Posted by Pak Lah > 2014-04-10 14:17 | Report Abuse

Thanks kcchongnz!

Posted by bracoli > 2014-04-10 14:18 | Report Abuse

Pak Lah tak tidor ke?

Posted by Pak Lah > 2014-04-10 14:32 | Report Abuse

Bracoli, let's make money together thanks to kcchongnz.

Posted by RonnieKimLondon > 2014-04-11 02:24 | Report Abuse

Boilermech's ROE is 32%. Has net cash position of 35sen per share. PER of 18x looks attractive.

Posted by kcchongnz > 2014-04-11 06:06 | Report Abuse

Boilermech certainly is great company with its efficiencies and growth, much better than its competitors.

However, as an ordinary person, would you pay RM1m for a new BMW 5-Series 535i, which is retailed at about RM600,000; or RM50,000 for a new Honda Accord 2.4 which is retailed at about RM170k?

Also check how you get a PE ratio of 18 with a share price of BoilerMech at RM3.05 a piece.

Posted by stockoperator > 2014-04-11 13:04 | Report Abuse

Warren comments that return for capital intensive company is not going to be spectacular but if well managed is to be above average. This is pulling down his overall portfolio return in recent years. After study Icap portfolio, conclusion is the same which is those capital intensive company are not doing well But those with Strong brand name with less capital intensive are phenomenal.

Posted by stockoperator > 2014-04-11 13:09 | Report Abuse

Advantage of Individual investor is that we are Not buying in bulks/or choose to take control of the company.

Posted by stockoperator > 2014-04-11 13:19 | Report Abuse

If you are going to be capital intensive, Buy more into plantation as the yield/cash flow is good for well managed company. And the land will appreciate in Long term Unlike other Capital Intensive expenditure into machine or equipment.

Posted by RonnieKimLondon > 2014-04-12 00:55 | Report Abuse

Mr Chong. You are indeed right on the PER of 18x for Boilermech. HLG in its recent report has PER of 24x for FY15F.

The business moat that Boilermech has is that its biomass boilers are in high demand that customers to have pay a percentage deposit upfront before Boilermech commences manufacturing. Boilermech will bill the customer progressively.

Posted by stockoperator > 2014-04-12 02:02 | Report Abuse

I wait for your BMW selling me at Rm300k.

Posted by kcchongnz > 2014-04-13 05:16 | Report Abuse

Posted by RonnieKimLondon > Apr 12, 2014 12:55 AM | Report Abuse
Mr Chong. You are indeed right on the PER of 18x for Boilermech. HLG in its recent report has PER of 24x for FY15F.

Ronnie, in order to have a better chance of earning higher return from the market, one needs to learn some basics in investments. Things like PE ratio and ROE are some of the most important things he should know.

If you don't, I don't expect you to know as you must in another profession, try to learn slowly, step by step, preferably with some guidance. It is not that hard at all.

Just my thought.

Posted by Elwin Kai Kai > 2014-04-17 22:33 | Report Abuse

mr. kcchongnz i would like to ask if you wanna value a company normally you will start from where....for an example hupseng

Posted by Elwin Kai Kai > 2014-04-17 22:35 | Report Abuse

btw mr. kcchongnz i saw your post, ppl said you got investment course is it true?

Posted by kcchongnz > 2014-04-18 13:12 | Report Abuse

Posted by Elwin Kai Kai > Apr 17, 2014 10:35 PM | Report Abuse
btw mr. kcchongnz i saw your post, ppl said you got investment course is it true?

Yes. Since finance and investment is my passion, why don't I do something like that? This is in the planning and design stage. This is what I am going to do:

1) Write articles on fundamentals about stocks in Bursa with business analysis, financial statements interpretations, various valuation methods, all on stocks in Bursa.
2) Discuss it in a forum. Everyone in the group can participate, or just absorb what is discussed.
3) Answer all questions on the analysis and valuations, in the forum, or individual questions.
4) Learn at your own pace
5) Answer questions about your stock choice, according to what I am able to.
6) Provide individual a second opinion about certain stocks.
7) Also discuss and answer questions about derivatives such as loan stocks and warrants.
8) Sharing of knowledge and information among forumers here.

No, this is not a forum about stock tips, but about continuous learning how to fish, with the real examples of stocks from Bursa. I have got enough people who have expressed keen interest already. So this will go on, hopefully. The more the merrier.

Posted by Elwin Kai Kai > 2014-04-18 22:17 | Report Abuse

mr. kcchongnz i really want to salute u for ur dedication and passion towards finance and investment, really hope to have and opportunity to meet up with u if possible to learn more from you about this never ending quest of learning

Posted by miketyu > 2014-04-18 22:47 | Report Abuse

Mr Kcchongz,

About KFIMA, any worries about it giving 52% of its earning to the minority interest?

What is biological expenses in the cash flow? why it has been so high every year

Posted by kcchongnz > 2014-04-19 05:06 | Report Abuse

Posted by miketyu > Apr 18, 2014 10:47 PM | Report Abuse

Mr Kcchongz,
About KFIMA, any worries about it giving 52% of its earning to the minority interest?
What is biological expenses in the cash flow? why it has been so high every year

Fima corp is a subsidiary company of Kumpulan Fima. In accordance to the rules of accounting, Kfima can "consolidate" Fima's financial statements into its own. This means every items of both these companies are added up and appears in Kfima's FS.

So you can see not all assets and income belongs to Kfima in its FS. At the end, those belong to the "minority interest", ie other shareholders of Fima Corp has to be netted out from Kfima' FS. The amount is not 52%, but 26% for last FY.

So the important thing is if you are a shareholder of Kfima, you should be concern of the assets and profit attributed to the common shareholders of Kfima. No worries about the minority interest.

One of the major business of Kfima is palm oil plantation. All expenses on palm oil trees are biological expenses. Expenses on animals are also biological expenses. It is high because huge amount is required for this major business.

Posted by nokenzo > 2014-04-19 09:10 | Report Abuse

Hi KC, have you started your "finance course" yet, I have not received any correspondence yet. Any fee to pay?

Posted by kcchongnz > 2014-04-19 10:51 | Report Abuse

nokenzo, I won't leave you out from my course. I am still in the planning and design stage.

I intend to make it a comprehensive course with full support. Yes, there will be fees.

Posted by omg123 > 2014-04-19 13:57 | Report Abuse

Dear Mr Kcchongnz,
Please include me in your soon to begin "finance course" thank you.
cctee5959@gmail

Posted by nokenzo > 2014-04-19 21:43 | Report Abuse

Hi KC, thanks for remembering me. I am your staunch supporter and believer.