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FINANCIAL CHRONICLE™ » FINANCIAL CHRONICLE™ » PC HOUSE (PCH) - Future Outlook

PC HOUSE (PCH) - Future Outlook

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61PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sat Feb 12, 2011 5:53 pm

tubal


Vice President - Equity Analytics
Vice President - Equity Analytics
@morros wrote:I would think 28-30
lol!

62PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sat Feb 12, 2011 6:10 pm

mono


Vice President - Equity Analytics
Vice President - Equity Analytics
lol.

This shit keeps getting funnier



maybe someone can make a really good black comedy out of all this?

Rolling Eyes

63PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sat Feb 12, 2011 6:14 pm

Fresher


Moderator
Moderator
@mono wrote:lol.

This shit keeps getting funnier

Rolling Eyes

ur avatar too! awesome! Laughing

64PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sat Feb 12, 2011 6:23 pm

Academic


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics
@tubal wrote:
@morros wrote:I would think 28-30
lol!

@mono wrote:lol.

This shit keeps getting funnier

maybe someone can make a really good black comedy out of all this?

Rolling Eyes

Agree with both.

Rescue operations are being started.

Those who are touching this share again may have to look at a mirror and see their head looks like rendeer .

65PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sat Feb 12, 2011 6:42 pm

dineshfernando


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics
PCH is much better than ECL interms of future growth and earnings. Both are trading around the same price levels. People who don't have PCH and who wanted to buy it at cheaper price carried on negative publicity against PCH.

If you truly look at the market, there are many shares which is much worse than PCH being pused up. Many hotels still reporting negative or very little earnings. What do you tell for this? Remember, we have only 2 IT firms at CSE and PCH is the best out of two.

66PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sat Feb 12, 2011 6:50 pm

Rajitha

Rajitha
Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics
@dineshfernando wrote:PCH is much better than ECL interms of future growth and earnings. Both are trading around the same price levels. People who don't have PCH and who wanted to buy it at cheaper price carried on negative publicity against PCH.

If you truly look at the market, there are many shares which is much worse than PCH being pused up. Many hotels still reporting negative or very little earnings. What do you tell for this? Remember, we have only 2 IT firms at CSE and PCH is the best out of two.

Are you kidding or really serious ?
In case your are serious I would urge you to really look at the core business of these two companies and not jsut the one CSE put them under. Also ECL got maybe the biggest deal a Sri Lanka firm got abroad in recent times. ( Online medical booking for Maldives I think and the talk about finalizing a deal with Quarter is going on ATM ). OFC I also agree now as it drops near Rs. 20 or so this is definitely not the worst price you can see for a share in CSE and there are ofc way worse. That does not make it a good price to buy the share still. Why did you think the share was trading below the IPO price even for months after entering in to the market? Suck a huge bull market at that when they enter!

67PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sat Feb 12, 2011 6:57 pm

tubal


Vice President - Equity Analytics
Vice President - Equity Analytics
@Rajitha wrote:
@dineshfernando wrote: Remember, we have only 2 IT firms at CSE and PCH is the best out of two.

Are you kidding or really serious ?
In case your are serious I would urge you to really look at the core business of these two companies and not jsut the one CSE put them under.

I suspect that the listing application has a small tick box where a company can suggest to the CSE which sector an IPO applicant would like to be listed in. Besides, there isn't a category called retail.



68PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sat Feb 12, 2011 9:15 pm

UKboy

UKboy
Senior Vice President - Equity Analytics
Senior Vice President - Equity Analytics
hybrid_OS wrote:Buying PCH shares is like getting cheated with forged currency notes! Suspect

Hahaha very true..! PCH & GREG all on a same boat.Just one simple answer to all these companies. DODGY Smile

I'm so suprised to see people gamble their hard earn money on these companies

69PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: * Are you losing confidence over PCH Sat Feb 12, 2011 9:18 pm

morros

morros
Equity Analytic
Equity Analytic
Hey Guys, u can give me all the negative reps u like regarding PCH, but u cannot change the facts
I'm out of PCH shares now, but it gave me more than 100% profit.
If we r into trading for any other reason than to make profits, u tell me about it.

70PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sat Feb 12, 2011 10:11 pm

mono

mono
Vice President - Equity Analytics
Vice President - Equity Analytics
I'm sure morros will be kind enough to share some of his profits with the people who bought at 32, if in the unlikely scenario PeeCee house crashes down to 15 and gets stuck there

71PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sat Feb 12, 2011 10:32 pm

Rocky

Rocky
Senior Manager - Equity Analytics
Senior Manager - Equity Analytics
well said mono.
Not all r gullible.

72PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sat Feb 12, 2011 10:40 pm

kpinvest

kpinvest
Equity Analytic
Equity Analytic
Why you guys hate PCH this much? Did you miss the bus?

So called EXPERTS please put down some solid facts that go against PCH
Some facts where it shows that it’s not worth at current price and it won’t grow in the future?

Thank you..

73PC HOUSE (PCH) - Future Outlook - Page 4 Empty A Theoretical Explanation of PCH Scenario Sun Feb 13, 2011 9:42 am

Academic


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics
Since you are inviting for a serious talk and also I have contributed to this thread against your points, I thought of writing here again. However, I do not call myself an expert.

If you take current status of PCH , its annualized EPS is 0.69/3*4=0.92. Considering the fact that still their core-business activity is selling computer hardware or/and related items, it is not questionable to say they are in retail business than IT business.

This core-business is supported by their specialization in acquiring such items from foreign suppliers and distributing them with reasonable profit (their key success factors). So to me PCH is not an IT company. Thus applicable PE ratio is not that of IT sector. Therefore traditional conservative market PE (15) would serve the purpose well and it lead us to more conservative estimate of PCH value (this is my rationalized opinion not a fact).

If we assume PCH keep current profit level next year also. The value of a share would be around 0.92*15= 13.8.

Now we start the critical part of the discussion.

As many of you point out PCH is expanding business activities by starting data warehousing etc. Well, if those businesses will bring some profit, above conservative figure of profit (0.92) should be increased. Thus current value of PCH share should be higher than 13.8.
Now you may understand, to decide how much PCH is worth now we have to forecast future profitability of PCH’s new projects (new businesses).

Can any of you come up with concrete answer to the question that what would be the profit contribution by those new projects exactly? Since some of their new projects are beyond their core-competencies , I do not have confidence to say they will contribute positively on the profit. Even some of their projects reported profit , others may go other way around making it zero-sum.

Very essence of above paragraph is not to say PCH will fail their future projects, at least to show that there is an ambiguity on their impact on future profit.

Though I cannot remember the exact reference, it is human nature (at least me) that if there is an ambiguity (risk) we try to avoid that situation thinking the worse can happen. Do you agree with me? Thus, people put little weight on profit of PCH’s new business.

Then you may ask me why PCH went up to 32. It was simply on speculation that PCH will continue to appreciate as it started a steady (manipulated?) trend on its price. However it is arguable, people do not go after PCH just seeing a price appreciation. So I should give more solid explanation for that.

We like lotteries, why? They have a chance of giving us very large reward. However with very small probability. If you calculate expected value of a lottery (that is in long-run your average gain in purchasing lotteries), you find it negative. Then why we buy them? The reason is people overvalue small probabilities associated with large gains (gambling mentality). This was theorized by Prospect Theory (Kahneman and Tversky, 1979) for which they were awarded Nobel prize.

It is my thinking that who ever manipulated the PCH was able to conceive the idea that PCH will have huge profit in recent future thorough news paper articles and flashes on websites. The huge expected profit figure was strong enough to forget small probabilities of occurring such a event. Thus became subjects of Prospect Theory with gambling mentality. That is why PCH continued to appreciate with the backup of manipulators (that is, both price and volume manipulation).

Once who ever pumped started dumping together with disappointing quarterly results (which broke the gambling mentality), price started to decline. Then only, people realized what happened to them. This is not losing confidence. This is about realizing what happened to them.

Further, my heart says many posters who are promoting PCH here are not manipulators. They may be the victims of this scenario who are trying to get-ride of the trap. So I really feel sympathy, brothers! It is too late now.

If I were you I realize the fact that I have been misleaded and take necessary actions avoid further loses.

