RGB (0037) RGB INTERNATIONAL BHD - Over Expectation or Seasonal Norm? (3) - YiStock
I have wrote 2 articles in year 2015 about RGB.
Here is the link:
https://klse.i3investor.com/blogs/RGB/77353.jsp
https://klse.i3investor.com/blogs/RGB/87146.jsp
I believe I'm among the earliest batch of investors who have experienced the up and down of RGB. To understand more about RGB, you may refer to above links.
Now, the reason i want to write on RGB again is to point out more about "over expectation" and RGB's seasonal behaviour.
The benefit of this articles i hope is given to newbies. If you are old bird, you do not need to care too much about this article.
(1) Over expectation
For a period of time, a "special" formulation become a hot topic in i3. I used RGB Q3 16 result as example. EPS for Q3 2016 is 0.71 sen (RM 0.007).
The "annualized formula therefore,
0.71 sen x 4 = RM 0.028 x PE 10 = RM 0.28 share price, or
0.71 sen x 4 = RM 0.028 x PE15 = RM 0.42 share price.
The end result,
I do not wish to comment this method is right or wrong. Simply because, if it help you make money, it is right. If is make you loss money, it is wrong. That simple!
NOTE:
I hold for 1 year 4 months to get 20% before it surge, you take 3 months to get 94%.
(2) Seasonal Behaviour
RGB seems to have this pattten, the high season is always during 2nd and 3rd quarter.
Now,
If you are already on the "LATE" boat, DO NOT PANIC.
RGB is a pretty good company with healthy balance sheet. At least for me.
Forget about the "OVER EXPECTATION" FORMULA, focus on SEASONAL BEHAVIOUR of RGB.
If you are confident, you should start looking into near future for another SEASONAL HIGH?
Conclusion:
Are you an INVESTOR? Seriously?
Are you a SPECULATOR?
If you want to be investor, look for my sifu KC CHONG.
If you want to be speculator, 90% of forummer in i3 is your sifu.
Make a choice and pick a road, don't keep jumping from one ship to another. Sekejap ni, sekejap tu .....
Hope you grab the POSITIVE MESSAGE of this article.
cheers,
YiStock
RGB (0037) RGB INTERNATIONAL BHD - Over Expectation or Seasonal Norm? (3) - YiStock
http://klse.i3investor.com/blogs/RGB/116512.jsp
