Posted by kcchongnz > 2013-11-30 17:17 | Report Abuse

As usual an excellent article. I thought I hear so many people want to learn fundamental analysis?

Posted by bsngpg > 2013-11-30 17:36 | Report Abuse

Yes, I am learning fundamental analysis now. Since morning till now, I am still analyzing the Intrinsic Value with DCF. I am stuck on the formulation. I am now in investopedia for the video and example.

I also open your post on Scientex(Posted by kcchongnz > Jan 6, 2013 11:12 AM | Do you have any hidden gem for 2013?) to understand how you assess if a company is considered a gem. I want to try your method on MKH as lately I bought into it.

So, yes, your posts and articles posted by KW Tan help a lot. Thank you.

I read your latest post on Prestariang too. I am searching and reading more on Prestariang. Want to understand what is ICT and how they make $ from ICT and also what is Autodesk. Doing homework is time consuming.
Thanks.

Posted by tsurukame > 2013-11-30 18:25 | Report Abuse

I will focus on well managed companies in TURNAROUND situation in target Industry
Thereafter I will go for the following simple and easily available info on BURSA:
-Chairman message and CEO message- what is their business strategy for top and bottom line growth
-What are future catalyst for business growth..
-What is current EPS? Latest Quarterly EPS, EPS growth rate over EPS in latest Annual Report, EPS in previous Annual Reports(just as good guide on historical company performance....its more really to determine degree of confidence in the company)
-What is the current P/E based on Annual Report, Pro-rated PE based on latest Quarterly Report
-What is cash flow value, Is cash flow positive or negative... main factor to look out for is does the business operation itself generate positive cash flow, does it consistently generate positive cash flow over the past 2-3 years
-If business operation generate reduced or slightly negative cash flow ..find out the root causal factor...if it is due to investment to boost future top line and bottom line growth it should be OK..
-What is the DEBT to EQUITY Capital ratio ..Max ratio 2:1...If company has zero debts and all cash it is even better.

Posted by sephiroth > 2013-11-30 21:52 | Report Abuse

So deep value investing requires guts. You’ve got to pick through the rubble and find value where others aren’t seeing it. You have to see information that others are not seeing, or you have to interpret and act on information that others have, but are misinterpreting or failing to act on. Needless to say, deep value investing requires a considerably large margin of safety to invest with and isn’t for most casual investors.

kcchongnz did exatcly the above when buying fibon,dsonic,homeritz

Posted by Fortunebull > 2013-11-30 22:06 | Report Abuse

Schooled minds based on belief that stocks will find its intrinsic value! Another school of thoughts try to predict direction of stock price! Most unfortunely based on guts, feelings, rumours or sentiment! The great ones pickup ones that others yet to discover! Whatever method used, rest assure rule no.1!

Posted by Vincent Than > 2013-11-30 22:18 | Report Abuse

In Corporate Finance we learn this GDDM but however, we did not learn how to get intrinsic value if a company is still a child and does not pay dividend. If a company does not pay dividend, do we assume the company growth in the future based on the past average growth and then get the intrinsic value??