sorry for later reply as I seldom visit MBMR WA as I am more on the mother normally.Before we go on,I would like to highlight the risk for investing MBMR WA first.
[1]Unsteady overall market With the current overall market is unstable due to political reason (which cause oil to be remain for the next 6 months),it could affect market sentiment but however I am still optimistic over 2015 market performance as the world ECON data is encouraging and coupled with China,EU and Japan QE,equities market will be full of liquidity.Moreover,back to market cycle,do we ever see mkt will be in donwturn when interest rates remain low.From my view,overall econ will only be in pressure when only 2nd and 3rd round of interest rates hike in overall econ.
[2]GST The worry of GST over domestic market is minimal from my eye.yes it will affect in the short run but I am looking over the longer view (one year).howevermGST can also be a good news for MBMR too as people will more likely to prefer cheaper and ok quality cars (ie AXIA) post Apr 1 rather than more on imported cars.
The above is my view over macro econ for MBMR WA.Now we on MBMR [1]Recovering of Alloy Wheel CEO mentioned in the AGM that the operation for the Alloy Wheel will be turnaround by FY 2015 as major contract have been inked and effective DEC 2014 onwards which represent at least 5 times jumps on production capacity
[2]Encouraging sales on AXIA 62000 booking as know and I expect more to come post GST implementation
WHY MBMR WA and not MBMR As noted,the movement of derivative (warrant) is closely linked to mother.i am putting a conservative TP for MBMR (RM 3.30-RM 3.50) by next Sept/Dec and 15% premium over its MBMR WA,so I believe bro should have by now know which could be a better play if you are positive over auto industry.
may be within the next three days it could move above $0.60, barring any unforeseen circumstances. v optimistic on MBMR-WA, it might hit the year's highest by Q1
with 110 days to expiry why still chasing after this counter? don't tell me insiders have the rights issue story before us. otherwise, where is the logic to chase an expiring warrants with 33.3% premium to convert to mother shares? any experts to enlighten us?
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....
ST
405 posts
Posted by ST > 2012-07-05 10:46 | Report Abuse
Flying high up....