, you can go eat abalone today

abalone abalone abalone       

I thinking to add more homer 

Not very well written as the reporter incorporates Kenanga research article (which is rather outdated) and that report was not too accurate at all.

Don't go, stay here. Correct me if wrong. Aren't you the one who long time ago gave tip on HOMERIZ when it was 0.50 or something?

So, it was you. Hmmm.... any more tips like that?  Hahah... don't tell Boon3 I asked...

But would that not depend on the figures? For example, what if it is like this.

2010 100m
2011 200m (100%)
2012 380m (90%)
2013 684m (80%)

Although percentage decreasing every year, the dollar value is very much increased. In 4 years, profit increased by 584m in total. Every year you make more dollar-wise than the previous year profit. I gues it depends on the numbers?

Having lunch now....

LOL!

Wake up call? Nah....

See this is what I meant by 'coverage' when I wrote about Homer yesterday morning.

Consider the following.

1. Company has a rolloer coaster track record.
It had been recovering/turning around since hitting the low in 2009. Some would call it growth since 2009.
Nevertheless, the fact is profits had been terribly poor the last 3 quarters.
Yet the stock is flying. 

2. Stock was stuck in 60-70 range for few months until news of this big order in April.
Stock flew up cos of that.
On one hand, order is big. So there's justification.
Stock closed at 1.16.
Up some 46 sen since breaking out of that range.
LOL! Chart is extremely bullish for the matter....
want to chase meh? hehe...


3. In terms of EPS.
If assuming the same profitability and also using the same estimate, the order could bring in some 10 mil profit.
Could.
But in terms of eps, that's only some 6 sen EPS.
The lest 3 quarters, Elsoft only had sales revenue around 3 or 4 million nia.
Profit per quarter is about 1 sen per quarter only.....

Price now 1.16 yo....
How?

I would stick to my earlier comment...

Market is too generous....

Of course la.

Which is why Elsoft is trading 21 times current (trailing) earnings.

And compare to Homer.... it's only about less than 8 times earnings and Ah Lat at under 5 times earnings.

Which one you want?
With coverage, you get an over 20x earnings stock?
Or without coverage, you get the ultra low PE stock?

Remember, whether you are investor or trader....
you want to make money mah...
you want the stock to go up ma.......

Surely I cannot be wrong here.....

It's not about different styles dude.

Look what's your rough value of Homer?

Yes, what do you think Homer should be worth?

My fungers (I dunno la) simply shoot out like a blind bat .... 160.



Look at it now....
A pathetic 80 sen.

Are you happy with 80 sen if the company is worth 160?
Yes, your cost is cheap... maybe 40 sen only...
but does the current price justify what the company's performance?