Hi-P International

LIM & TAN SECURITIES :::

We believe the downward revisions for 2Q12
is due to weaker than expected performance at
Research In Motion (RIM), Hi-P’s single
largest customer. RIM has given numerous
warnings in the past year as it loses market share
to Apple and Google’s Andriod-based phones.

• Hi-P is gearing up to serve new products for
Apple as well as new customers such as Amazon
and Nike to reduce their reliance on RIM and
results should be apparent in 2H2012.

• Weakness attributable to the above profit
warning is a buying opportunity.

My goodness , Hi-P on a tear +5.5 cents to hit 79 cents currently.

Hi-P does sound very sure of its second half 2012 performance, despite the fall in RIM business. Apple must be taking up the slack in a very big way. Stock price is 84 cents. Wonder where it will end today

Trading has quietened this morning but stable at 85 cents. Hmmm.... are the buyers holding for the big profit that Hi-P will capture from Apple?

I think the stock is fairly priced now at 84 cents. Until the 3Q result vindicates the management's confidence, the stock won't really have a good chance to cross 90 cents. If 3Q is really good, the stock will fly .

DBS Vickers expects 'magnificent rebound' in 2H by HI-P INTERNATIONAL

Dear Joanne,
The market is optimistic -- and pushed the stock to 88 cents now. I agree with you though. Show me the profit first.