Market nervous due to US inflation data and potential Fed rate hikes?

Wah... looks like profit taking this morning session

Get ready guys... reaching TP already. Hope to breach 20sen and cabut

How come moved today? Anything happening?

Up again today after yesterday's profit taking

Start collecting guys... and let's enjoy the pump ride

Yes. Get some rest before the bull start to run

Flying today. Announcement coming?

Wait for announcement bro @TCH1186. Maybe can touch .20

Announcement coming? Must be good Q2 results

Yes… let’s hold and let it fly to RM2

Been increasing for the past week. I think announcement is coming

Less than 5 mins to start... already a strong buy queue at 98sen

yes. ikat seat belt kuat kuat

Today up again. Hope can go to 0.20

Moving again this morning. Thanks to the lower US Inflation. Hopefully can breach RM1.00 today

Waiting for the next pump

I think (and hope) it is taking a breather. RSI so high. Where can tahan.

Volume has been increasing and suddenly active today...

The person mentioned by tigerroar owns about 30% of DNEX and is a director at THHEAVY. Interesting...

Yes. Congrats to those who bought at 55sen. Now almost double!

This counter gone crazy! Now up 20 sen. LU mariiiiii

This morning up 10 sen already! Something definitely brewing...

Yes I think this year result going to be good and TP 2 is possible

As of 12:25pm up 6 sen. Something definitely brewing

Based on yesterday's spike, I think got news coming out soon

Finally moving after last night's MOU announcement

Finally moving after last night's announcement. IRIS also moving today

More news coming?

Price pumped after 12pm just now. Good results?

Q1 results out today?

Share price moved just now at 4pm. Anyone know if anything is brewing? Q1 results perhaps?

Share price moved a bit following the NIISE annoucement. Anything else brewing?

Yes I just saw it. Not too bad... Affin's Q1 PBT is 85% up YoY as compared to Maybank's Q1 profit down 14% YoY.

@TheContrarian During the AGM, it was mentioned that for 2022, the target is RM1 billion PBT. Not PAT

Their new dividend policy
1. minimum dividend 25% of profit to be paid as dividends
2. however, that they intend to pay 40% to 60% of their net profits as dividends

So the 12.5sen dividend represents 50% of their net profits for 2021.

I am in AGM. There is going to be special dividend on top of the 12.5 sen dividend at the end of the year. Special dividend will come from the sale of the asset management business

I think the price increased because of the PBT increasing from RM386 mil in for year 2020 to RM700 mil for 2021.

Have you guys registered for the AGM? It will be held online.

can get extra 10% from dividend reinvestment

@redhotpepper I think the dividend reinvestment is for all shareholders

AGM and EGM tomorrow

@TheContrarian I went in when it was 2.00-2.01

If Affin can maintain 2021 PBT of about RM700 mil going forward, and assuming P/E ratio of 10 (most other banks about this size has PE ratio of about 10-14), that would give a rough valuation of RM7b. So price per share should be around RM3.29

https://www.theedgemarkets.com/article/affin-bank-optimistic-loan-growth-despite-its-expectation-another-potential-opr-hike-year?type=malaysia

In the past, the dividend reinvestment (i.e. dividend is paid via issuance of new shares instead of cash) has always be at about 10% discount on the average closing price.

So let's say you are entitled to dividend of RM100. So if you opt for cash dividend, you get RM100 cash.

Let's assume the average closing price of the shares for the past 5 trading days is RM2, then apply 10% discount. That gives you a share price of RM1.80 per share. So if you go for the dividend reinvestment, you will get RM100/RM1.80 in shares, i.e. approx 55 shares. So if the share price remains at RM2, then you can sell the 55 shares for RM110!

Why do banks (e.g. Maybank etc) do this? Simple reason... they need capital for their lending business. So if they pay out cash, there is less capital for them to lend.

I think it is possible. Looking at their presentation to analysts on the sale of the asset management business (see affin.listedcompany.com/misc/investor_presentation/Briefing_28_Jan_2022.pdf), it appears that
1. The asset management business gives them a profit of about RM72m per year
2. The sale proceeds they are getting from the sale is about RM1.4b
3. It appears they are going to reinvest RM1b, hence my guess is that they are going to pay special dividend of RM400m.

Assuming they are going to pay the RM400m special dividend, that translates to about 18sen per share.

On top of that, they claim that the remaining RM1b reinvested in the banking business will yield RM152m income after tax. So the extra earnings (after tax) is about RM80 million per year. Based on PE ratio of say 8, that would give additional EPS of 30sen.

So based on the above, my guess is there is 18sen + 30en = RM48sen upside. That is on top of the 12sen dividend. So yes, I think RM2.50 is possible.

The above is purely my speculative view.

Up 3 sen to 2.17 at the moment. I reckon the sale of the asset management business is the one that should move the needle

Yes. Looking forward to the special dividend (sale of asset management business) on top of the 12.5 sen final dividend

Yes AGM is 25 May. Shareholders have to approve the dividends at the AGM

Today profit taking lah guys