http://klse.i3investor.com/blogs/changwt/106927.jsp

Actually, one glance is enough to notice that something is not right with Megan.

>Selling at around 67 cents
>NTA is over Rm2.00
>P/E only 3
>And pay a small dividend.

Check the China listed counters in Bursa... see familiar trend?

Not entirely correct about the receivables part.
You see, receivables can be categorized as short-term receivables and long-term receivables.
Any receivables due more than twelve months date are considered as long-term receivables, not bad debt.

When the company is unsure of collecting the receivable, they make an account called "allowance for doubtful debt". It is when they have ascertain the debt is not collectible, it be then categorized as bad debts.

万事俱备，只欠东风。

Haha no lah CFT brother, Hevea didn't go up much also.
Your stocks performed even better than mine I think.

Thanks KC and Raider for the input.

My opinion differs from yours paperplane, with so much cash piling up in Heveaboard, I think it actually make sense for them to have a new business venture since they aren't using the cash much, and is rather conservative in capex and growth.

Mind you, all the furniture and wood industry is cyclical, so this allows them to diversify their core business.

If your intention is indeed noble Calvin, it's may even be better not to hard sell it too much.

Just like sales, people always take hard selling the wrong way, and this defeats your purpose and backfire.

Just like how Icon8888 only wrote 4-5 pieces of articles per stock, keep it simple and minimal Calvin, but compact and concentrated with many useful information.
This creates value this way, rather than stacking many articles that doesn't create value.

After all, value is what we value investor look for, agree Calvin?

Hi Kc, I've never invested in any mutual funds before. I've mostly invested in the market by myself using the wisdom and knowledge from Graham and Doddsville.

But I would like to recommend mutual funds to a friend that wishes to invest but do not have the time and knowledge to do so.
Do you mind to share your experience with me how do much they charge (Registration fee, annually, commission, etc)?

Thank you in advance.

Hi raider and paperplane, glad to see you both here in wtk.

If you really think it's that good Calvin, then there's no need to hard sell.

“In the short run the stock market in a popularity contest, but in the long run it is a weighing machine.” - Warren Buffett.

It's value will eventually surface if it's really good, or drown if it's actually a value trap.

As a value investor, we practice contrarianism, and hold a stock with great patience until the market finally agrees with us. There's no need to promote a stock at all. It does not add any value by doing so.

Low P/B should take care of the downside. Plus company has a lot of cash.

I brought a bit for the CPO segment.
盛产期是由第七年至十七年之间的十年，产量最高。
So it should bear fruit very soon.

Finally woke up after coma for half a year.
Patience is virtue indeed. Really 守得云开见月明.

Fantastic result!

Super overdue liao this correction. RSI remained overbought for too long.
Need some healthy correction first. Chart is showing weakness for now.

Sapu 2nd round.

Every day talk about market crash, and eventually market will crash someday. Then you can easily label yourself a "genius". You call that genius?
What about Marc Faber, TTB? They have been saying that every year. Are they more genius than you?

Can only say guts and patience pays off loh.
OTB, Icon, CFT, we all brought Gkent when nobody brought.
Paperplane last time you some more argue with me when I told you Gkent is good when it was below 1.50.
Luckily you joined us in the end, if not you missed the boat. :D

Wow, manyak cantik. These 2 days got some volume.
Back to 20EMA and Fib 61.8% support.
Trend reversal incoming?

Thanks imoogi99

@Yi - Oh sorry haha, I thot you were gek sam because I noticed you mentioned Gkent twice in your articles. Misunderstood haha.
Regarding banker push or not, we don't really have a say on that. We are just small fish in the sea of bursa, agree no? :)
All we can do is if you think it's overvalued for now, stay cautious. Common economic theory suggested that either the prices have to come down, or the earnings must go up. If the prices don't come down, then earning has to come up. For gkent, they got another new contract recently, I haven't update my research for some time due to busy with work, let's chat about it when I do.

I'm very happy for you too Yi. Your gains in TGUAN and others are exceptional.
I've learned a lot from you. Gambateh brother!

Way to go shinado. 12.8%

If Fed don't raise interest rate soon, the bubble will become even bigger when it explodes.

Chill la Yi, salesman are everywhere.
You can fend one but you cannot them fend all, might as well just ignore them.
Lol why you so gek sam with Gkent for? Satu analysis wrong does not mean all your analysis wrong ma.
I actually enjoy your articles a lot, it reminds me not to be overly optimistic during good times, and not to be overly pessimistic during bad times.
Howard Marks' Second level thinking.

KC, rather than self investing vs public mutual, I'm more interested in knowing the comparison of property investment vs stock investment.
I believe not many has written a comparison of them before.
Will you write about it one day? Thank you.

