Ultimate Stock Tips

Stocks on My Watchlist for 2023 (Feb 2023 review)

CynicalCyan
Publish date: Sat, 18 Feb 2023, 11:59 PM
Unique content created once in a blue moon to increase the quality of articles of klse.i3investor.com. (used to be weekly)

To recap, the 6 stocks were AHEALTH, HARTA, IOICORP, CELCOM-DIGI, HEIM, PESTECH. 


The KLCI on 23/12/2022 was 1474.68 (according to marketwatch.com). 

Yesterday, KLCI was 1476.90. 

The benchmark indicates that, most probably our overall local stockmarket hardly budged.

How have the 6 stocks performed? See https://klse.i3investor.com/web/portfolio/mypf/189752

DIGI leaped +11.98%, HEIM rose +11.67%. The outperforming bunch.

AHEALTH dipped -1.15%, HARTA slipped -1.78%, IOICORP dropped -2.31%. Still bearable.

PESTECH plunged -19.35%. Cut loss should be seriously considered. 



Company News highlights:

AHEALTH: 

No material announcements.


HARTA: 

Recent loss-making quarter was within expectations, still making operating profit, debts pared down while cash is still >RM 1 bil. Perhaps the dismal performance has been baked in.


IOICORP: 

Share buy back on 13 Feb at RM3.76. IOI has done similar buybacks in the past. 


DIGI: 

DIGI's name is still not changed to CELCOM-DIGI yet, as EGM to change name is next Friday (24/02/2023). 

"The Proposed Change of Name will not have any effect on the share capital of the Company and shall not have any material effect on the NA, gearing and EPS of the Digi Group." - as per Circular dated 31/01/2023

Initially, I thought DIGI & AXIATA stocks would be merged, but actually mergers don't happen so quickly. 

Although it's amazing how DIGI share price's increase far outpaced AXIATA, both still beat the average KLSE stock performance over a short term of one and a half months. 

HEIM: 

Quarter result will be released next Friday. 


PESTECH: 

Things have gone from bad to worse for this embattled company. 

1. Court charges of its Directors of misappropriating its Company subsidiary's assets.

2. Director sold his shares. 

3. Failed private placement.

4. Cambodian subsidiary's worsening performance.

 (See https://www.theedgemarkets.com/node/653218#:~:text=SHAH%20ALAM%20(Jan%2027)%3A,%2C%2053%2C%20faced%20three%20counts. ,

https://www.bursamalaysia.com/market_information/announcements/company_announcement/announcement_details?ann_id=3325185

& http://csx.com.kh/company/announce/viewPost.do?MNCD=5040&postId=1505#.Y-s9DXZBxnI%20for%20the%20aforesaid%20announcement. )

Unless one is totally convinced of the company's integrity & future survival, one should remain conservative and park your funds in better alternatives. 



Conclusion:

Mr. Market, aka investors in a stockmarket, want(s) to see companies growing their finances, which must be above their expectations. 

Mr. Market hates uncertainties surrounding a company's future.

Most of the time, Mr. Market's expectations are factored in the share price, as it is usually an efficient market. 


AHEALTH is a pharma company relatively unaffected by inflation, HEIM should benefit from resumption of social activities which increases consumption of alcohol, DIGI will benefit from the absence of Cukai Makmur, IOICORP being diversification in plantation sector, HARTA for contrarian approach, but PESTECH is sadly very disappointing. 


All companies in my watchlist should be releasing quarter reports next week, except HARTA, which posted its results last week. 


P.S. I have decided to post intermittently as it's not feasible to post on a regular basis anymore. Apologies to anyone who reads my blogposts intently. 



Disclaimer: This article is not tailored financial advice, but mere general stock sharing / observations. Please do further due diligence. The author disclaims all liabilities from readers. The author may own some abovementioned stocks.


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