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3iii | Joined since 2015-02-07

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News & Blogs

3 weeks ago | Report Abuse

ZELAN
19.8.2016 19 SEN
7.3.2024 5.5 SEN

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3 weeks ago | Report Abuse

RCECAP

12.8.2016 MYR 0.60
7.3.2024 MYR 2.85

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3 weeks ago | Report Abuse

PM CORP

29.4.2016 28 SEN
7.3.2024 18 SEN

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3 weeks ago | Report Abuse

WASEONG
17.3.2016 0.74 MYR
7.3.2024 1.18 MYR

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3 weeks ago | Report Abuse

WASEONG
17.3.2016 0.74 MYR
7.3.2024 1.18 MYR

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3 weeks ago | Report Abuse

YTLPOWER

18.3.2016 RM 1.38
7.3.2024 RM 3.84

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3 weeks ago | Report Abuse

MULPHA
26.2.2016 2.45
7.3.2024 2.32

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3 weeks ago | Report Abuse

BCORP
12.2.2016 34 SEN
7.3.2024 30 SEN

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3 weeks ago | Report Abuse

PMCORP
5TH FEB 2016 27 SEN
7TH MARCH 2024 18 SEN

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3 weeks ago | Report Abuse

PMCORP
5TH FEB 2016 27 SEN
7TH MARCH 2024 18 SEN

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3 weeks ago | Report Abuse

PMCORP
5TH FEB 2016 27 SEN
7TH MARCH 2024 18 SEN

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3 weeks ago | Report Abuse

MPHB CAP

15TH JAN 2015 1.50 MYR PER SHARE
7TH MARCH 2024 1.08 MYR PER SHARE

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3 weeks ago | Report Abuse

MPHB CAP

15TH JAN 2015 1.50 MYR PER SHARE
7TH MARCH 2024 1.08 MYR PER SHARE

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3 weeks ago | Report Abuse

MPHB CAP

15TH JAN 2015 1.50 MYR PER SHARE
7TH MARCH 2024 1.08 MYR PER SHARE

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3 weeks ago | Report Abuse

NYLEX
JAN 2016 7.9 SEN PER SHARE
7TH MARCH 2024 24 SEN PER SHARE

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3 weeks ago | Report Abuse

NYLEX
JAN 2016 7.9 SEN PER SHARE
7TH MARCH 2024 24 SEN PER SHARE

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3 weeks ago | Report Abuse

NYLEX
JAN 2016 7.9 SEN PER SHARE
7TH MARCH 2024 24 SEN PER SHARE

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3 weeks ago | Report Abuse

NYLEX
JAN 2016 7.9 SEN PER SHARE
7TH MARCH 2024 24 SEN PER SHARE

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3 weeks ago | Report Abuse

Dutaland
8th Jan 2016 44 sen
7th March 2024 31 sen

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3 weeks ago | Report Abuse

Dutaland
8th Jan 2016 44 sen
7th March 2024 31 sen

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3 weeks ago | Report Abuse

Dutaland
8th Jan 2016 44 sen
7th March 2024 31 sen

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3 weeks ago | Report Abuse

15th Jan 2016 Opcom was priced at 0.77 MYR per share.
7th March 2024, Opcom is priced at 0.38 MYR per share

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3 weeks ago | Report Abuse

On 8th Jan 2016, Jayatiasa was priced 1.73 MYR per share.
On 7th March 2024, Jayatiasa is priced 1.46 MYR per share.

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3 weeks ago | Report Abuse

On 8th Jan 2016, Jayatiasa was priced 1.73 MYR per share.
On 7th March 2024, Jayatiasa is priced 1.46 MYR per share.

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3 weeks ago | Report Abuse

Share price of PMCorp is 20 sen per share today.

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3 weeks ago | Report Abuse

>>>

Felix888999

1,423 posts

Posted by Felix888999 > 1 hour ago | Report Abuse

Repost from TG forum:

Which shameless liar posted this whopping 688% TP 2.00?
Dare to post but no balls or no brain to proof it? Hahahahahahah

Stock: [PMCORP]: PAN MALAYSIA CORPORATION BHD

2013-12-10 19:53 | Report Abuse

Hi Chrollo

Welcome to this thread.

This counter is for long term investors. My timeline is 5 years and I expect rm2.0 by then with a steady dividend payout. Others may have other TP.

Your entry price now is lower than most of us here. My average entry cost is .245. Cumulated from .19 till .35

Cheers .

>>>

News & Blogs

3 weeks ago | Report Abuse

The classic most well known value trap company is Berkshire Hathaway.

