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Undervalued
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churnw
Senior |
21-May-2013 23:07
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report coming out | ||||
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nqing87
Veteran |
21-May-2013 21:16
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ic.. looks like buy back & consolidation both mean reduction in shares available in market, but consolidation is directly making the value per share up.. thanks bro! hope ipco release news soon then every ipco loyal-ties will huat lol
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sololemontang
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21-May-2013 21:06
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Share buyback = reduction of shares in the open market. Similar to reducing the number of shares being traded and available to be traded. Using company funds to buy back the shares mean share price being pushed up as now per-share value is higher. Why? Because future earnings of the company and such will be 'divided by less shares'. Like if you have 2 wifes now, and got rid of 1 wife, you will have to pay for 1 wife only instead of 2! and she would be geting more diamonds and Mercs! Share consolidation= reduction of shares in market via a technical reduction. So, for example, current share price is $1 per share, a 10-1 share consolidation means: 10 shares become 1. In which, 10shares which is worth $1 each becomes 1 share worth $10! understand? The number of share is reduced but the per value of share has been increased. |
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nqing87
Veteran |
21-May-2013 20:36
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im a newbie, so not really familiar with the terms.. if they buy their shares back, the floating amount of shares still the same? so consolidating shares means to reduce the amount of floating shares in the market?
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sololemontang
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21-May-2013 20:23
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Price only falls if business is not good or they planning to do a dilution after the share consolidation, i.e, rights, warrants, options. However, if IPCO does a share consolidation or buy-back, I believe alot of BBs and Institutional investors will start piling in as they do have some good business apart from their trading. Do not forget IPCO is a profitable business based on its own core businesses. |
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vw2796
Senior |
21-May-2013 20:14
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share consolidation??!!! that doesn't sound good news to me....price usually fall after share consolidation....
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sololemontang
Member |
21-May-2013 20:12
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IPCO would not do a share buyback anytime soon. IPCO would rather use funds to do more investments (equity trading) or even remotely do a special dividend. Thats my take. Personally, I think their funds would all be utilised to acquire new businesses/licenses and as well as 'restructuring' in which IPCO will do a share consolidation to make it a proper stock. The extremely diluted share price and large number on shares on the registry would just scare many other BBs and Institutional funds until they pump up the price through the consolidation, which i believe would be a 10-1 in the forseeable future.Just be prepared for a barrage of changes to IPCO core business and capital structure in the next few months.   *Just my 2.7cents worth* p |
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nqing87
Veteran |
21-May-2013 20:06
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im waiting for ipco to ripe as well bro lol.. i hope they could use some of the profits to buy up their shares.. otherwise the shares available in the market is quite a lot, causing each bid to have rather high real buy/sell queue, such that even in the event with good news, the rise may not be that much.. 
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sololemontang
Member |
21-May-2013 19:41
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6mil investment in the US property markets with a 50%-200% upside within 6-12mths  still does wonders for IPCO botom line.  However, i  do not think they will pump anymore money in the US property markets. It is probably an opportunistic  purchase with some developer whos desperate for investment to keep afloat. That being said, it must be a bargain when they entered this contract. We have to wait for details on this development. A development in Washington State is a good choice.  Be sure it is not Washington D.C, but Washington state where  Seattle is their largest city.  Many MNCs have their headquarters there, be it Microsoft and Amazon. That being said, I believe their property investment has to be sound and not speculative. There should be some form of 'support'. As mentioned above, this investment in US will probably be once off due to the atractive proposition they got. Furthermore, tehy wouldnt get a big time lawyer to invest in the company. I reckon if they go for property it would be within the Johor (Iskandar) or some other Asian nation. Do not forget Ibrahim's law firms operates extensively in the Asian region. But because he has a personal stake in IPCO, and also his 'connections', a property deal in Malaysia is more than likely. IPCO obviously has alot of BBs playing it, preventing it from both running up, and going down. But given time, they seem to be preparing for a big run up. Probably alot of insiders know what the plans are, and the BBs are artificially preventing these small time insiders from pushing the price higher. Oh, not to forget, I can almost bet ALL my current hodlings in IPCO would soon do a share consolidation to make themselves more attractive as opposed to be such a penny stock! mark my words... |
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churnw
Senior |
20-May-2013 21:47
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It will be in june | ||||
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srichipan
Master |
20-May-2013 21:44
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Wait for next results announcement? Maybe will reveal more | ||||
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churnw
Senior |
20-May-2013 21:41
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Not moving | ||||
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Emptyhand
Senior |
20-May-2013 15:09
Yells: "greenhorn !" |
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could be testing the market, before they pump more, just my assumption 
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srichipan
Master |
20-May-2013 14:28
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they invested 6 millions? But that's considered quite low right? 
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sololemontang
Member |
20-May-2013 10:12
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never underestimate property in US now. The depths of the financial crisis and compared to now property prices has firmed and in fact picked up already by a fair bit. IPCO is underdoing this 'new development' and I think given 6mths-12mths upon completion the US housing mkts will be even stronger. Do not forget property is always an asset, be it rental yield or capital gain. I do not doub that they might realise a 50%-200% gain on their investment if the market holds or improves. Look at property prices around asia, how much it has rebounded, same for many other countries. Doubling in psf in the past 5yrs. America psf has a tremendous upside potential. |
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churnw
Senior |
18-May-2013 13:16
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Maybe property project at Johore | ||||
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nqing87
Veteran |
18-May-2013 12:15
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im vested as well, but imho, we shouldnt look into p/e ratio to decide to buy ipco in this case (though i was brought to attention of ipco 'cos of it's p/e ratio).. the profits they earn are from the shares they invest.. this is not very sustainable.. it will be more sustainable if their stable income generating business is making big money, in which it is not.. but the cash sitting around from the profits do make potential for good news to come, & one of its recent SH that came in is malaysia datuk law minister.. hope the good news is a really good news that has money making potential.. market is liddat one, if got good news coming & ppl see it as money making potential, price pushed up, even if it has not make realised profits yet.. weird market to me, but that's life.. anyway, ipco is not for trading & is really a stock that u need to wait patiently lol.. 
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terencefok
Master |
18-May-2013 10:16
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Vested here. To me anything that has been profitable and below book value is considered cheap. | ||||
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rbgmauq
Member |
17-May-2013 21:12
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Ipco (I11)   has an ongoing P/E of 1.40, which indicates that it is highly undervalued.   http://sgx.stoxline.com/quote.php?s=i11  |
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