Friday, May 11, 2012

Shang may have bullish breakout


Shangri-la Hotels (M) Bhd ('Shang') broke above its strong resistance at RM3.00 yesterday. Its next resistance is at RM3.60. Based on this technical breakout, Shang could be a good trading BUY.


Chart: Shang's monthly chart as at May 10, 2012 (Source: Tradesignum)

Shang reported a net profit of RM61 million on revenue of RM430 for FYE31/12/2011. This gives the company a full-year EPS of 13.76 sen. At the current price of RM3.07, Shang is trading a ta PE of  22 times. For more, go here.

6 comments:

luckystock2 said...

Hi Alex ,
Don't you think PE 22 is a bit too expensive for this stock?
Thank you !

Benson said...

Hi Alex, may i get ur opinion regarding wilmar singapore, is it time to enter around $4? Thx a lot.

ste said...

Hi Alex, can you please comment on MYeg. this counter seems to be drifting lower and lower despite good business model and profits quarterly. Is this stock a long term investment hold?thanks
ste

Alex Lu said...

Hi luckystock2

PE of 22 is expensive. However, that is historical or trailing. Going forward, things may change, who knows?

Alex Lu said...

Hi Benson

Wilmar singapore, could be a good entry at around $4. That's based on technical analysis, the stock has a good horizontal support at RM4.00 as well as moving in a downward channel, with support again at RM4.00.

You should also look at the fundamental side & come to a more informed decision on this stock.

Alex Lu said...

Hi ste sa

MYeg broke the horizontal support at RM0.65 & would soon test the RM0.58-0.60 support. That's a strong support which would represent an excellent entry into this stock.