博士讲鸟话-EPS

9:35am, 8 Jul - Goh Kian Sian: I have a ques: say there is a share, price is rm1, EPS is rm0.5. If i buy 1lot (100 share ), one year later i would get rm1.5 per share and my i hv rm150. EPS means this share has potential to gain 50% rite? It may be less one year later?
10:54am, 8 Jul - Cheng;Fong Yu: EPS is not potential profit but is real profit.
10:54am, 8 Jul - Cheng;Fong Yu: It "should be" rm 1.50
10:54am, 8 Jul - Cheng;Fong Yu: But some time investor over look on it
10:55am, 8 Jul - Cheng;Fong Yu: So in market it didn't up until 1.50
10:55am, 8 Jul - Cheng;Fong Yu: May be just 1.30
10:55am, 8 Jul - Goh Kian Sian: Ok meaning this eps is a prediction
10:55am, 8 Jul - Cheng;Fong Yu: So from that we know this is under value
10:55am, 8 Jul - Goh Kian Sian: Ok
10:55am, 8 Jul - Cheng;Fong Yu: As smart investor must buy in
10:56am, 8 Jul - Cheng;Fong Yu: Soon it will raise to 1.59
10:56am, 8 Jul - Cheng;Fong Yu: 1.50
10:56am, 8 Jul - Cheng;Fong Yu: If market realize then
10:56am, 8 Jul - Goh Kian Sian: Ic
10:56am, 8 Jul - Cheng;Fong Yu: Is real profit
10:57am, 8 Jul - Cheng;Fong Yu: PE = price / eps
10:57am, 8 Jul - Cheng;Fong Yu: So PE index can use as reference to check whether under or over value
10:57am, 8 Jul - Cheng;Fong Yu: Like ur case
10:57am, 8 Jul - Cheng;Fong Yu: 1.00/0.50
10:58am, 8 Jul - Cheng;Fong Yu: 2
10:58am, 8 Jul - Cheng;Fong Yu: Means in 2 years time it will go up from 1.00 to 1.50 to 2.00
10:59am, 8 Jul - Cheng;Fong Yu: PE also can say as how many years u need to earn 1 Fan
11:02am, 8 Jul - Goh Kian Sian: If something big happen within twi years, this will definately change the EPS, rite, and this is juz for a reference
11:38am, 8 Jul - Cheng;Fong Yu: Yes
11:40am, 8 Jul - Cheng;Fong Yu: Just like your income salary.. if nothing happen you will receive fix income..... Unless you got unpaid leave reduce your income or you get something side job increase your income.
11:40am, 8 Jul - Cheng;Fong Yu: It's not reference but is history record
11:52am, 8 Jul - Goh Kian Sian: Get it