PE so high, growth is just so-so. ROI is low, high expectation may lead to high disappointment, i cant really justify to buy this share lo, just because jack ma has indirectly taken a piece of this cake into his mouth... unless there is a surprise for us lah....
Hong Leong IB Research said "We believe GDEX should be fairly valued at RM1.80 based on FY17 P/E of 27.5x, given the strong growth potentials of its business model with further upside from regional expansion,” it said.... Oh! what kind of standard is this research?!!! Pegging a P/E ratio of 27.5 times and based on FY17 forecast earnings?
Think of PE, think of Jack Ma or think of research house's valuation THIS IS A BORING COUNTER.
You may start to connect it to KL-Singapore fast train project or you can get some clue on Temasek's Singapore Post which currently hold some shares at GDEX.
try to do critical thinking on GDEX's value creation & unlocking value initiatives start from this year.
GDEX is a special case, the PE is something i never seen before, but market give this valuation because it expect GDEX to growth at rate close to 20% continuously for the mid to long term. In this case, the most suitable valuation method is DCF, which RHB has done it. "FY17 P/E pf 27.5"? Why FY17? Why 27.5? What is the comparable? PE is a type of "relative value" method, being "relative" means it has to be "relative". So 27.5x is relative to what? What a guess work
aiyoooo... read up CIMB report for Singpost regarding the E-commerce within South-East Asia, such a young industry...Earnings growth will lower the P/E ratio la from time to time, not significant...
First hand experience is the best teacher. I was going to plonk down for shares in GDEX until I personally experienced their bad/no service. Answers like 'no time', no kidding. I have complained directly not to them but a major international company that uses them. At the end of the day....people on the ground makes or breaks the company.
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wakakaka88
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Posted by wakakaka88 > 2015-02-12 10:13 | Report Abuse
share dilutions...run...