That is natural psyco that you will see in the graph later creating cup handle during market correction before the next cycle to break the 6.50 and fly all the way up..
The IPO investors may want to collect their dividend income. Decent yield of 3.5% at IPO price. And also ride on Lotte’s growth potential now that most uncertainty has been removed.
Remember. Lotte has to place its Treasury shares to meet the public shareholding spread. Its costs them somerhing like RM300 million to-date. They need to recover that. I think their average cost per share plus holding costs are rather high. So you can expect minimum mkt price of around RM6.50 to breakeven.
"in the short run, the market is like a voting machine--tallying up which firms are popular and unpopular. But in the long run, the market is like a weighing machine--assessing the substance of a company."
Of course everybody want to make good bucks, but if you at negative position for months first thing that people want to do is to get rid of the monkey.
Ekkram you could be right... but no doubt this counter is cash rich & bullish now! You cant invest it like investing speculation penny counter. Buy hold and wait is the only way to earn big bucks...ppl, if you think you have earned enough may also take profit now, no stopping. But trust me, you will regret the next day you sold while it is still below RM 9.
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@Mamatrade, negative, am in last week. I do not buy during the IPO price.
No doubt that currently is uptrend, but through out the journey we can expect for a bumpy ride including at the IPO price. once we reach at that point the selling pressure will be high.
Am just pointing out, there are plenty of articles about Cup and Handle theory which your guys can ready about it. google my friend.
PChem in the past has indeed recorded much better margin than LCTitan. I think it is not fair to assume equal 15x PE valuation on LCTitan. A 11-12x PE on LCTitan would be considered good. Another valuation to watch is price to book value, Pchem is trading at 2.3x. I will be very happy with LCTitan if it trades at 1.8x or 2x book value
Yes, those who shout more than RM 10 TP is too optimistic. One should not focus too much on the PE expansion. What is interesting is the upcoming capacity expansion from TE3 and also PP3 in the second half of the year.
innovatitive growth-stock, should not have any target price.who know what the new facotries,and new innovations could bring about.Korean chemistry has attain world class.
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....
SamuelLuke
2,020 posts
Posted by SamuelLuke > 2018-03-12 09:04 | Report Abuse
On the way to RM 9 long term rm 12 in two yrs!