Roxy Pacific - undervalued

fyi, latest reports by Standard & Poor and SIAS Research.

OMG, Roxy has touched 40.5 cents in early trade with 5.6 million done in 5 minutes.
Sign of fund buying??

Target price for Roxy-Pacific raised to S$0.55 by DBS Vickers this morning.
.
After incorporating a high ASP for the Spottiswoode project,
adding two more upcoming launches and tweaking ASPs for
recently launched projects, our RNAV is revised up 16Scts to
S$0.79. Applying a 30% discount to RNAV (in line with the
residential developers in our DBSV coverage of 10% to 40%
discount), our target price for Roxy is S$0.55 (Prev S$0.44),
which provides a potential upside of 47%.

The chairman bought 500,000 shares yesterday.  and the stock is now 44. 5cts

Written by The Edge   
Monday, 22 November 2010 15:08
DBS Vickers lifts Roxy-Pacific (E8Z.SG) target price to $0.55 vs $0.44, based on 30% discount to higher RNAV estimate of $0.79 vs $0.63 previously, to factor in higher average selling price for developer’s Spottiswoode Park Singapore residential project and contributions from 2 upcoming launches. Keeps Trading Buy call.

DBS Vickers says Roxy also expected to benefit from Singapore’s strong hospitality sector as it owns 558-room Grand Mercure Roxy Hotel, which accounted for 19.5% of group revenue for first 9 months of 2010; “contributions from the hotel segment can help to smoothen out the lumpy contributions from the property development segment.”

I think it is a company with great ambitions. Recently, it's newly formed sibsidiary has acquired anothe rcommercial propert at 116 Changi Road. And their they seem to be repoositioning to expand their hospitality business with recent changes to the hotel arm. Not forgetting the consistent SSB.