Fundamental investment

Time to collect Pohuat at bargain price

Ivan Lim
Publish date: Thu, 09 Jul 2015, 08:55 PM
Long term investment in Malaysia

This is my first post in i3,i am a mid -long term investor ,i would like to share some view on the share i like.

Today ,i pick pohuat as the first pick in this bear market as i like this stock very much by consider its fundamental of company.

I believe most of the Public can find and read thru the result of company by searching internet like bursa market placehttp://www.bursamarketplace.com/.So i will not show any print screen or picture of result for the stock i pick.I will only show the reason why i choose the stock and please do homework yourself to verify my view.

For my personal opinion,i felt that there are only few solid reason when you want to buy into a stock.

1)Dividend growth

2)market sentiment is good for the company business

3)fundamental of company have totally changed etc:turnaround,expanding its plant,cut loss on its own making loss buisness

4)sell at very cheap price according to its earning prospect or compare to its peer

5)Company shareholder buying its own share

The reason of Pohuat is suit all this criteria,

Pohuat is a dividend growth stock currently ,you can check thru its by download the investing apps(klsei screener) into your phone.i not gonna show it thru printscreen for this

2)For market sentiment ,US dollar is strengthening to a highest level .This will indirectly benefit the export company like furniture stock especially its sell thru US market.

3)Company have an 80million CAPEX which shown in current quarter.This show that company is on a expand mode.Malaysia business is improving.Besides ,company strategies is changed and the cyclical of the earning in each quarter will gradually diminish .In future,it will show more consistent earning where it will help company to have a strong cash flow to do any investment.

4)It is sell at cheap sales compare to its peer .pe only 8.42 currently.From latest quarter report performance review,company are very confident to its near future prospect as housing market in america now are in fully recovery state and start booming.Its indirectly boost the businees for furniture stock that export to US as people will need to buy furniture when they buy house too.Cannot run away!(please check thru the website to get the latest data for housing market in US http://www.realtor.org/).

5)Company shareholder LIM PEI TIAM are buying its own share show that he himself are very confifdent to the company prospect in near future

Other than looking into the criteria to suit my stock pick,we have to know what will be the near future risk of the stock market.

Risk

I believe most of the public are afraid of US interest hike in Sept.However,i felt that  it  will not burst the stock market so soon as FED only will increase US interest gradually .The global market now are all in bear or red market recently except US.Why?I guess all the hot money that printed when QE(quantitative easing) are start flow back to US market to strengthen or support its share market and also support the US bond market.It wont burst it in near future.However,i still believe there will be a small correction in US market.

Pohuat fundamental will not change in near future as housing market and economy are just in recovery phase.

Finally ,this is just my point of view,my average price is 2.137.I decide to hold the share for long term till the housing market in US are in saturated phase.

 

 

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Created by Ivan Lim | Jan 01, 2019

Discussions
6 people like this. Showing 8 of 8 comments

CCCL

Huat!

2015-07-09 21:08

calvintaneng

O Oh Ivan,

Pohuat is good. But Pohuat WAS a bargain at R1.35 when I called for a strong buy on all furniture stocks due to Ringgit crash against Rising US Dollar.

Pohuat has already gone up a lot.

The Real Bargains now are BOMBED OUT OIL & GAS STOCKS Caused by Fallen Crude Oil Prices!

So to make money you must go there!

Yes! Beaten Down Bargains in O&G Counters.

2015-07-10 08:51

paperplane2

want a RISK FREE arbitrage Calvin Bro? Email you, give me email

2015-07-10 14:03

lyo82

Its valuation is quite attractive, if compared to its peer now.

2015-07-10 14:12

Ivan Lim

it still cheap even with this price.it for long term

2015-07-10 19:17

kakashit

Paperpane, I wan, email address on my blog

2015-07-10 19:18

calvintaneng

Yes Paperplane,

My email is calvintaneng@gmail.com

2015-07-10 20:25

sfthamsf

Yes Paperplane, pls email to me as well at estheryong@yahoo.com

2015-12-01 10:32

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