Fair Value: RM 6.64
Current Price: RM 8.47Recommendation: SELL / HOLD
As the current price has overvalued the given Fair Value by 27.56% in less than 1 month, I'm giving it a SELL recommendation. Wait for the share price to drop back below the current Fair Value and then buy it back because the company's fundamental is still strong. On the other hand, if you're aiming for the Dividend Yield only, you may want to continue to HOLD this stock.
Personally, I would Sell half and Hold half. This way, I can experience the best of both worlds - capital gain and dividend yield; and also just in case if the share price shoot back up after I sold it, I would have the other half to enjoy the ride ;-) As I am more of a value investor rather than a day trader, I'm not good at timing the market. Timing the market is a game of chance - either it goes down after you sold it or it continues to go up after you sold it (even Technical Analysis is not 100% accurate all the time). That's the reason why I would Sell half and Hold half ;-)
Refer to previous write-up here for more info about this company.
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