Pworth was listed on 31st December 2001. IPO price was Rm 1.30. It went to a height of Rm3.10 during its first week of listing. 2005 December's low was 42 sen. It went up to above Rm1.50 in 2007 before the financial crisis but dropped back to around 43 sen by February 2009 to form a double bottoms. The next run-up is the wave 3 of (III), if my reading is correct.
Since March, it has completed 5 waves to form its wave 1. The current consolidation has reached a low of 48 sen today for an almost 100% retracement. It is forming a minor double bottoms in addition to its higher degree double bottoms. At current price, its P/E is about 10, with a net assets per share of Rm 1.75, it is a good long term buy. Its 1st quarter earning ending September 2009 is only 0.32 sen due to poor demand and low selling price for its plywood and sawntimber. In an economic upturn when demand for timber products has picked up with good selling price, one can never get Pworth at this price level.It is interesting to note that in early August, its director and major shareholder Lim Nyuk Foh sold 12.24 million shares at about 75 to 77 sen per share on the open market to 'don't know who'. Lim holds about 52.2 millions shares (37.8% of the paid up capital) before the disposal. (12.24 million = 23.4% of 52.2 million, a quarter of his direct holding). At today closing price of 48 sen, this 'don't know who' has lost 36.8% of his money (Rm 3.8 mllion) within 4 months.
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