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55 comment(s). Last comment by godhand 2024-02-29 16:34

godhand

1,897 posts

Posted by godhand > 2024-02-29 15:52 | Report Abuse

Dear Godhand
would u mind pick up some points from the article that go align with your value trap definition?
just a brief one will do as a point form

Lets put it this way. as a minority shareholder what is your certainty? I'm not going to say that Insas is a trap but it simply lack the certainty. It also could be the nature of their business that they have to hoard the cash and re-invest. What guarantee the minority that they can have the piece of cake? I think whatever the author say here is irrelevant. what is more important is the direction and promise that the this company made and deliver in stages to the shareholders

xiaoeh

2,425 posts

Posted by xiaoeh > 2024-02-29 16:04 | Report Abuse

Posted by godhand > 1 minute ago | Report Abuse
Lets put it this way. as a minority shareholder what is your certainty? I'm not going to say that Insas is a trap but it simply lack the certainty. It also could be the nature of their business that they have to hoard the cash and re-invest. What guarantee the minority that they can have the piece of cake? I think whatever the author say here is irrelevant. what is more important is the direction and promise that the this company made and deliver in stages to the shareholders

Dear Sslee sifu
since Sslee sifu has been closely participating AGM and whatsoever meetings with the board members
any directions and promises that they have made to assure to the minority's shareholders that they will deliver besides the large amount of cash pile and deposit?

xiaoeh

2,425 posts

Posted by xiaoeh > 2024-02-29 16:14 | Report Abuse

Posted by TheContrarian > 7 minutes ago | Report Abuse

What Is a Value Trap?
A value trap is a stock or other investment that appears attractively priced because it has been trading at low valuation metrics, such as price to earnings (P/E), price to cash flow (P/CF), or price to book value (P/B) for an extended period.

Posted by TheContrarian > 6 minutes ago | Report Abuse

A value trap persuades investors because the trade appears inexpensive relative to historical valuation multiples of the stock, industry peers, or the prevailing market multiple. A value trap can drop further after an investor buys into the company.

KEY TAKEAWAYS
Value traps are misleading investments trading at low levels that present buying opportunities for investors.
For a value trap investment, the low price is often accompanied by extended periods of low multiples.

xiaoeh

2,425 posts

Posted by xiaoeh > 2024-02-29 16:18 | Report Abuse

both of you are talking the same topic but in different forum
TheContrarian & Godhand

godhand

1,897 posts

Posted by godhand > 2024-02-29 16:34 | Report Abuse

i didnt say its a trap. i simply think the BOD do not have the conviction or integrity to set a long term promises to the shareholders. Please understand that the minorities just want to get paid. Setting a simple dividend policy shouldnt be that hard .how many %? if cant set now then when? why? whats the setback? Stock price doesnt just derived from the figure factor. The management integrity is placed above everything else.

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