The management, staffs and other related directors also would feel cheated. How could it even get to KLSE for listing with such poor public relation and trusted value.
Sometimes it is important for the directors to come in to support their own stocks to avoid a loss in confidence and panic selling by contra players who just sell for the sake of selling. That would really spoils the market. Directors are holding huge sum of stocks. Also the private placement stocks. If it drops only a few sens they lose millions while we lose hundreds or thousands...only.
In this stock everybody lose except DPIH staff and Bursa / brokers gain. I think their staff can buy at lower than 25 sen right? If not who is the fools who sell below IPO price?
May be panic selling, back to fundamental, management said production will be double after new factory start, and it take 2~5 years to see the result. Yup, hold for long term.
DPI Holdings Bhd ("DPI"), an established aerosol paint manufacturer with over 30 years of track record is making its debut on the Ace Market. BUY with a target price of RM0.30 based on 14x blended PER FY20 as per regional industry players.
DPI's Own Brand Manufacturing ("OBM") segment is anchored by three in-house brands, namely "DPI", "Anchor" and "Kromoto" supported by a wide distribution channel with close to 700 customers locally. Its private label manufacturing services ("OEM") has been growing at 3-year CAGR of 7.2% mainly driven by global clients as a testament to its superior product quality.
Bulk of the IPO proceeds (55%) is earmarked for a new factory equipped with 4 fully-automated aerosol filling lines expected to be completed by 2H2019. DPI also plans to fully automate the existing lines and streamline the manufacturing process for better cost efficiency and higher productivity. By 1 H2020, all the 8 production lines will cater for the aerosol products, significantly boosting production capacity from the current 9.7m aerosol cans to 20m per annum.
DPI is allocating RM3m for sales and marketing activities particularly for international events. This will enhance DPI's products visibility overseas in tandem with the Group's intention to penetrate into Myanmar and Vietnam markets. We believe these two countries provide ample growth opportunities in aerosol products buoyed by the increasing DIY culture as well as urbanisation and motorisation in the region.
DPI has a strong balance sheet with zero borrowing and net cash position prior its listing. While net cash will increase to RM47.3m post listing, it also has a commendable net margin at 3-year average of 16.8%. We expect net profit to grow notably at 28% in FY2020 on its double capacity expansion driven by rising demand for aerosol paint products especially within the region.
oasischeah Nowadays all new shares will end up below the IPO price. Don't get carried away with prices having got to be above IPO price. Look at the recent NOVA and RGthread and few more. All of them are way below IPO prices. Those were the days of sure win big on openings of new counters at KLSE. 08/01/2019 14:54
From IPO 0.25, how many can sell from 0.275 to 0.35? from day 2 onwards never have chance to gain even 0.005, so majority overhere get burned. But ppl just look at the price not the company fundamental, New IPO can be delisted next month? This company without loan and with continuous production and profit(No doubt profit is not so impressed) but it's still profit company. Question is you all panic for what? Unless you play contra else this counter will be back on track within 3 months.
I bought in at 0.265 and 0.270, i extremely confident my investment to this counter will give at least 20% of profit... For those who prefer hit and run contra player, i wish you good luck even whereever you go you may get trap. Trust me.
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apolloang
18,163 posts
Posted by apolloang > 2019-01-08 18:10 | Report Abuse
when 35cts many tot gonna make 100% no sell yet now stuck already cannot sell....very likely 20-24cts soon