Table: Magni's last 8 quarterly results
Chart 1: Magni's last 30 quarterly results
Magni (trading at RM4.15 last Thursday) has a trailing PE of 7.5 times (based on last 4 quarters' EPS of 55.35 sen). Its last 2 years' earning CAGR was at 45%; giving the stock a PEG ratio of 0.2x. At this PEG ratio, Magni's valuation is still very attractive.
Magni is in a long-term uptrend. There are negative technical reading; MACD has just crossed below its MACD signal line and ADX has hooked down. Both are signaling a possible correction in the near term.
Chart 2: Magni's monthly chart as at Sep 15 2016 (Source: ShareInvestor.com)
The weekly chart shows that Magni is moving in a gradual downward channel, with support at RM3.80 & resistance at RM4.40. MACD looks poised to cross above the MACD signal line.
Chart 3: Magni's daily chart as at Sep 15 2016 (Source: ShareInvestor.com)
Based on good financial performance and attractive valuation, Magni remains a good stock for long-term investment.
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