@ ironcrowz

Consumer Finance business is generally sensitive to economic conditions, and during period of declining economic growth, a conservative approach (based on PBV) to investing will provide adequate margin of safety.

Based on current market price, Aeon Credit's PBV 2.61 is higher than industry average of 1.9505 for Finance/Rental/Leasing business.

Besides, PBV 2.61 is much higher than all the major local Banks (PBV of Maybank 1.25 Public 1.83 HL Bank 1.47 CIMB 0.92) with more diversified financial services instead of strictly consumer financing.

In addition, Aeon Credit's DY 2.86% is lower than those of major local Banks (DY of Maybank 5.87% Public 3.63% RHB Bank 4.51% CIMB 5.23%). For comparison sake, Aeon Credit's DY is even lower than most local Banks 12 months FD rates.

I agree with investing decision for good companies to be based on earnings, provided in period of strong economic growth. Nevertheless, investing decision depends highly on individual's investment objective and risk appetite.

All the best and happy investing !

@ ironcrowz

PBV of 2.0x on BVPS of RM5.98 = RM12

@ ironcrowz

Good pick up, thanks.
Dilution should be 1.8% instead of 4% as per Kenanga Research - 27 Sept 2019.
Perhaps Kenanga can explain how they got the 4%.

https://klse.i3investor.com/blogs/kenangaresearch/226971.jsp

Wilmar is a better choice at current price because of its attractive valuations (ie. lower P/E, lower P/BV, and higher Yield). Besides, Wilmar has a strong market leadership in China, and is seeking to list its China operation.
https://research.sginvestors.io/2019/08/wilmar-international-cgs-cimb-research-2019-08-13.html

RM12 is better.

There could be fundamental dilutive risks with an estimated balance of 49.1 million units of ICULS remaining, which if fully converted could expand its share base by a further 4%.

Net asset value per share has declined to RM5.98 from RM6.37 which is mainly due to the opening downward adjustment to retained earnings of RM344.53 million arising from the adoption of MFRS 9 and a higher capital base from ICULS conversion. Similarly, earnings per share were accordingly impacted, and declined to 133.55 sen from 139.23 sen, notwithstanding a recorded increase in earnings for the year.

PBBANK at RM14 will be more reasonable price with P/E, P/BV, and Yield at level in line with SGX banking giants that are more than double the size of PBBANK by market cap

Bloomberg reported that an undisclosed shareholder in Kuala Lumpur Kepong (KLK) has raised US$159mil after pricing the sale of its entire stake in the company above the midpoint of a marketed range.
The shareholder will not have any holding in KLK after the sale.

between Malaysia and Singapore heavyweight banking stocks, local counters are overpriced with higher P/E (x) Dec-19F, higher P/BV (x) Dec-19F, and lower Yield (%) Dec-19F. It will be wiser to look across the causeway and park your money in SGX banking stocks.

between the 2 current largest shareholders of Cocoaland, ie. Leverage Success Sdn Bhd (38.04 %) and Fraser & Neave Holdings Bhd (27.19 %), which one of them is more likely to have an interest in taking Cocoaland private ? will either one of the existing 2 largest shareholders allow its counterpart to privatise Cocoaland when current share price is depressed ? will the counterpart defend the bid ?

Why public listed companies can justify astronomical amount of CEO pays but they cannot pay employees more decent wages, reward shareholders higher dividends, or offer a fairer and more reasonable price in a takeover bid ?
Please read "Why American CEOs are worried about capitalism", https://www.ft.com/content/138e103a-61a4-11e9-b285-3acd5d43599e

@riskabsorber, thanks for sharing and pointing me in the right direction.
Good luck, and hope collective actions of the minority can thwart the unfair takeover attempt of controlling shareholders.
By the way, controlling shareholders have been accustomed to taking advantage of the minority, please read "Top 20 companies with highest paid CEOs", https://www.thestar.com.my/business/business-news/2019/05/07/five-glcs-among-20-listed-firms-with-highestpaid-ceos/

@riskabsorber, sorry, I am still unclear, rephrase my question as follows :
http://www.bursamalaysia.com/market/securities/equities/market-statist... shows only Total Transacted Shares (ie. 772,092 on 2/5), and your above post says "2/5 Total transacted shares 772,092 but they only manage to get 320,200".
Who are "they" ? does "they" refer to major shareholder Yee Lee Organization Bhd that owns 51.42% of the company ? if so, where did you get the data that says the 320,200 shares were bought by Yee Lee Organization Bhd ?
Hope you can enlighten me re the above, and thanks.

Hi @riskabsorber, http://www.bursamalaysia.com/market/securities/equities/market-statistics/ shows only Total Transacted Shares (ie. 772,092 on 2/5), but does not show the Transacted Volume by Major Shareholders (ie. 320,200). Is the Major Shareholders Transaction taken from other source ?