Appraise impact on the selected stocks, UOL and CapitaLand using the following techniques:
(a) Fundamental analysis
(15 marks)
(b) Determine their intrinsic values
(10 marks)
(c) Apply technical analysis and discuss on the trends of the TWO (2) stocks, including entry and exit levels.
(15 marks)
d)
From the information gathered, design and draft a recommendation report on the 2 stocks, using the reference:
STRONG BUY
(>20% total return over the next 3 months, with identifiable share price catalysts within this time frame) BUY (>15% total return over the next 12 months for small caps, >10% for large caps)
HOLD
(-10% to +15% total return over the next 12 months for small caps, -10% to +10% for large caps)
FULLY VALUED
(negative total return i.e. > -10% over the next 12 months)
SELL
(negative total return of > -20% over the next 3 months, with identifiable catalysts within this time frame)
(5 marks)
Additional information for crafting the evaluation report:
-Each illustration/diagram should be no larger than a sixth of a A4 size paper
-Information from Appendices UOL and CapitaLand should be utilized
-UOL last price – SGD7.10 CapitaLand last price – SGD3.62