THE INVESTMENT APPROACH OF CALVIN TAN

BPuri Versus Jaks (Compare & contrast their future potential) Calvin Tan Research

calvintaneng
Publish date: Mon, 14 Aug 2017, 11:52 PM
calvintaneng
0 1,804
Hi Guys,

I have An Investment Approach I which I would like to all.

Hi guys/gals,

Calvin called for a buy on Jaks at 40 sen on December 2014

See

 Posted by calvintaneng > Dec 16, 2014 03:00 PM Report Abuse X

Whoa! 

Top boss bought at 44 cents and above, millions of them. Anything below 40 cents is a bargain! 

So don't wait or else Jaks jump Jump JUMP Up And Away!

 

These were the reasons why Calvin called for a buy on Jaks

 

1) Insiders have been buying Jaks all the way from Rm1.00 to 40 sen. So at 40 Sen we were buying far below Insidfer buying price. 

2) Jaks was then in the Thematic Play of Langat 2 Water Theme Stocks like KPS & Puncak. Since Jaks has 6 feet diameter pipes Jaks stood a good chance of securing projects.

3) Jaks was then at 40 Sen with an NTA of Rm1.03 with a Huge 60% margin of safety

See Jaks November 2014 Report for quarter ending 30/9/2014

 

SUMMARY OF KEY FINANCIAL INFORMATION
30/09/2014

 
INDIVIDUAL PERIOD
CUMULATIVE PERIOD
CURRENT YEAR QUARTER
PRECEDING YEAR
CORRESPONDING
QUARTER
CURRENT YEAR TO DATE
PRECEDING YEAR
CORRESPONDING
PERIOD
30/09/2014
30/09/2013
30/09/2014
30/09/2013
$$'000
$$'000
$$'000
$$'000
1 Revenue
93,775
0
301,765
0
2 Profit/(loss) before tax
8,624
0
31,131
0
3 Profit/(loss) for the period
5,556
0
20,106
0
4 Profit/(loss) attributable to ordinary equity holders of the parent
2,780
0
7,061
0
5 Basic earnings/(loss) per share (Subunit)
0.63
0.00
1.61
0.00
6 Proposed/Declared dividend per share (Subunit)
0.00
0.00
0.00
0.00
   
AS AT END OF CURRENT QUARTER
AS AT PRECEDING FINANCIAL YEAR END
7 Net assets per share attributable to ordinary equity holders of the parent ($$)
1.0300
1.0200
 

 

 

It was a Chun Chun Call then at 40 sen when few bother to pay any attention to Jaks' future potential.

As of now Jaks closed at Rm1.42 for a surge of 255%.

Today at the lofty price of Rm1.42 Jaks is selling far above NTA. So there is now no margin of safety. Of course many have now discovered the Valuable Assets of Jaks

See our Friend Hng33 writeup on Jaks

 

Posted by hng33 > Aug 11, 2017 08:40 PM Report Abuse 

Let's look at Jaks fundamental 

1. Total Cash deposit RM 86m 
2. Total borrowing RM 445m 

After land disposal to suway for RM 167m, jaks stand to monetize its land book assets into cash and reap net gain about RM 100m 

Jaks to dispose Pacific Star Business Hub (“the Property”) situated at Section 13, Petaling Jaya for a total consideration of RM240,000,000 (“the Purchase Price”). Although these disposal is internal transaction, but it also imply jaks if sell to other can monetize at least RM 240m 

In additional, jaks also in the midst to sell its evolve concept mall, 2 year old new mall, carry at book cost about RM 338m. Currently, these mall have 70% occupancy which have yet to reach breakven level. However, if LRT is ready by next year, it may improve occupancy further. If jaks manage to divest these mall at just its cost for RM 338m, then it can further monetize assets into cash. 

In summary, on surface, jaks if continue monetize its assets, it stand to realize cash RM 167m ( land sell to subway) + RM 240m ( pacific star business hub) + RM 338m ( evolve concept mall) = RM 740m, transform hard assets into massive cash RM 740m, adding back current exiting cash RM 86m and net off borrowing RM 445m will turning jaks into net cash position about RM 380m or about net cash 80sen/ share. 