Buffett acquired BH as he assessed it to be very undervalued. It was in the textile mill business which was in a long period of decline. Its assets were depreciating. To update its manufacturing facilities, it required injection of much needed new capital. Yet, these new capital did not achieve any returns, probably negative returns. He was forced to restructure his business, closing down plants, retrenching workers and not putting new capital into existing business. Competition was fierce from international companies which had lower cost advantage.

BH was indeed a classic value trap. It was comforting to know that even Buffett was not infallable.

Eventually, he restructured BH to be what it is today, a totally different company from the time he bought it.

News & Blogs

3 weeks ago | Report Abuse

When a undervalued company with good fundamentals become value trap?

Benjamin Graham, the father of value investing, specialised in this group of stocks. He has a check list to select these stocks. His advice is to buy a group of them, and based on probability, the outcome of the group will be a positive, though at an individual stock level, this maybe unpredictable. (This approach is unlike that of Buffett, another value investor.)

According to Benjamin Graham, he observed these stocks and locked in the profits through selling when the prices crept upwards towards its "intrinsic value". Those undervalued stocks that did not "perform" by the end of 2 years, he sold. There is an opportunity cost for holding onto underperformers or poor performers for too long.



The approach of Buffett was different. He identified a severely undervalued stock. He bought a lot of it. Then he became an activist to get the management to take actions to realise the full value of the stock. He even got into the board of director of the company to influence the management. Then he cashed out with his profits.

News & Blogs

3 weeks ago | Report Abuse

Oriental Holdings
.
Is this another value trap? It is undervalued, no doubt.

It holds valuable asset. Possibly, asset play.

However, it is not growing its business. Where are the growth areas?

It pays dividends. Its dividends have increased yearly.

Its DPO ratio is low and it retained most of its earnings at low ROE.

Will you be willing to hold this stock with a low dividend income and no good growth prospects for the short and medium term?

What will unlock the full value of this stock .. and when?

News & Blogs

3 weeks ago | Report Abuse

Was KAF a value trap when it was listed?

This company was taken private by its major shareholders a few years back at ?2.80 per share.

For a very long time, it was trading at a price of 1.50 per share. For this, you obtained a regular dividend equivalent to 5% yield, well above the risk free fixed deposit rate at that time.

For those who knew the assets within this company, it possessed a valuable piece of land in the KLCC area, which was not re-valued. Of course, this real estate got more and more valuable each year.

Those who bought into this company, which was "undervalued" based on its assets was at least able to console themselves that they received regular dividend incomes equivalent to 5% annually.

Nothing moved for years and decades. One fine day, the major shareholders (Khatijah & Friends) made an offer to take the company private. Those who had this share were thus rewarded for their patience. And yes, a lot of patience indeed. Yet, can one be certain that the investment will play out according to your book?

I have this stock since its listing and when it was taken private, it was a 5x + multibagger, excluding the dividends.

News & Blogs

3 weeks ago | Report Abuse

>>>
In past, Juan Kuang paid little dividend, kept most of the retained earnings in the company, the directors enjoy good remunerations and perks, and at the appropriate time, the company was taken private for a song. The minority shareholders did not benefit from the good fortune of this company. Thus, it was appropriately priced at very low valuation in the stock market at that time. (I do not own this stock, but know the history.)

>>>

Previous listed and taken private many years ago, Juan Kuang is a very good past example of a value trap stock. It was profitable, the company grew its equity yearly through continuous retained earnings, it distributed pittance dividends (if at all?), its valuation was by various measures "cheap" (*low PE, low P/BV, DY relatively high*) and finally it was taken private at a small premium to its very low market price.

Those who invested into Juan Kuang hoping for its price to climbed closing the price to book value gap were all disappointed.

News & Blogs

3 weeks ago | Report Abuse

>>>

BLee Please also ask "if majority holders control 51% of a company, how to break out of value trap? Tq
06/03/2024 8:39 AM

>>>

Yes. Many Malaysian companies are controlled by families. The rewards to the minority shareholders are dependent on the generosity and thinking of the major controlling shareholders.

Some examples: KSL did not pay dividends, though profitable. However, development and construction company are best avoided, as it is difficult to value such company. Also, difficult to track its true accounts.

