|
Commodities continue to excel in January
Vientiane: On Friday all the attention was on EDL-Gen with a strapping US$40.2 K turnover and zero for BCEL. Last week saw good volume gains as share trades were up 55 percent from 122.4K shares to !55.4K shares. Revenues also rose from US$72.1K to US$83.7K.
BCEL investors would note that EDL-Gen often has out-traded the stock on average 4:1. Both stocks - BCEL (7,000 kip) and EDL.Gen (4,350 kip) - are seen as good value and below their intrinsic value.
The good news for investors is that shareholders are resisting selling below the prices listed.
Unmatched trades at each closing last week fell, indicating there are more spectators than traders.
In August the LSX Index hovered just above 1009 points. BCEL moved between 7,900 to 6,900 kip and has been stuck around the 7,000 mark ever since.
EDL-Gen in August moved between 5,100 and 4,850 kip and post dividend meandering now sets it at 4,300 kip.
Both stocks can only improve but the good volumes last week helps confidence build on supporting technical analysis that a rally may be sooner rather than later. February and March have all the positive Lunar signs for a rally to occur ahead of the Lao New Year (Pi Mai) in mid April.
The introduction of the proposed Lao LSX on-line home trading systems and new IPO listings this year will definitely excite and invigorate local and foreign trading. This week presents another opportunity to accumulate more stocks as they become available at current prices.
vientiane times
|