If materialize, jaks will not only just become cash rich company, but also is company with huge construction orderbook RM 2.7 billion and have 25 year long term earning visibility from its 40% stake in power plant

 

Calvin comments:

More than 2 years 8 months later our Friend Hng33 has finally highlighted the Assets Jaks owned. No surprise at all. All these factors are already priced in in the 255% price rise of Jaks.

Now the hype turns to Jaks' Vietnam Power Plant for further impetus to its share price

Calvin thinks it is too bullish a forecast for these reasons

 

1) Mudajaya's power plants in India faced Cost Overruns as well as Malakoff Power Plants. Both faced hicups. And you can see their poor performances. Will Jaks do better?

I doubt so. Why? 

Because Jaks has no monopoly in Vietnam. Therefore Jaks has no pricing power. Jaks might also face similar hurdles like Mudajaya & Malakoff

See list of Vietnam Power Producers

 

List of power stations in Vietnam

 

Station Capacity (MW) Total (MW) Community Coordinates Status Ref
Hàm Thuận – Đa Mi hydroelectric power stations 2x150+2x88 476     Operational  
Lai Châu Dam 4x300 1200     Under Construction  
Hòa Bình Dam 8x240 1920 Hòa Bình 20°48′30″N 105°19′26″E Operational [5][6]
Trị An Hydro 400 400 Trị An   Operational  
Tuyên Quang Hydro 3x114 342 Tuyên Quang   Operational  
Thac Ba 3x36 108     Operational  
A Vuong 2x105 210     Operational  
Đa Nhim Hydro 4x40 160     Operational  
Dai Ninh 2x150 300     Operational  
Quảng Trị Hydro 2x32 64 Quảng Trị   Operational  
Yali Falls Dam 4x180 720     Operational  
Thác Mơ Hydro 2x75 150     Operational  
Can Don 2x38 76     Operational  
Srok Phu Mieng 2x25.5 51     Operational  
Se San 3 2x130 260     Operational  
Se San 3a 2x54 108     Operational  
Se San 4 3x120 360     1 unit Operational  
Buôn Kuốp 2x140 280     Operational  
Buon Tuasrah 2x43 86     Operational  
Song Ba Ha 2x110 220     Operational  
Binh Dien 2x22 44     Operational  
Ban Ve 2x160 320     1 unit Operational  
Vinh Son 2x33 66     Operational  
Sông Hinh Hydro 2x32 64 Sông Hinh   Operational  
Pleikrong 2x50 100     1 unit Operational  
ZaHung 2x15 30     Operational  
Song Con 3x20 60     Operational  
KrongHNang 2x32 64     On-going project  
Sơn La Dam 6x400 2400 Mường La 21°29′47″N 103°59′42″E Operational  
Srepok3 2x110 220     On-going project  
Srepok4 2x40 80     On-going project  
Khao Mang 2x15 30     On-going project  
 
So from this lofty price of Rm1.42 I don't think Jaks can go up another 255% to Rm5.04
 
Now let Calvin show you another Stock with potential just like Jaks was at 40 sen (totally unloved, unwanted & forsaken)
 
THAT POTENTIAL 255% GROWTH STOCK IS BINA PURI
 
BPuri is now selling at 33.5 Sen (Totally unloved, unwanted & forsaken)
 
See why Calvin Like BPuri
 
Answer 
 
No. 1  BPuri is selling at  33.5 sen with NTA of 90.03 sen or a Whopping 62% Discount to NTA

 

SUMMARY OF KEY FINANCIAL INFORMATION
31 Mar 2017

 
INDIVIDUAL PERIOD
CUMULATIVE PERIOD
CURRENT YEAR QUARTER
PRECEDING YEAR
CORRESPONDING
QUARTER
CURRENT YEAR TO DATE
PRECEDING YEAR
CORRESPONDING
PERIOD
31 Mar 2017
31 Mar 2016
31 Mar 2017
31 Mar 2016
$$'000
$$'000
$$'000
$$'000
1 Revenue
279,033
294,482
279,033
294,482
2 Profit/(loss) before tax
3,251
2,547
3,251
2,547
3 Profit/(loss) for the period
2,120
1,730
2,120
1,730
4 Profit/(loss) attributable to ordinary equity holders of the parent
626
812
626
812
5 Basic earnings/(loss) per share (Subunit)
0.25
0.35
0.25
0.35
6 Proposed/Declared dividend per share (Subunit)
0.00
0.00
0.00
0.00
   
