Ascott   

Ascott

Good news for ART and AScott holders EGM proposed to raise approx 199mil to fund recent acquisitions. Units holderss to benefit from the placement arrangements, estimate returns for 2007 is 9.3%.

 

Still uptrending.

 

Ascott mother share result out on 8 Feb 0730 hrs.

 

Ascott  Reit will announce result on Wed, 24Jan07 before 7.30am. I hope it will be exciting.

 

Ascott Group should be posting their result soon, ie in January 2007 according to their website. 

 

Good evening Shplayer Sir and Singaporegal, thanks for yr guidance. God bless.

 

Still on uptrend but I detect some weaknesss. Be cautious

 

elizlow,

You are welcome.



There is no doubt that FY06 results, compared to previous years, will be very good. But you need to watch its profit from operations and future asset sales.

Profit from operations alone cannot support current price.

Also, you need to watch the performance of the reit....the better it (REIT) performs, the higher price Ascott fetch from selling its asset to the reit. If the REIT does not perform well, Ascott will not be able to get a good price for their property..=> less profit from asset sale.

Its all a numbers game with these boys. 

 

Good afternoon Shplayer Sir, appreciate yr FA advice on Ascott. I understand that results will be released in Feb 07. Hope the results will be good. Many thanks for yr help.

 

elizlow,



FA on Ascott as follows:

YTD 3Q 06 eps  - 8.8ctsof which.........

• 1.77 cts are profit from operations
• 7.04 cts are from sale of REIT(2.61cts) + sale assets (6.23cts) less revaluation (0.9cts) and Impairment (0.9cts).

As company did not report any asset sale in 4Q06, it will only have operating profit to show at its bottomline. My estimate for 4Q eps to be about 0.5cts.

Therefore, my estimate of FY06 eps is 9.3cts.



Total operating eps for FY06 is 2.27cts. Therefore operating P/E is 63.8X (based on current price of $1.45)



However based on total profit - P/E is 15.6X.



My opinion of this counter is as follows:

1. Management has not been too astute in their past investments...in 2006 they wrote off 1.8cts per sh on property revaluation and impairment. Some spring cleaning done on 2006.
2. Given current share price, operating profits are weak. Price is supported by asset sales. Hopefully they will be generous with their divident payout (at least 4.5cts -net of tax- per share for a yield of 3%).......otherwise investors may not find it worthwile to hold the stock.
3. I expect company to make more asset sale in 2007 and beyond, either to the reit or otherwise to boost their bottomline.
4. Their recent acquisitions in Spore and beyond will boost operating revenue and hopefully earnings too. 

Just my personnal opinion.

 

I am vested in this counter. I think you should accumulate on weakness. Only pan asian service apartment reit. Wait for gov approval to allow short term lease. I see it coming? Medium term play

 

Ascott is down 0.11 to 1.50 now, what happen to this counter?

 

I am no expert but there is indeed a slight convergence but it may be a correction. Must wait for few days to confirm. RSI is overbought but it is "stagnating". I think you miss out one "critical" point, this counter volumes is not very consistent so applying TA may not be accurate, and if you see the past charts, this counter doesn;t really responds well to the A/D Lines & Chaikin.

 

Today share price correction?  From TA, seems like a reversal downhill soon?

RSI overbought, negative divergence is AD??  Is that the correct analysis based on 3 Jan result?

Any expert has any comments?

 

Hi waterfalls,

I don't do day trading because I find it highly risky and quite impossible to find trends within a day.

I wrote something about when to buy in the article I contributed to sharejunction. Check it out on the front page of this site - "Confessions of a TA purist"

 

Hi Master Sporeregal,

Yes, i refer to both different scenarios which are likely to happen.  The time frame could extend from days to weeks but not more than year. How do you pick a winning stock at the right entry price ? Wat would your strategies be ?  Thanks.

 

Good evening Shplayer Sir, sorry  for troubling you whilst you are overseas. No problem to continue  holding .  Have lots of fun, rest and memories during the trip. Wishing you a Merry Christmas and a Happy New Year and best of Health. God bless.

 

elizlow,

I am currentlyoverseas.......on some urgent business. Not sure when I'll be back but possibly in 1-2 weeks time.

I did not bring my ow computer with e (where I have all the info) and only have access to the internet on others ppl's comp.

If its any consolation to you, I m still vested.......for the short term, if you need to, perhaps you may like to consider using TA to exit and take a healthy profit

 

Hi waterfalls,

When you mention that price is falling, what is the timeframe? Are you referring to price falling over a few days or within a trading day?

 

Shplayer Sir, where are you ? . May I have yr advice on FA on Ascott. Thanks.