My figure 13.8 for PCH is too conservative and I don’t think it would touch that price. However, anything possible in this market. This is not a prediction of future price behavior of PCH.

THIS IS NOT AN ADVICE OR INVESTMENT RECOMMENDATION.

Reference
Kahneman, D. and A. Tversky (1979). Prospect theory: an analysis of decision under risk , Econometrica,47, 263-291.



Last edited by Academic on Sun Feb 13, 2011 7:57 pm; edited 2 times in total (Reason for editing : corrected typo and improved readability)

74PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sun Feb 13, 2011 11:21 am

kpinvest

kpinvest
Equity Analytic
Equity Analytic
Dear Academic
Thank you for putting down your facts and figures. If I look from your point of view I would also come to your conclusions.

However…

I am inviting you all to look at this at a different angle.

PCH’s core business is selling PC hardware. That’s a well known fact. What I see is..

They own more than half of showrooms at Unity Plaza. Unity Plaza is the main place that a person would go to buy PCs and PC related hardware. So I see more than 50% of revenue generated at Unity plaza will be going to PCH.

The hardware industry is expanding day by day. The technology is getting reinventing very fast. And we see a more youth are using PCs than it was before. As I understand less than 10% of our population owns a PC. Therefore there is a huge market where which is still not been catered. Hence, all hardware suppliers can easily double, tribal their revenue in coming years (provided they work towards that).

PCH is opening their outlets all over the island. And most of independent computer shops buy their parts from PCH.

PCH is the Dell Certified Partner for Enterprise Architecture 2010. And they are distributers for many HW and SW reputed brands. Ex Symantec

The company got listed very recently and we the expansions cannot happen overnight. The results of the money will get invested now and the results will be able see in coming quarters.

As you all know they are going to do BPO’s and that revenue is yet to be generated. The BPO is a very profitable business and it is a revenue generating method around the clock. So we may be able to see some decent profit generated from this in coming quarters.
So, we can expect an annual EPS around 2-3 in coming years…
And
Well known investor Dr Senthilerl has increased his share holding from 0.5% to 6.6%. I don’t think that he is putting his money in a losing business.

So with those facts I am looking at PCH as Mid to long term investment. To be frank I didn’t expect to PCH to touch 32 and I agree that I went up like that due to inexperienced traders who thought this might hit 50 in couple of days. That is not the case.
I also think that we cannot use same PE used in other sectors here. And I am strongly believe that this sector should have PE > 20. That’s because there is huge potential to grow!. And there is a risk, higher the risk, higher the reward!
If all market forces act normally I would say 22-23 will be the base price of PCH. And it may continue to increase in coming quarters.

FYI I started to collect PCH from the IPO and when it was around 9. And I will be holding on the PCH for another few quarters.

Please not that this is my perception and it is not a recommendation.



75PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sun Feb 13, 2011 12:34 pm

Academic


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics
@kpinvest

For valuation purposes what is important from your reply is EPS, 2-3 and sector PE, 20>.

Two fundamental questions are there

1. How did you arrive at 2-3 for EPS. That is, what is your forecasting methodology?
2. Accuracy of your sector PE (I have different conception about sector PE reported in www.cse.lk, I'll write on this as time permits).

Of these two question, your justification on first question would count more on your argument.

76PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sun Feb 13, 2011 12:37 pm

Rajitha

Rajitha
Assistant Vice President - Equity Analytics
Assistant Vice President - Equity Analytics
@kpinvest wrote:Dear Academic
Thank you for putting down your facts and figures. If I look from your point of view I would also come to your conclusions.

However…

I am inviting you all to look at this at a different angle.

PCH’s core business is selling PC hardware. That’s a well known fact. What I see is..

They own more than half of showrooms at Unity Plaza. Unity Plaza is the main place that a person would go to buy PCs and PC related hardware. So I see more than 50% of revenue generated at Unity plaza will be going to PCH.

The hardware industry is expanding day by day. The technology is getting reinventing very fast. And we see a more youth are using PCs than it was before. As I understand less than 10% of our population owns a PC. Therefore there is a huge market where which is still not been catered. Hence, all hardware suppliers can easily double, tribal their revenue in coming years (provided they work towards that).

PCH is opening their outlets all over the island. And most of independent computer shops buy their parts from PCH.

