No huge sur­prises

Finweek English Edition - - MARKETPLACE -

Two trad­ing up­dates I have been wait­ing for fi­nally ar­rived – Calgro M3* and San­tova*. The for­mer is ex­pect­ing head­line earn­ings per share (HEPS) to in­crease by 16.69% to 36.69% and the lat­ter’s nor­malised HEPS by 33% to 38%. Both pretty much in line with what I was ex­pect­ing, but a num­ber of peo­ple asked me why the stocks didn’t surge. The re­al­ity is that if your up­date or re­sults are pretty much what the mar­ket is ex­pect­ing, then ev­ery­thing car­ries on as nor­mal. For a stock to surge you need to ex­ceed ex­pec­ta­tions. So both these com­pa­nies are do­ing as ex­pected with no fire­works, just good re­sults for good op­er­a­tions. This sup­ports re­cent gains by the shares and will sup­port fu­ture gains.

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