2 feeling good factors for the co are the strong rupiah n palm oil production at its peak yield. Hence, forex gain n higher profit from plantation may help the co in achieving double digit eps in the qe dec2016, if construction n other sectors r maintaining their immediate preceding qtr's status quo.
Bullmoney ... not suprised. Still on track to achieve more than 40 sen for FY 2017. The values of the businesses or its assets are now higher considering MRT link to Kajang is nearing completion and the trees are now more mature.
There will always be some ups and downs in quarterly earnings especially for construction and development counters like MKH. The recognitions of progress claim can not be even out fairly among the quarters. Work done for this quarter sometimes can only be recognised in the next quarter. Therefore, don't be too carried away by the less bouyant quarterly profit. Look at the whole picture from at least a yearly perspective. I am confident that MKH will make more than RM0.50 for this financial year.
The current poor property market condition started more than 2 years ago. However, MKH has still performed fairly well in development segment. It is still having fairly good sales in hand and expected to have good sales for this and next financial years. It has a few ongoing and upcoming projects to be launched this year which are near to MRT including Saville Cheras, TR Residence in Jalan Tun Razak, MKH Boulevard 2, Prima Housing in Kajang and Kajang 2.
For Kajang 2, MKH has purposedly shelved the launchings in the last few years because they are waiting for the MRT and the two flyovers leading to kajang 2 to be completed. MRT will start operation in May 2017 and the flyovers will be ready soon. MKH will start to launch their products in Kajang 2 again. MKH has more than 400 acres in Kajang 2 (including Kajang 2 South) and they are going to bring in good profits in future. Sales are expected to be good due to its linkage to MRT (via KTM) even though in the current soft property market condition.
Just judge yourself, a well managed company trading at 6 times PE, is it cheap?
As we can see, the market is willing to pay 40 times to 50 times PE for counters like IHH and KPJ and the analysts are still calling "Buy". They argue that the profits are growing.
For proprty counters, we are now at the lows of property market. The share prices of many property counters have come down more than 50% from their highs about 2.5 years ago. We expect their profits to grow in the next few years after it hit its bottom in near future (nobody is able to tell you when). Shoudn't we pay a higher PE because we expect the property market and the profits to grow in the near to medium terms.
Kenken85, I am not worry to tell the truth. In fact, you will be surprised that not many will believe the information that they get. Most ppl are more happy to get tips on speculative counters to earn fast money than to invest for long term.
thx guy. Simple question to ask before u sell, any change in company prospect? any change in company management? if nothing goes wrong, then i wont care about all this drop.
MKH is having a preview on TR Residence in Jalan Tun Razak, KL (A highrise condo with GDV of more than RM400mil). The project is in walking distance to MRT, Monorail and LRT stations. This is one of the few project that has access to a few modes of transportation within walking distance. It will definitely sell well even though at this slow market condition because the location is too attractive to the smaller pool of prospective buyers.
http://jakartaglobe.id/business/malaysia-indonesia-biodiesel-production-forecast-rise-2017/ Kuala Lumpur. Malaysia will produce about 900,000 metric ton of biodiesel in 2017, up about 80 percent from half a million metric ton last year, while Indonesian output will rise to 3.5 million metric tons this year from 3 million metric tons in 2016, an industry expert said on Tuesday (07/03).
"These are the forecasts based on the current pricing of crude palm oil and oil prices," said U.R. Unnithan, president of the Malaysian Biodiesel Association on the sidelines of a palm oil industry conference in Kuala Lumpur.
Benchmark palm oil prices are up nearly 3 percent so far this month after sliding 8.5 percent on expectations of rising output and weakening demand in February.
Palm oil is down 1.5 percent at 2,851 ringgit ($640.94) per metric ton on Tuesday evening.
Palm oil can be used to produce the bio components of biodiesel grades sold at retail fuel pumps. Low crude oil prices, though — benchmark crudes are still around half of what they were in mid-2014 — are expected to make it tougher for biodiesel to compete against petroleum diesel.
just few calculation to share. base on cold eye sifu, plantation that make 21 MT/ hectar is consider good. MKH plantation is able to make it around 29 MT/ hectar. Buying plantation share shudnt more than 30k/ acre. Base on plantation calculation only, mkh is slight high around 31k+/acre, but this is just for the plantation calculation only. so this is damn cheap to buy share.
kenken ... the plantation is worth around 1 billion now minus borrowing. So if one buys MKH now one is buying plantation assets and gets the property assets for FREE.
If long awaited limit up IWK can happen and has happened last Friday, which everyone is betting its land value will go higher over time, the same could happen to MKH when MKH undertakes restructuring to unlock its asset value.
The directors have been buying its own shares lately. Guys happy trading!
Public bank is one of the largest shareholders in MKH.
Aero1 i dont wan happy trading. I dont trade for this. haha. Growing stock never sell. hahha. happy inviesting aero1. I want it to drop further, so i can top up further before right.
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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....
windcloud
1,393 posts
Posted by windcloud > 2017-02-24 13:49 | Report Abuse
Now could be a buy time. Just nonsense sharing hehe.