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PDC Corp

I feel that PDC corp is not a good construction counter. Financial Performance not outstanding at all. They seem to be into everything. No focus. And they said that they will now focus on this new Agriculture business as it will form their main source of income now. 

 

It's time.

 

Hard to say, but believe that construction will still be a up.

 

This counter have been ranging between 0.7 - 0.85. Anyone reckon that is this counter a good hold? Despite the sell off in recent days, it has not drop much. Is the current price a good entry?

 

Stabilising at 9 cents ?

Ready for the next level ?

 

ivorycoast, the answer is yes, if they have built property ready to be launched in feb/mar. capitaland. ;) 

 

high volume for the past two days, with price increase. whats cooking?

 

Can property stocks continue to cheong if construction stocks don't cheong?

 

recovering?

 

Are you the one that make some money out of dunno which stock got halt and later you sell within 3 days for 3 cents each for 100 lots that person?

Well you see if you see no hope then use the profits earned in that transaction to cover this loss if you intend to let go.

So you see chasing after Top Volume purely as strategy cannot work as you can be stuck by moving in at high price.

 

Green Carrot here - What's the meaning of over-sell?

Is that means everyone is leaving? - oh.. help please...

What the future for this counter? cut lost? brought at $0.10

100 Lots...

 

just realise cannot edit my post...so ignore the earlier posting.

zhuge_liang, do u mean profit will come later and we need to be patient?

 

meaning patience=patience??

 

does this means it will rise? 

 

PDC which started to develop corn plantations in Indonesia in November, said it plans to derive 40% of its revenue from the agriculture business this year.



Agriculture is the most recent of PDC's efforts to diversify away from its core property business. Since listing in 2000, it has tried --unsuccessfully -- to expand in new areas such as the distribution of memory cards for mobile phones and cameras, and renting out industrial machinery.



Both businesses were discontinued and PDC has seen its share price slide from a high of $0.43 in 2000 to a low of just $0.01 in July-Aug 2006. Since then, the stock has soared 11-fold to $0.11.



"We hope to be a leading player in agribusiness," Veronica Gan, chief operating officer of PDC, told Reuters in an interview on Monday, adding that "there is a possibility" this would become the group's core operation.



PDC -- which currently derives all its revenue from the rentals of its six shophouses -- said last week it would develop a 14-storey office building in eastern Singapore, which is slated for completion in the first half of 2008.



Gan said that the firm expects to harvest 10 metric tonnes of corn per hectare in one harvest by the second half of this year, while commercial farms in the United States produce about 12 metric tonnes per hectare in one harvest.



"We are looking to get more land to grow the corn and be a substantial supplier," Gan said, adding that PDC is in "constant discussions" with various parties to expand its agriculture business to other parts of Indonesia.



Gan said global demand for corn, which can be used for food, animal feed and biofuel, is outstripping supply.



Corn prices surged nearly 80% in 2006 on concern that the United States would not be able to produce sufficient corn for both the food and ethanol producers. About 20% of ethanol is produced from corn.



Gan said the firm has hired several academics from Singapore, Philippines and China to develop hybrid corn strains -- which involves the cross-pollination of different types of maize -- to increase the size of its crop and enable the plant to grow in different climates.



PDC said last week that it would invest US$50 million in the development of its 40,000 hectares of plantations in North Sumatra, Indonesia.



Gan added that some parts of the plantations would be used to grow coffee beans for Singapore instant coffee maker Super Coffeemix . Under a memorandum of understanding, Super Coffeemix would purchase the coffee beans at a discount to prevailing commodity prices.



PDC is not the only Singapore construction-related firm to have branched out into new industries in a bid to reduce its reliance on the city-state's limited construction market.



Lian Beng Group , which diversified into the energy sector in 2004, plans to secure concessions to operate two coal mines in the province of Kalimantan in Indonesia. Pan-United Corp. , Singapore's biggest supplier of concrete, also operates a river port in China.



PDC, which posted four consecutive years of losses due to the construction slump in 2001, made a net profit of $0.29 million in 2005, helped by tax provisions. The firm reported total revenue of S$0.41 million from some of its construction projects.



Gan said she could not talk about 2006 earings as the company is in a blackout period ahead of the release of its results. But she said she expects earnings for the 2007 financial year to be "positive". She said she expects earnings for the 2007 financial year to be "positive". She declined to give details, but said that both the property development and agribusiness would contribute.



In the past three months, PDC has seen its stock surge more than eight-fold, making it the best performer in the All Singapore Index and the Singapore construction index  and boosting its market value to US$68.6 million.



Listed in 2000 as Hong Lai Huat Group, the company changed its name to PDC -- which stands for Power Data Communications -- after its short foray into the technology sector in 2002. Gan said the firm might change its name again, but she declined to be more specific.

 

is this counter a good buy?

 

today price hit 11 cents and later closing at 10 cents. Let's hope it will go up further tomorrow. Maybe big boys want to give it a lift up ?

 

It soared to a record high of $0.11 on Tuesday after the firm said it would raise $19.3 million in a share placement. PDC Corp. said in a statement on Monday that it would sell 247 million new shares, representing 19.9% of its existingsharecapital, to 27 individual investors. The proceeds will be used for its agricultural business and for working capital.



"The placement shows that these investors are taking a long-term view of the company -- a fact that will excite speculators," a dealer with a local brokerage said.



In a separate statement, PDC also said it would invest US$50 million in Singapore's first agricultural research and development centre for hybrid corn strains.



It will also, together with Super CoffeeMix, set up Singapore's first coffee bean academy for research and development.

 

Hi Francisd,

Your gain is now 200%  already.  I am vested too at 6 cents. I heard that there is going to be some announcement next week.  I believe it will go up further on Monday. Congrats to all those vested...

 

The chart tell no secrets (...)