Green Packet kiss of death
Greenpacket (0082) a company that provides “broadband” services to Malaysians around Klang Valley area. Does P1Max sounds familiar? So Greenpacket is the company that provides this services.
Green Packet is listed in the Main Board of the Kuala Lumpur Stock Exchange (KLSE) and it’s under the technology sector.
Why i am putting inverted commas at the word broadband? The reason is simple as i am pretty sure it’s the broadband services provided by them will not be up to standards. Correct me if i am wrong.
Anyway, that’s not the main issue i want to discuss in this post.
I have a friend that shares with me that he is going Gung Ho investing in Green Packet.
Let’s see what Green Packet offers from a financial point of view :-
- A 59.487 million net loss 4th quarter result (Ending 31st December 2008)
- Negative Per Earning Ratio (PE)
- A negative 16.60 Earning Per Share (EPS)
In my early days of investing, any rumours by friends will be taken into consideration and without much thinking, i will definately chip in some money to invest in such company.
With such results, i for one will avoid such company for my investments.
The only way for Green Packet to rise in the KLSE is by manipulation of the prices but not on it’s fundamentals. So will Green Packet be the kiss of death for my friend? I really hope not.
Only time will tell.
Conclusion
Just my 2 cents. Avoid Green Packet at all cost as it really has no fundamentals in the company. Would you invest your hard earned money on a company that is making a 59.487 million loss in the last quarter? Think it over.
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3 Responses to “Green Packet kiss of death”
By Kit Kat on May 26, 2009 | Reply
Somehow, I thought P1 is a company of Green Packet. Maybe both of them are green. :p Last time when P1 is not popular, Green Packet is the one who might be the future of broadband but now it has disappeared from the market…
By Kampung Boy on May 29, 2009 | Reply
There are many complains about the P1max. Slow and sometimes can’t connect. Pretty sure they will be gone to if measures are not taken to rectify those problems.