Share price corrected again due to SGX query and restriction placed by UOB on the stock trading.
As shown in the past occasions, Best World’s share price kept on rebounding back and headed higher. In my view this temporary setback will soon pass and the catalyst will be the impending full year results due later this month.
Unless the results are below expectation (this is unlikely), the momentum of the price trend will continue to be positive.
I find it strange that some Securities Houses are placing trading restrictions (Philip Securities, UOB), whilst others have issued “Buy” ratings. The division here is rather startling.
Best World is a home grown business, established over 25 years ago. Surely a quick check on its website will confirm this fact. As I have said before, BW is no Blumont or Lionsgold. Just as its share price has risen strongly over the past 12 months, does this warrant a trading restriction or repeated query from SGX?.
Fundamentally, in my view, its share price is driven by its exciting growth profile; the icing on the cake now is the granting of a MLM licence in China. I guess the best defence for the Group is to report a solid FY16 performance - this should silent its critics and to reward the Research Houses who stood by them.
lotustpsll wrote: Share price corrected again due to SGX query and restriction placed by UOB on the stock trading.
As shown in the past occasions, Best World’s share price kept on rebounding back and headed higher. In my view this temporary setback will soon pass and the catalyst will be the impending full year results due later this month.
Unless the results are below expectation (this is unlikely), the momentum of the price trend will continue to be positive.
I find it strange that some Securities Houses are placing trading restrictions (Philip Securities, UOB), whilst others have issued “Buy” ratings. The division here is rather startling.
Best World is a home grown business, established over 25 years ago. Surely a quick check on its website will confirm this fact. As I have said before, BW is no Blumont or Lionsgold. Just as its share price has risen strongly over the past 12 months, does this warrant a trading restriction or repeated query from SGX?.
Fundamentally, in my view, its share price is driven by its exciting growth profile; the icing on the cake now is the granting of a MLM licence in China. I guess the best defence for the Group is to report a solid FY16 performance - this should silent its critics and to reward the Research Houses who stood by them.
Share price has rebounded to $1.80, translates into market cap of about 500 million sgd. Nice size to attract fund managers. They will be the deep pockets to propel BW to the next level of 1 Billion sgd.
Of course, first, BW must demonstrate its ability to gain traction in China's direct-selling market. The groundwork has been laid by BW over the past few years. The company has quickly attracted lots of entrepreneurs who wish to become direct-sellers for BW.
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