KCChongNZ thanks for your educational articles. I have been reading them for the past 7 years. You have been a guiding light in my investment journey. Please do continue to publish your research articles.
Thanks for your friendly gestures, my friends. I am particularly moved by the comment of connie7i3. You are welcomed to visit my FB page, kcchongnz, too.
Under trade receivables include: Moneylending subsidiary company : Insas Credit & Leasing Sdn Bhd Paragraph 8.23(2)(e) Appendix 8D(1) - Aggregate amount of outstanding loans as at 31 December 2023 Category of loan receivables Secured Unsecured Total RM'000 RM'000 RM'000 (a) Corporations 182,943 84,250 267,193 (b) Individuals 16,979 - 16,979 (c) Corporations within Insas Berhad Group - - - (d) Related parties - - - Total 199,922 84,250 284,172
Omesti is not an associate company, it is one of the many financial assets at fair value thro' profit and loss ASSOCIATE COMPANIES (CONT’D) (f) The summarised financial information in respect of the Group’s major associate companies are as follows:- Inari Amertron Company Group Ho Hup Construction Berhad Group Melium Holding Sdn Berhad Group Divfex Berhad Other associate companies Total RM’000 RM’000 RM’000 RM’000 RM’000 RM’000 Financial positions as at 30 June 2023 Assets and liabilities Non-current assets 528,103 536,203 58,853 12,249 200,905 1,336,313 Current assets 2,438,649 994,312 60,262 66,447 307,968 3,867,638 Non-current liabilities (32,672) (391,067) (35,073) (7,122) (34,046) (499,980) Current liabilities (331,450) (734,688) (50,060) (40,987) (254,115) (1,411,300) Net assets 2,602,630 404,760 33,982 30,587 220,712 3,292,671 Carrying amount of proportion of the Group’s ownership 374,407 18,617 14,646 8,259 96,529 512,458 Goodwill on acquisition 65,251 Total: 577,709
Note: MI is mainly non-controlling interest of M&A Stock [M&A]: M & A EQUITY HOLDINGS BERHAD Announcement Date 05-Jul-2023 Reference No CS2-05072023-00007 Substantial Shareholder's Particular: Name INSAS BERHAD Details of Changes: Currency - Date of Change Type Number of Shares 30-Jun-2023 Acquired 10,502,200 Registered Name M & A Nominee (Asing) Sdn Bhd for Montego Assets Limited Nature of Interest Indirect Interest Nature of Interest Indirect Interest Shares Ordinary Shares Reason Acquisition of shares in the open market. Total no of securities after change Direct (units) 206,627,756 Direct (%) 50.49 Indirect (units) 0 Indirect (%) 10.34 Total (units) 1,215,718,665 Total (%) 60.83 Date of Notice 05-Jul-2023
Still need to buy all the WC beside Insas shares. Or you can wait untill WC expired then you make an attempt takeover. WARRANTS HOLDINGS as at 29 September 2023 WARRANTS 2021/2026 No. of outstanding warrants : 331,510,380 Exercise price per warrant : RM0.90 Expiry date of warrants : 28 February 2026
Remark: Insas controlling shareholders Dato' Sri Thong and PAC officially hold 32.96%, 0.04% short of triggering 33% threshold of MGO
Your article is great n really explain precisely what value investors to look for & capitalise on. Base insas negative enterprise value of Rm 1,844M or Rm 2.79 per share, an investor can takeover Insas for free & pocket Rm 2.79 per share loh!
Rationally this really ridiculous but it is a fact & real loh! On top of that KC only monetize Inari & insas other liquid assets but exclude insas other listed subsidiary namely M&A, Insas sizeable real estate properties, profitable unlisted business ,Associate listed Ho Hup and Insas all other assets loh!
The above deep quality undervaluation shows that insas is really conservatively well manage thus debunked the notion of poor mkt perception loh!
Big shark should take this good opportunity to buy up insas by taking a sizeable stake of Insas & be a profitable business partner of Tan Sri Thong loh!
Actually Thong can be a good business partner & shows very good governership for example Inari has very good perceive governance compare to Insas loh!
I m sure Thong can easily adapt to this higher standard base on the current management formula as per Inari model!
The ideal position for the new opportunistic big investor is 20% stake of insas loh! Assuming taking up 20% stake at average price of Rm 1.50 will only cost him Rm198m compare to Insas overall shareholders revise capitalization of more than Rm 3.3B or equivalent to Rm 660m @20% stake loh!
For small investors u should start buying insas now & side with the future opportunistic large investors loh!
As for Sifu Sslee, Raider suggest that he should forget about giving an exemption to Thong, if a GO trigger bcos of him buying or exercising his warrant as the cost of GO is only Rm 1M which is peanuts to him compare to Insas negative enterprise value of Rm 1.84B loh!
