LionDiv continue to fall to new low today after the demerger with Parkson.
If you have bought it at price above 1.50 & have not cut it early), it's scary to watch it drop non-stop to 0.845 today.
( match the drop in CI from 1500 - 1068)
I am wondering why there are so many seller at this price ?
At 0.845, Liondiv has selling at a discount of 70% against it's March'08 NTA of 2.70.
Now you have a chance to own a Biz on one of Malaysia's Major steel mill at price of 70% discount.
Is there not enough Safety of Margin ?
Have not the risk of political uncertainty fully factor in the price ?
Still want to wait for CI to hit 950 point ?
This make me recall back what has happen to LionInd in 2005-2006. A falling knife drop to 0.60 before rebound to 3.00 in early 2008.
3 comments:
Do you think any Fundimental wrong in this counter?, beside it seem its EPS not really good.
Liondiv steel production has just commence in Jun'08.
The earning will not be reflected in this quaterly results.
The biz fundamental is intact with healtier balance sheets.
At 0.845, it's offer to you at liquidation value.
since there is no support and very thin vol maybe traders just shorting it to make money, maybe till it hits .50 then will shoot up on a short squeeze, just a thought... I cut my losses already and waiting to buy back on the uptrend. \there has also been some recent off market trades during closing period but I can't seem to find out what they are...
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