PCH is the Dell Certified Partner for Enterprise Architecture 2010. And they are distributers for many HW and SW reputed brands. Ex Symantec

The company got listed very recently and we the expansions cannot happen overnight. The results of the money will get invested now and the results will be able see in coming quarters.

As you all know they are going to do BPO’s and that revenue is yet to be generated. The BPO is a very profitable business and it is a revenue generating method around the clock. So we may be able to see some decent profit generated from this in coming quarters.
So, we can expect an annual EPS around 2-3 in coming years…
And
Well known investor Dr Senthilerl has increased his share holding from 0.5% to 6.6%. I don’t think that he is putting his money in a losing business.

So with those facts I am looking at PCH as Mid to long term investment. To be frank I didn’t expect to PCH to touch 32 and I agree that I went up like that due to inexperienced traders who thought this might hit 50 in couple of days. That is not the case.
I also think that we cannot use same PE used in other sectors here. And I am strongly believe that this sector should have PE > 20. That’s because there is huge potential to grow!. And there is a risk, higher the risk, higher the reward!
If all market forces act normally I would say 22-23 will be the base price of PCH. And it may continue to increase in coming quarters.

FYI I started to collect PCH from the IPO and when it was around 9. And I will be holding on the PCH for another few quarters.

Please not that this is my perception and it is not a recommendation.

Problem in this analysis mainly is you are making PE ratios for a earnings that are over 2-3x higher than what they are (Pipe dreams) and multiplying by factors of over 20. In this method if I do calculations I can probably get SEMB share price worth over Rs100.
Secondly as you said PCH is a retailer and factors you said are true for all the retailers with the market cap like even Abans. Actually more people will be using more electronic goods than PCs and this way if we calculate all these retailers should have there current share price go over 10-20x more.
Thirdly how do you know what price Dr. Senthilerl bought those shares? His increase was on the last quarter so he probably bought the share when it was around Rs 9. So what essentially you saying is share is worth over Rs 9 ( say Rs 11-13) ?

77PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sun Feb 13, 2011 12:38 pm

mono

mono
Vice President - Equity Analytics
Vice President - Equity Analytics
@kpinvest wrote:
The hardware industry is expanding day by day. The technology is getting reinventing very fast.

we can see the effects of that just by looking at PCH inventories Wink

78PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sun Feb 13, 2011 12:39 pm

mark

mark
Expert
Expert
my broker always advised me to sell........the reason he was pointed was less supporting fundamentals.........at that time it was around 21,but i waited for sometime and sold the lot at 25,which i bought at 15Rs....after one or two days it shoot to 32...,I lost the chance........anyway i'm happy about my decision...

79PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sun Feb 13, 2011 1:11 pm

salt

salt
Vice President - Equity Analytics
Vice President - Equity Analytics
@kpinvest wrote:Why you guys hate PCH this much? Did you miss the bus?

So called EXPERTS please put down some solid facts that go against PCH
Some facts where it shows that it’s not worth at current price and it won’t grow in the future?

Thank you..

Why don't you refer to mono's reply!

80PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sun Feb 13, 2011 1:14 pm

salt

salt
Vice President - Equity Analytics
Vice President - Equity Analytics
@dineshfernando wrote:PCH is much better than ECL interms of future growth and earnings. Both are trading around the same price levels. People who don't have PCH and who wanted to buy it at cheaper price carried on negative publicity against PCH.

If you truly look at the market, there are many shares which is much worse than PCH being pused up. Many hotels still reporting negative or very little earnings. What do you tell for this? Remember, we have only 2 IT firms at CSE and PCH is the best out of two.

The fact, nobody is promoting those cracks like PCH
PCH apprently looks good business, but price is exorbitantly high and beyond any possible explanation.[/b]

81PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sun Feb 13, 2011 1:58 pm

kpinvest

kpinvest
Equity Analytic
Equity Analytic
@Academic

Current EPS is around (0.69/3)*4= 0.92
For 9 months ended 31 2009 PCH PAT 70.5Mn
For 9 months ended 31 2010 PCH PAT 140.6Mn--- 99% increase

We can expect 185mn PAT for the yr end 31.3.2011.

