It is merely a healthy correction currently. Just remember that even if oil stay at current price, 85 USD, Reach still can make lots of money. Reach has the potential to ramp up production to 5000 bpd and further to 12000 bpd when central processing facility is completed in the near term. Reach has bigger oil reserve compared to Hibiscus and a massive gas reserve, which has yet to be extracted to preserve the value.

And of course, the oil reserve is bigger than HIBISCUS. If hibiscus can achieve good production volume on the reserve, so will REACH.

One thing you guys did not notice is Reach has huge gas reserve as well. They are not extracting any previously because of low price and to preserve the value. This is something of HUGE potential to earning which is still underappreciated by the market.

my top pick for oil&gas is reach and dayang

Once the market sentiment recover, they will price in the recovery sooner than you think.

Expect "a real turnaround" year for Dayang.

High drilling activities will translate to higher MCM and HUC activities, which is a field that Dayang specialize in. Out of 10 tender package worth 8 billion, Dayang had already secured 4. If Dayang secured another few contract within next few month, it will be a huge plus to Dayang future earning. Utilization rate of Perdana vessel will improve too as they will be utilize for the group activities.

"We firmly believe that 2018 will be a real turnaround for the group in as far as operational performances are concerned, after experiencing poor results over the past two financial years."

Taking cue from current oil price outlook, you can expect activities to be ramping high at the next few quarter. It will be a real turnaround year for Dayang.

Dayang currently has order book of around RM 3billion.

This is probably the only company selling at PE of 1. Anyone did detail research on the company?

Dayang is a very strong contender on the Sabah, Sarawak MCM scene. If you look at its historical return, it is earning double digit return on equity and steady growth over the year. The good operational track record could mean that the company might get a few more contract at current oil and gas recovery cycle. Do note that Dayang had tender for 10 package of the MCM contract, which 4 already secured in recent months.

Correction on taxation :
"The effective tax rate for the current year to-date (before share of results of associated companies)
is higher than the statutory tax rate due to the incurrence of certain expenses that are not
deductible for tax purposes and losses incurred by certain subsidiary companies which do not
qualify for group relief."

I have pretty much covered all the major question, buy or sell decision is solely up to you.

To me, it is unfair to say that Malton is not doing good because of a bad quarter. Rarely is corporate value depend on one quarter or two.

1.PAT figure is somewhat clouded by exceptionally high tax rate, which is eat up all the PBT. It could be due to deferred tax recognized but not cash tax payable on the quarter. What you should look is PBT figure.

2.They generally earn low margin from property development business because of sharing of 18% GDV to Hohup. However, since they did not pay for the land for Bukit Jalil shopping mall, they are going to earn high ROI on shopping mall. Think about it as short term pain for long term gain business model.

3.Property and construction company generally post fluctuating profit because of timing difference on progress recognition. A very good or bad result could happened in any quarter.

4.Construction margin is still ok, and even better as compared to construction company that focus on public project. It is going to be supported by ongoing Pavilion Damansara Heights, The Pavilion hotel, Pavilion Ceylon Hill and Pavilion Embassy projects.

5.My estimate is the Pavilion REIT collaboration with Malton will be concluded within 3 months time. In 1 year time at least 50 to 60% of the shopping mall will be completed. Looking across shopping mall with comparable size, this is still selling at the cheapest price.

6.My worst case scenario on the controversial TTDI project is that it will be scrapped and impairment be made, but it seems likely that it will be scaled down instead. A win-win scenario indeed.

At RM0.80 per share, 7sen dividend will bring a yield of 8.75% while 8sen dividend will bring a yield of 10%

Be patient, Ranhill is a conservative dividend stock. It will not have big up movement, but will bring you 8.6% to 9.9% dividend yield at today price(assuming another dividend at last quarter). I believe that Mr Koon bought it because it has met his stock selection rule.

wonder, thanks for mentioning menara khuan choo. In 2015 annual report, the company mentioned that it will be retained as an investment and is expected to be completed by end 2017. I am not quite sure about the construction progress, but future earning will be further enhanced by this prime asset located adjacent to Pavilion Bukit Bintang.

At today price of RM0.81, 7sen dividend will bring a yield of 8.6% while 8sen dividend will bring a yield of 9.9%.

Ranhill had paid a total of 6 sen dividend this year. If they continue to pay at last quarter like what they did in 2017 and 2016, the total dividend per share will be at least 7 to 8 sen.

If they can payout 50% of the sale proceed to shareholder, they are doing a very good job in adding shareholder value. Also, the remaining stake retained in the group will enhance future value of the company.

For Pavilion BJC, it is going to be a partial stake sale since they said that it is an invitation for ownership. The construction cost could easily exceed 1billion and hence, the selling price should be a decent margin above the cost. The selling price will also depends on the stake percentage, as well as equity + borrowing mix.

Assume that Ranhill continue to pay dividend in the last quarter like 2017 and 2016, the dividend per share this year is at least 7sen to 8sen.

Ranhill is a conservative dividend stock. I see no problem for Ranhill concession get renewed every three year because they are doing a good job in operating and maintaining the water asset. Johor has lowest Non Revenue Water because of the good management. It is very hard for the government to start a new water utility company because of the distribution channel, personnel in place and high operating cost. If you look at capital expenditure, Ranhill spent a lot of money to maintain the water asset for example water treatment, pipeline maintenance and lowering NRW. They are not earning excessive return on the water concession. Hence, it is better for the government to let Ranhill continue to operate the water concession.