I think eventually Insas will eventually move above Rm 3.00 to Rm 4.00 loh!
Bullish Hi KC, is KPS considered undervalued as well?
I don't follow this stock and have no positive comments about the management. It supposed to have a big pile of cash after disposing its water assets inn 2015 but if fell quickly to net debt. Wonder if the money was properly used. It appears to be cheap with single digit PE, but that was due to large one time gain in investment and foreign exchange gain. Taking that off, which should be, it is very expensive. Just my opinion.
Insas seems undervalued by net cash/NTA valuation but also need to ask these questions:
1. What is the future prospect? Can next year earnings grow substantially (my standard at least 10%)? 2. How about the free cash flow? Will it grow in the future? + Has it grown higher historically. 3. What is the management planning to do with the extra cash ... return to shareholder? Or invest in new growth busienss? Or invest in efficiency enhancement of existing business?
10 yrs ago insas Nta is roughly Rm 1.90 & its EPS is around 13.9 sen with share price 80 sen. Today Nta is Rm 3.56 & eps is 18 sen with share price Rm 1.20.
Surely a dumb fellow using warren buffet formula will had notice insas wealth has grown by rm 1.66 per share or about 16 sen pa over the 10 yrs loh!
And added back div about roughly 1.5 sen div pa avg your total cash generation from insas is about 17.5 sen pa mah!
If your IRR is 10% pa.....surely base earnings Insas should easily worth Rm 1.75 per share loh!
Remember in 2015, Inari only worth less than Rm 1 billion loh but today it is worth more than Rm 12B mah! Also we have not factor in the hidden reserve of Inari mark to mkt gain for insas holding of about rm 1.6b which is additional gain of rm 2.42 per share for insas loh!
Thus Insas shareholder funds plus Inari hidden reserve mark to mkt gain will contribute potential wealth of Rm 6.00 per share to insas loh!
Surely insas will worth much more than Rm 1.20 loh!
Posted by paperplane > 54 minutes ago | Report Abuse
insas FOREVER UNDERVALUED, IN FACT undervalue more than 10 years.....lol. what does it tell you then/
This type of intelligent question is applicable when u want to buy Nestle at rm 120.00 per share, n its eps is rm 2.80 & nta is only Rm 3.00. U r trying to justify why u willing to pay so much more loh ?
In insas case u r paying only Rm 1.20 per share to buy a wealth of Rm 6.00 per share mah!
This an obvious no brainer....the answer is obvious loh!
Posted by KingKKK > 48 minutes ago | Report Abuse
Insas seems undervalued by net cash/NTA valuation but also need to ask these questions:
1. What is the future prospect? Can next year earnings grow substantially (my standard at least 10%)? 2. How about the free cash flow? Will it grow in the future? + Has it grown higher historically. 3. What is the management planning to do with the extra cash ... return to shareholder? Or invest in new growth busienss? Or invest in efficiency enhancement of existing business?
to make BIG money in stocks is not easy. WHY? bcos msia is a poor country. KLCI only increased abt 25% from the high of 1297 pts of 1997 to now < 1500 all in 27 yrs or 3 decades!
BUT there r 5 to 8 stocks that will super bullrun p.a. can u catch them all at that cycle?
Today we have almost 5 stocks today that had shown large limit down for the past 5 days loh! That are : 1. Rapid Rm 3.96 v highest rm 29.54 2 YNH Rm 1.22 v highest Rm 5,20 3. SCIB Rm 0.535 v Rm 1,20 4. Mercury Rm 0.455 v Rm 0.9 5. Imaspro Rm 1.23 v Rm 6.00
A simple financial check will indicates all these are not supported by strong fundamental financial matrix of namely NTA, PE, DIV, ROE, Growth despite had been goreng up sky high loh!
It finanally collapse loh!
If u compare all these 5 stocks...fundamental perform poorly v INSAS loh!
The the reasons why INSAS share has big upside and sustained at current high level, whereas the 5 loser stocks, Raider mentioned fell like 10 pins loh!
The current mkt run up are mainly supported by strong fundamental like Insas, Kseng & OSK that surge strongly beside having good earnings & good strong balance sheets, it has very good sustainable fundamental loh!
Investors are advise to be wary of high speculative stocks & peg their investment that can be supported by good margin of safety like very good pick insas mah!
Alot of Insas value investors sifu after holding so long have dispose a sizeable of their holdings, R they right in disposing so soon leh ?
Ans; As a value investor selling so soon is wrong loh! As our master sifu Tong Kooi Ong had indicated a conservative fair value of Rm 4.33, thus selling at Rm 1.30 & below is a wrong decision loh! Surely u can safely hold on insas longer & sell it at 50% fair value that is roughly Rm 2.15 per share mah!
