For QE30/9/2014, DLady's net profit increased by 18% q-o-q but dropped by 32% y-o-y to RM28.5 million while its revenue dropped by 10% q-o-q or 9% y-o-y to RM240 million. Revenue dropped q-o-q mainly contributed by lower volume sales. Nevertheless the profit before taxation for increased by RM5.8 million mainly due to cost management and favorable movement in raw material purchases
Table: DLady's last 8 quarterly results
Chart 1: DLady's last 26 quarterly results
Valuation
DLady (closed at RM45.90 yesterday) is now trading at a PE of 27 times (based on last 4 quarters' EPS of 169 sen). At this PE, DLady is deemed fully valued.
Technical Outlook
Since October 2012, DLady has been moving sideways around RM46-48. Its indicators have weakened steadily, with monthly MACD hooked down & William %R at the 50-mark. A breakout of the trading range of RM46-48 will point the way forward for the stock.
Chart 2: DLady's weekly chart as at Nov 25, 2014 (Source: Share Investor)
Conclusion
Based on demanding valuation & technical weakness, I would rate DLady as a REDUCE.
Note:
In addition to the disclaimer in the preamble to my blog, I hereby confirm that I do not have any relevant interest in, or any interest in the acquisition or disposal of, DLady.
HI Alex,
ReplyDeleteHow would you rate PresBHd? My friend are still avearging down and hoping for a reversal.
Thank you for the opinion
Hi Alex, can you comment on DRB Hcom ? The share price have drop so much and i don't know whether to keep or sell. What is your opinion on the next support price? Please and thanks for the comment.
ReplyDeleteHi lai,
ReplyDeletePresbhd's financial results have been declining for the past 4 quarters. Its EPS is 6 sen for last 4 quarters. At curent price of RM1.57, the stock has a PE of 26 times.
Chartwise, it retraced RM1.00 from the high of RM2.40 to its recent low of RM1.40. That means it retraced about 55% of its gain of RM1.80 (since it rose from RM0.60).
Its strong support is at long-term uptrend line & horizontal line support at RM1.40 while its strong resistance is at RM1.70.
Given the high PE, you can afford to wait. At RM1.40-1.45, you can try to trade for rebound.
Hi andy
ReplyDeleteThe market was waiting for Proton's new compact car introduction & a possible recovery for its slacking sales. Unfortunately, the well-designed car did not pull in the sales.
The chart seems to point towards further weakness. I see the support at RM1.50.