GUNNING SUPERB RESULTS, TP: RM2.00; CP:13sen
Like I commented earlier, I hold for long-term. "My" long-term is within 6 months. I dont trade. I wont normally sell my investment until it reaches my TP. I bet on RM2.00! So, dont keep asking me the same thing. I dont ask you to trust me. I just provide my opinions.
The sky rocketing in 2Q revenue and huge jumped in earnings in 2Q17 (242%qoq) compared to 1Q17 were evident and indicators that new Management (took over in 2Q) brought new life to PUC, more source of income and more than market expected.
This proved what they capable of. Within 2 months since new Management took over in May, they have brought new changes, new acquisition, and add new dynamic to PUC. This is just the beginning. There will be more new income in this 2H17, which they are working now particularly on digitalisation.
Talking about a little drop in earnings compared to last year was small and NOT meaningful. Because it was cost for transition for new management just took over in 2Q.
Comes to 3Q and onwards, costs for new management will normalize, margin will expand due to solar project, more income from Enovax, which its business can fetch margin more than 50%, digitalisation on advertisement, which reducing cost, and electronic payment system that always can generate money 24 hours.
They also made another positive move, disposing unneeded segment, (wealth management) this month. So, this will be another key points to profit in 3Q, help to relief operating cost.
Any knee jerk reaction in share price today will be DAMN HUGE OPPORTUNITY u would not want to miss. Once u missed, u won't be able to see that price anymore. Because we are already in 2H, which the business already in progress making real profit. More than 2Q I can say.
Acquisition or listing of Pictureworks could still be in the picture in the near term, as I think the boss wants to settle it down fast, so that, his next focus will be only profit expansion, rather than messing up with prolong pending listing. It could happen anytime within my 6 months holding. Tomorrow? Next week? Next month?
#I am not an operator. But I know the game.
#Their principle is "U sell lower I BUY more. U queue sell higher I would wait until u give up and sell to me. But once I have accumulated enough, bye, bye, it would be time to push up, especially when nobody is around. Because it would be easier to push, less distruption."
http://klse.i3investor.com/blogs/pucgiant/131009.jsp
