I have been accumulating Robinsons Land Corporation (RLC) since the start of September. I believe that RLC will be the next property stock to go up since its fundamentals are well intact and its chart has been looking more and more attractive for each trading day that passes.
Fundamentals
Robinsons Land Corporation (RLC) has one the highest Return on Equity (ROE) and Return on Assets (ROA) in the property sector. Its Price to Earnings Ratio (PER) is also the most attractive based on 2011 Earnings per Share (EPS).
The upcoming REIT law should also be taken into consideration because according to Citiseconline.com, the value of RLC could be unlocked through this investment vehicle since most of its assets (60%) could be spinned off into one.
If one looks at the Bloomberg Terminal, based on September 16, 2010, RLC has a "Buy" tag from 100% of the analysts that covered this stock. These are Kabigting from UBS, Laneda from Citiseconline, Velasco from Phil Equity partners, Puig from Kim Eng Sec, Balita from SB Equities, Lopez from JP Morgan, and Alex Pomento from Macquarie.
Technicals
On the technical side, I can see from RLC's weekly chart that the down trend ceased during the first quarter and has continued to retrace above its 38.2% and 50% retracement levels.
With solid fundamentals, good prospects for the future, and a more aggressive project launches this quarter, I believe that it is just a matter of time before this baby breaks out of its current resistance at 16. (By the way, do you see a cup and handle in the works here?) ;)
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