ks55Lion Industries reported more loses for Q3. Masteel made more money. This prove Masteel management is top class, better than WC. Just pray hard the profit was not cooked up.
If you believe profit is genuine, double up your stake. If you don't, run for your life.
Please don't count me in, I am just a fence sitter. I will follow the direction of wind blow......... Just want to make a bit, but don't want to lose......
onetonnemanNot all apples are red. CSCSTEL has returned to profit. What have you got to say?
bet_onetonneman I bet ks55 dare not answer you. That's why he is stuck buying Lion Industries which keep report losses.
ks55Yes. To predict good company to be as good in 3 years down the road may be difficult, but to foresee a company won't be performing for next three years may not be that hard.
One glaring example is companies belong to William Cheng are all holland stock. A very simple case study is Lion Industries (LICB) merely based on annual report for FYE 2014 already tell a story.
Stock: [LIONIND]: LION INDUSTRIES CORPORATION
Extract from Annual Report LCIB FYE 2014
RECURRENT RELATED PARTY TRANSACTIONS The aggregate value of transactions conducted during the financial year ended 30 June 2014 were as follows:
Sale of scrap iron, steel bars, wire rods, hot briquetted iron, billets and other related products to: 1. Lion Corporation Berhad Group (“LCB Group”) 650,661,000 2. Lion Diversified Holdings Berhad Group 59,672,000
Trade receivables The Group 2014 Non-Current Trade receivables 644,217,000 Less: Accumulated impairment losses (294,332,000) Net 349,885,000
Current Trade receivables 344,514,000 Less: Accumulated impairment losses (23,170,000) Net 321,344,000
Net trade receivables 671,229,000
Trade receivables from related party as of 30 June 2014, Megasteel 562,732,000 Lion DRI 81,485,000 Total 644,217,000
Past due but not yet impaired: Megasteel 298,164,000 Lion DRI 40,532,000 Total 338,696,000
So how much should be written off for FYE Jun 2015, take into consideration Lion Corp business has deteriorating much faster than 2014. Megasteel is a subsidiary of Lion Corp. Goodwill (130,443,000) has been allocated to the steel operations of the Group and has not been impaired. Why not impaired?
Should consider LICB only after 7 Jul 2015 when Lion Corp get delisted. Worst case scenario appear only after 4Q report in Sept 2015.
onetonnemanForget about Lion and its receivables. Let’s focus on the receivables turnover ratio of Masteel, a company in which everyone (here) is interested, if not having stake.
RM331.9 million is no doubt a huge amount of money, but mind you, no clients will make payment immediately on the arrival of goods. The payment terms of Net 30, Net 60 and Net 90 by and large apply to all trades. Whilst its collection of account receivable is fairly inefficient, the management team still managed to collect the credit within 90 days (based on its latest financial statement). It is therefore considered acceptable for them to maintain the receivables turnover ratio at 4.37.
ks55Big question mark is Masteel going to be quoted again? Suspend until when? In one week? In one month? In six months? In one year? Or remain suspended sine die ?
Kasi hentam kuat kuat if it got listed again. Public Bank gave TP 1.10. ks55 give TP 33 sen. Start to buy at 33 sen. Buy big at 30 sen and below.
LOOKAHEAD5098 (MASTEEL °) OTHERS : REAPPOINTMENT OF AUDITORS 30-06-2015 07:00:26
OTHERS : REAPPOINTMENT OF AUDITORS OTHERS MALAYSIA STEEL WORKS (KL) BHD (MASTEEL or "THE COMPANY") - REAPPOINTMENT OF AUDITORS
anonymousinvestortsk... talk3talk4 so much... it's fair if u comment base on ur thinking that it's bad investment. yet it's bcoz u wan to buy cheap.
Let suppose you have 1m cash asset (Share, FD, Bonds, Treasury bills, SA etc excluding EPF). How much risk you you can take?
Some people can stand up to 50% loses (if they are still young <35 yr old) Some people can only stand up to 20% loses. (may be for 40 -50 yr old) Some may be 10%, or 5%. (Retired or near to retirement >50 yr old) It is really depends on your degree of tolerance.
Some may be young, but they have low degree of tolerance. Their temper will fluctuate with market performance. Market good, they got excited. Market down, they will not be able to sleep. This will affect their job performance.
My advice is, if you invest up to 500k, you find that your temper already being jeopardized, reduce to 400k. If still find hard to sleep, reduce further to 300k, 200k,100k etc. There should come to a level whether market up or down doesn't affect performance of your main career anymore. That is your tolerance level.
Some may have 1m cash asset, but not able to stand a 5k loses. These people are not risk taker, share market is definitely not suitable for them. REITs may be most suitable for them as it is low risk with medium gain. Otherwise will be FD or MGS.
Again a word of caution. Don't commit 100% of your cash asset in share market. Always keep some for rainy days. Worse still if you try to buy on margin in this coming turbulence market.
Think safe, play safe, invest safe. If want to punt, punt safe. If you lose money, it is you who are not good enough to engage in stock market. Why want to blame others ??
IF YOU LOSE MONEY, IT IS BECAUSE YOU ARE NO GOOD. DON'T BLAME PEOPLE LIKE A SMALL BOY...
ks55Buy high sell low -- you lose money. Buy low sell lower -- you also lose money.
Buy higher than others -- you won't make money. Buy lower than others -- you make money.
Cost higher than others -- you lose money. Cost lower than others -- you make money.
So I want to buy at lowest price among all buyers. I want my cost to be lowest, so if I still lose money, most people go holland.
So I choose to buy starting at 33 sen. You can start to buy at 1.10 (Public Bank TP) as your wish.
If I can buy cheaper than you, you will be my cushion. If I sell and not making money, you already gone to holland.
If you feel happy to blame people each time you lose money, then I wish you be happy always while you are still in the market.