Challenger Technologies

Challenger store to go 24 hours from March 1

Along with making its selection of IT gadgets available after dark, Challenger said it will also provide 24-hour customer service for late night tech support needs. -- PHOTO: CHALLENGER

GADGET junkies, rejoice: IT retailer Challenger will be open around the clock on March 1, starting with its megastore at Funan's DigitaLife Mall.

Challenger will be the first dedicated IT retailer to open its doors 24 hours a day, it said in a statement on Thursday.

Along with making its selection of IT gadgets available after dark, Challenger said it will also provide 24-hour customer service for late night tech support needs.

Challenger recorded a 24 per cent growth in net profit in 2010, while its revenue grew 26 per cent. The IT retailer said the move to 24-hour operations was a bid to push its benchmarks further for the fiscal year of 2011.

'We have the infrastructure and capabilities to bring more value and offer more convenience to each and every customer. We are constantly finding new ways to make things easier and more accessible for them,' Ms Loo Pei Fen, Director of Marketing and Ecommerce at Challenger, said.

http://www.straitstimes.com/BreakingNews...38410.html

It is apparent to me that Challenge is a darling stock for many members here. And looking at the results, dividend history and track record, its hard not to see why.

I was going through my comments on Challenger the company when it dawns to me that I need to separate my views on Challenger - from the prospective of an investor and that of a consumer.

Just because I do not patronise their business does not in itself make it a bad company to invest in. As a consumer, I get so disgusted with the price they charged on their items that it never dawn on me previously on the investment merits of the company. And also why I never consider the company objectively from an investor point of views.

This reminded me of PST, FSL and Rickmers. Because of what I know about PIL (sponsor of PST), I dismissed PST as a viable investment opportunity and instead choose to invest in FSL and Rickmers. History has of cos shown that PST is the superior shipping trusts to invest in amongst the 3. A classic example of how we sometimes let our personal prejudices (perceived or otherwise) get in the way of investment decision.

Having said that, while its easy for all of us to preach the merits of being unemotional about our investment objectives, its easier said than done and I for one will not say I have mastered this perfectly. But self-actualisation is a good baby step to take.

quick observation here:

was passing through jurong point today and noticed Challenger holding a roadshow outside the shopping mall, at the exit of boon lay mrt.

it could be management's pro-active way of boosting sales. or a sign that the company is holding excess inventory which needs to be cleared before obsolescence. (i am more inclined towards the former)

(25-02-2011, 11:24 AM)lonewolf Wrote: It is apparent to me that Challenge is a darling stock for many members here. And looking at the results, dividend history and track record, its hard not to see why.

I was going through my comments on Challenger the company when it dawns to me that I need to separate my views on Challenger - from the prospective of an investor and that of a consumer.

Just because I do not patronise their business does not in itself make it a bad company to invest in. As a consumer, I get so disgusted with the price they charged on their items that it never dawn on me previously on the investment merits of the company. And also why I never consider the company objectively from an investor point of views.

This reminded me of PST, FSL and Rickmers. Because of what I know about PIL (sponsor of PST), I dismissed PST as a viable investment opportunity and instead choose to invest in FSL and Rickmers. History has of cos shown that PST is the superior shipping trusts to invest in amongst the 3. A classic example of how we sometimes let our personal prejudices (perceived or otherwise) get in the way of investment decision.

And shopping is not always about value. It is also about the shopping experience and somehow challenger is able to accomplish that although my opinions are not as detailed as dxdy's fundamental analysis,

Having said that, while its easy for all of us to preach the merits of being unemotional about our investment objectives, its easier said than done and I for one will not say I have mastered this perfectly. But self-actualisation is a good baby step to take.

To be frank, it is just a tool and not a daring me. As an investor, if it makes $ and moving forward with good mgt, i hold longer. If its losing money or fully valued, i sell and move on. Why are you mixing emotions into investing? its just a company not my wife and I am just a minor shareholder.

Retail biz is not just about value hunting. It is a mixture of shopping experience. And somehow challenger notice that and improvise in their system. Just some of my shopper's opinion though not as detailed as dxdy's fundamental analysis.