On the other hand, if the government want to buyout the company, they will need to pay a reasonable sum of money to ensure smooth takeover, like what happened in Selangor SPLASH.

Ranhill has been steadily improving its profit and EPS since IPO. Its share is much cheaper today when compared with 3 years ago, with improving earning profile and steady dividend payout. You can value the company using dividend discount model.

And of course, trade at your own risk.

In the meantime, you can expect 7-8 sen dividend annually and 4-5% annual growth of water usage from Johor, making it one of the best dividend yield stock in Bursa.

“他表示，倘若目前柔佛水务联熹有限公司的股价下跌，这会是收购该公司的好时机，因为价格相对更加低廉，而收购该公司需要对方的同意。”

From now on, the share price will be closely monitored and it will not trade at too low a price so as to benefit the takeover parties. Judging from the recent acquisition of SPLASH, you can be ensured that if takeover do occur, it will be done on arm's length basis.

apolloang, you can refer to my comment above.

It is one of the best dividend yield stock currently.

Ranhill had been rallying in the pass week because of the surprise 2 sen dividend in august, as the company only pay dividend in first, second, and forth quarter in 2017. Since the company normally pay dividend in the fourth quarter(2016 and 2017), you can reasonably expect another 1 or 2 sen dividend in fourth quarter, making the full year dividend payout at least 7 sen to 8 sen.

And today, the share price still says that : buy MALTON and get shopping mall for free.

For comparison purpose, Damen has NLA of 420920 square feet, while Pavilion Bukit Jalil has NLA of 1.8million sq feet. Damen was sold for RM488m. One thing you can guarantee is that Pavilion Bukit Jalil will worth a lot more than that.

participate in the OWNERSHIP of an on-going development

You can see that Malton is working very hard to enhance shareholder value. Even when Canada Pension Fund stake sale do not materialise, it will sell to Pavilion REIT anyway. Either way, shareholder will benefits as a result. And it seems that it is happening SOONER rather than later. Congrats to patient LONG TERM shareholder.

MALTON - Bukit Jalil City July and August Update
https://klse.i3investor.com/blogs/txfs_blog/169135.jsp

Be patient. When you have a soon-to-be-completed prized asset constructing, other earning bought at PE of 3, there is nothing to be feared. Just wait when naysayer, share flipper and impatient holder selling subside, it will reflect true value one day.

At current price, Malton is selling at PE of 3, which only property and construction profit is included. Seller today is like giving away the shopping mall for free.

MALTON – The Ultimate Question
https://klse.i3investor.com/blogs/txfs_blog/167298.jsp

It has been compressed and depressed for very long, with huge volume done this few months. Just wait when small hand changed to big hand, the ultimate question will be answered.

From DL perspective, he will try not to trigger a mandatory general offer because if he did that, the market will notice the deep value in Malton and he will not easily accumulate large block without paying a premium. Perhaps it is why there are no more buying from him after April and May.

What a golden time that we have.

Coincidentally, major shareholder just bought 1.9% of the outstanding share in April and May. Imagine what the price will be if there are no rule on the Creeping Threshold.

Wow, this is a very useful information, thanks for the sharing uptrending!

Uptrending, why only 2% every six month? Is there any rule regarding this?

2018 EPS is 19.74sen. Even a 15% payout of earning (3 sen dividend) offer a decent yield.

A side note:
Malton normally announces dividend of 2.5 sen to 3 sen in October every year. In 2017, Malton achieved the highest net profit compare to pass five year. It is possible that the company will announce 3 sen dividend or even higher. At RM0.70 per share, 3sen dividend per share will translate to a yield of 4.3%.

Are big hand attempting to answer the ultimate question?
https://klse.i3investor.com/blogs/txfs_blog/167298.jsp

Just look at the huge volume done to date, if there are big hand buying, they are happily accumulating with a small premium pay from lowest point but a big discount from true value.

Yes, it is unfathomable that people are still willing to sell at this price. They forget that they have an upcoming mega-shopping mall. They forget that their company have good sales and order book. They forget that they are selling at one third of book value as well as PE of 3. They forget that most of the stock battered down by fear from trade war and GE14 has already rallied for more than 50% from the lowest point.

MALTON – The Ultimate Question
https://klse.i3investor.com/blogs/txfs_blog/167298.jsp

The question currently is:

1.What is 100% of the shopping mall worth? The market cap today is RM350m. Is it worth only RM350m without counting the value of the property and construction segment?

2. Beside stake sale to Canada Pension Plan, can a better deal be sourced to maximize the value of shareholder? If the deal go through, will it be distributed to shareholder through special dividend?

3. The company is having a huge float on the market. Is institution shareholder/activist willing to build a large position to ensure question 1 and 2 to be addressed?

Yes you are right, we are facing execution risk as well. So it's like Bukit Bintang before Pavilion is built years ago when it is not a tourist hotspot. The design, the offering, the tenancy mix, marketing etc. is the important thing to attract footfall. Of course, size matters because if 1.8m sqft of retail space can be filled up, you will get anything you want there and hence less people will go to the second tier and third tier shopping mall. Logically, retailer will look for the best mall. If management is competent enough, they will have no problem executing this and get the retailer filled up the space. Just not forget that it is riding on the Pavilion branding and sharing the same management team with Pavilion Bukit Bintang.