The only justifications of selling insas prematurely at Rm 1.30 & below is just to buy insurance loh! In which alot of sellers did that loh! But after selling enough to buy adequate insurance, it is time u hang on to your remaining insas for higher target above Rm 2.15 loh!
Forget of all the naysayers shouting value traps lah! This lah! That lah!
Just have convictions & believe in the proven facts that insas worth alot of monies above Rm 4.33 loh!
Whether u r an investor, speculator or gambler....u must learn from this Good Song by Kenny Rogers loh!
If u gonna to play the game, u gotta learn to play it right.
"U got to know when to hold them. Know when to fold them. Know when to walk away Know when to run Know when to runaway Know when to keep Cause every hand is a winner And every hand is a loser"
For investor the emergence of prominent tycoon investor Tong Kooi Ong n his valuation of Insas Rm 4.33 is an indication of Insas fair value , is a sign u should keep insas & not to runaway loh!
Lu tau boh ?!
Posted by Sslee > 19 minutes ago | Report Abuse
The only reason to buy or sell is to make money. Else why are you in Bursa the biggest casino in Malaysia
On what occasion should Insas be value at around Rm 7.00 to Rm 10.00 leh ?
When there is a hostile sizeable investors coming in loh!
Sizeable means investors willing to buy more than 20% of insas share & to be a business partner to Thong loh!
Who r the sizeable partner willing to fork up so much monies of more than Rm 250m just to buy 20% of insas leh ??
It should be a value investors who understand Insas type of business n a good fit is Edge Tong & his allies loh!
It could Raider & Gangs with support of Tycoon behind the scene supporting & financing the deals loh!
Base on raider & gang matrix , the big investors is accumulating big in insas at rm 1.26 and warrants Rm 0.45, the funds require purchase 20% exposure will be Rm 250m loh!
This work out to a cost of roughly Rm 1.80 per share compare to the potential intrinsic value of insas Rm 7.00 to Rm 10.00 loh!
Thus minority shareholders should expect big volume of insas will be traded everyday from rm 1.26 to rm 1.80 over the next 6 mths loh!
Beyond 6 mths after this insas should be flying from Rm 1.80 towards Rm 10.00 loh!
The story of Ahfah a successful Pudu mkt vegetable seller, making big in her Insas & insas-w loh!
Ahfah had been holding more than 400k of insas at average cost at 75 sen and warrant 450k at average cost at 25 sen for more than 3 yrs had hit jackpot recently loh!
She had followed raider & gang buying into insas & she has faith to hang tight not only bcos, she trust raider but her deep believe in the good financial figure of insas never lies loh!
Her long patiencely wait for insas certainly payoff loh! Despite Insas broke out above high of Rm 1.00, she did not sold a lot of insas, bcos like raider she believe in insas will worth much more given time loh!
Not many of her peers in pudu mkt is successful bcos many do not have the patience to hold tight & easily jolted to sell when insas share price came down loh!
For example her best friend ahmoi follow her to buy Insas 300k at 80 sen.....immediately sold down, when insas when hit 90sen to Rm 1.00 loh!
Luckily due to her best friend scolding for selling insas too early....Ahmoi still manage to hold back 100k of precious Insas loh!
Ahmoi says i swear to God, that i will not sell anymore of insas, if it is still below rm 3.00 or unless ahfah start selling loh!
The Pudu mkt is active loh.....beside people buying vegetables....alot of them are talking about insas share loh!
Alot of people want to buy insas, but they are afraid bcos the price has risen loh!
Not many people are so lucky like ahfah sitting on big gain of insas without selling loh!
Many prominent value investors value insas differently loh!
1. Sifu Sslee Target Rm 1.50. 2. Insas Eps 18.2 @ pe 12x = Rm 2.20. 3.Ahmoi the best friend of Ahfah in Pasar Pudu Rm 3.00. 4. Nta of insas exclude all the potential hidden gain Rm 3.56 5. Ahfah the investment queen in pasar Pudu Rm 3.90 to Rm 4.80 6. Tong Kooi Ong of Edge Rm 4.33 7. Leno Rm 6.00 and Rm60.00 8. General Raider Rm 7.00 to Rm 8.00
People always think of getting or hoping a new major shareholder, unlocking the hidden value of insas loh!
The truth is Thong is quietly unlocking value stealthly without people noticing mah!
Once people realized this.....there will be chasing Insas above Rm 3.00 loh!
Lu tau boh ah ???
" Insas strength is a very strong incubator of business loh!"
Thats why u have Inari, M&A in respect of Insas & Microlink in respect of Omesti loh!
All these private equity type of business had contributed billions of profit to insas mah!
In fact Insas is a msia equivalent of Black Rock & Goldman Sachs of the USA loh!
