InvestIdeas

kennynah wrote:these brokerages are buying from the sellers...

They downgrade the stock, shortists will come... the brokerage houses then squeeze the shortists!

listen to brokerages recommendation..better i listen to auntie at market....

This is another stock that moves UP or DOWN at will..

Wonder how's Noble holding up??

April 28, 2010, 6.35 pm (Singapore time)

Straits Asia's Q1 profit down 68%

By JAMIE LEE

Straits Asia Resources posted on Wednesday a 68 per cent slump in net profit for the first quarter ended March 31, 2010, as the surge in costs outpaced the increase in revenue.

Net profit for the three months stood at US$11.2 million, compared to US$35.5 million in the same period a year ago, the commodities firm said on Wednesday.

Revenue rose 10 per cent to US$153 million, while cost of sales jumped 68 per cent to US$123 million.

Earnings per share for the quarter stood at 0.99 US cents, down 70 per cent from 3.25 US cents made a year ago.

No dividend was declared for the quarter. The company said that it will now review dividend payout every six months.

Waiting for less <$2

Not vested

RESEARCH ALERT-OCBC ups Straits Asia target price, keeps "hold"

SINGAPORE, Aug 18 (Reuters) - OCBC Securities has raised its target price for Straits Asia Resources to $2.08 from S$1.85 and kept its "hold" rating.

OCBC raised its target price for Straits Asia as it expects the firm to see higher average selling prices in 2011, although it trimmed its 2010 net profit estimate by 22 percent to $79.8 million.

"While Straits Asia's outlook is gradually improving, lingering risks including wet weather as well as potential delays in obtaining the permits (for mining coal in Sebuku, Indonesia) remain," said OCBC.

Straits Asia shares have fallen 21.8 percent so far this year to close at S$2.04 on Tuesday.


Source: Reuters

Not vested

RESEARCH ALERT-DMG ups Straits Asia target, keeps "neutral" call

SINGAPORE, Aug 20 (Reuters) - DMG & Partners has raised its target price for Singapore-listed coal miner Straits Asia Resources to S$2.10 from S$2.08 and maintained its "neutral" rating.

The firm announced a 21 percent increase in coal reserves at its Jembayan mine in Indonesia to 610 million tonnes, said DMG Partners in its report.

But the broker cut its estimates for coal production at Straits Asia's Sebuku mine in Indonesia by 30 percent to 1.35 million tonnes for 2010, as production in the second quarter was worse than expected due to higher rainfall in May and June.

Shares of Straits Asia rose 0.47 percent to S$2.14 at 0735 GMT and have fallen 18 percent so far this year.


Source: Reuters

Not vested.

Whenever I see an Analyst used the word "Long Term", you know that the stock is expensive

From OCBC:-

Long term fundamentals remain intact.

We have revised our projections to incorporate higher cost assumptions in FY10, higher ASP assumptions from FY11 onwards, and lower volume projections.

These reduce our FY10 earnings estimate by 3%, but lift our DCF-based fair value estimate to S$2.24 (previously S$2.08).

While we expect SAR's 2H10 earnings to surpass that of 1H10, we highlight that these may still represent a YoY contraction owing to a high base effect in 2H09 (recall that 3Q09 earnings marked SAR's second highest quarterly profits).

Beyond potential short term hiccups, SAR's medium to long term prospects remain robust, buoyed by strong underlying demand for thermal coal.

We maintain our HOLD rating on the stock and will turn buyers at S$2.01 and below.

http://www.remisiers.org/cms_images/Str ... 06-OIR.pdf

Not vested. From DBS:-

PE 24;

Look for better entry points.

Overall, our FY10/11 EPS estimates are reduced by 9% and 1.5%, respectively. While
SAR is trading at a slight discount to peers, we feel the execution risks are higher and note that 3Q10 may not be a great quarter either.

And if the new mine approval is delayed beyond end-2010, the market may be
disappointed again. Thus, upside potential is rather limited for now, despite the rosy outlook for coal prices.

Hence, we maintain our HOLD call at a slightly higher DCF-based TP of S$2.30 (lower WACC, higher long term coal prices).

http://www.remisiers.org/cms_images/res ... d_DBSV.pdf

Not vested. From CIMB:-

• In line; maintain Underperform.

3Q10 net profit of US$23.2m (-40% yoy) met our expectation, at 27% of our FY10 estimate and consensus. 9M10 net profit of US$57.7m constitutes 67% of our FY10 estimate and 68% of consensus.

3Q10 ASP of US$71.51/tonne was largely unchanged from 2Q’s US$72.17. 9M10 ASP of
US$71.59/tonne is consistent with guidance of US$70-75/tonne for FY10.

Our FY10-12 EPS estimates are intact. Our DCF-derived target price (WACC 9.5%) has
been raised to S$2.01 (from S$1.95) following our rollover to end-CY11 and adjustment for a weaker US$.

Maintain Underperform, with de-rating catalysts expected from still-high costs and risks that Northern Leases reserves may fall short of expectations.

We will revisit our stock rating when signs of improved cost management emerge or a reserves upgrade exceeds our forecasts.

http://www.remisiers.org/cms_images/Str ... 311101.pdf