Look at No. Rujukan (reference no.) in picture in the blog. The letter's reference no. is Oct 2017 while the website shows tenders' reference no. are OUTDATED, up to 2016 only! That is why u all can't see this letter on the website!
I am sure it is an original and legitimate invitation letter by SPAD to GPA. As Malaysia lack of sufficient infrastructure to support the electrical vehicles, the Government is now in rushing to implement the study of electrical vehicle (EV) battery. That is why the job will start by January 2018 while tender just 2 months before that. Definitely, SPAD would award this job to GPA as the Company is the Largest Automotive Battery Manufacturer in Malaysia.
I think the contract time span should be within 2 years and the contract value of RM324.0 million is DAMN HUGE. Assuming revenue spread evenly within 2 years and conservative profit margin is 20%, GPA could make profit of RM32.4 million or EPS of 3.31sen each year. Profit margin could be even higher as EV battery costs are getting cheaper. The costs falling from ~1,000 per kWh in 2010 to ~$227 per kWh in 2016, according to McKinsey.
Valuation wise, the stock is currently trading at 21x PE.
Pegging PE of 21x to EPS assumption of 3.31sen, the stock could be worth 69.5sen! So now, it answered the question whether to LIMIT UP. There is potential to LIMIT UP as UPPER LIMIT is around 40sen if I can recall correctly. But no matter limit up or not, is not important. The important thing is GPA will be heading in one way, which is UPWARD, UPTREND, NORTH.
Very good buy, as GPA has no borrowing, reasonable NTA of 11 cts, cash balance of 23++million,and crooked management and therefore will shoot even without SPAD tender of rm324 million, .....buy now....esp WA....
SPAD should make a police report or clarify this issue if this circulated GPA tender award is a fake, otherwise more fake letters will be carried by other companies too,,,,serious matter
By right, KLSE should be querying GPA and seek clarification on the day the SPAD tender was rumoured ,,,and till now KLSE or GPA has not responded ....
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....
greedy44
735 posts
Posted by greedy44 > 2017-10-26 22:22 | Report Abuse
Author Ahmadrazalk is a con man....BEWARE !!!!