no doubts, company share price will be reflected by the company management. all business will be subject to up and down but a good management will do their best to protect the company interest which will flow to shareholders finally;
one good indicator for a company, is the amount of dividend paid to shareholders. this reflect the company commitment to all shareholders.
csc steel dividend record; 2006 - 5 sen less 28% tax 2007 - 10 sen less 27% tax 2008 - 18.5 sen less 27% tax 2009 - 2 sen less 27% tax 2010 - 20 sen less 26% tax 2011 - 13 sen 2012 - 7 sen 2013 - 7 sen 2014 - 7 sen 2015 - 3 sen 2016 - 8 sen
csc should be treated as a blue chip as 1) market leader in cold roll coil in malaysia 2) never fail to pay dividend even during bad/difficult times 3) the management remunarations are extremely reasonable. pls check yourself. even some lousy losing money ACE companies COO salary is higher.
there is only ONE risk investing in CSC. (UNFAVOURABLE LOCAL BUSINESS CONDITION LIKE THE PAST WITH MASSIVE DUMPING FROM CHINA) WITH THE ANTI DUMPING EFFECTIVE FOR 5 YEARS DOWN THE ROAD FROM 2016, THE ROAD IN FRONT IS CLEAR OF UNNNECESARY HURDLES
The idea of assigning a PE multiple is because you think the market will agree with your view and push the share price to that multiple right?
If market disagree with you what's the point of this whole exercise.
I don't make the market, no one wants or can predict long term but that is how a market is. Market says it is extremely hard to make money following the 95%, yet no one wants to be a contrarian.
does contrarian believe all the margins will eventually revert to mean..4%?
Say now the margin is only 2%....we estimate based on long term returns of 4%... and found it to be dirt cheap - say its selling one third of its Intrinsic Value...does that ensure we will get a good return in the future? Is that contrarian thinking?
Is it not possible for the company to turn out to be like Megasteel & close-shop?
Megasteel was build 20 years ago....didnt the businessman have ability to forecast its long term competitiveness? If he cant....how can investors like us do?
Not only the Spread helps.... if they report on re-valuation gain on their Inventories..due to the rising HRC / CRC / Steel rice generally....it will be phenomenal!
but...all these information are very easily available to the majority....we have to be 'contrarian' and find information that is not easily accessible to everyone & only then buy if its a positive information.
So...dont buy...how on earth did you get a sky high PE of 10?
Chelsea....y2y basis it'll be good...this q results will be slightly lower compare to previous...that what I can say. Just wait for the results and see...it'll be good to start buying into it again after this q results...
so the results is out...it didn't beat last quarter right?...where do we go from here? For those who are holding I say sell and wait for cheaper entry.
New IPO: The onshore and offshore support services provider for the O&G industry, Steel Hawk Bhd aims to list on the Ace Market!
MQ Trader 4406 views | 4 d ago
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New IPO: The largest mini-market player and a leading groceries retailer in Malaysia, 99 Speed Mart Retail Holdings Bhd aims to list on the Main Market!
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
shareshareknowledge
36 posts
Posted by shareshareknowledge > 2016-10-19 12:09 | Report Abuse
no doubts, company share price will be reflected by the company management. all business will be subject to up and down but a good management will do their best to protect the company interest which will flow to shareholders finally;
one good indicator for a company, is the amount of dividend paid to shareholders. this reflect the company commitment to all shareholders.
csc steel dividend record;
2006 - 5 sen less 28% tax
2007 - 10 sen less 27% tax
2008 - 18.5 sen less 27% tax
2009 - 2 sen less 27% tax
2010 - 20 sen less 26% tax
2011 - 13 sen
2012 - 7 sen
2013 - 7 sen
2014 - 7 sen
2015 - 3 sen
2016 - 8 sen
csc should be treated as a blue chip as
1) market leader in cold roll coil in malaysia
2) never fail to pay dividend even during bad/difficult times
3) the management remunarations are extremely reasonable. pls check yourself. even some lousy losing money ACE companies COO salary is higher.
there is only ONE risk investing in CSC.
(UNFAVOURABLE LOCAL BUSINESS CONDITION LIKE THE PAST WITH MASSIVE DUMPING FROM CHINA)
WITH THE ANTI DUMPING EFFECTIVE FOR 5 YEARS DOWN THE ROAD FROM 2016, THE ROAD IN FRONT IS CLEAR OF UNNNECESARY HURDLES