AS AT END OF CURRENT QUARTER
AS AT PRECEDING FINANCIAL YEAR END
7 Net assets per share attributable to ordinary equity holders of the parent ($$)
0.9003
0.9181
 

 

 

If you compare Jaks NTA with BPuri's NTA you will notice that they both Own Shoppping Malls. However, BPuri also own the Toll Road called LATAR HIghway (50%). Bpuri has also successfully listed its Power Plants in Indonesia while Jaks Vietnam Power Plant is still a work in progress.

 

2) While Jaks share price has been chased up by popular demand Bpuri's share price has fallen to Rock Bottom Now.

This is Calvin's favourite Target - HE THAT IS LOW NEEDS FEAR NO FALL. Bpuri share price has fallen by more than 70%  From here I don't think Bpuri will fall by another 70% to 10 Sen.

Why is it So?

BECAUSE INSIDERS ARE GOBBLING BPURI SHARES AT 50 SEN EVEN BY THE MILLIONS SECRETLY FROM ESOS

IN FACT INSIDERS ARE BUYING AND BUYING BPURI BY THE MULTI MILLIONS THROUGH ESOS AT 50 SEN. 

 

See

 

 

SO CALVIN WAS VERY HAPPY TO BUY JAKS AT 40 SEN WHEN JAKS' TOP BOSS BOUGHT JAKS AT 44 SEN On Dec 16th 2014

 

NOW CALVIN IS EVEN MORE HAPPIER TO BUY BPURI AT 33.5 SEN WHEN BPURI's TOP BOSSES ARE BUYING BPURI AT 50 SEN

 

The Discount of Jaks from 40 sen to 44 sen was a mere 10%

 

BUT THE DISCOUNT OF BPURI AT 33.5 SEN to 50 SEN Is a Bigger 33%

 

MANY HAPPY RETURNS

 

Calvin Tan Research

Singapore

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Discussions
1 person likes this. Showing 26 of 26 comments

calvintaneng

Don't be misled by surface results.
They say Bpuri got lots of jobs but little profit to show.

Same stuff was said about Jaks then. Jaks got lots of project awards but where got profit as those who missed Jaks at 40 SEN SNEERED. OH HOW THEY MISSED!

Same was said about Nylex and Ancom. Lots of sales but such tiny profits. And they, too, missed both Nylex and Ancom.

2017-08-15 00:23

John Lu

Sochai!! -2.10% and rank 221 (bottom 10) in bull market...shame on you

2017-08-15 06:24

Icon8888

Why need to promote yours and step on others ? Why can't you make money in binapuri and let jaks shareholders also do well ? Why so zero sum game ? What do you gain if jaks does not do well ?

Btw I don't own any jaks

2017-08-15 06:57

John Lu

Icon888 is right...only this low life sochai calvin have such a low life mindset...no wonder he bad luck for the rest of his life...rank 221 or -2.10% in bull market...shame

2017-08-15 07:11

Patron

people from kiasu nation is like that one you don't know meh?

2017-08-15 07:22

John Lu

Want hao lian, act smart but kia su...anyway, where is the HDB photo with swimming fool? No credibility at all...no wonder all his pick go holland. Bad karma and bad luck for whole life

2017-08-15 07:24

Patron

talks crap from Monday to Saturday and talk Jesus on Sunday. niama.

2017-08-15 07:26

wotvr

The more you try to promote, the more it shows how desperate you are to try to unload.

