Betting on Donaco #, page-3

I will be buying more at these price.... Price action tells me either someone is accumulating or a larger holder is exiting.... Any hint of positive news this will jump 15-20%... A snippet from PAF quartley...

Performance was negatively impacted by Donaco International (-29%) which corrected after interim results saw underlying profitability come in below expectation. The company also terminated its VIP partnership with the Heng Sheng Group which resulted in a further revision to full year earnings expectations. We have been a strong advocate of Donaco and were disappointed by the result. We do not view the current operational issues as terminal and believe management has room to improve underlying performance. We also believe there is substantial scope for the company to return capital to shareholders and will continue to vigorously express this view to management. At a mid-single digit price-to-earnings ratio valuation remains attractive and we continue to hold our position. The Australian dollar (+10%) also contributed to relative underperformance. Despite the short term moves we remain comfortable with the Company’s currency positioning and we believe it is now entering a period during which it will trade within a narrow range, but with risks to the downside