PCH IS A MEDIUM AND LONG TERM STOCK

Eh!

I've never met someone who eats charred toast. I've also never been to a BBQ which has toast so i might be missing out on something special. :p[/quote]

I do my own recipes. When I go to a BBQ, I burn what I want, not the host!
I like 'em smoked well to get the taste of real wild life.

One more thing. I'm not an accountant or a balance sheet person but it seems to me that the borrowings under current liabilities has gone up from 411Mn to 620Mn, between September 2010 & December 2010. can someone with more knowledge than me comment on this.

and the loan term loans were already set off by the last September report, so there is nothing new about it here

Sept financial report
http://www.cse.lk/cmt/upload_report_file/961_1288611054126.pdf

Dec financial report
http://www.cse.lk/cmt/upload_report_file/961_1296733192441.pdf

hybrid_OS wrote:
I do my own recipes. When I go to a BBQ, I burn what I want, not the host!
I like 'em smoked well to get the taste of real wild life.

Real men like the taste of blood with their meat.

As we all know PCH was a loss making company and also had some major legal issues sometime back. A organization cannot jump out of those concerns in a quarter or two. It will take time. PCH quarterly report shows that they are on the right track since they are concern in reducing the Debt which has reduce the revenue and also the EPS.

I also agree that PCH overvalued at this stage when considering the existing financials but I dont think PCH being bankrupt soon. But if we consider the future earnings this is a bagger.

Different players use different valuation techniques. Therefore PCH has a long term value. We also have to bear in mind that Softlogic IPO will be in March.

Happy trading!!!

mono wrote:

hybrid_OS wrote:
I do my own recipes. When I go to a BBQ, I burn what I want, not the host!
I like 'em smoked well to get the taste of real wild life.

Real men like the taste of blood with their meat.

Yes! This hybrid is smart and generally does his hunting once each week and smokes em well and uses them for the rest of the week or so. He wears a "Crocodile Shirt" -

dulandesilva wrote:As we all know PCH was a loss making company and also had some major legal issues sometime back. A organization cannot jump out of those concerns in a quarter or two. It will take time. PCH quarterly report shows that they are on the right track since they are concern in reducing the Debt which has reduce the revenue and also the EPS.

I also agree that PCH overvalued at this stage when considering the existing financials but I dont think PCH being bankrupt soon. But if we consider the future earnings this is a bagger.

Different players use different valuation techniques. Therefore PCH has a long term value. We also have to bear in mind that Softlogic IPO will be in March.

Happy trading!!!

Dulan, no one said PCH is going bankrupt. But quite a few people were saying that PCH isn't the amazing growth stock that marketwatch and his worshippers were making it out to be. The interim results have shown that marketwatch was horribly wrong (or according to what's being said in another thread, he did it intentionally)

Hi NewStock,

no one can do such a detailed analysis unless he has extensive knowladge about the stock. Only MarketWatch can do such explanation on PCH positively. Even cse.see (@INVESTNOW) was reluctant to give comments unitl this Q result comes.

It is pleaseure to see you in top shareholders list as I learned lot from your comments @INVESTNOW even now like to read your writings.

But dont use public forums like this extensively to promote your stocks. I also think you were too much in PCH @investnow. Be in touch. You are a valuble assest to retailers like us.

NEWSTOCK wrote:Important developments: As per quarterly reports AS AT31/12/2010

Sri Lanka's PC House will become more profitable after IPO:experts

Group bottom line expected to grow 20 percent year-on-year, despite declining margins

NDB is projecting a forward PE ratio of 10.23 times earnings in 20011, 8.72 times in 2012, and 7.48 times in 2013.
"
If you take a P/E ratio of 15 but the growth would be about 20 percent so the P/G to growth (PEG) ratio is much less than one," Senaka Kakiriwaragodage, assistant vice president at NDB Investment Bank told LBR.
"

This has to be the most misleading information I have come across on an online forum!
this statement was made by NBD prior to the IPO: the forward PE ratio was calculated assuming a share price of 11 and a projected EPS of 1.08 for FY11.
How can anyone use such a quote to promote PCH when:

1. Share price is currently 28+
2. It's on track to miss its expected earnings for FY11.

Its high time you stop harping on about PCH because in my personel opinion your comments are untethical and bordeline fraud!

source:http://www.moneyreport.lk/fullstory.php?nid=201007241248538362

Important developments: As per quarterly reports AS AT31/12/2010

New intelligent players including two foreign names have become some of the major shareholders during last quarter. They can accumulate further.