And revenue from new ventures will come into play in coming quarters
There is plenty of room to sell PCs.
Therefore PCH can easily maintain its growth rate in coming years. In fact they can have a much higher growth rate than 100%.

If we take 100% growth rate, EPS become 1.84. But this can easily become 2+ with other ventures.
If the company work really well they can have 3+ EPS

PE is the perception of the market for a particular stock. If the company performs well PE will be high. There are companies in CSE where they have –ve EPS and I don’t know how to apply PE for those companies.

This is just my view. Not a recommendation.

82PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sun Feb 13, 2011 2:44 pm

mono

mono
Vice President - Equity Analytics
Vice President - Equity Analytics
sooo.........


nine month EPS= .69

12/31/2010 EPS= .22
9/31/2010 EPS= .21
6/31/2010 EPS= .26

i don't see any magic growth this year. growing companies grow from one quarter to another through the year. for example BFL 6.51, 7.15 , 10.24 . If anything the December quarter is disappointing for PCH considering this should have been their most lucrative quarter. If their bussiness is really on the way up we should have seen a .26+ eps for the quarter. Instead all we saw was a build up of inventories and an increase in short term loans

the 100% growth you see from last year was because they were getting epically screwed with finance cost earlier and this year that problem is sorted out. The core business hasn't improved in any considerable way.

So my suggestion is to stop having wet dreams about this stock

83PC HOUSE (PCH) - Future Outlook - Page 4 Empty Re: PC HOUSE (PCH) - Future Outlook Sun Feb 13, 2011 2:54 pm

tubal


Vice President - Equity Analytics
Vice President - Equity Analytics
mono, academic, rajitha, salt et al,

It's very clear that some people already know deep down that they are holding the bag and they are desperately looking for a greater fool to pass that bag. The burned hand teaches best (Tolkien I believe). Let the moths fly to the flame, it's part of the 21st century natural selection process.

84PC HOUSE (PCH) - Future Outlook - Page 4 Empty Worth Reading Sun Feb 13, 2011 6:48 pm

sirimevan

sirimevan
Manager - Equity Analytics
Manager - Equity Analytics
Guys i was just going at these posts,

If you study the asian market sri lanka was depending on tea and rubber since it obtained it freedom 1948, where the plantation sector performed well, and had good revenue and growth with good profits,

further towards the millennium it brought us revenue trough it overseas recruitment market from the working capital from countries like dubai and qatar,

Still we couldn't beat Singapore and Malaysia even though they were behind us in 1982.

the main reason for this was not only the war factor but the governments not making clear decisions towards the future,

If you look at Malaysia today it has reached it highest price for its oil palm,(http://www.palmoilhq.com/PalmOilNews/malaysias-palm-oil-industry-contributed-export-revenue-of-rm49-6-billion-last-year/)
49.5 billion market value with highest price paid for it palm oil shares,

When people started growing palm trees instead of rubber and tea even when the global market paid well for tea and rubber still Malaysia was growing palm tress,then the world was laughing at malaysia at that time when there was a good market for tea and rubber saying whats wrong with this people?

If you look at India it has reached its highest revenue trough IT sector,(www.thaindian.com/.../indian-it-exports-to-touch-50-billion-despite-meltdown_100314786.htm) where it is almost to touch 50 billion dollars during its last year,

This was a similar story too, when the government identified Bangalore as Indian IT HUB people started laughing saying what IT that Indians know when they don't have money to eat?
But today The world’s largest software products company Microsoft Corp. wants India to be among its top five revenue generators globally within the next three-five years.while Indian software market grows 18%
today ,
http://www.ft.lk/2011/02/07/india%E2%80%99s-software-exports-seen-up-16-18-in-fy12/

we were looking at what we had those days such as tea and rubber,

change your selfs and look at the future potentials, avoid fighting for a stock just because its coming down by 4 to 5 rupees look at the future, think of the future so that we could beat Malaysia one day,

think of your investment for the future not short time profit, when Malaysians planted oil palms they had to stay for 5 years to gain profit not like tea which had a yield in two ears but still they waited and they won finally while we lost at looking at quick profits,

today we have started IPO business after all and even palm oil sites could be seen in nakiyadeniya areas around galle and two palm oil factories in sri lanka finally,

