No worry punya lar....got so many of supporter like Mr Axxx, Mr Lxx9, Mr Stxxxl....etc... Keep "Calm" lar......We c esok/besok lar... worst come to worst....wet your short pain or continue top up again lar...... Wakakakakakaka............
Technical Analysis 14th Apr: INARI has been trading above its upward sloping 20-Day Moving Average which is a good sign. Furthermore, the next resistance level is quite far at 2.91.
zekuan lost money buying high in inari... now he sour grape everyday make noise... hope price down every 1 lose money tgt with him... HAHAHA... no matter how u make noise we also earning money :D
Fortune was strong supporter of inari .sold , took profit now talk down to buy cheap . For someone to say Dow up 150 points and maybe drop 200 is a gambler .some shares no need to look at Dow .look inside yourself
- 1H14 net profit (NP) surged by 175% YoY, thanks to the earnings consolidation from the newly acquired Amertron. Meanwhile at the top line, if we were to strip out Amertron’s revenue of c.RM226m, revenue still grew organically by 30% YoY to c.RM152m mainly on the back of higher loadings in its RF division. While the enlarged group’s YTD blended OP margin of 13.5% appears to be lower (-5.2ppts YoY due to Ametron’s different product portfolio) as compared to the previous Inari unit, the post acquisition OP margin has, in fact, improved in the 2Q14 (+3.0ppts QoQ) on the back of higher operational efficiency amidst the integration of operations as well as the group’s stringent cost management.
- Radio Frequency (RF) division continued to gain traction. With the ongoing big orders for the group’s RF due to resilient demand for S&T (note that the current utilisation rate (UR) for all of its plants are already at near full capacity), the group intends to increase its assembly capacity by adding another storey in its new plant 5. All in, we believe that its new Plant 5 could increase the RF assembly capacity by another c.20% YoY, which could at least translate into an additional RM9m to the NP assuming an UR of c.85%.
- Optoelectronics segment from Amertron well poised to compliment Inari’s Fiber Optic business. Besides the decent earnings contribution from Amertron, it is also worth noting that Inari’s Fibre Optics segment has benefited in terms of expanded R&D activities from the expertise passed down from Amertron. Meanwhile, with the integration in place, we understand that the group has also achieved higher operational efficiency in the segment.
- Other segments to see meaningful contribution from FY15 onwards. Following by the recent operational breakeven in its 51%-owned subsidiary, CEEDTec (which is the ODM for Electronic Test and Measurement Equipment), we gather that the meaningful earnings with double-digit growth could be seen in FY15 with the new pipeline of products to be introduced to Agilent. Meanwhile on its Fibre Optics division (which focuses on the R&D and production of fibre-optic connectors under its 100%-owned subsidiary Inari South Keytech), its revenue contribution is minimal at this junction given that the division had only started production in Jan 2014. We gather that this could be one of the key revenue contributions going forward in light of the growing demand for high-speed data transfer which fibre optics could provide the best option given its relatively higher bandwidth capacity.
- Other key update. On the listing transfer to Main market, management noted that it is still pending green light from the authority.
- Strong balance sheet to support dividend payout policy of 40%. Post the Amertron acquisition, we understand that the group is still in a net cash position. Coupled with its sustainable earnings profile as well as the good track record of generous dividend payout (DPR of 40% each for the past two years), we believe that the group could offer up to FY15E DPS of 10.5sen translating into a decent dividend yield of 4.0%, assuming a 40% DPR.
- Maintain TRADING BUY with a higher TP of RM3.15 (from RM2.10). We have revised our earlier conservative FY14-FY15 earnings forecasts upwards by 16%-26% to account for: (i) higher revenue underpinned by production expansion as well as (ii) higher EBIT margin on the back of higher operational efficiency. Although the share price has appreciated by 66% since our TB rating (with previous TP of RM2.10) back in December 2013, we still see upside potential of 19% from our new TP of RM3.15. Note that our new TP of RM3.15 is based on a 12.0x FY15 PER (rolled over from the previous 12.0x FY14 PER) which is at +2.0SD level above its 2-year average forward PER. We believe that its premium valuation of +2.0SD is justified given its: (i) earnings stability, which makes it less vulnerable to the semiconductor cyclical volatility, (ii) robust 2-year NP CAGR of 67%, (iii) high exposure to the booming S&T segment amid the tech upcycle.
This is call market panic over unecessary news. Over reacted time gout get oversold price. Why sell at this time? Inari Amerton Will continue to make more money in the next few quarters. The company is so promising. The contra players selling then investors should buy.
Note that inari is on Bursa's approved shortselling list. It certainly looked like a lot of shortselling yesterday.
If it cannot break 2.70 today (heavy buying at this level yesterday), then the counter should continue on its downtrend. If it is Wave 4, the final level for this wave could be 2.00.
In any case, the technicals are extremely bearish with 20dma is at 2.675 and this is the level now that the bulls and bears are clashing over.
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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....
newbirds
695 posts
Posted by newbirds > 2014-04-14 20:38 | Report Abuse
Tomorrow sure big gain.