Karex Berhad - Strong results but fully valued Karex’s 9MFY14 net profit was within our expectations (77% of our full-year forecast) and consensus (78%). 9MFY14 revenue and net profit rose by 31.9% and 72.6%, respectively, driven by the higher number of condoms sold, lower latex price and greater economies of scale. While we maintain our FY14-16 EPS forecasts, we downgrade the stock from Add to Hold as we think that its strong earnings growth has been factored into its share price. Although Karex’s commitment to paying dividends is a positive move, its 25% dividend payout policy translates into low dividend yields of less than 2%. Our target price is unchanged, based on 19x CY15 P/E. For exposure to the rubber sector, we recommend Kossan.
Johny cash, let's role play .... if u were CIMB, & playing against us at CA, would u praise d Quarterly report or criticize it ? What the bank did was expected, isn't it? Downgrades it so that at call option counter they can close shop a winner. Cimb doesn't care if karex does well or otherwise.
And why le upon hearing d good financial report, everyone queue to sell all at once! This type of selling frenzy crashes many counters. No rush guys, no rush...so that we can arrive safely.... Now we gotta rebuild from ground zero.... Haizzzz.
ChunJui Lee, good to have yr input. So, after doing yr due dilligence, u r still suggesting its impossible for sales to increase during World Cup period? Can u substantiate yr logic? Do u have shares in this counter? Let we have yr forecast how high/low this counter can go within now n 3 months down the road? :)
It's not up to us to choose , johnny cash. Mother listed 1st. When doing very very well, only the banks come in to issue call warrants. Just do a study, all counters that were superstars dsonic, cmsb etc, started struggling after the banks issue call warrants on them....
The only way out - 1) dun follow the issuing banks calls / predictions. When they ask us to sell, we buy! When they downgrade it, we know its a gem! Hold! 2) Get TP from an independent source. 3) Most importantly, the company in which we invested in MUST PERFORM and pecah all sales records! They are our only hope to win this war against the banks!
So ppl, these few days, dun rush to sell , dun play contra and have patience.
If the trend is as per what I saw at day end, tomorrow the price should rebound. HOLD, DO NOT sell, see what happens, OK?!
Remember next month World Cup, sales should sky rocket... Have patient. We are in same boat - cooperate and we shall triumph!!!!
POORDAD blady cimb!! cause they issue the CA, purposely suppress the stock with a hold!!!
u sell they will buy la of course! 27/05/2014 15:30 ---- If banks are this manipulative, I will boycott ALL call warrants in the future. Including all the BANKs shares. Even casinos give us a chance to win, not sapu ka liao each round.... What logic, all good news out (fresh, fresh ones) and the counter nose dive! No logic & very unfair!
From its 1st day of listing, it has already doubled in value. The push upwards/accumulation then was swift and forceful. Currently, buyers have dwindled, thus the range bound trading between 3.00- 3.30. Though downside is limited to about 2.90 level, to move beyond 3.30 level do require the same consistent buying determination as shown previously.
I TOTALLY agree w Cweed's strategy to win tis tug-of-war. We all know the current price reversal DOES NOT make any sense and the banks are out to manipulate it. Let me reiterate. Firstly, we must NOT trade contra in tis counter. Secondly, I'm fully confident tis counter is fundamentally STRONG. With these two attributes, all we (Karex investors) need to do is to STRENGTHEN our believe and perseverance. Tis tug-of-war is between us versus the banks. If we investors act in UNITY, eventually the banks will not b able to contain d mother Karex 'bird' any longer and w eventually set it free to fly. I know we CAN do tis together and WIN as a team.
Good, hold on there. Why should we sell at fire sale price? So many comrades already bought at much higher prices. Besides, the report card is good! Apa logic, last quarter still made loss (new co, less than 1 year old) the price rocket up, this quarter it finally made good profit and the banks say ' cehhh! report card only B++ only huh, i expect A u know! Downgrade, downgrade!! ' Ini maciam like tak adil kannn? Parent punya expectation terlalu tinggi! Lalu, this child of ours kena rotan kaw kaw for getting B++! Rotan next semester boleh tak if cannot capai d expectation of the parent? Ini case, child abuse liao.....huhuhuhu!
Aiyo Cweed......walao bank rotan customers lah......legal one lor......not parent rotan anak leh......illegal one.........hope the customers can start boycott the bank ........later the bank baru tau lor......losing customers to competitors..........they will realise that they cannot cheat the customers lor.......but parent rotan anak...........nothing the anak can do to the parent lor......ha ha ha
Aiyo.....another ding dong session....can sustain or not.....world cup is coming......sales definitely will shoot up....but can the price also shoot up....aiyoyo.....3 bankers against investors....which side have the power to control the price.....aiyoyo....have to pry harder lor......ini kali or next one...or never at all.....aiyoyo.....hope ini kali lor........ha ha ha
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....
macik
5 posts
Posted by macik > 2014-05-25 09:05 | Report Abuse
Jonny , your praying can do wonder?