Stamford Tyres    Last:0.197   -

Price

Hi Sporeguy and giantlow,

Trend reversal is possible in the near future. I agree that it may have bottomed out. But still too early to tell. Wait a couple more days to be certain.

 

i have read in many forums that TA will only be effective for volumes above 1000 lots traded. how is this magicial 1000 lots traded?

 

Just to qualify further, not just based on 1000 lots, but a transaction of at least 1000 lots at $1k per lot, i.e a min of $1M transaction. If it is 50c per share then i would consider 2000 lots per day as suffice for TA consideration.

 

Both the Acc/Dist & Chaikin charts has been trending upwards since 29 Dec, so according sporegal's method, it should be trending upwards, except the vol (200+ lots)) is too low according to her method. For me as long as it can hit 1000 lots and above, the vol will be considered sufficient.

 

elf and singaporegal. The indicators are looking better. Are we looking at a possible trend reversal or is it too early to tell?

 

Hi giantlow,

Sorry... I think its on a TA downtrend now. It has been downtrending for some tiime now.

 

does anyone knows wat happen to my stamford tyres ah?

its bleeding me dry.

argh!!!!

 

Volumes not too healthy and it seems to be on a downtrend now.

 

Stamford Tyres Is First In Asia Pacific To Distribute Next Generation Of Continental Tyres - The ContiSportContact 3


http://www.listedcompany.com/ir/stamfordtyres/newsroom/Continental%20Sport%20Contact%20NR_final.pdf

 

KELIVE Research

Stamford Tyres - Net profit for the six months ended Oct 31 fell 13.7 per cent to $5.6million on increased pressure from material costs, even as total revenue rose 15.3 per cent to $138.3 million. Singapore's biggest distributor and retailer of tyres and alloy wheels recorded bigger sales volume, thanks to continued organic growth in major brands such as Falken and Continental, and its earthmover tyres. Its proprietary brands like Sumo Firenza tyres and SSW wheels also grew. But it was weighed down by manufacturers' higher tyre prices, due to rising raw material costs. Stamford also operates a wheel manufacturing plant in Thailand and was affected by increasing aluminium ingot prices. Group president Wee Kok Wah explained that the company had not been able to immediately pass on thesecost hikes to consumers but added that the situation has since improved.- Net profit for the six months ended Oct 31 fell 13.7 per cent to $5.6million on increased pressure from material costs, even as total revenue rose 15.3 per cent to $138.3 million. Singapore's biggest distributor and retailer of tyres and alloy wheels recorded bigger sales volume, thanks to continued organic growth in major brands such as Falken and Continental, and its earthmover tyres. Its proprietary brands like Sumo Firenza tyres and SSW wheels also grew. But it was weighed down by manufacturers' higher tyre prices, due to rising raw material costs. Stamford also operates a wheel manufacturing plant in Thailand and was affected by increasing aluminium ingot prices. Group president Wee Kok Wah explained that the company had not been able to immediately pass on thesecost hikes to consumers but added that the situation has since improved.

 

Lousy volumes.... TA people should avoid

 

anyone has any idea why this share has been continuing to slide down slowly after the generous dividend payout some time back?

i personally think that is becos the mkt is very hot, so pple are pulling out their money to chase after the "hot" stocks. isit a good time to buy the share soon?

 

It sells a complete range of tyre wheels with supporting services to tyre and wheel distributors and retailers in more than 30 countries in Asia Pacific, Africa and Latin America.  
    
It is taking an increasing share of global vehicle sales, and is the only major market expected to see strong growth over the next few years. The Singapore market remains the principal driving force for Stamford Tyres' robust performance. The market size for auto parts is estimated to reach $1b by 2008. China will be the other growth engine with a vehicle population CAGR of 17% from 2002 to 2012.  



In line with its strategy to develop proprietary brands and to further expand its product portfolio, the Group opened its first wheel plant in Sep 04. Due to the increasing product popularity and market demand, the company committed $15m for a second wheel plant to commence operations in 2007.  



Stamford Tyres is most vulnerable to an increase in global rubber prices, and prices of aluminium, a major raw material in wheel manufacturing. The recent sharp rise in the aluminium price, which started in Jan 06 and peaked in May 06, will increase the cost of sales for Stamford Tyres' light alloy wheel production.  



UOBKH has a fair price is $0.56, or 7.2x FY07 PE and 6.3x FY08 PE. Peer comparison also shows the stock trading within its fair range.

 

    I let go quite some time ago. It has been downtrending for some time. Seem to have found support at this level ($0.50). In the current bull market, don't intend to spend time on this counter, at least for the time being.

 

Any one monitoring this stock? Any enlightening views? Noted that the big gun Mr Wee has picked up a big amount of the stock himself just recently. Historically the stock price is on a gradual downtrend in narrow borringer bands in Nov / Dec, picking up at the beginning of the new year. Myself a new TA convert trying to understand the mkt better.

 

hello allantanhc, the effect of reports on stocks are mixed. do not bet on them

 

I have vested in the counter too and I think I will also hold on for a while more. The chart is showing a W formation since hitting a low of $0.51 on 17 Jul. It is trending sideway now but with an upward inclination. The stock is undervalued at its current price. Need a trigger to create interest such as a report from a big financial institution like ML.   

 

Thanks ppl for all your replies.. Really appreciate.. I guess i'll hold first for maybe around 1 more mth n see how it goes.. But until now I am still very optimistic that this stock is still very much under-valued..

 

some members here combine FA with TA.. so if you are already comfortable and literate in FA, you might want to try a combo of both methods.

 

I am lucky that I bought at 52 cents and sold at 57 cents much earlier.

Yes, I agree with Singaporegal. Some stocks got strong fundamentals  - stock prices are very much lower than the NTA, got very low PE etc but no use leh ......