SOS Read this before you INVEST in Stocks

SOS Sedition, Shariah & Scandal + Slow Stocks

sosfinance
Publish date: Fri, 20 Mar 2015, 04:03 PM
VALUATION DOES NOT DETERMINE THE PRICE, IT'S JUST A TOOL TO ESTIMATE A VALUE OF A BIZ

www.sosfinancialplanning.blogspot.my

"How do you save RM50,000? - I shared with a friend on how to do it. I got a term life for RM280 p.a covering RM100k until 70 years old. I cancelled my wholelife insurance of RM2,800 p.a. for the same coverage up to 100 years old. Save RM2500 p.a x 20 years = RM50,000. (PM0122037325)

.....IS THIS ARTICLE FAKE OR FACT?? ANYONE CAN CONFIRM?

All three are sensitive topics.  The more you say the higher chances you will go to jail.  One word also cannot simply use, like royal.  

Anyway, the market seems to be not going anyway lately.  A lot of my investors friends are cautious about KLCI, hence, none are keen to put in a single sen into the market.  In fact, a report show that retailers participation is one of the lowest in history.

So, this is the right time to slowly look into the second liners (where retailers like).  The small cap index has dropped 16% since Sept 2014 (and at its bottom, it dropped 26%).  Of course, same question will arise, is it the right time to buy.

THERE IS NO SUCH THING AS RIGHT TIME TO BUY, HOWEVER, THERE IS SUCH THING THAT THERE ARE COMPANIES WHERE THE VALUE IS HIGHER THAN THE SHARE PRICE.  Which one, you may ask.  Everyone has their favourites.

For me, the basic of investment should be INDEPENDENT.  Secondly, look for UNDERVALUE STOCKS.  Then invest wisely, gradually.  Not everything goes on a straight line.  Prestariang is one example, when the earnings drop for a few quarters, many run during the Oct panic last year.  However, lately, due to various good news, it went up quite a bit. 

Similarly, lots of people worry about Padini, lately the last few quarters, the earnings drop.  I believe, they are worry about the GST.  But looking on a longer run perspective, I remember Padini spent quite a bit on CAPEX (2014: RM100m vs 2010-13: RM83m) on opening new outlets, I suppose it takes a little time to peak.  So, on a longer run, Padini should be ok, i.e. earnings will comes back.  

As for Gadang, another undervalued stocks waiting to be taken up.  Yes, some concern about contracts on oil and gas sector, but it is less than 30% (not verified) of the total contracts secured, I suppose they cannot simply terminate the contracts that have been executed.  As for new contracts in oil and gas to be won, it will definitely be lesser.  But their order book can last them easily 3-4 years.  Capital City 21 in Johor is doing not too bad. The main catalyst that will provide the earning growth for Gadang. So, another one that you can take advantage during the low.

 

FUNDAMENTAL on INVESTMENTS

  1. Independent
  2. long term
  3. look for value stocks
  4. ignore timing
  5. invest regularly (as planned), most people don't have a plan on how much and how long to invest
  6. split into at least 5 different industries proportionately
  7. research the stock

 

 

Discussions
2 people like this. Showing 2 of 2 comments

AyamTua

yep

THERE IS NO SUCH THING AS RIGHT TIME TO BUY, HOWEVER, THERE IS SUCH THING THAT THERE ARE COMPANIES WHERE THE VALUE IS HIGHER THAN THE SHARE PRICE. Which one, you may ask. Everyone has their favourites.

2015-03-20 21:15

AyamTua

in any counters sure win strategy? holding power aka long term ..

FUNDAMENTAL on INVESTMENTS

Independent
long term
look for value stocks
ignore timing
invest regularly (as planned), most people don't have a plan on how much and how long to invest
split into at least 5 different industries proportionately
research the STOCK

2015-03-20 21:17

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