BPO and software industry is coming up finally in sri lanka with so much of difficulties, and now we can hear the BPO word at-least and Software word finally in some news papers and in some articles

government (ICTA) has been making revolution with time in sri lanka such as bringing in IT industry to the country now
http://www.ft.lk/2011/02/04/live-icta-projects-at-buttala-‘dayata-kirula-2011’/

What i wanted to say is when there was opportunity we never looked at the future like Malaysia and India,
But today the government is setting up or coming up with a vision and that is the tourist industry in Asia and the IT hub in sri lanka,

We know that out of the five hubs, it is the knowledge hub that has progressed the most so far,
(http://www.ft.lk/2010/11/24/sri-lanka-in-forefront-of-development-on-path-to-become-regional-knowledge-hub-icta-ceo/)

The 5 hubs would be

Infrastructure (IT) HUB
tourism/travel HUB
aviation/shipping HUB
finance HUB
Investment HUB (the Colombo stock market)

if you look at the future of our country we should not be fighting towards a stock, or for a variation of a price or a manipulation its all identifying the future potential and the value of a stock and educating each other the value of that share,

Remember Malaysia, Singapore and most of the Asian countries such as even Maldives were behind us, but today we are behind them since we did not identify the value of future demand and growth sectors, its not our fault but there were no people to educate us to look at the future

Today trough this forums we see ideas coming up and people looking at the future and educating us yet we seems to put them down and under estimate, well i don't say to avoid your opinion or your comments but don't take the other person as a manipulator or a betrayer since we have to respect others, people who looked at the future potential won such as japan identifying the value of transportation india the value of
IT Malaysia the value of palm oil, etc.....

We as a country the young generation we should look at the future and invest and not fight or ague due to a slight price change or a poor performance report, let us work as a team as one country one community and let us identify the future potential value stocks may be it could be IT sector Hotel Sector etc.......

when we do fight and put the momentum and the moral down of people they intent to trow there shares for dirt cheap price so that the foreign buyers who see the potential of share grabs it and we as sri lankans lose our profits while they be rich

this what happen to our country we always tried to ague and put some one down look at the politics today a nice example, instead of them working together they keep on arguing finding faults and putting each other to there trash bin

We as sri lankans let us change our attitudes as a community let us identify the value stocks, let manupilators be there and day traders be there we as investors should learn the future value of our shares that we have invested,

Remember TAFL was 17/- six months ago, today 250+ Did any one Identify?
Remember GRAN was 65, glass was 2/- while bfl was 40 when i entered to the market just one year back and today almost all the shares gone up by 10 times and more

at that time no one was there to teach us how to identify a value stock how to identify a good report we just went behind the crowd and invested in greg and dpl but today the community is much educated and much advance, those days we never heard of EPS, we never heard of assets , ratios, trends , growth rates etc,,,,,

but let not this happen to our future investors since they our the people who takes our country to the world and let us be an example to our young investors,

all the best guys
Have a great trading week
Regards,

Just my thought correct me if im wrong,
















85PC HOUSE (PCH) - Future Outlook - Page 4 Empty FUTURE AND PCH Sun Feb 13, 2011 6:50 pm

sirimevan

sirimevan
Manager - Equity Analytics
Manager - Equity Analytics
Guys i was just going at these posts,

If you study the asian market sri lanka was depending on tea and rubber since it obtained it freedom 1948, where the plantation sector performed well, and had good revenue and growth with good profits,

further towards the millennium it brought us revenue trough it overseas recruitment market from the working capital from countries like dubai and qatar,

Still we couldn't beat Singapore and Malaysia even though they were behind us in 1982.

the main reason for this was not only the war factor but the governments not making clear decisions towards the future,

If you look at Malaysia today it has reached it highest price for its oil palm,(http://www.palmoilhq.com/PalmOilNews/malaysias-palm-oil-industry-contributed-export-revenue-of-rm49-6-billion-last-year/)
49.5 billion market value with highest price paid for it palm oil shares,

When people started growing palm trees instead of rubber and tea even when the global market paid well for tea and rubber still Malaysia was growing palm tress,then the world was laughing at malaysia at that time when there was a good market for tea and rubber saying whats wrong with this people?

