Keverus' SGX thread!

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Obama486

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Litmuss said:
With US interest rates "likely to rise twice this year", it would contribute to STE earnings due to USD appreciation, which has substantive operations in US.

I'm quite noob in stock, maybe keverus shushu want to elaborate?
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yup, a rising USD is generally good for STE

as they have long term contracts that already lock in the cost and price.... so higher USD = higher reported SGD earnings

cheers
 
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Forex_Charting_Sexpert8

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DarthKool said:
my charting for genting swee or not

lgY2eMI.png
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Wah Lao, why look messy? Like so colorful. But if works for you? Than is good lah.

Sent from SGX Academy using GAGT
 
Keverus

Keverus

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u pay for high PE if the company has growth potential; ie. can expand rapidly, can acquire need business. PE=price to earning in case you didnt know.

a good div yielding counter should not have high PE. unless the high PE comes with robust growth potential.
 
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Obama486

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Keverus said:
u pay for high PE if the company has growth potential; ie. can expand rapidly, can acquire need business. PE=price to earning in case you didnt know.

a good div yielding counter should not have high PE. unless the high PE comes with robust growth potential.
Click to expand...

you never read before investing books or studied valued investing is it?

yes, higher growth stocks should command higher PE

but not only look at growth

the more predictable the earnings and dividends, the higher valuations are paid too

a small cap less predictable business maybe PE 10

but a blue chip predictable business with good cash flow and long term record of dividends can command higher PE of say 15-20, because investors are more comfortable with the company
 
Keverus

Keverus

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Obama486 said:
you never read before investing books or studied valued investing is it?

yes, higher growth stocks should command higher PE

but not only look at growth

the more predictable the earnings and dividends, the higher valuations are paid too

a small cap less predictable business maybe PE 10

but a blue chip predictable business with good cash flow and long term record of dividends can command higher PE of say 15-20, because investors are more comfortable with the company
Click to expand...
correct. but let's take a look at 2 blue chips.

1. keppel. tell me the PE.
2. st eng. tell me the PE.

of cos u can argue that st eng has a higher PE (two times more in fact) because it dabbles into technology. true, companies that dabbles into tech usually have higher (in fact some have ridiculous) PE. but these are companies that exhibit enormous growth potential, accompanied usually by higher ROI margins. an example would be as you mentioned-silverlake. it recovered from less than $1 to $1.25 in a matter of week. more than 30% recovery. why? because it has stellar ROI margins and very strong growth potential, something that ST Eng doesnt have.

the only thing that is going on right for ST Eng is that they have plenty of contracts in USD.
 
Litmuss

Litmuss

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Why keverus shushu so many enemies?

Lucky me stock noob, only stand one side watch sharks fight it out. :(
 
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