When the fundamentals of any company is so so, u got to hit and run. But if the fundamental is good and the share price is a bargain, one should just enter on price weakness and go long.
since 4 pm..... there is someone keep taking stock at higher price (above 0.865)... pushing it to 0.895....... strangely, the bid (demand) is only at range (0.865-0.870).... smells like bait
Q1 2014 contains a profit from log sales from extraction via open tender. It is something the company may do only once a while, provided the goal of forest sustainability is achieved. In theory, it can do many times within the concession period (renewable). This biz deals with perpetuity of forest managmeent and it is not realistic to expect RM20m from log sales from extraction via open tender every year. Maybe, once in a few years. Minus this gain, the operating performance of this company is just minimally profitable. That may explain why no dividend policy has been formulated as operating earnings is not consistent. As the company has no debt either, the current share price is roughly reflective of its fair value.
sense maker is right, the rm20m is just one time deal. But, it is written in the quarter report for all to see, unless something is brewing at the back else i don't see why the price keep going up. accumulation is in progress.
Consistent net profit will be more reliable to predicts. When hire a worker , the past records will reflect the future prospects. Don't get emotional. Buy at your own risk. Just advice before burnt up.
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....
sunztzhe
2,248 posts
Posted by sunztzhe > 2014-06-14 14:06 | Report Abuse
When the fundamentals of any company is so so, u got to hit and run. But if the fundamental is good and the share price is a bargain, one should just enter on price weakness and go long.