Wednesday, July 11, 2012

Position : 11 Jul 2012 and Sold some AEON

Over the last 1 month, Aberdeen Asset Management and EPF have been parring down some of their shares in AEON. Collectively, they owned almost 30% of the company while the holding company, AEON Ltd (which most probably will not sell) owns 51%. With the three shareholders, free float for AEON is actually very small, including some who owns the shares but held it for a very long time.

Some of the trading by substantial shareholders - AEON and EPF over last few days
I believe the reason for both Aberdeen and EPF in selling down their stocks are to take profit as their average entry costs was pretty low. At RM9.00, they would probably have easily made more than 75% gain assuming average entry costs was RM5.00. The tight holding is also not good for the stocks as it would make the trading of the counter very limited.

Frankly, I do not know what to expect of these 2 substantial shareholders in their future trading of the stocks but if you look below, the tight supply of the stocks is not healthy. (I somehow or rather have the feeling they may reduce their holdings though)

Due to that, I have decided to join in the fun in selling 800 units at RM9.02 in this portfolio I am holding, hence netting RM2,543.50 after commission and tax.

What is my position now?

Disclaimer: These are my own personal trades. If you do have made some purchases of these same stocks, they are entirely your own decision and should have come from your own analysis.


Anonymous said...

How u think abt parkson, is it better than Aeon? Low p/e compare to Aeon. Thx

Anonymous said...

How u think abt parkson, is it better than Aeon? Low p/e compare to Aeon. Thx

Felicity said...

I think parkson is a good company. Only thing I am not sure is the business in China I.e. How competitive it is

William said...

That's a sweet profit. I bought Aeon at the price of RM8, and I still think it has room to grow. Probably I will hold it for another year and see.

What do you think about Aeoncr? For past 52 weeks, it rise from RM4.35 to RM11.

felicity said...

% wise quite good return actually. Never expect it to go that high so fast.Anyway I still have some :).

As for AEON Cr, it is doing well but some fundamentals are just different. I do respect how these Japanese run these business though.