Posted by Johnnys > 2015-01-12 20:10 | Report Abuse

Dear KC, regarding the Padini, do you think it a lot affected by GST?

Posted by traderman > 2015-01-12 20:12 | Report Abuse

of course affected ... people will spend less on clothing after GST come in ...

Posted by Johnnys > 2015-01-12 20:14 | Report Abuse

But people will used to it after few Months, which women will buy less cloths, shoe? will be same after few months.

Posted by RicheHo > 2015-01-13 08:59 | Report Abuse

Yeap, more or less it will affect customer's purchasing power. It definitely will affect PADINI's revenue.

Posted by kcchongnz > 2015-01-13 09:18 | Report Abuse

Posted by Johnnys > Jan 12, 2015 08:10 PM | Report Abuse
Dear KC, regarding the Padini, do you think it a lot affected by GST?

GST will affect sales. Not only GST affecting Padini, the competition in this industry also seems to take its toll on Padini with its share price falling quite substantially the last couple of years.

However, for value investor, this is precisely the time to invest in companies with proven management skill and care for shareholders when the price is severely beaten down. You can refer to its ROIC and EY which I have computed.

Yeah, value investors have different investment mindset and strategies compared to momentum investors as one of the investment thing they believe is mean reversion.