Leader set to rise again...

Leader has been lagging since the down trend a few months ago... will the business be affected in anyway?, personally I don't think so...business is set to get better in the 2nd half even though many projects appears to be vulnerable to the high costs and are likely shelved by the current gov.... cable business is expected to rise at least 15% Q-to-Q... and anything less than that is a sign of a slow down... revenue from power segment is expected to rise slightly even though high cost will offset a big chunk of the profit...

The company's interim dividend payout of 1.5% is timely....psychological impact from this is far more significant than the amount involved....
Not a bad price to accumulate for immediate term... chart wise, the stock price is well supported at current level... 0.965 is a resistant level running out of time... Wimax is another factor not to be forgotten...

Reiterating a buy on Leader...

I have been posting about leader every now and then and it's pretty obvious the base is at solid $1.00.. leader is fundamentally good and business is very encouraging especially 2008-2009, thanks to the huge development plan both north and south of this country... being the largest cble supplier and main source for the country's cable demand, leader is poised to pose higher revenue and profit in many financial quarters to come. Given current situation, I expect this stock to reach $2 in the next 7-9 months...

Now we really need them...

The last time leader came into highlight here was 1 month+ ago... well at that time it was only trading at about $1.00... now it's back to ground zero and slightly less than that.... cables are necessity for every thing that we do... even wireless network would need fundamental setup before we can enjoy wireless connection... NCER, IDR, 9mp, government's plan to push for a knowledge-based economy and narrow the gap of digital divide, by planning to increase the broadband penetration rate ~50% of households by 2010 will drive leader's business for years to come.

Along with that, they (gov) also gives some perks to those who helps to make this happen..tax deduction be given to employers on benefits such as new computers and payment of broadband subscription fees for employees.... such benefits of that nature received by the employees will also be tax exempt.... I'm pretty upbeat this will drive up Leader's price to $2.13... in the next 9 months.

well, you think about it.

Cables.... everyone needs them.

Well, we've been watching leader moving up quite significantly since we last talk about it...having hit a high of $1.38 about 2 weeks ago and then succumbed to profit takings activities as the CI retreats from it's attempt to break 1400...

being the largest cable and wire supplier in the country definitely has the advantage to capitalize from the recently announced projects like NCER and the IDR. Being the main supplier for TNB also 'quarantees' a significant portion of it's income flow. With the current direction from the Ministry of Energy, Water and Communication to require TNB to change it's distribution network and perform a revamp to its existingly old cables and wire to prevent power outage complaints from increasing. There's no reason why TNB would reject such directives as the company has been reporting rising profit Q-on-Q.... :)

Again, with Penang being the target to be developed into a infrastructure hub and particularly on the 18bil dollar project to develop the a land size of ~255 acre which will have hotels, commercial and residential properties.. how much can leader reap from all these...?

Plenty....and alot more to come in the future to strengthen the income flow of this company.

I would recommend a buy on this counter based on current situation with a 12-months TP of $2.13.

Leader building base....

Leader's run is not over yet... as more upside to come after this mild adjustment...don't be spooked by current retracement on most of the world equity markets... for if you know what you're doing, why worry... so for those who have this counter, hold...those who don't have may wanna consider loading up on weakness...

Leader on the run...

Leader posted revenue of more than 580mil for the quarter ended on 31/3/07 and EPS rose more than 50% from the previous year quarter results. NTA currently stood at ~90 cents per share. MACD cross above the 9-day EMA look set to confirm with a MA zero crossover. Should this happen, this stock should spring above immediate resistance of 82.5 cents. and subsequently break the 85 cents 'ceiling'.
With cable and wire business contributing more than 90% of it's revenue, leader is poised to reap from the 9mp. Target price for this counter for the coming 9 months is $1.06.
Not a bad place to park extra cash...:)

Leader Universal a sleeping beauty?

Leader Universal which is largest cable supplier is viewed as very undervalued with as compared to it's healthy order book. With a target price of +/-$1.10 from many investment houses, this stock appears to be a bargain for many investors. Overshadowed by the current heat on IDR and 9MP projects, this stock was somehow 'forgotten' and did not move much even though the company posted a healthy profit and it's Cambodia power JV is also expected to boost it's profit in future.

Chart wise, the stock looks to be consolidating and should rise in future once the the investors shift to from current hot stocks to fundamental. At $1, the stock provide an upside of ~32%.

For long term investors, i would personally suggest a buy on this stock.