Look at the market these 2 days, many of the small-cap stock prices are just went wild. But the blue chips and index are just remain steady. Do you think it is due to the charm of news and rumors trading or the market is almost at it's peak? Well, we really have to make sure most of the grandma and grandpa have not start to buy shares!
Anyway, I would like to touch on 3 companies today, namely MUDAJYA, CAREPLS and NOTION.
MUDAJYA
It's good to see that MUDAJYA starts to rebound from the bottom after it's price falling for a couple of months. Yes, accounting fault is extremely scaring and we should stay very far away from it. But in this case, it seems like a misunderstood caused by a black mail. It is now giving an opportunity to for those who dare to buy low in great potential earning company. Of course, the company should not commit any fault during this period, while trying to gain back the investors' confident.
CAREPLS
Our new rubber glove star, CAREPLS seems like fading it's shine these 2 days. It is normal for such retracement, as it has been pushed up to RM0.4x which is more than 90% of the IPO price. Do you think it will continue it's bull after some rest days?
Based on the closing price of RM0.365 today, it is trading at PER 12.5, which is consider expensive compare to industry PER of 10. The fair value of this counter should be around RM0.29 and RM0.34. Anyway, I heard many people making good profit from this counter on the first 3 days. They even adviced their friends to buy it. Oh gosh. Perhaps they are relentlessly offload them these few days. If we observe CAREPLS volumes, most of the buyers still holding it. Perhaps they are very positive on this counter?
NOTION
Finally, have you noticed that NOTION has been running sideway for a couple of months already? I'm keeping an eye on this counter, because when it's Q3 FR is disappointed, the share price is still remain sideway. That could means interested sellers are mostly gone. On the other hand, it's new expanded SLR camera division is expected to bring in at least 50% of the group revenue in year 2011, to overcome the weak demand of hard disk. The demand for hard disk may come back anytime, who know. It's a fast changing world under IT. Another good sympthom is that the company also starting to buy back it's share lately.
From my observation, NOTION worst situation might be over and now it's time to wait for recovery. Perhaps it's a good investment opportunity for us. Nonetheless, to play safe, we shall wait for some update news or it's Q4 FR for further confirmation.
Posts
