Yu_and_Mee. PE is not the relevant measure. PEG ratio is the relevant measure. There are many stocks with PE below 5 and they all remain down for years and years. And China stocks listed here all have very low PE..... they are the worst performers. PEG ratio is relevant, not PE ratio.

After the Chinese New Year holidays it will fly again as quarterly results will be due.

hong2 166.....when you assume full conversion of warrants, then you must also assume the additional earnings to be derived from the proceeds of the warrants exercise..... the proceeds will be used for business growth and expansion..... meaning additional profits. Otherwise it's a one-sided calculation.

...... and also relative to the current annual earnings.

So the fair value depends on the share price relative to the annual earnings growth rate.

Revenue's latest earnings per share is 0.86 sen. Annualised : 0.86×4=3.44 sen. PER is 1.12÷0.0344= 33 times. So, if annual earnings growth rate is 33%, then the PEG ratio is 1...... that's the benchmark for fair value.

Googled for it. PEG ratio is PER ratio divided by annual earnings growth rate. PEG ratio of 1 is fair value, more than 1 is above fair and less than 1 is below fair value. Example: if PER is 35, then if annual earnings growth rate is 35%, then the PEG ratio is 1, then it's theoretically at fair value. This makes more sense than just historical PE ratio.

How to calculate PEG ratio?

Can anybody evaluate the PEG ratio?

Actually the PEG ratio is more important than the PER.

Mother share already dropped nearly 20%.....from 1.44 to 1.17, There's value now.

And that also temporarily capped the market price of the warrants which otherwise could have been limit up a second time.

I think now we are getting the picture. Disposing one third of their warrants is one good way to eventually reduce the co-founders holdings in the company as now they jointly hold too much.... around 60% . They should hold just above 50% eventually. It's their corporate plan.

Agreed with cytew. I think it's also partly due to the fact that they want to improve the trading liquidity of the warrants among the retailers.

Many people panicked just because directors sold one third of their warrants for personal financing reasons. Company's fundamentals are still intact.

Now Revenue is undervalued...... oversold.

It's already done, completed, and announced,

Each director sold about one third of their warrants and only one director sold a small amount of mother shares ( less than half percent). So it's a pre-planned financial arrangement with the bank.

Looks like directors' disposals were part of their personal financing plans and nothing to do with business performance. The amount of sales were exactly the same for each director and not indiscriminately done. It's their financial arrangement.

Certain directors sold a bit because the moratorium period is over, not because the business suddenly became bad. They couldn't sell earlier because of the moratorium....nothing to do with the business.

Just because certain directors sold some shares for some personal reasons doesn't mean that the company suddenly had become bad.

Why panic.... only sold small amount for personal reasons. Doesn't mean the company is not good.

Looks like it will trade limit up again tomorrow.

Last month Dow crashed badly but Revenue went up.

Based on Black-Scholes model the warrants could be worth 60 sen.

Black-Scholes valuation model shows the warrants to be valued between 55 sen and 60 sen.

Based on the chart, technical readings indicates that mother share price momentum will push to 1.37 then penetrate 1.40 and after listing of the warrants, hit new record high of 1.70 by end March.

Those who always think that the sky is going to fall always never make money.

It's not a dream. It's a mathematical theoretical calculation, nothing to do with dreams. Theoretical.

Based on Black Scholes model calculation, the theoretical value of the warrants is about 60 sen now.

Every company listed on ACE has a 6-month moratorium period. Does it mean that every ACE listed company shares will flood the market after the moratorium period? Does it mean that?

According to their circular to shareholders, the fair value for warrants is RM 0.5274 calculated based on the Black-Scholes valuation model.

Mother share at 1.25 is equivalent to the exercise price of the warrant. And 1.25 represents a 8% discount to the volume weighted average price at time of determining the exercise price.....Thus, 1.25 is also a discounted price.

It's better to think longer term. They should be partnering a couple of banks soon to provide latest technology point-of-sales terminals with multi-functions including QR codes, E-wallets , etc . They are the technology leader in this business.

For long term investors, its much better to buy before ex- warrants date.

Low PE usually means there's something wrong with the company. That's why the PE is so low....because nobody wants to buy it.

Based on purely on PE ratio, then Revenue should trade at a higher price than GHLSYS..... now it's lower than Ghlsys.

If you want to invest in Revenue, it's better to buy now and get its warrants as well.The warrants will be very valuable as Revenue is a high growth company and warrants of high growth companies will be well demanded as they offer a cheap entry price into the company.

Once the overall market rebounds, this counter should see a sharp upturn, like what happened before.

Short term this counter is affected by the drop in global markets. Long term fundamentals are very good and they are going to partner with two other banks soon like what they did with Public Bank. And they are the first to introduce their all-in-one touch screen payment terminals for all their bank partners. So their long fundamentals are intact. Short term it's affected by global markets sentiments.

According to their circular, announcement of entitlement date for bonus warrants is mid- December. That means today or tomorrow.

They could be waiting for the market price to be stable first so as to ensure the exercise price is a fair one. That's a good move as advised by their investment bank I believe.

People are just beginning to understand the company.

Today is forced selling day for those who bought on monday during the surge ....T +4

Their proprietary payments system is why they are strongly advancing in the payments industry in Malaysia.

It's the same as the one they rolled out for Public Bank and they are the first in Malaysia with unified payment terminals which is proprietary to them. At the AGM they said they are very optimistic of partnering with Hong Leong Bank by the end of this year like what they did with Public Bank.

They have to work with their investment banker on the best timing.

Going to set the entitlement date for bonus warrants today or tomorrow.

Today's very strong buying must be from instituitional fund managers.Normally individual investors cannot buy so much.

Revenue earnings per share is the same as Ghksys but its growth rate and profit margins are much better than Ghlsys and it's shares are much more liquid. So Revenue should be worth more than Ghlsys.