Mudajaya scouts for regional power plants to boost recurring income.
http://biz.thestar.com.my/news/story.asp?file=/2013/6/18/business/20130618123954&sec=business

There's nothing in there that we didn't already know.

1 lot is equal to 100 shares.
RM0.03 per share x 100 shares = RM3 dividend per lot.

15% x Par value.
Par value is RM0.20 per share.
So 15% x RM0.20 = RM0.03 dividend per share.

This stock is looking more and more like a value trap. My paper loss is piling up.

I couldn't the figures in CIMB report. However, the CIMB analyst calculated the Fair Value of the 26% stake based on 20 years discounted cash flows is RM494.7 mil. This is about RM0.99 per share.

http://cdn1.i3investor.com/my/files/dfgs88n/2013/05/22/1478426045--2093584684.pdf

I found in RHB report the profit of about RM88 mil. This would translate to about EPS RM0.15 just for the IPP.

http://cdn1.i3investor.com/my/files/dfgs88n/2013/05/15/1478400220-724285297.pdf

If FV = RM0.99, and EPS = 0.15, then P/E = 6.6
This is very low P/E for a recurring income. Either the FV is too pessimistic, or the EPS is overly optimistic. Possibly the low P/E is to reflect the risk in the India project. After the project is completed and the powerplant starts operation then probably the P/E might adjust higher.

LawrenceLim, I found something interesting. Last paragraph of the article.
"Mudajaya guided share of profits to the tune of RM100 million per annum from its 26 per cent stake in RKM Powergen upon full commissioning."

Read more: http://www.theborneopost.com/2013/02/01/mudajaya-bags-rm1-billion-in-new-contract-wins/#ixzz2VmbUgNmv

RM100 million / 550 million shares = about EPS RM 0.18.
Earlier you stated is about RM 0.06. May I know your source?

Is this company in the running for any existing tender? Any upcoming tender?

Thanks. I also hope they bag more projects with recurring income.

Thanks LawrenceLim. I read somewhere the CEO/MD said that in future the recurring income will make up 60% to 70% of the company's earnings. Based on last year's EPS, I thought the EPS from the India IPP would be about 60% x 43 sen = 26 sen. Guess I was wrong.

Is there any other projects in the pipeline that will produce recurring income? I just wonder why the CEO/MD made the claim about 60% to 70% of earnings will be recurring income.

Does anybody know how much is the recurring earnings that is supposed to be generated from the 26% stake in the India power plant after the project is completed?

OK. Thanks.

malaysiaboleh, Is your valuation of Magnum at 3.50 inclusive of the 0.485 capital repayment?

What's the growth prospect of this gaming business? I looked at the last few years revenue and seems like no growth in the gaming business.

I'm back into Padini @ 1.79.

May I know... can the power plant in India operate before the new Fuel Supply Agreement is signed?

I'm surprise the stock price can hold out so well despite all the negative news and sentiment surrounding this stock. Perhaps the stock price has already reached the bottom?

What's the purpose of artificially pushing up the share if the price for the placement have already been fixed at 2.94?

What's happening? I thought the price suppose to crash? Why is it rising?
This morning I queue 2.97 hoping to average down. Luckily I didn't plan to sell and buy back lower.

That sucks big time.

Why big sales?
The indicative price is RM3.24
http://www.theedgemalaysia.com/business-news/230509-s-p-setia-halts-trade-of-shares-to-initiate-the-book-building-process.html

Hahahaha. No more bullets. Wait next month reload bullets.

My name is small fish. You know how small? Size like ikan bilis. Lost more than half of my capital on MEGB and Padini. Now left very little capital only.

Bought some at 3.10 and 3.05 to average down my cost.
I hope can reach the analyst Target Price soon :)

I see. This makes sense.
The WB buyer is buying at a discount to the mother share to compensate for the risk during the conversion period.

If a person thinks there's a risk that in a weeks time the mother share can dip below 3.06, then why does this person buy the mother share now at 3.15 instead of waiting a week later to buy when the mother share dip below 3.06?

What I don't understand is, why people buy the mother share at 3.15 when they could have bought the WB at 0.07 and convert it to mother share. Total cost would be 0.07 + 2.99 = 3.06 only. Does anybody have any idea?

This week is the last week to trade WB right? I don't see a panic sell. Does this mean that the holders of WB are ready to convert to mother share, and the price has stabilised around 3.10? Or do you think there will be a panic sell later just before the WB stop trading?

So basically, the stock price have gone back to the same level as before PNB made the offer. And even that time, the stock was sliding downwards. If the PNB offer didn't come, then the stock might have reached RM2.XX. Is what should have happened in 2011, now happening in 2012?

Can anybody tell me what happened between 27th Sep 2011 and 29th Sep 2011? This stock price shot up about 30% in few days and stayed there for a long time.

What means "wait T+3 for uptrend confirmation"
Which is T date? 12th or 13th?

The sell queue at 3.11 just cannot die. Everytime it is bought up, it comes back to life again.

So, YoY earnings grew only 6.7%. Is this considered good?
Target RM5 billion revenue next year? That's double what they achieved this year. Is it realistic?

Anybody has a preview of the earnings report?

Thanks all for your kinds words.
I guess the lesson for me is don't "show hand". If I had not bought Padini with the max margin I have, I would not have breached the margin call. And I would have continued to held it. And would have enjoyed the rebound.

yd3556. nothing, just setia.

Smile... because I could not stand the margin call any longer. Been selling my good stock to cover Padini's margin call. Been depositing fresh cash to cover my margin call... from 2.2x all the way until 1.8x. I had no more $$ to cover the margin call anymore. So I sold at 1.7x. Few days after I sold, stock rebounded to 1.9x. In the meantime, after selling Padini, I bought Setia at 3.1x. I really bad luck.
And before Padini, I bought MEGB. Look where the stock is now.
MEGB show hand > lost almost 50%.
Padini show hand > lost 20%
Setia show hand > lost 3% in 2 days.

Sorry guys. The stock drop because of me :(
I bad luck. The last 3 stock I bought, ended up dropping after I "show hand".

What's a realistic target price range in the next 3 months? Possible to reach 3.60?

I think they are refering to earnings release on 12/12/12.
So, does anybody have a preview of the earnings report?

what happens on 12/12/12 ?

da fark... it rebounds after i cut loss.

I've sold off all my shares in Padini. Sayonara!

Sold my Padini. Cannot tahan the margin call anymore.

Fat Cat Tim, not everybody is as optimistic as you. Remember that H&M started operating only in Q2. So Q2 earnings might down more than 5.2% YoY.

Sigh... I no eye see this stock la.
Every stock I touch, I sure bleed.
I'm going to sell off all my stock and buy property instead. My property is giving me good returns. Maybe real estate is better for me compare to equity.

I'm going to be very very disappointed if after all the money spent on expansion, the result is YoY net profit is lower.

What's happening? The funds have been selling for 3 months still haven't finish selling?

Looks like it's going to be a bad earnings report next week.

thanks hooi.

Hooi, you don't feel sleepy while watching Padini? Today is so slow. One hour = 1 transaction. By the way which broker do you use?