Three Top government institutions are major shareholders of this company

Dr SENTHILVERL has increased his share percentage massively. Who knows he can go above 10% or 20%/ Just like HOPL, TYRE, CWM,, HOPL, ECL and SEMB in the past. . He like tech companies.

Long-term debt has come down massively from Rs, 209,525,000 to Rs. 34,850,000.- What a massive improvement?Finance expert Mr Mangala Boyagoda is doing find job there. First step in the rebuilding the company to the next level. They are reshaping their finance intelligently

Bank overdraft has reduced dramatically.

Current asset has increased significantly. Positive working capital. Current asset equal to twice the current liabilities. Company will not go bankrupt.

Others belongs to following websites and not a part of new developments as at finacial reports 31/12/2010


http://print.dailymirror.lk/index.php/news/front-image/27772-trilingual-high-tech-sri-lanka.html

President outlines his vision and mission for new era

President Mahinda Rajapaksa in his address to the nation yesterday after taking oaths for his second term said the country must move towards a future generation that was trilingual.

He said he hoped to raise the level of computer literacy to 75 per cent and make the future generation true heroes of technology in the modern world with the names of Sri Lankans topping the list in the fields of science and technology. The president said our generation could achieve this victory by making our country the knowledge hub we intend it to be.


http://www.sundayobserver.lk/2010/11/21/pol05.asp

We are also in the process of developing economic hubs, naval hubs, space, a knowledge society and IT literacy rates at school level

http://www.treasury.gov.lk/docs/pressrelease/pressrelease-ibm-20100811.pdf

Information Technology vital for Economic Growth

Deputy Minister of Finance & Planning Dr. Sarath Amunugama

With the end of the thirty year cancerous war, Sri Lanka is emerging towards a rapid growth in all sectors and the contribution to stimulate the strategies, adopted by the government to achieve her targets, the information technology could accomplish a massive service said Senior Advisor and the Hon. Deputy Minister of Finance and Planning Dr. Sarath Amunugama.

http://www.xe.com/news/2010-11-19%2005:32:00.0/1534409.htm?c=1&t

However, the government is expected to announce some
concessions for outside investment in the agriculture, tourism,
ports, fisheries, information technology, and business process
outsourcing sectors.

http://www.moneyreport.lk/fullstory.php?nid=201007241248538362

Sri Lanka's PC House will become more profitable after IPO:experts

Group bottom line expected to grow 20 percent year-on-year, despite declining margins

NDB is projecting a forward PE ratio of 10.23 times earnings in 20011, 8.72 times in 2012, and 7.48 times in 2013.
"
If you take a P/E ratio of 15 but the growth would be about 20 percent so the P/G to growth (PEG) ratio is much less than one," Senaka Kakiriwaragodage, assistant vice president at NDB Investment Bank told LBR.
"
I think that for a tech company which is supposed to take a boom in the next few years that will be a very attractive valuation

Business Diversification

PC House group is the one of the main dealers in Sri Lanka for Dell computers. The other is Softlogic Computers which is also planning an IPO.
Institutional sales account for about 55 percent of total hardware revenue, while the rest is split between retail, spare parts, upgrades and printing toner sales

However the firm says hardware sales are booming and is expected to grow exponentially in the next few years which would expand its present large customer base further to mitigate business risks such as supply and demand shocks.
"We are not depending on one single customer or maybe only for few customers, we are into many segments like corporate sector, public sector and retail business, which is broken into rural and the city sales," Rishan said.
Product wise also we have a portfolio of maybe 30 to 35 products of distribution so we will not be affected if there's any turbulence in supply, we have mitigated that risks also."

Greenwich Lanka Limited an IT physical infrastructure, systems integration and business application company was bought over by PC House in 2007.
The firm says its relatively new BPO (business process outsourcing) and KPO (knowledge process outsourcing) business units would increase future margins while existing hardware business sales are expected to grow substantially.
Its BPO business unit, Procifinity Limited has already signed a contract with the department of registrations to digitally document certificates as part of the government e-governance initiative.

