Design Studio   

Design Studio

Had done purchase @ 0.305 today. Close@0.32
Good start... But no big deal as most counters doing well today.
Any forumer also into this counter?
Do feel free to contribute.

Techincally wise:
Recent consolidating flag@low pullback volume with resistance@0.315 taken out today by Bullish engulf whitecandle@highvolume closing @ 0.32
Weekly +daily chart, remains on uptrend.
May be able to see more upside from here. Support@0.31

Ceveat Emptor, does not serve as any inducment to trade. Pls do your own analysis.  [vested opinion]

Will be away from the market for a while...cheerios to those buying into DesignStudio today..

 

Did some indepth studies on this counter (SGX & designstudio.com.sg) during the long holiday.

 

 

Various reason for huge potential upside:

1)Cheap valuations & strong fundamentals.

2)Order book record high of $90m as of 31st Dec?2006; 1.4 times its current market cap of $63m. Orders could keep just coming in ...

3) Project include -The sail@MarinaBay, St Regis Hotel, Capella Singapore of Sentosa, Fullerton Hotel, Grand Copthorne Hotel, Blu Restaurant in Shangri-La in Singapore (?)

4) Key Business also coming in from the US, Dubai,Japan,Malaysia, Pakistan,Macau (?)  Dubai a key market after Investor DEPA united Group vested stake of 16.79% in the company may'2006.

5) Project in Dubai included the renowned Intercontinental Hotel & 5star Crowne Plaza. The two hotel contracts in Dubai is worth a total of S$12.5 million and were awarded by Depa United Group, one of the top five largest interior contracting companies in the world.

6) Recent upcoming IRs in Singapore filling up order book of construction business could also further improve Design Studio order books if it wins any of the contracts tendered in the future
Could be significant; reason:
a) Marina Bay Sands worth $5.5b (2,500 room hotel complex)
b) Genting resort world Sentosa worth $5.2b (6 hotel 1,830 room)
A good chance of being awarded base on its past track record on above renowned project???

8) No fund analyst coverage till date yet due to its low market cap. With its local & overseas investment yielding more results, the stock could keep rising.

 

From Technical point of view, it is consolidating  @ 0.295-0.315 range. Last done @ 0.30. Base on above, find the price quite attractive & I would buy in @ tomorrows opening price for longer term investment.

Just sharing what i have researched for past 2 days, as this could turn out to be a potential undervalued counter. Pls feel free to comment/ add on to this counter & make it a lively one.

Ceveat Emptor, does not serve as any inducment to trade. Pls do your own analysis.

 

Doing some analysis.

Resorts @ sg (sentosa+marina) may not only benefit those construction
but also this counter that deals with interior outfit.

The no. of potential hotel rooms in both resorts tat need its service.
If DS got the tender for the hotel suits etc.
base on past DS record on the Regis hotel etc..

 

Half Year Financial Statement And Dividend Announcement

http://www.listedcompany.com/ir/designstudio/newsroom/DSFresultjune06.pdf