lau9639 Please don’t attack each other. Back to the question, what happens to Netx now? Can Calvin or some other put some comments on the shares consolidation and rights issue? I believe most of the investors begin to worry, b4 that so many positive talks on this counter and telling it is a cash rich company. Now turn out to be hv to get shareholders to pump in more money!
Dont worry, Padini have a very strong balance sheet, it won't go down even the great depression coming but im more worried on the long term plan of Padini as outlet is closing and Padini didn't show us much on long term planning for its expansion on overseas.. Malaysia market have been stagnant. Not much grow unless it could lower cost or expand more Brands Outlet like Uniqlo @ GU Brand in Japan
Padini already pump in a lot momentum investors start from March2020. Its need time to spin off those short term speculator with upcoming expected poor qr result. The attractiveness of padini share price more than 2 will getting less. Strange thing is more people are excited during inflated share price.
Weakening MYR against RMB, this makes cost of products increases for Padini.
99% of Padini outlets are in shopping mall. And they were closed for more than a month, and might still have to pay for rentals, salary and other expenses.
They note that Raya sales were record low, much lower than 2019. Same as chinese new year sales also.
Analyst are really underestimating the damage done to Padini by forecasting only 11% drop in sales for this year. That is like saying there is still more than 90% customers crowding the store all year round.
Analyst also believe Padini would do well with their online stores. Im afraid they know nothing of e-commerce world and how hard it is to drive traffic to their website. Mr DIY opened their online stores for about a year now, yet less than 5% of sales are generated from their online store. Plus apparel is best sold offline as you need to try to get the perfect size.
I'm sure we all believe that in long term Padini would do well, but that might take 1-3 years to recover back. So until then, we still have a long way down.
I'm expecting PE ratio of 10x at RM1.50 or maybe worst.
Nah, things are bad for Padini, but it won't go bankrupt.
Covid is hurting all apparel stock businesses, but if you walk in any shopping mall, padini still have the most customers compared to other apparel brands. So if there's some apparel company that would go bankrupt its definitely not Padini.
Infact if the others go bankrupt, its good news for Padini, less competition.
We all love Padini, admit it, but we want the right price to enter.
If you really can't wait, then buy at RM2.0, long term you still win.
But to optimize the profit, better buy at RM1.5 and maybe lower if there's chance.
Those analyst and many big sharks are stucked holding this stocks, so they will always say Padini is oversold, don't trust them, not until balance sheet and quarter report prove otherwise.
To be honest I've begun collecting since today at RM2.05 in a small portion, will keep on buying in bigger quantities as it slowly goes down to RM1.50
Trying to time the market is a tricky thing, its proven that buying slowly on the way down is the best method. No one can predict when it will bounce, nor how deep it will go, but one can know that the company won't go bankrupt and will strife higher in the long term.
Regardless of how cheap we can buy this stock right now, All I know that in 10 years time, dividends might have paid for my capital, and the price might be RM10 or higher by that time.
Based on historical lowest P/B value since 2010, any price below RM2.50 is considered attractive, let's give it a margin of safety of 20%, thus any price below RM2.00 is safe!
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....
xctznmunhon
64 posts
Posted by xctznmunhon > 2020-07-15 21:40 | Report Abuse
Think epf may push below 2.3 to sapu.
Can wait around 2.25 +/- to average some