do u see other shares after bonus issue and share price almost erase all gain ? e.g SCIB, KPOWER, UWC etc. A good stock after bonus issue ex date not suppose to sink so much , apparently this is a trap.
No volume meaning to say less buying support despite the price is cheaper . Currently a few counters after ex- bonus issues all masuk longkang . Too much liquidities . Should have bought after bonus ex-date to minimise losses or sell on the first day after ex-bonus issues
not really, c kpower, SCIB and Greatec, didnt retrace as much as EITA. Greatec even break new high after bonus issue. This mean that EITA use bonus issue to con retailer :D
To : tingpangeng, Pls learn to read and endeavor to understand ===============================+=========== CGS-CIMB believes EITA deserves 'better valuation' Hamsaveni Visuvaseven / theedgemarkets.com
February 08, 2021 11:48 am +08
CGS-CIMB believes EITA deserves 'better valuation' -A+A KUALA LUMPUR (Feb 8): CGS-CIMB Research believes that EITA Resources Bhd deserves a better valuation as the elevator and escalator maker aims to enhance its overseas revenue.
The research house reiterated its "buy" call on the stock and raised its post-bonus issue target price to RM2.08 from RM2.06. The target price of RM2.08 values the stock at 20 times CY22F P/E (from 10.5 times) which CGS-CIMB said is at about a 30% discount to the global elevator makers’ weighted average 12-month forward P/E of 31 times.
CGS-CIMB’s analyst Kamarul Anwar pointed out that EITA’s net cash rose from RM11.9 million at end-FY9/13 to RM41.2 million at end-FY9/20.
“We also raise our FY9/21-23F net profit forecasts by 4-10% as the company assures us that its operations are not disrupted by the partial lockdowns due to Covid-19,” he said in a note today.
“Earnings from its elevator construction segments should also accelerate as many of the projects in hand are in advanced stages,” he added.
Kamarul also shared that the elevator and escalator maker had disclosed its aspiration of raising its revenue from RM284.1 million in FY9/20 to RM1 billion per annum (p.a.) by FY25 during a conference call last month (Jan 29).
During the session, the group also noted that it is aiming for revenue to grow by over 252% in five years, bringing revenue compound annual growth rate (CAGR) to 28.6%.
Nevertheless, Kamarul said CGS-CIMB is not adopting EITA’s internal ambition as guidance for his forecasts.
“It (EITA) envisions that a sizeable part of the hypothetical RM1 billion per annum revenue would come from mergers and acquisitions (M&As). Without more details, the impact of acquisitions is not something we can forecast,” Kamarul said.
“Besides, EITA’s plans to aggressively grow its overseas operations would require the company to compete directly with established global elevator players. East Asia has become the Mecca for global elevator and escalator manufacturers since this developing region is looking towards high-rise buildings as an economical solution to house the rapidly increasing population. One risk from the stiff competition, we foresee, is it may stifle the group’s plan to build up its overseas revenue,” he added.
He noted that the potential re-rating catalysts include earnings-accretive M&As, new infrastructure-related contract wins and rousing growth in overseas sales. Meanwhile, a total economic lockdown is a downside risk for the stock, he added.
At the time of writing, EITA’s stock was down 3.48% or four sen to RM1.11.
ISSUED BY Joyce Goh
================================================= Well reported by CGS-CIMB Research Target Price RM 2.08
Ex bonus day I told to sell above 1.60....free warrants..... cannot be so greedy.... bonus is just split shares... company fundamental no change... this counter has a history of going to sleep til next bonus n now that got warrants will sleep for a very very long time
IB mentioned EITA “deserve” to get better valuation but too bad traders and investors even owners not given a damn what the IB said as testimony of share price movement today.
new to this counter been going downward ....still holding is this a good counter ? My Remisier says is a good counter I buy and got stuck... any advise
All tech stoch especially semiconductor already fly high,leaving RM1++ price behind. EITA is the only cheap germ left. Oversold and collecting now. At anytime will boomb :)
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....
hakubasnow
263 posts
Posted by hakubasnow > 2021-02-09 17:22 | Report Abuse
https://malaysiastock.biz/Company-Announcement.aspx?id=1293830
Tomorrow listing of warrant