If u happens to own 2000 shares, 25% div allows u to get (25/100)x 2000 = RM$500, since the div was tax exempted.Minus the broker charge etc u might ends up with RM$495.80.
wow break out from 50sen.. really unexpected kc, no doubt willow is a good stock but actually these few days you throw a dart to bunch of stocks also can make money, its really a bull run now.. Even Kfima is moving right haha... Anyway, I m not greedy, sold some at 50sen already
percentage wise willow went up a lot. you did a good study on that. I bought some too. Actually you have recommended quite a few good stocks; CBIP, MBL, Willow etc. The percentage increase of these shares is better than most shares. I tumpang you on all these too.
kc, wah.. you really senyap senyap pick up ar... haha....just kidding.. anyway, reading some of your comments and OTB comments on KHSB (very interesting forum :) ), i also pick up a few there last few months, so we tumpang each other la...
Aiya, why so fast? I follow u buy MBL around 98.5 - 1.02,now got paper. pft. Still holding both Magni n Prlexus. I think Magni will announce div. with 4th qtr rpt.
My fingers always itchy. Very bad way of investing. Any medicine to cure? The financial performance of both magni and prlexus this couple of years were very good and the valuation is cheap. Just a bit wary about this traditional business if competition is very fierce.
Greenpower, You notice that I seldom talk about share price. Whenever I talk about it, I only use it to compare with its value and see if the price is worth buying. Value first, then the price. The thing is that I am just a small retail investor who has no insider information. Neither am I a good predictor of share price, like many here are.
But it beats me why are you so shock that there is no movement of its share price, when many others' share price took a dip today. Look at Perisai, Amedia, KNM, Ivory, MKLand etc. But really is the share price of Willow a concern to you? If so look at the table I have summarized below about its short and long-term return now:
Willow 0.51 9/05/2013 Period 2-week 6-month 1 year 2-year 3 year 4 year 5 year Price 0.41 0.32 0.32 0.41 0.33 0.28 0.18 Return of stock 24.4% 59.4% 61.9% 24.4% 54.5% 82.1% 191.4% CAR 29037% 154.0% 61.9% 11.5% 15.6% 16.2% 23.9%
Since two weeks ago, Willow's share price has gone up by 24.4%, 59.4% if you look at 6 months ago compared to 3.3% and 8.6% respectively for KLSE. So what is your complain?
houseofordos, I make the following assumptions: Dividend grows at 10% and growth in earnings for the next 5 years at 8% a year. I sell it 5 years later at a PE ratio of 10. Last earnings per share at 6.2 sen. My required return at 10%. The present value of all these cash flows is 72 sen per share, which is the intrinsic value of Willow. Wee table below.
Year 0 1 2 3 4 5 Dividend $0.033 $0.036 $0.040 $0.044 $0.048 Sale price after 5 yrs at PE 10 $0.91 DCF @10% $0.03 $0.03 $0.03 $0.03 $0.60 PV of cash flows $0.72
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....
fankim
139 posts
Posted by fankim > 2012-05-23 23:20 | Report Abuse
Hi, pay dividend at 25% means what? what is the formula to calculate?