Prlexus: Approaching its all-time high

Results Update

For QE30/4/2015, Prlexus's net profit dropped 70% q-o-q by 6% y-o-y to RM2.1 million while revenue was mixed- dropped 20% q-o-q but rose 25% y-o-y to RM67 million. Revenue dropped q-o-q due to lower revenue from the apparel division and advertising division of RM16.4 million and RM 865,000 respectively during the quarter. Profit dropped q-o-q as a result of lower revenue.

  
Table 1: Prlexus's last 8 quarterly results


Chart 1: Prlexus's last 27 quarterly results

Valuation

Prlexus (closed at RM2.16 yesterday) is now trading at a PE of 11 times (based on last 4 quarters' EPS of 20 sen). At this PER, Prlexus is deemed fully valued.

Technical Outlook

Prlexus is in a long-term uptrend. Its immediate resistance is its all-time high at RM2.30 while its good support level is at the 10-month SMA line at RM1.60.


Chart 2: Prlexus's monthly chart as at Jun 23, 2015 (Source: ShareInvestor)

Conclusion

Based on weaker financial performance and full valuation, it may be time to take profit on Prlexus.

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, Prlexus.