KLCI Bull vs bear....(DRBHCOM)
In today's situation, both macro and micro economic perspective, most people who follows the financial news will say that the KLCI is trading at a high level... however they also believe it will go higher from here... question is how high and what stock to ride, typical question that none other that ourself will be able to convince and should be convincing ourselves to buy or sell.
So should we be focusing on the potential M&A candidates or perhaps better of on the laggards?
Of late mahy people have came out to comment on the DRBHCOM recent run up and honestly I think this stock is obviously going to have more news in the pipeline (privatisation of subs or spin off, etc) On the potential of more government contracts from defense ministry, I am rather sceptical to that in view of the little material impact even if something along that line does materialize.
Well the stock have rallied close to 40% since Dec 1st and therefore in my opinion its time to take profit and lock in the gain. Sell the stock and buy back when it retreat to ~RM1.70 would be a reasonable way of playing this.
Never get carried away with the sentiment of the bull in today's market....
So should we be focusing on the potential M&A candidates or perhaps better of on the laggards?
Of late mahy people have came out to comment on the DRBHCOM recent run up and honestly I think this stock is obviously going to have more news in the pipeline (privatisation of subs or spin off, etc) On the potential of more government contracts from defense ministry, I am rather sceptical to that in view of the little material impact even if something along that line does materialize.
Well the stock have rallied close to 40% since Dec 1st and therefore in my opinion its time to take profit and lock in the gain. Sell the stock and buy back when it retreat to ~RM1.70 would be a reasonable way of playing this.
Never get carried away with the sentiment of the bull in today's market....
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