The markets could be at it's crossroads. This week could be another roller coaster week as the euro leaders release bit and pieces of news day by day. If however, the were broad consensus from the euro leaders and IMF and the BRIC countries involved in this battle, we might just start taking the small steps to restrain the euro debt monster. The week after this would be D- day, decisions would have been made. If the euro leaders come up with a plan comprehensive and feasible enough to impress investors, the stars might be aligned for a sustained rally to EOY. The US congress would most properly still pass part and pieces of Obama job plan, and the super committee could be pressurized to deliver, as the US would become the laughing stock of the Europe if the congress and super committee could not get their act together, and lose whatever little influence or respect it has on Europe if Europe, with it's many countries can get their act together and US as 1 country could not move on. Coporate earnings in US has been decent, valuation holding up. With the better sentiments coinciding with Singapore earning season, a sustained rally now seems possible... Maybe I am day dreaming, but I do hope the holiday season will bring good tidings to job seekers in US and investors like me. Good luck. The worst should has past us, at least for 2011, as long as the European leaders dun mess up the upcoming summit
After i miss the boat on hankore, i decided to search further and hope to find another water company that is under investor radar. I found Asia water technologies to be worth a look.
1) Issue new shares for 2 aquisition that will immediately boast earnings in 2012. Based on its illustration, earning boast is about 50 million in a year. that is about 1 rmb cent per shares
2) Not actually thrilling, but to fund this aquisition, Asia water will issue new shares to the vendors, and the issue price for the 2 accuquistions is at prenium of 7sin cents and 6.4 SIN cents respectively, as compared to current price of about 5.5 cents. The vendors seems willing to value the company higher than what the market is willingly to value.
3) Major shareholder before issue of new shares is one of soveregin funds in china...owned about 70% of company...
Any comments anyone??
Trek- Already vested, already turning strong buy queue at 35cents, can 35 cents be a new support (Wait for pull back if not vested)
Anchun- Already vested, still cheap at 7.5cents, not a low PE stock, but capabilities is sound, and products should be in demand as china focus on agriculture and reduction of pollution. As long as no credit tigtening and freck weather. New reductive catalysts coming online... If profits hit south further, then as cheongwee says, cut loss
Hankore / asia water- Not vested, still looking for attractive entry points. 2 water plays not played up too much
I also like Trek 2000 and consider it has a strong potential to be a multi-bagger for 2 reasons.
1. Its FluCard is going to be part of millions of digital cameras in the years to come.
2. It is gonna get lots of $ from those companies that have infringed on its Thumbdrive patent. They have to pay penalties for past sins, and they have to pay royalty going forward for their Thumbdrives.
The other day, Trek achieved another out-of-court settlement ---- with memory product manufacturer and distributor, Patriot Memory LLC (“Patriot”).
First out-of-court settlement was reached with two companies of the Verbatim Group in October 2011.
The infringing companies -- hey, these are big names (read: they got loads of $ to pay Trek).
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