2017-08-15 07:27

John Lu

Altitude and bad heart like this...pray Jesus also useless. Jesus ask him go fly kites also. Niama

2017-08-15 07:27

John Lu

He tot he promote everyday can pull him from -2.10% to positive? Nah...holland stock is holland stock la. I estimate he will end 2017 with negative and rank bottom 5

2017-08-15 07:29

John Lu

220) calvintaneng -2.1% 221) diamond168 -2.1% 222) smartly -2.3% 223) winelim -2.6% 224) GorengAyam -3.0% 225) chl1989 -3.3% 226) Fat_tat -4.4% 227) Wing Destiny -5.7% 228) apple98 -6.2% 229) Tay Wee Shen -7.0% 230) rich2017 -8.4%

2017-08-15 07:32

John Lu

HAHAHAHAHA...LAUGH DIE ME


220) calvintaneng -2.1% 97880.01 http://klse.i3investor.com/servlets/pfs/71329.jsp
23% PBA 1.260+0.0225 1.150 17300|23% DUTALND 0.445 0.400 49800|20% OPCOM 0.580 0.600 33200|19% BJCORP 0.320 0.340 58600|16% BPURI 0.335 0.435 45800 (97699.25:180.76|237.24)

2017-08-15 07:33

John Lu

I suspect calvin stuck at IPO rm2.80 per share and now he hopes can post article and unload at least dont lose so much...if not he is going to bankrupt. Haha...no wonder. This type of attitude, Jesus also dont want to help this sochai. Useless

2017-08-15 07:39

hng33

Jaks is NOT cyclical stock, it have long term 25 year earning visibility from power plant once completed. In the short term, jaks just need to focus on construction of these power plant and derive construction profit throughout 3 year power plant construction period.

The cyclical nature of jaks is disminishing as it have gradually pull out from local property development, to disposed mall and to monetize land into CASH.

By end of these week or early next week, Jaks will sign SPA with Sunway to dispose land for RM 167m, reap handsome at least net gain RM 100m, a whopping net gain EPS 20sen.

2017-08-15 07:41

hng33

For those skeptical about construction profit, please bear in mind, jaks is originical concession owner, now, team up with global fortune rank no 3. The construction profit during construction period is REAL. The amount of profit is gradually recapitalize jaks shareholding in JV. It is through such arrangement so that jaks need NOT to raise fund UPFRONT to own stake in JV.

2017-08-15 07:44

hng33

To jaks, it is great previlage for it to have opportunity to team up with Top Global fortune, rank no 3, China Power Engineering Consulting Group Co Ltd (CPECC) and such engagement is long lasting throughout 25 year concession. The success record, will equip jaks with experience and pave more opportunity ahead for jaks to grab more contract in future.

2017-08-15 07:44

hng33

Jaks director and CEO just recently exercise ESOS at RM 1.40.

Earlier jaks private placement issue at RM 1.36.

2017-08-15 07:45

Patron

Tan Eng everytime post his sohai research then ho long kan. ahahah

2017-08-15 08:27

calvintaneng

GOOD MORNING TO HNG33,

YOU HAVE GIVEN GOOD REASONS IN DEFENSE OF JAKS!

THIS IS THE CORRECT WAY TO RESPONSE.

THANK YOU.

NOW IT IS TRUE THAT IF JAKS SUCCEED IN VIET POWER PLANT VENTURE IT WILL MOVE OUT OF ITS CYCLICAL NATURE OF CYCLICAL WATER INDUSTRY OF SUPPLYING WATER PIPES AND PROPERTY DEV.

I LEAVE THAT TO THE FUTURE AS TO HOW ITS POWER PLANT PROGRESS IN VIETNAM.

DON'T YOU SEE THE LATENT ASSET OF JAKS IS ALSO FOUND IN BPURI?

AND THE POTENT POWER OF JAKS NOW UNFOLDED WILL ALSO HAPPEN IN BPURI SOME DAY IN FUTURE?

SO DON'T BE SURPRISED... SOME DAY SOME TIME YET FUTURE SOME "OTHER SUPERINVESTOR" WILL ALSO TAKE HUGE POSITION IN BPURI JUST LIKE JAKS.

AND MANY WILL ALSO DISCOVER THE REASONS TO CHASE UP BPURI.

ONCE THERE WERE ONE THOUSAND AND ONE REASONS WHY JAKS WAS NO GOOD WHEN PRICE WAS LOW.

NOW THERE IS ONE THOUSAND AND ONE REASON WHY JAKS IS GOOD WHEN PRICE IS UP.