The group is planning a 100 seat BPO operation in Jaffna, to provide accounting and back office services to the international market.

About 300 million rupees of fresh capital raised form the IPO will go to Procifinity Limited which is 90 percent owned by the PC House
Outsourcing data centers which is something relatively new in Sri Lankan which we believe will happen in a big way here," Sarath Wickramanayake, Director at PC House said.

dawal wetunu wale re vatenda da kiyanne ?

NEWSTOCK wrote:Important developments: As per quarterly reports AS AT31/12/2010

well with the present situation of the share price i hope pch will not end up like this

Yes newstock,

PCH will take at least another 2-3 Q results to justify it's current price level. So if you are short term player looking for quick gains better to exist early as possible as you have to hold your money some time see it appricating again.

Good luck,

All I can say to members here is BEWARE & Play Safe

you may know what i mean..

The clear fact,now, is that most people have joined the stock market to double their money in days and hours. Just see the language they use, antagonism, humiliation, sarcasm and all.
If you make loss it is your folly. It means that you do not know to select stock. You follow rumors and tips. You know nothing. You come to forums locking for tips. You follow tips and get lost.Then do not blame each other.
But there are valuable ideas in forums. Look for such, analyze them on your own and take decisions.
If you can not do so there is a good business to double your money. SELL COCONUT.
Although you are nuts , you can sell coconuts.Coconuts are good if you are nuts. .
Buy coconuts from Kurunegala at 25Rs and sell them in Colombo for 60Rs. Good day-trading. It is much better than spoiling the forum with your foul......

in my personal opinion all around the world stock exchange mission was NOT to promote the day trading.

Stockmate wrote:The clear fact,now, is that most people have joined the stock market to double their money in days and hours. Just see the language they use, antagonism, humiliation, sarcasm and all.
If you make loss it is your folly. It means that you do not know to select stock. You follow rumors and tips. You know nothing. You come to forums locking for tips. You follow tips and get lost.Then do not blame each other.
But there are valuable ideas in forums. Look for such, analyze them on your own and take decisions.
If you can not do so there is a good business to double your money. SELL COCONUT.
Although you are nuts , you can sell coconuts.Coconuts are good if you are nuts. .
Buy coconuts from Kurunegala at 25Rs and sell them in Colombo for 60Rs. Good day-trading. It is much better than spoiling the forum with your foul......

Exactly right!!! You are correct mate!!

Dear all,
all are experts. how we said PCH price appreciation back by MW.That mean all CSE investor follow him. there is no valid reason to said like that '' okkomama pandithayo'' Greg how much pay for DPL (Rs.9) what is the trading price now Rs.80 for this so called experts talking about EPS,PEG, or any thing.LALU trading at 39 suddenly KDD.PERERA offer for it shoot up 80 + why these experts not talking about that only for PCH.THIS IS REALLY TITTLE -TATTLE.
this so called experts SPORADICALLY came and REPINE. pls stop this ugly game this is not ethical.

madu1977 wrote:Dear all,
all are experts. how we said PCH price appreciation back by MW.That mean all CSE investor follow him. there is no valid reason to said like that '' okkomama pandithayo'' Greg how much pay for DPL (Rs.9) what is the trading price now Rs.80 for this so called experts talking about EPS,PEG, or any thing.LALU trading at 39 suddenly KDD.PERERA offer for it shoot up 80 + why these experts not talking about that only for PCH.THIS IS REALLY TITTLE -TATTLE.
this so called experts SPORADICALLY came and REPINE. pls stop this ugly game this is not ethical.

dude that is because we have fight between pro pch and anti pch..
at investnow.lk pro pch >> anti pch.
at equityforum anti pch >> pro pch.

econ wrote:

madu1977 wrote:Dear all,
all are experts. how we said PCH price appreciation back by MW.That mean all CSE investor follow him. there is no valid reason to said like that '' okkomama pandithayo'' Greg how much pay for DPL (Rs.9) what is the trading price now Rs.80 for this so called experts talking about EPS,PEG, or any thing.LALU trading at 39 suddenly KDD.PERERA offer for it shoot up 80 + why these experts not talking about that only for PCH.THIS IS REALLY TITTLE -TATTLE.
this so called experts SPORADICALLY came and REPINE. pls stop this ugly game this is not ethical.

dude that is because we have fight between pro pch and anti pch..
at investnow.lk pro pch >> anti pch.
at equityforum anti pch >> pro pch.