SAB is another. It pays dividends but has not increased its dividends for many years. Its NTA continues to grow due to retained earnings. It is undervalued, an asset play and also I suppose, if you wish to get your reward quickly, a value trap. :-)

There are many companies in the same category. In past, Juan Kuang paid little dividend, kept most of the retained earnings in the company, the directors enjoy good remunerations and perks, and at the appropriate time, the company was taken private for a song. The minority shareholders did not benefit from the good fortune of this company. Thus, it was appropriately priced at very low valuation in the stock market at that time. (I do not own this stock, but know the history.)

News & Blogs

3 weeks ago | Report Abuse

User
How do value traps unfold to deliver value eventually


ChatGPT
A value trap may eventually deliver value if certain conditions change, leading to a positive reevaluation of the company by the market. Here are some scenarios in which a value trap might unfold to deliver value:

Operational Turnaround:

If the company successfully implements strategic initiatives to improve its operations, cut costs, or innovate its products and services, it could lead to improved financial performance. Investors may recognize these positive changes, causing the stock price to rise.
Industry Rebound:

If the industry in which the company operates experiences a turnaround or a period of growth, the company's fortunes may improve. A broader industry recovery can positively impact even struggling companies within that sector.
New Leadership:

A change in leadership, particularly if it brings in experienced and effective executives, can lead to a revitalization of the company. Strong management can implement new strategies, improve efficiency, and restore investor confidence.
Market Recognition of Undervaluation:

Sometimes, the market may eventually recognize the undervaluation of a stock. As more investors become aware of the discrepancy between the stock's price and its intrinsic value, demand for the stock may increase, driving up its price.
Resolution of Temporary Issues:

If the company is facing temporary challenges, such as legal issues, regulatory hurdles, or short-term economic difficulties, a resolution of these issues can pave the way for the stock to rebound.
Strategic Partnerships or Acquisitions:

Strategic partnerships, mergers, or acquisitions that enhance the company's competitiveness and market position can contribute to a positive reevaluation by investors. Such moves may improve growth prospects and overall business stability.
Positive Earnings Surprises:

If the company consistently outperforms market expectations and delivers positive earnings surprises, investor sentiment may shift, leading to increased confidence in the company's ability to generate value.
Market Rotation or Trends:

Changes in market trends or investor preferences can lead to a rotation into previously overlooked sectors or stocks. If the market starts favoring value stocks, the stock that was once considered a value trap may attract renewed interest.
Share Buybacks or Dividend Initiatives:

Companies using excess cash to repurchase shares or initiate dividend payments may signal confidence in their future prospects. These shareholder-friendly actions can attract investors and contribute to stock price appreciation.
Macroeconomic Factors:

Improvements in macroeconomic conditions, such as interest rate changes, economic growth, or regulatory shifts, can positively impact a company's outlook and contribute to a reevaluation by the market.
It's important to note that not all value traps eventually deliver value, and investing always involves risks. Thorough research and ongoing monitoring of the company and its industry are essential to identify any positive developments or changes that may contribute to a turnaround. Investors should remain vigilant and adapt their strategies based on evolving market conditions and company fundamentals.

News & Blogs

3 weeks ago | Report Abuse

Main difference between an undervalued stock and a value trap is:

one is a genuinely undervalued stocks with strong fundamentals and the other is not; it is valued low for a reason (a value trap).

Accordingly, a stock is trading at a low PE and maybe appropriately priced or even a value trap. Still has to do a lot of analysis of its quality, management and fundamentals.

News & Blogs

3 weeks ago | Report Abuse

Define a value trap in share investing


ChatGPT

A value trap in share investing refers to a situation where a stock appears to be undervalued based on traditional financial metrics such as low price-to-earnings (P/E) ratio, price-to-book (P/B) ratio, or dividend yield. Investors may be attracted to these seemingly cheap valuations, hoping for potential future gains as the market corrects and recognizes the stock's true value.

However, the danger of a value trap lies in the fact that the stock may be cheap for a reason. The company might be facing fundamental problems, such as declining revenues, poor management, industry headwinds, or an outdated business model. Despite the apparent value, these issues can prevent the stock from recovering or experiencing the expected growth, leading to a prolonged period of underperformance or even permanent loss of capital for investors.

Investors need to be cautious and conduct thorough research to distinguish between genuinely undervalued stocks with strong fundamentals and those that are value traps. Simply relying on low valuation metrics without understanding the underlying reasons for the low valuation can expose investors to significant risks. Due diligence, analysis of the company's financial health, competitive position, and future prospects are essential to avoid falling into the trap of investing in a stock that may not deliver the expected returns.

Stock

3 weeks ago | Report Abuse

How can someone who claims to be Jesus fearing spread so much lies and untruth deliberately?

He is so different from many believers whom I have the pleasure to acquaint.