SO WHILE 99% OF THE PEOPLE STILL DISLIKE BPURI THIS IS THE TIME TO BUY!!

LET ALL SEE BEYOND EMOTIONS AND THINK CAREFULLY. THEN DECIDE.
IT IS YOUR OWN HARD EARNED MONIES YOU INVEST WITH.

SUCCESS OR FAILURE WILL ULTIMATELY AND EVENTUALLY COME BY OUR ACTIONS TODAY.

SOW NOW CAREFULLY IF YOU WANT TO REAP A BOINTIFUL HARVEST IN THE FUTURE.

2017-08-15 08:29

calvintaneng

hpcp,

WHAT YOU BROUGHT UP HAS ALREADY BEEN FACTORED INTO THE SHARE PRICE OF BPURI IN ITS CURRENT SOLD DOWN.

WHERE IS THE PROFIT?

OF COURSE JUST LIKE THOSE WHO MISSED BY JUST SURFACE READING OF FIGURES.

IN YEAR 2012/3 WHEN PM CORP WAS TRADED AT 9 SEN I SHOWED A REMISIER ABOUT THE POTENTIAL OF A STOCK CALLED PM CORP.

HE TOOK A BRIEF GLANCE AT PM CORP'S FEW QUARTERS NEGATIVE REPORTS AND GAVE PM CORP A PASS.

IT WAS JUST A CURSORY GLANCE ON THE INTRINSIC VALUE OF PM CORP AND DIDN'T SEE ANYTHING

HE SAW WITHOUT SEEING!!

AND IF HE HAD BOUGHT PM CORP AT 9 SEN HE WOULD HAVE RECEIVED 8 SEN CASH PAYOUT LATER.

AND TODAY ALL WHO BOUGHT PM CORP AT 9 SEN THEN IS HOLDING PM CORP AT THE UNBELIEVABLE COST OF ONE SEN TODAY.


SO HOW ABOUT BPURI?

HOW TO RECONCILE THE HUGE JOB AWARDS AND THE LITTLE PROFITS. PLUS ASKING FOR MORE MONIES BY RIGHTS ISSUE?

THIS IS CALVIN'S ANSWER

THE PROFITS HAVE BEEN INVESTED AS ASSETS

1. PROPERTIES
2. LATTAR HIGHWAYS (50% OWNED BY BPURI)
3. POWER PLANTS IN INDONESIA
4. OTHER HIDDEN ASSETS AND INVESTMENTS JUST LIKE PM CORP DID.

SO WHEN WILL THEY MONENTISE ASSETS LIKE JAKS IS DOING CURRENTLY?

AFTER THE INSIDERS HAVE LOADED UP BPURI SHARES KAW KAW AT DIRT CHEAP PRICE.

THIS WAS DONE IN MANY OTHER STOCKS OF THE PAST

YEELEE SHARE PRICE CRASHED FROM RM2.00 TO RM1.00 BUT INSIDERS WERE LAPPING IT UP ALL THE WAY DOWN TO RM1.00.

SEEING THIS BOTH CALVIN AND JOHOR SIFU BOUGHT UP YEELEE

AFTER CAPITAL EXERCISE YEELEE PRICE IS ONLY 35 SEN.

SAME HAPPENED TO PTARAS AT RM1.40, HARRISON PLANT AT RM1.30, TNLOGIS WHEN IT WAS DOWN IN THE DUMPS.

AT BOTTOM INSIDERS LOADED UP.

SO WE SPOTTED BPURI INSIDERS MODUS OPERANDI

2017-08-15 08:59

Gen2

It is better off to promote or hard sell TOYOINK than this bpuri, at least there is a chances of getting 2 x 1060mw power plant after negotiations for more than 10 years.

2017-08-15 09:13

firehawk

thanks for sharing ... :)

2017-08-15 09:53

chongyo

BPuri has very high short term borrowing and in negative operational cashflow. Moreover,its margin is very very thin. Need to exercise a bit of caution in this areas.

2017-08-22 05:48

Yaroslav Maksim

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TEL: +7 9265036551

2017-08-29 08:39

Patron

so many fishy old thousand Russians are here @ Singaporean old thousand post. mhmm.

2017-09-03 00:08

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