Determination

Determination is the Key for success!
Set your goals and move toward the direction! Don't ever change your course of sail in the middle just because of other people's words, critics. Or else it is an expensive lessons to be learn!
e.g. is Parkson at RM 3.8 at good bargain? Is MSC at RM 3.8 a good bargain? Is Sapind at RM 1.34 a good bargain?

To answer this question , you need to understand the who company!
1. Parkson: drop from sky to RM 3.2 and now crowing back to RM 3.8. MOST people will shout at you drop EPS with WEAK QE! drop from 7 cent to 2 cents! RUN RUN.... Parkson HK also drop from HK 7.6 to HK 3.2!! Question is ... is it a good buy?

It depends on how you look at it? GOOD points: blue chip at LOW, long history company, This is the downturn, it is the Opportunity! It is the Time. So ...
At the end of day, you need to weight both PRO and CONS , then make a decision for yourself!

If you ask me ...
Is Sapind at RM 1.20 a good buy? I will say... wait for the QE3.. if the result still not so good... I will buy at LOW! I knew the value of the company.

So, the key is... know your facts well... once you had make up your mind, DON't HESITATE... don't let other peoples decision deter you. MOVE forwards!

Let say you make up mind... BUY ABC RM 100K. just buy it when the time is right! and keep it under your pillow! don't hesitate. DOn't fear! when you done your homework!

Happy TRADING....!

Fong Siling: Parkson! ? Buy on downturn?

PHB’s 3QFY13 revenue increased 0.3% QoQ to RM932.8m (+1.6% YoY) coupled with improved earnings from RM74.2m to RM76.9m QoQ but declined -24.9% YoY. Historically the highest contributing quarter, PHB’s YTD results have not met our estimates. In the near-term we continue to see its earnings to be dragged down by China’s underperformance. We are downgrading our recommendation to Neutral with a rolled-over TP of RM4.17 based on our FY14F estimates. In our recent management meeting we do believe the group is taking the necessary measures to revive its China performance through i.) scaling back on store openings, ii.) focus on improving current stores and iii.) expand to 2nd and 3rd tier cities that have limited competition.

3QFY13 results. PHB’s revenue improved marginally YoY (+1.6%) due to new stores’ contribution combined with its current operations. We assume in the near-term as Parkson Retail Group (China – 71% revenue contribution to PHB) experiences weaker demand (+1% YoY) coupled with rising costs mainly from higher rental expenses (+31% YoY) and staff costs (+25% YoY), the recovery could be slower than expected.

Same-store-sales growth (SSSG). 3QFY13 SSSG growth for Malaysia (+8.6%), Indonesia (+1.2%), China (-2%) and Vietnam (+9.9%) continue to be affected by weaker consumption coupled with respective country factors. For Malaysia and Vietnam, the reported quarter benefited from festivities due to the shift in sales to 18 days later (FY13) of the Chinese Lunar New Year and Tet calendars compared to FY12. The lower than expected SSSG for Indonesia was attributed to lower sales of the Plaza Semanggi, Jakarta store from nearby competition which we understand is a short-term impact. Management aims to improve SSSG through i.) targeted promotional activities including improved productivity of floor space, ii.) refurbish and upgrade existing stores and brands, iii.) improve operating efficiency via cost rationalization and iv.) Merger and acquisition opportunities for retail and/or property.

This is the comment from most of the financial analysts recently. They suggested for "HOLD" and "SELL" call for Parkson.

But, What Master Fong Siling sees is different!

REASONS:

• Downturn is always the best time to catch the share at discounted price!
• EPS drops to 29 cents , but PE around 11 for BIG BLUE CAP! it is relatively cheap compare to other blue chip!
• Strong brand!
• Currently on expansion mode to expand business in  CHINA, S.E.A ( foresee long term EPS to return soon! ) 
• Heavy share buy back by company!
• At current year low of RM 3.8! it is definitely a GEm!