Looks forward to challenger opening in dense Clementi. Imagine all those potential gadget concious customers from Singapore, Ngee Ann poly and other schools student's pockets. And words gets pass to their parents for their other home/office IT necessities. Don't think they want to drive or travel down simlim to get a portable drive? parking is a problem, ERP another. Time too.

(25-02-2011, 11:20 PM)memphisb Wrote: To be frank, it is just a tool and not a daring me. As an investor, if it makes $ and moving forward with good mgt, i hold longer. If its losing money or fully valued, i sell and move on. Why are you mixing emotions into investing? its just a company not my wife and I am just a minor shareholder.

My simple answer to that is that I am flesh and blood, with highs and lows and mood swings and everything that comes with living. I am not a freaking robot.

Anyone who has put money into the stock market and claim that all of their trades are done in a cool, calculated an unemotional manner is not being truthful. Of cos this is just my opinion.

By today's (2Mar11) announcement, SGX has granted its approval-in-principle for the proposed 1-for-2 bonus issue.....
http://info.sgx.com/webcoranncatth.nsf/V...7003728C9/$file/SGXApprovalinPrinciple20110302.pdf?openelement

So the bonus issue is "ON", and Challenger shareholders can expect that the new bonus shares (to be issued under the existing Share Issue Mandate) will be issued before the "XD" date for the declared and coming $0.011/share Final dividend - which as a matter of normal process has to be approved by shareholders in the coming AGM.

There should be more transactions before the "XB" date as shareholders with 'odd' lots - i.e. the number of shares is an odd number - try to buy or sell some shares to achieve an 'even' number of lots, in order to avoid an odd-lot situation.

Challenger has set 15Mar11 as the record date for the 1-for-2 bonus issue.....
http://info.sgx.com/webcoranncatth.nsf/V...C0035EB3A/$file/NoticeofBooksClosureDate20110307.pdf?openelement
, that means the "XB" date most likely will fall on 11Mar11 (Friday), and the new bonus shares should be listed around 20Mar11.

As stated before, the new bonus shares will be entitled for the $0.011/share Final dividend for FY10 - subject to shareholders' approval in the coming AGM - payable on 31May11.

I am positively surprised that the bonus issue will be completed so soon. That shows Challenger's management likes to do things fast and efficiently.

With more shares after the bonus issue, would we see more active transactions in Challenger in the next few months?

Reminder: Today is the last trading day for CB.

The last few trading days have allowed Challenger to cross the US$100m market cap mark. I think that's a milestone. Perhaps we will see more institutions coming in soon. Sit tight.

(26-02-2011, 09:28 AM)lonewolf Wrote:

(25-02-2011, 11:20 PM)memphisb Wrote: To be frank, it is just a tool and not a daring me. As an investor, if it makes $ and moving forward with good mgt, i hold longer. If its losing money or fully valued, i sell and move on. Why are you mixing emotions into investing? its just a company not my wife and I am just a minor shareholder.

My simple answer to that is that I am flesh and blood, with highs and lows and mood swings and everything that comes with living. I am not a freaking robot.

Anyone who has put money into the stock market and claim that all of their trades are done in a cool, calculated an unemotional manner is not being truthful. Of cos this is just my opinion.

An interesting guide, albeit tongue in cheek (and definitely not something you should solely use), is to buy companies that you hate.

Banks caused the financial crisis? Buy them and watch the stock go through the roof thanks to government intervention.
BP destroyed the environment? Buy them and laugh after the one-time costs are incurred.
Food companies milking the poor and needy as they exploit one of man's most basic needs? Buy them and watch food prices soar.
Big Pharma denying sick patients life saving medicine? Buy them and see the stupidly rich people pay a billion dollars on their new blockbuster drugs.
Challenger charge people 5% extra for your IT goods? Buy them...

I'm sure you catch my drift.

Challenger just went XB today! Closed at 0.60 yesterday, theoretical ex-bonus price = 0.60 x 3 / 2 = 0.40

Looking at the first 141,000 shares transacted today, I suspect most of those buyers aren't quite aware that there was a bonus issue. Transactions have been made at a weighted average of a 20% premium on the calculated ex-bonus price (average share transacted at 48c)

They probably saw the share price kerplode and thought "WOW what a BUYING OPPORTUNITY". Hope no valuebuddies got caught out there Pays to do a least the minimum of homework before doing anything ("uhh, what does that XB mean?")