On 7th December 2016 20:xx, my friend, KY texted me through Whatsapp to tell that her broker (actually her friend, JO) asked her to buy the shares of V.S Industry and Gadang.
Hmmmm...these shares were being 'hot' (strongly recommended and promoted by KYY) and I did not have the knowledge of these two listed companies, therefore I did not comment on it but just felt curious about what's the so-called theme play on these two shares that the brokerage houses took advantage of promoting it.
After she forwarded to me those messages and a picture that she received from JO, I was not interested to read but clicking on the picture as to the research report provided by RHB analyst. After glancing through the RHB research report, I discovered an error on the published report.
Extracted from: RHB Malaysia Company Update - VS Industry 26 July 2016
"Maintain BUY with a higher SOP-derived MYR1.72 TP (from MYR1.68, 24% upside) based on an unchanged 11x P/E."
Do you discover that error after glancing through my extracted statement?
The answer is: There's a potential upside of 24% to the target price of RM1.72 from RM1.68. RM1.68? Is it something wrong?
I do not know what has been gone wrong with this published company update report but I strongly believe that every written report shall be critically reviewed by the authorised person, prior to leaking to the public.
