Showing posts with label march 2013 stocks to buy. Show all posts
Showing posts with label march 2013 stocks to buy. Show all posts

Thursday, March 14, 2013

AGI may NOT be a good buy

Alliance Global Inc. (AGI) has just disclosed its 2012 income of P20.8 billion. For its current price of 21.65 my computed PE is 10.691. A low PE + AGI is on PSE index (a blue chip). Conservative target price is around P25.

Sorry guys, after double checking it's not a very good buy after all. After checking its disclosure at PSE, the income attributable to shareholders is only 13.6B and NOT 20.8B. This makes it a 16+PE stock. It's still below our average market PE of 18-19 but this is not a VERY good buy, the upside is not very high.

The press release of 20.8B AGI income is just a hype.

Although AGI has a buying spree on the first half of today (March 15), it may already be a good sell at 22.5 if you got it 22 or below.