@probability - Oh, no worries. I was genuinely expressing concerned as I'm vested.
Didn't know you are joking. Haha.

probability, where did you find this information?

Posted by probability > Sep 11, 2016 04:33 PM | Report Abuse

30M worth plywood exported rejected due to Quality non-compliance.
Next qtr book value drop to 1.20.

@YiStock - 兄弟，你不当诗人真的是世界的损失啊。华语界需要你这样的人才。

It took you 8 years to wake up, CP. 8 years.
That's a very long time. But at least you're finally waking up.
No more dreaming of market crash and nonsense. See what happened to TTB? So many years wasted thinking of market crash, and nothing happened.

Ask yourself this, how much money have you made over this 8 years?
Then read this: http://klse.i3investor.com/blogs/kcchongnz/104168.jsp then think.

Taking the first step is the hardest and most important.
Stop being arrogant and stubborn. Stay humble and learn from others.
Not everyone criticize you because they are negative people. Some of us do it because we are trying to point the right direction to you, yet you never realize that and never thank them but responded aggressively.

There are many good sifu like Icon8888, kcchongnz in the forum. Learn from them.
A good teacher learn from other great teachers.

As a fellow forumner, I'm happy for you, really.

Paperplane, have you mistaken Johan for Gkent? CFT is taking about Johan.

I like your story, it's a humorous way to describe it.
Yes you are right CFT bro. That is not real profit.
This is why I emphasis on "buying for the core business itself", I usually focus more on the Cash Flow Statement, where It is less easier to manipulative. Any money that does not come from core business or operations (OCF), I usually disregard it, because it could be one-time gain, impairments, etc.

"Invest in What You Know" - Peter Lynch.
Being a proxy does not necessarily means you will fully benefit from it. See Inari and Insas.
If you are buying a company, make sure you are buying for the core business itself, rather than proxy. Let us do a very simple fundamental analysis of Johan itself.

Revenue - Down trending.
Net income - Negative and flat.
EBIDA - Negative and down trending.
Long term debt - Skyrocket.
Retained Earnings - Negative.
OCF - at least it's Positive.
Capex - Skyrocket.
FCF - Positive but inconsistent.

Looking at the big picture, there are multiple red flags. The only thing good is the at least the cash flow is still positive.

@CFT bro - Hi bro, I've already sent you an e-mail. Please check your e-mail, thank you.

@William Loh - Haha, paiseh. And thanks for the compliment.

"Anyway do you have any idea on how could USD, I mean after the POTUS election, can it relate to the FLB? or after the Q3 Q4 results out, it makes me hesitate for a while whether is it the correct timing yet to enter now. Mind enlighten me a little?"

I've actually wrote this in FLBHD before, not sure if you read it:

"Plus, real fundamentals don't fluctuate day by day, not by Forex, Tax rate, etc. That's not how fundamentals works."

It may not be a satisfactory answer to you. But it is the truth.

"Forecasts about the economy and future twists and turns in stock markets are dangerous and probably worthless in the long run." - Howard Marks.

Ask yourself this, how many economist have CONSISTENTLY in correctly predicted the right projection? When ringgit was 3.3, they predicted 3.8, but it crashed to 4.5. Then they predicted 5.0 and beyond, but it rebounded to 3.8. When they think it stabilized at 3.8, now it crashed to 4.10, then now 4.05.

TTB have predicted market crash for almost 6-7 years, yet nothing happened. Marc Faber have been shouting crash almost every year, see where we are today?

Instead, pay attention to Valuations, Balance sheets, and Income statements and less on Economic forecasts and markets. The more we concentrate on smaller-picture things, the more it’s possible to gain a knowledge advantage.

This is why you need to have the correct mindset in investing. When one's mindset is wrong, you will never reach the destination. This is why reading the book is important.

@William Loh - Wah, don't stalk my profile leh, hahaha. I don't want to be held responsible for your losses. I mean, I make investment mistakes too, and sometimes people blame me for that.

(Since I'm a little free, today I'll teach you a bit on diversification.)

“I like the idea of owning a number of stocks. Warren Buffet is happy owning a few stocks, and he is right if he is Warren….” - Walter Schloss

If my basket has 10 apples, and 3 is spoiled, I still win as long as the 7 apples is good. This is how you win in the stock market.
But some people don't understand that, and if they bet big on 3 of them solely based on someone's stock pick's or recommendation (for example, a certain golden rule trader), they may get wiped out, while the stock picker may only suffer minor losses in their portfolio. That's is the difference, and the reason why I don't encourage people to follow others.

