DRS price so low that no one will take cash dividend instead opt for shares. Company is cash rich but till today share price is still not able to reach IPO price.
I can relate to your sentiments where stock that we buy just do not move. however, UOA is not a speculative stock. It is not a trading stock and short term but rather medium to long term. You will then reap the benefits.
Sometime people just dont want the extra money....was wondering why? Assumed you have 10000 shares. Dividend is 13sen. So your dividend entitlement is RM1300. If you op for DRIP then you will get 700 UOA shares plus RM40 cash. Base on last Friday price of 2.09, if you will to sell the 700 shares you get, then you will get RM1463. So which amount you want now...RM1300 or RM1503?
UOA Development (UOAD MK) Technical BUY with +15.7% potential return Last price : RM2.09 Target Price : RM2.16, RM2.42 Support : RM2.00 Stop-loss: RM1.98 BUY with a target price of RM2.42 with stoploss at below RM1.98. Following last Thursday’s breakout, UOAD recorded a significantly higher trading volume of 4.0m (vs 20-day average of 0.6m) and a 1-sen gain last Friday, signalling an end to its consolidation. A bullish crossover in the MACD and the RSI crossing above the 50 mark should translate into upward movements in the near term. A breach above the immediate resistance of RM2.16 could propel the share to test its resistance of RM2.42 in the medium term. Expected Timeframe: 2 weeks to 2 months
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....
Ntpboon
664 posts
Posted by Ntpboon > 2014-06-05 10:52 | Report Abuse
DRS price so low that no one will take cash dividend instead opt for shares. Company is cash rich but till today share price is still not able to reach IPO price.