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861-880 of 3003
The high court ruling is more an " ego thing" no real impact on material earnings, etc. For investors, I think it is more important to focus on Semb Marine's earnings outlook which continues to be robust and with Oil price staying high, I anticipate Semb Marine to be in a favourable position in the coming years. Recently price dropped more than other O& G play which I think represents accumulation opportunity. Just my view. Not inducing anyone to buy.
ozone2002 ( Date: 01-Jun-2012 14:33) Posted:
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SembMarine
the high court order didn't dampen the share price..in fact it boosted the share price from the intro day
low..
rock steady!
gd luck.. dyodd
Sharing a report I happen to have.
Sembcorp Marine: Value is emerging
upgrade to BUY
●
Outlook remains positive●
book
Defensiveness from strong order●
Easing oil prices, but still above
threshold
Upgrade to BUYThough oil prices have corrected, we opine
that at current levels (WTI: US$88/bbl,
Brent: US$105/bbl), oil prices are still
elevated. As deepwater offshore projects
typically need a threshold level of US$70-
75/bbl for a safe cushion to be viable
investments, we expect continued capital
expenditure in the sector which takes a longterm
view due to strong industry
fundamentals and the long lead time required
for offshore projects.
Offshore drillers remain upbeat
The difference between new and older assets
has also been accentuating over the years,
evidenced by a divergence in utilisation and
day rates. Recent comments by offshore
drillers in the latest quarterly results also
reflected their belief in the strong
fundamentals of the industry and companies
such as Seadrill are keen on more newbuilds.
Strong outstanding order book provides
defensiveness
Sembcorp Marine has a net order book of
S$7.4b with deliveries stretching till 2Q15,
and this provides good earnings visibility at a
time when uncertainties are still prevalent in
the global economy and there is a general
lack of clarity in terms of corporate earnings
outlook. The group has secured orders worth
about S$3b YTD, accounting for 34% of our
full year estimate which includes orders from
Petrobras.
Stock has eased quite a bit upgrade to
BUY
SMM’s share price has fallen by 15.1% since
we downgraded it to Hold a few months ago
in our report “Looking beyond FY11”, 24 Feb
2012. This compares with the STI’s 6.9%
drop over the same period. At current price
levels, we see value emerging in SMM’s
stock. With an expected upside potential of
14.8% (excl dividends) now, we upgrade our
rating to
estimate of S$5.12
GuavaXF30 ( Date: 01-Jun-2012 08:57) Posted:
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Not likely. With 8 bil worth of orders, their profit will be steady for the next 3 years still.
Baker Tech/PPL thing is small drop in a very vast ocean. And they still control 85% of PPL. How the new consortium hope to go against them with just 15% ownership ? Don't get conned.
New123 ( Date: 31-May-2012 23:14) Posted:
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New123 ( Date: 31-May-2012 23:14) Posted:
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it may goes down to $4.00 .
catalyst ( Date: 31-May-2012 22:57) Posted:
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Very tempted to enter..
On Friday, Sembmar re-test the support at $4.41 and closed at $4.47 with LOW volume of 7.31 million shares traded.
During the past 10 bars, there have been 6 white candles and 4 black candles for a net of 2 white candles. During the past 50 bars, there have been 22 white candles and 23 black candles for a net of 1 black candles.
RSI & MACD are bullish as MACD perform a golden cross recently.
Important Resistance of Sembmar: $4.53
Immediate Support of Sembmar: $4.41
Currently prices are supported by 200 days MA at $4.41
For the past 10 trading sessions, prices have ............... READ MORE
YZJ adding fuel to fire. If sembmarine didn't appeal against this HC Judgement, very ma-lu. Can't imagine a giant losing to dwarf in what looks like a sure-win case for sembmarine.
http://info.sgx.com/webcoranncatth.nsf/VwAttachments/Att_C2B6B4C65D313B3548257A0F003CDA32/$file/Announcement_20120531.pdf?openelement
high court judgement ruled in favour of baker technology, against Sembmarine. unless SembMarine appeal to Court of Appeal immediately, this bad news may drag its share px below $4. Unexpected outcome, those vested prepare for the worst.
Recap: Sembmarine owns 85% of PPL shipyard & bal 15% of PPL own by Baker Tech, but Baker Tech sold its 15% to YZJ shipyard which is the subject of this lawsuit.
The consequence is that YZJ thru this 15% stake in PPL will gain access to know-how & design of Jackup Rig to compete head-on with SembMarine in future.
http://info.sgx.com/webcoranncatth.nsf/VwAttachments/Att_99EDD7D3FBDA8C1C48257A0F00392D97/$file/Ann_Judgment_310512.pdf?openelement
Nomura singing the same tune in terms of my prior buy on dip calls based on the fat orderbooks of the oil rig companies notably Semb Mar & Kep Corp..
The recent sell-down in equities offers a good chance to increase weightings in Singapore oil rig builders such as Keppel Corp and Sembcorp Marine, Nomura said.
The broker kept its buy rating on both companies, and has a target price of S$13.80 for Keppel and S$6.08 for Sembcorp Marine. Curent levels are S$10.14 and S$4.50, respectively.
Shares of Keppel, the world's largest rig builder, and smaller rival Sembcorp Marine have risen about 9 percent and 17 percent respectively so far this year.
However, Sembcorp Marine plunged 12 percent and Keppel lost 8 percent this month alone a mid a global flight from riskier assets, worse than the benchmark Straits Times Index's 6.6 percent loss.
" While new order momentum may slow in the coming quarters, given macro headwinds and weaker oil prices, we believe underlying long-term demand for offshore exploration and production remains robust," Nomura said.
It highlighted that the industry would benefit from the recent new oil discoveries, while the move to deeper waters and frontier drilling is expected to support demand for high-specification rigs.
Nothing is impossible for S51 to hit $3.60.
hoping for 3.6 but seems tough
Looking at $4.38 soon
seeing director buying activity .. provides a further vote of confidence in the stock purchase..
averaged down by buying more @ $4.5
gd luck ..dyodd
Are you watching sembmar now? I bought 10 lots at 5.27 to get $2000 dividend. Sold at 5.08 and lost $2000 and escaped without losing anything net. No red wine or lim kopi again.
Waiting for Sembmar to drop to 3.50 before buying 10 lots. This baby is more solid than STVOSX for keeping in fridge if price drops further. What's your play here? Share the skill.
littleboi ( Date: 23-May-2012 19:06) Posted:
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