If you look at India it has reached its highest revenue trough IT sector,(www.thaindian.com/.../indian-it-exports-to-touch-50-billion-despite-meltdown_100314786.htm) where it is almost to touch 50 billion dollars during its last year,

This was a similar story too, when the government identified Bangalore as Indian IT HUB people started laughing saying what IT that Indians know when they don't have money to eat?
But today The world’s largest software products company Microsoft Corp. wants India to be among its top five revenue generators globally within the next three-five years.while Indian software market grows 18%
today ,
http://www.ft.lk/2011/02/07/india%E2%80%99s-software-exports-seen-up-16-18-in-fy12/

we were looking at what we had those days such as tea and rubber,

change your selfs and look at the future potentials, avoid fighting for a stock just because its coming down by 4 to 5 rupees look at the future, think of the future so that we could beat Malaysia one day,

think of your investment for the future not short time profit, when Malaysians planted oil palms they had to stay for 5 years to gain profit not like tea which had a yield in two ears but still they waited and they won finally while we lost at looking at quick profits,

today we have started IPO business after all and even palm oil sites could be seen in nakiyadeniya areas around galle and two palm oil factories in sri lanka finally,

BPO and software industry is coming up finally in sri lanka with so much of difficulties, and now we can hear the BPO word at-least and Software word finally in some news papers and in some articles

government (ICTA) has been making revolution with time in sri lanka such as bringing in IT industry to the country now
http://www.ft.lk/2011/02/04/live-icta-projects-at-buttala-‘dayata-kirula-2011’/

What i wanted to say is when there was opportunity we never looked at the future like Malaysia and India,
But today the government is setting up or coming up with a vision and that is the tourist industry in Asia and the IT hub in sri lanka,

We know that out of the five hubs, it is the knowledge hub that has progressed the most so far,
(http://www.ft.lk/2010/11/24/sri-lanka-in-forefront-of-development-on-path-to-become-regional-knowledge-hub-icta-ceo/)

The 5 hubs would be

Infrastructure (IT) HUB
tourism/travel HUB
aviation/shipping HUB
finance HUB
Investment HUB (the Colombo stock market)

if you look at the future of our country we should not be fighting towards a stock, or for a variation of a price or a manipulation its all identifying the future potential and the value of a stock and educating each other the value of that share,

Remember Malaysia, Singapore and most of the Asian countries such as even Maldives were behind us, but today we are behind them since we did not identify the value of future demand and growth sectors, its not our fault but there were no people to educate us to look at the future

Today trough this forums we see ideas coming up and people looking at the future and educating us yet we seems to put them down and under estimate, well i don't say to avoid your opinion or your comments but don't take the other person as a manipulator or a betrayer since we have to respect others, people who looked at the future potential won such as japan identifying the value of transportation india the value of
IT Malaysia the value of palm oil, etc.....

We as a country the young generation we should look at the future and invest and not fight or ague due to a slight price change or a poor performance report, let us work as a team as one country one community and let us identify the future potential value stocks may be it could be IT sector Hotel Sector etc.......

when we do fight and put the momentum and the moral down of people they intent to trow there shares for dirt cheap price so that the foreign buyers who see the potential of share grabs it and we as sri lankans lose our profits while they be rich

this what happen to our country we always tried to ague and put some one down look at the politics today a nice example, instead of them working together they keep on arguing finding faults and putting each other to there trash bin

We as sri lankans let us change our attitudes as a community let us identify the value stocks, let manupilators be there and day traders be there we as investors should learn the future value of our shares that we have invested,

Remember TAFL was 17/- six months ago, today 250+ Did any one Identify?
Remember GRAN was 65, glass was 2/- while bfl was 40 when i entered to the market just one year back and today almost all the shares gone up by 10 times and more

at that time no one was there to teach us how to identify a value stock how to identify a good report we just went behind the crowd and invested in greg and dpl but today the community is much educated and much advance, those days we never heard of EPS, we never heard of assets , ratios, trends , growth rates etc,,,,,

but let not this happen to our future investors since they our the people who takes our country to the world and let us be an example to our young investors,

all the best guys
Have a great trading week
Regards,

Just my thought correct me if im wrong,
















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