"The story of Ahfah a successful Pudu mkt vegetable seller, making big in her Insas & insas-w loh!
Ahfah had been holding more than 400k of insas at average cost at 75 sen and warrant 450k at average cost at 25 sen for more than 3 yrs had hit jackpot recently loh!
She had followed raider & gang buying into insas & she has faith to hang tight not only bcos, she trust raider but her deep believe in the good financial figure of insas never lies loh!
Her long patiencely wait for insas certainly payoff loh! Despite Insas broke out above high of Rm 1.00, she did not sold a lot of insas, bcos like raider she believe in insas will worth much more given time loh!
Not many of her peers in pudu mkt is successful bcos many do not have the patience to hold tight & easily jolted to sell when insas share price came down loh!
For example her best friend ahmoi follow her to buy Insas 300k at 80 sen.....immediately sold down, when insas when hit 90sen to Rm 1.00 loh!
Luckily due to her best friend scolding for selling insas too early....Ahmoi still manage to hold back 100k of precious Insas loh!
Ahmoi says i swear to God, that i will not sell anymore of insas, if it is still below rm 3.00 or unless ahfah start selling loh!
The Pudu mkt is active loh.....beside people buying vegetables....alot of them are talking about insas share loh!
Alot of people want to buy insas, but they are afraid bcos the price has risen loh!
Not many people are so lucky like ahfah sitting on big gain of insas without selling loh!"
Raider answer to the dilema of Ahfah & his followers is to get your bearing of investment valuation of Insas Right mah!
With proper valuation of Insas you are not afraid n confident to hold on to Insas loh!
Below advice given by contrarian is a slow way 3rd world method of accumulation of substantial wealth loh! In which General Raider see this is not that efficient loh! If u think Insas is going to move up to Rm 1.50 to Rm 2.00 soon, & u know Insas should be worth at least Rm 4.33 base on Edge Tong conservative valuation n in which insas has huge margin of safety loh! There r better way loh!
What u should do is allocate substantial resources to insas in order to get rich safely & steadily loh!
The correct approach for insas are as follows loh!
1. Allocate substantial investable assets into insas, say u have Rm 1m.....u must invest at least 30% @ Rm 300k into Insas loh! 2. Allocate substantial of your future saving by investing insas more loh! For example U n your wife earn Rm 20k a month & u can save Rm 6k a mth...........thus u should invest in insas Rm 18k every 3 mths loh! Raider suggest this Rm 18k is a comparative smaller sum, thus u should allocate this savings fund just for investing in insas-w to maximise exposure loh!
Having done that, u will on the route of great wealth loh! But u must monitor Insas share price to ensure that u have adequate margin of safety loh....Raider suggest u stop putting more money into insas when it hit above Rm 3.20 mah! And u may consider sell a small % of insas slowly when it trade above Rm 3.80 loh!
The above r the right way of investing in insas & raider follower ahfah the queen of investment in Pasar Pudu adopt this method & gain substantial wealth without taking excessive risk loh!
Ahfah proudly tell his fellow vegetable sellers this loh!:
"I have make about Rm 200k profit just investing in insas & its warrant within 3 mths loh! Just imagine how much i need to sell vegetables, if i make rm 1 per kg from vegetable, that will be 200,000 kg or 200 tonnes loh!"
"Good share management & investment tech is very important if we want to accumulate substantial wealth sustainably & i would like to thank General Raider for that mah!"
Posted by TheContrarian > 3 minutes ago | Report Abuse
If you buy 10,000 shares at 60 sen, sells all at RM1.10 your original RM6,000 becomes RM11,000 and with that amount you can later buy back say, 15,000 shares at around 70 sen. Then sell the 15,000 shares at RM1.20 to get RM18,000. Later when price drops back to say, 80 sen, you can buy 22,500 shares.
Correct loh.....this point to sitting on insas will be long run more beneficial as a way of growing your wealth loh!
Posted by Integrity. Intelligent. Industrious. 3iii (iiinvestsmart)$â¬Â£Â¥ > 1 day ago | Report Abuse
General trading: anticipating moves in the market as a whole.
Selective trading: picking out stocks which will do better than the market in the short term.
Benjamin Graham warned what NOT to do. He did not consider that either general trading or selective trading has any place in investment practice. Both of them are essentially *speculative* in character because they depend for success not only on the ability to foretell specifically what is going to happen, but on the ability also to do this more cleverly than a host of competitors in the field.
The real money in investing will have to be made - as most of it has been in the past - not out of buying and selling, but out of OWNING AND HOLDING securities, receiving interest and dividends, and benefiting from their long-term increase in value.
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....
calvintaneng
56,627 posts
Posted by calvintaneng > 2024-01-15 23:24 | Report Abuse
Welcome back to i3 forum
Long time no see