Anyway, I love buying a stock when it's down and nobody wants. When I hear everyone is super bearish on a stock but the stock fundamental is good. It's like the stock is screaming a signal to me: "Buy, buy, buy!".

Wow, new tp RM 4.0. Excellent.

My condolences. May he rest in peace.

You are welcome. Reading this is like reading Shakespeare.
It's very difficult at your first read, but by the time you read it a second time, you will start to get the flow.
The third time you read it, you will become a Shakespearean.
Buffett is known to read this book for 4th times and beyond.

@chl1989 The fcf is damn superb lah. 13mil average per annum. But ppl do not appreciate that. Ppl just look at earning :)

Hahaha! I've finally found someone who has the same view as me. 知己啊！Cheers!

Current Ratio is 12.85, Quick Ratio is 9.70, Financial Leverage is 1.08.
No debt, Tons of cash and liquidity. High FCF generation.
"Focus on the downside and the upside will take care of itself". - Mark Sellers.
In the worst case of financial crisis, FLBHD won't bankrupt.

The only issue is it's Cash Conversion Cycle is a bit high.
I can only say, one man's trash is another man's treasure.

@William Loh - I rarely do, but I actually agree with paperplane's statement.

Investment is all about yourself.
Think this way, your are you own chef. You make your own signature dish by combining your knowledge and experience. Another chef's cooking style may not necessarily suits you.
Everybody has their own investment style. As long as it makes money, you know you are doing it right. If it's not, you might want to consider what went wrong.

"An investment in knowledge pays the best interest." - Benjamin Franklin.
I think if you are a newbie in the stock market, you should first learn the proper mindset of an investor. Without the right mindset, your direction is screwed, and when your direction is wrong, no matter where you walk, you will never reach your destination.
Hence I encourage this book to any newbie investor, you can buy it thru amazon or go any local book store.
https://www.amazon.com/Intelligent-Investor-Definitive-Investing-Essentials/dp/0060555661

Some blogger trader in i3 I know, spend 8 years in the market without learning anything but CUT LOSS and selling keropok. I feel sad for him. He is directionally lost yet refuse to admit it. Don't be like him.

"If you dont know what the market player is doing, my advice is don't even touch the stock although you are very well-versed with those fundamental TA FA fck etc non-sense. You simply can't beat them" - salted fish.

Haha. If insider information can be trusted, Warren Buffett, Peter Lynch, Seth Klarman will go bankrupt many, many years ago. They won't be billionaires today. Insiders will rule Wall Street and not them.
The fact that they thrive, is a living proof that that you can beat insider information.

Certainly, the next 2Q is unlikely to be able to beat last year.
The Tax Rate is much higher now, the Forex is much lower now. This eats into it's Net Profit.
But that should not be the reason why you are buying this stock, cause if you are, you are doing it wrong. Very, very wrong.

The reason why you should be buying is simple, "Focus on the downside and the upside will take care of itself". - Mark Sellers.
You are buying this stock because it's cheap enough, and the bad news already factored in the price. When the downside is limited, it makes a lot of room for upside.
Understand that "Wonderful companies become risky when people overpay for them.” - Peter Lynch

Also Understand that timber is also a form of commodity, and is subjected to reversion of mean. When you buy at the low now, when it reverses to the mean, is how you make a profit.
Some call this contrarian. I call this simply known as "Investing".

Plus, real fundamentals don't fluctuate day by day, not by forex, tax rate, etc. That's not how fundamentals works.

Looks like Mieco is in for a long winter. This one I keep in freezer.
With most export stocks crashing, I'll focus more on better and cheaper stocks.

Warren Buffett: "Be fearful when others are greedy, be greedy when others are fearful."
Such is the way of investing.

Now the game's name is project execution risk. As long as they do it well, this will leave a very good track record for the future.
Since they are tendering for more rail projects in Europe, this track record will play a very crucial role - because currency here is cheaper, and if Gkent can provide the kind of quality work, surely European will consider them over some Chinese construction company.

They say opportunity doesn't strike twice. I disagree.
Last time when it falls to 1.30, I wanted to buy, but didn't.
Later when KYY promoted, then it shot to RM 3.00, so damn amdui.
So now the golden opportunity revisits like last time - people no longer give attention and love to this stock, namely same situation, surely I will sapu it this time.

Today I sapu some again.
“别人笑我太疯癫，我笑他人看不穿。”

There's nothing we can do if the two families fight, since we're outsider to the company.
So what we can do, is to focus on what we always do - analyze the company's fundamental and believe in it. Sometimes faith decides if you truly deserve the gain.
As Waren Buffett says: “If you aren’t thinking about owning a stock for 10 years, don’t even think about owning it for 10 minutes.”

MGO 0.90 provides as a floor from falling further.