize your profit then. Oil and gas demands remain intact. Somebody thinks that the PE for oil and gas is already too high to attract ones to buy. Their assumption that PE remains at high level based on the existing earnings per share is false. Buying a stock is claiming for the future income stream generated from the business. If you put more weights on the previous poor performance, definitely you are not a forward-looking investors. The company's earning visibility is significant. Imagine, once the MYR 5 billion of order books is reaped for the next three years, it will be possible to buy this stock at the existing price level. No worries, folks, believe in your judgement.Happy trading and investing *\^-^/* \
@nicky: Brokerage firm's (Hongleong) target price is MYR0.90.MYR0.80 is the old one which does not factor in the additional order books acquired recently. Anyway, believe it or not. Petronas is going to award more contracts in November/December.
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....
hepitrade
5,290 posts
Posted by hepitrade > 2013-10-30 20:54 | Report Abuse
icon888...rm5 billion order book? wat do u mean