Post Reply
1961-1965 of 1965
I don't think the volume is picking up substantially. I think this counter will probably be see-sawing up and down in this range for a while.
I have been observing this counter for a couple of days.. volume is picking up.. but price remain unchange... +- 5 cents. Is this what we call the distribution of shares ? And that the next move is south ? I am a little puzzle with this movement. Any candlestick / TA expert out there ?
Thanks,
can someone explain what "fair value" means? what has it got to do with the current price? for example in CapLand where the fair value is lower than the current price, wouldn't that means that it is already over-priced? so am i right to say that when a "SELL" call is made on a counter (say CapLand for this instance), it means that the analyst is factoring the growth component in? that is the company can out-grow the current "fair value"?
because the TA charts show uncertain signals... I can't really tell the direction.
CapitaLand: Too early to bottom fish
Summary: CapitaLand (CapLand) announced yesterday that it has placed out 100m units of Ascott Residence Trust (ART) to institutional investors at a placement price of S$1.90 per unit, reducing CapLand?s stake in ART from 53.8% to 37.3%. As a result of this divestment, CapLand will book in a gain of S$30.3m. However, this gain will be offset by lower earnings from ART due to a smaller stake in ART. We estimate net full year effect to be +S$25m to CapLand. We have adjusted our FY07F earnings to S$416m. In terms of recommendation, CapLand?s sum-of-parts valuation is highly dependent on its listed associates and subsidiary. These associates, even after the recent sell-down, continue to trade at high price-to-book ratios. If the market volatility continues, we see further downside risks to the listed associates? valuations and hence to CapLand?s valuation. We advice caution and believe it is too early for bottom fishing. We maintain our HOLD rating and fair value of S$6.49. (Winston Liew)