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Remember the " wait for pullback first if vested" ?
What happened today:
20 May - 2979 lots done from 0.120 to 0.145(high) - close at 0.137.
27 May - T + 5 487 lots done from 0.136 to 0.122 - close at 0.122
Today, buyers are indeed very smart - purposely Queue lower so as to flush out any weak holders/contra (nice)
Frankly speaking, even if she pullback, it' s very hard to buy cheap cos most sellers will be Q-ing at high price after today.
Yet, it will be up to smart buyers to pick up the shares again after this pullback
matrixxx ( Date: 20-May-2014 14:00) Posted:
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Oooooo wat happened here
waiting for entry..any reason for big selldown today?i cant seem to find any..unless this is being manipulated by bb?
Past glory is 84 cents highest
Since loss making co. craft print can rises all time highest never seen before, lets hope this deeply undervalued gem can do the same also since now is the time.
What i learn from jesse livermore is:
- Buy rising stocks and sell falling stocks.
- Go long when stocks reach a new high. Sell short when they reach a new low.
- A stock is never too high to buy and never too low to short.
- Markets are never wrong - opinions often are.
Most importantly of all, We must understand clearly that the stock market is never obvious. It is designed to fool most of the people, most of the time.
terencefok ( Date: 21-May-2014 00:28) Posted:
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In my opinion, look at the price last time and the dividend. yield was around 5% and that was a full year payment. now we have an interim dividend which already give about 5% yield. What I suspect is people are anticipating another payment when they release full year results. The amount could be anywhere between 0.4 to 0.6 cents (just my guess). In simple terms the stock is pricing itself based on dividend yield.
Fundamentally, the balance sheet is perfect and cash flow statements are healthy, with almost no new cash investment. which means the cash pile will just build up and dividends can go higher. The MD once said before at the AGM that he is the biggest shareholder, if he can he would love to give more dividends. Somehow this statement keep flashing in my head.
In terms of thier salaries, no one in the company takes a salary of more than 750k each year ( refer to annual report). I have nothing against high salaries, but those that pay lower salaries give a message. They want to reap the rewards together with shareholders thats why they choose lower salary and higher dividend.
I am not an expert in tax, but dividends are tax exempt. Salaries are subject to personal income tax. So a smart person would love lower salary with higher dividend, that saves on tax. To the tax authority it should not be a problem as lower salary means higher profit for company and higher corporate taxes, though it has a minimal impact on company' s profit. So the company pays a little higher taxes, the MD pays a little less tax but all shareholders including himself get more tax exempt income.
Its ok. At leas there is profits. Don' t chase it.
Wait for pull back first if vested.
NTA and NAV both at 21 cents.
For Bluekelah at valuebuddies, he stated that for himself, it was basically
50cents to the dollar NAV, 4.5% yield,
50%+ net cash,
near floor price,
profitable,
management not paying themselves too much that make him start an initial indicator small position to collect as her share price goes up.
Chewbecca ( Date: 20-May-2014 12:46) Posted:
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sold this yday at 11.8 cents.... man i am mad at myself.... now cannot chase
terencefok, you are needed here currently to explain what happen to this stock?
Or is big shareholders finally recognizing her value?
The show started again.
Seems like there are more buyers than sellers. Or non existence of sellers.
Will she run up better than Craft print or STATS?
Only time will tell
PNE is trading above her pivotal point.
What exactly is pivotal point?
Definition of ' Pivot Point'
A technical analysis indicator used to determine the overall trend of the market over different time frames. The pivot point itself is simply the average of the high, low and closing prices from the previous trading day. On the subsequent day, trading above the pivot point is thought to indicate ongoing bullish sentiment, while trading below the pivot point indicates bearish sentiment.
Our little friend PNE industries currently is trading above the pivotal point of 10 cents for 8 days, and with volume of course.
Again, important guides by the famous Jesse Livermore:
Price patterns, combined with volume analysis, were also used to determine if the trade would be kept open. Some of the criteria Jesse used to determine if he was in the right position were:
1. Increased volume on breakout.
2. The first few days after the break prices should move in the breakout direction.
3. A normal reaction occurs where prices retrace somewhat against the trend, but volume is lower on retracements than it was in the trending direction.
4. As the normal reaction ends, volume increases once again in the direction of the trend.
Timing the Market
Any trader knows that being right a little too early or a little too late can be as detrimental as simply being wrong. Timing is crucial in the financial markets, and nothing provides better timing than price itself. The pivotal points mentioned above occur in individual stocks and market indexes, as well. Let price confirm the trade before entering large positions.
Trading Rules
The trading rules that follow are simple, and have been included in many trading plans by many traders since they were created nearly a century ago. They are still valid today, and were created under Jesse' s truism: " There is nothing new in Wall Street. There can' t be, because speculation is as old as the hills. Whatever happens in the stock market today has happened before and will happen again."
a. Trade with the trend. Buy in a bull market, short in a bear market.
b. Don' t trade when there aren' t clear opportunities.
c. Trade using the pivotal points.
d. Wait for the market to confirm opinion before entering. Patience leads to " the big money."
e. Let profits run. Close trades that show a loss (good trades generally show profit right away).
f. Trade with a stop, and know it before you enter.
g. Trade the leading stocks in each sector trade the strongest stocks in a bull market, or the weakest stocks in a bear market.
h. Don' t average down a losing position, but average up a winning position.
i. Don' t follow too many stocks.
Dividends Ex date is coming: 14/5/2014. Rate is 0.5 cents - 4.3% as of price 0.116 today.
2 things to note:
This counter has finally break free of the dread illiquidity pattern trend. And now that the movement is totally different from the past few years pattern trend that kept most investors out.
