P.I.E. Industrial has pulled-back after failing to break above the resistance price of RM1.46. With a neutral RSI, uptrend momentum may resume if it breaks above the resistance price of RM1.46 in upcoming sessions. If this happens, its short-term target price will be RM1.53 followed by RM1.60. Support price is anticipated at RM1.39, whereby traders may exit on a breach to avoid the risk of a further correction.
2 consecutive of earning growth especially the last quarter, 3Q2020. fulfilling the so called KYY Golden Rule, Traditional 4Q is the strongest Q. Prospective PE trending towards 10 and below.
The controlling shareholder of PIE is Pan Global which is majority owned Pan International from Taiwan. And more importantly, FOXCONN owns majority shares in Pan International..
PIE can source for purchases at competitive prices since the company is a member of the FOXCONN group of companies.
Dr Neoh Soon Kean, a Malaysian Guru in investment holds more than 2 million shares in PIE via the above account since more than 10 years ago and is still holding..
This price is quite attractive to be honest. The only concern is the sustainability of margin from new contracts. They are transitioning themselves from low margin-high volume business to higher margin one.
Surely the holding company in Taiwan not doing well as they have manufacturing sites in China, affected by trade war. As a result, can expect more diversion to Malaysia and Thailand.
P I E does not depend on Foxconn or the holding company Pan International, Taiwan for business. They also have customers sourced and dealt with directly.
Noted that as of March 21, 2019 and listed in the AR2019 as the 30th largest shareholders, Dr Lin See Yan, the former Bank Negara Deputy Governor, holds 1,000,000 PIE shares.
Notably, Mak Tian Meng was the third largest shareholders, holding a 3.1% stake.
Mr Mak was the GM of Ong & Co, a stock broking house in Singapore. He was invited by Dr Lin See YAN to be advisor to Pacific Pearl Fund and Pacific Premier Fund during the Asian Financial Crisis in the late 90s. Read interesting attachment below. A very successful investor, Mr Mak Tian Meng, invested big in PIE.
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....
Felicity
104 posts
Posted by Felicity > 2019-11-16 09:46 | Report Abuse
result not bad, could be better