I got things now well... This site full of anti PCH. once i was hammered when i post some news winch contained favorable facts to PCH. Some ppl condemned me and i got hurt... after that i stopped talking abt PCH in favor
But me anti PCH nor Pro PCH, just a inestor who looking for Knowledge of CSE trading
Happy Trading

ECL is the other company in the same sector.
The results aren't out yet.
What are your opinions on this?

econ wrote:
dude that is because we have fight between pro pch and anti pch..
at investnow.lk pro pch >> anti pch.
at equityforum anti pch >> pro pch. - econ.

I feel same people who blindly followed pro-pch show now watching anti-pch show with same enthusiasm.

Beware, extremes no good.

I usually don't participate in this forum and rather just follow the amusing and/or helpful threads going on, they make good entertainment. However, for all those out there loving or hating PCH, let's consider a few fundamental realities:

01) PCH appears overvalued when applying standard evaluation techniques
02) Their Q4 2010 results are not as impressive as everyone expected
03) There have been numerous rumors, allegations, etc. on various forums over the past 2 months
04) The share price movement of PCH on certain days appears like manipulation
05) Many of us can report of first-hand negative experience as customers of PCH
06) PCH primarily is a retailer, not a software developer as some claim

So far so good in favor of the nay-sayers, but

07) The whole PCH saga only started during Dec2010, when the business of Q4 was already conducted
08) Any movement of any share price always has an element of crowd behavior to it
09) Some "blue chip" shares trade at much higher PE ratios (e.g,. KHL: 100+)
10) Especially in the IT sector, share prices reflect future outlook rather than past performance
11) Dr. Senthilverl and others would most certainly not increase their stakes (massively) without a plan
12) Other ("blue chip") companies have identical share price growth patterns over the past months
13) PCH will engage in a few interesting acquisitions and expansions during 2011
14) Just like there's people promoting PCH to get the share price up, there's plenty of people talking negatively in order to bring prices down and to then collect

I am not advocating nor advising against PCH, this is purely my opinion and I think it's all gotten out of hand the last few weeks. Whoever Marketwatch/Marketbull is, one thing he has always done: advised people to do their own research, so nobody can blame him. Everyone legally entitled to trade is legally bound by accepting the outcome of their own decisions.

As for those forecasting a dooms day scenario for Monday, well, personally I believe that PCH will go down to about 25 next week and then hover there for a while before the next run (35 maybe). Some big players have identified PCH as a target and it's mostly the small traders that are selling off at the moment, collecting profits and engaging in the usual panic sell-offs. Good luck to everyone, PCH or not, just keep these forums clean please. We all want to make some money, nobody likes to lose, and in the end we are all here to learn something.

Chinwi, knowledge!

that is what i wanted to say exactly. 100% agree. people should be open minded. not blind followers nor anti-followers!

but end of the day, we are entitled to take responsibility of our own decision.

thanks

This site is not either a pro PCH or anti PCH site..

Pls don't blame any site.. investnow.lk was also a good forum..
But it's members of it who ruined that site recently..

This is not a professional forum..
So there are no experts or consultants here.. We all share our views and opinions here, that's all..
accepting those or not is your job.. Because it's your money.. not others..

If someone telling PCH going to Bankrupt.. Yes it's anti PCH..
If someone saying PCH will show magical results within a quarter.. It's optimistic..

PCH surely have potential with growth on IT sector.. But PCH cannot grow overnight just because of that.. It will take long time probably years.. No company can grow within few months..

Pls don't sell the names of prominent major shareholders of any company to promote or manipulate any share, just because they are major share holders..
Because they bought those at the correct time..
Dr. Senthirvel may have bought PCH at around Rs.10.. not 28-35 range..
If you are long term investor you could have bought PCH around 10-15 range..
So it's too late to buy PCH as it's overvalued @ the moment..

I kindly request u all, not to allow repetition of the thing happened on investnow on this site..

Thanks..