Accumulation can be seen since the beginning of this year till now.
The below format is taken from CDW posting done by matrixxx on Jan 2013, This 2 counters show almost the same trading patterns except the trend for now is over for CDW and is running uptickly good for PNE IND.
1. Close at 52 weeks high of $0.116. ( hit 0.105 highest) - 6/11/2012
2. Good volume of accumulation of shares spotted for past the 9 weeks . - Accumulation means selling of shares on the way up.
3. For a very long time, this counter had not been able to cross and close above the $0.10 " with good volume" level since Sept 2008, but now yet manage to break $0.10 barrier and close above $0.10 on 30/4/2014( close 0.116 ).
4. Smart investors had been slowly but yet streadily constantly buying back co. shares for quite sometime July 2013 at great value price - Great to own shares that the professional $$ itself is also collecting too.
5. Co. start giving dividend in Feb 2012 till now - a dividend stock worth investing.
6. Market cap is 39M, total shares float is only 336M shares. Smart $$ constantly yet slowly accumulating, resulting in only quality and limited shares float available now.
7. Having good % of growth in revenue and net profit to support current uptrend behaviour. See the financial report for the actual figures at http://www.pne.com.sg/industries/about.html
8. Co. should be reporting good earning report this coming year end, as they intend to reward shareholders of their beautiful success.
Lastly
9. From Jesse Livermore
a. Buy rising stocks and sell falling stocks.
b. Co-ordinate your trading activity with pivot points - $0.10 is the pivot point
c. In any sector, trade the leading stock - the one showing the strongest trend. - This co. in this sector here is the leading stock and is showing the strongest trend currently.
Chewbecca ( Date: 08-May-2014 11:35) Posted:
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looks like interest in the counter is beginning to warm up
matrixxx ( Date: 08-May-2014 09:34) Posted:
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LOSS-MAKING ASJ Holdings, which entered the Singapore Exchange (SGX) watch-list in March, is now an acquisition target of a Taiwanese competitor.
Yesterday, Taiwan' s Ralec Electronic Corp - which, like ASJ, makes chip resistors - announced its intention to make a voluntary conditional cash offer to take ASJ private.
At 6.5 cents a share, the offer price values ASJ at about $17.7 million. The price is 18.2 per cent higher than ASJ' s last traded price of 5.5 cents yesterday. Shares of ASJ surged nearly 20 per cent, gaining 0.9 cent, yesterday.
Ralec already owns about 28 per cent of ASJ
Takeover target getting hot.
Loss making going private at 18.2% higher than traded price.
What about good profit co.?
planning to tikum at around 10 cents plus
matrixxx ( Date: 08-May-2014 01:42) Posted:
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I do not know if the market will recognise it today or tomorrow or near future. But what i do know is that knowledge and patience needed is the key to success for investing into this type of company.
Never let yourself become discourage by the fact that your stock are moving slowly. Good stocks in time appreciate sufficiently to make it well worthwhile to have had that patience.
Profits - the spine of every stock - Yes - Once you had the patience and in the very end, it is always earnings - profits and profit potential that drive the price of stocks higher up.
Chewbecca ( Date: 08-May-2014 00:52) Posted:
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The potential is certainly there..... Will the market recognise it?
matrixxx ( Date: 05-May-2014 21:25) Posted:
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In my opinion, a privatisation is not likely, as the shares are held by several of their family members. Unless all the family members agree to it.
Another scenario could be a selective capital reduction, where the company use their internal resources and/or funding from among the family to buy out all the shares that are not held by their family and delist co. But in this case, will all of them agree to just use co' s resources to buy out the public? Or if they use resources from their family, who is going to cough out how much money? It also involves an issue of stake dilution in the company if one family member takes out more cash to buy us out and his stake becomes higher than the rest.
From what I know so far from AGMs, privatisation of PCB associate will never happen as MD is no expert in PCB, hence company will just keep stake as investment.
This prudent management knows best that they should not simply diversify into other businesses just because they have lots of cash. With almost no capital expenditure needs and no debt, the money one day will have to come back to us. And I like what the MD said, " I am the biggest shareholder. If I can, I would love to give out more dividends." A hint in the making? Hmm...vested.
How abt PNE micron
It' s all about timing. It' s also all about volume.
RTO target? - my 2 cents, Privatisation? -my 2nd 2 cents.
Co. is net cash, no debts and is fantastically undervalued to her NTA.
Profitable co. Not so huge float. Quality management, product and service.
Some sweet facts to share:
2H 2013 net profit is $1.976m
2H 2013 net profit is $1.788m
1H 2014 net profit is $3.034m
Hence net profit increase by 53.54% (1H 2014 vs 1H 2013) or 69.69% (1H 2014 vs 2H 2013)
2H 2013 net profit is $1.788m
1H 2014 net profit is $3.034m
Hence net profit increase by 53.54% (1H 2014 vs 1H 2013) or 69.69% (1H 2014 vs 2H 2013)
I am still in here. Dividend maintained as profit was lower. however, excluding a non-cash impairment loss profit would have been just 600K lower. details are in announcement on SGX.
Anyway, I spoke to the Managing Director at the AGM in Jan. He indicated that company's policy is on collections (of receivables) first, followed by sales. This prudent approach helps company prevent any receivables write-off. Inventory has more or less been maintained at stable levels. Cash balance is now higher at 15m, with no debt and low capex. Another plus point is the steep discount to book value of 21.1 cents, and the slowly increasing dividends over the last few years. The MD also said that if he can he would love to give more dividends too as he is the biggest shareholder.
Overall, a decent stock to hold for dividends, quite a defensive stock. Of cause, only negative point i see now is the low trading volume.
Vested.