SYF claimed that Utar is moving to SG long.. but... that means nothing... it is not a confirmed thing that students will need to rent new units in Sg Long... unless you are renting out very cheap... else they will opt for cheaper units... students have tight budget, ok? we all were students once... and we know it best.. and if you buy SYF's property in Sg long and can only rent out cheap.. u can't even cover your bank interest rate.. if this is the case, why investors still wanna buy the property there? wake up man...it is 9.30am now...
also, the company "claimed" (again, just claim, not proven yet) to considering giving out dividend in 2017 (consider only, not confirmed yet)... i know u may say: the company need cash for expansion... i know... but that still means no dividend.. for company like this without proven good record track, and no dividend, do you think PE 8 is not reasonable?
ilovershare...pls wait 2 more weeks to shut Izam mouth or shut your mouth! Anyway, i'm willing to hold this counter until next CNY... btw, sg long really doesn't hv 400k landed terrace hse..if got, it must b very old and single storey..
@iloveshare128 where did you get the revenue for property sector @RM242.3 mil. The number i read from 2015 financial report not even reach RM100mil. 2015 total revenue was only RM316.2mil. What is the purpose of doing so called sufficient research if you don't even know how to read the number....
I love share..chill la bro.property isnt bubble yet.sg long just 2km from my house.400k for terrace house in sg long is nearly impossible to find la.600k is consider dirt cheap.did u notice any new development in sg long?just stick with your reaearch.its yours.if u dont want to take a risk,take u cash and run
Brother Bear.. u are right.. I was looking at another website which gave me that wrong figure. I just confirmed it by looking at its 2015 annual report that the Revenue for property development was RM91,568,000. That does not mean I do not how to read the number... it was a wrong info I received... btw, other that that, all other points of mine are still valid...
anyway, since the CEO already mentioned that he expected to reap around RM100million of revenue from property development this year... we should assume that most of this year's revenue (in property development) has already been recognized in Q1 & Q2 (total up to be RM79.025million)... that means lower revenue recognition for Q3 & Q4 (total around RM100mil - RM79mil = RM21million for 2 quarters)...
SYF Resources was planning to maintain the growth of its property segment at a steady rate, and as such, it planned for the development RM80mil-RM100mil in GDV per annum.
brother bear, can you reject my other statements with fact? dun just cherry pick one of my minor error, ok? come on, i await your constructive confrontation...
Brother Bear.. pls dun tweak the fact here and there... it is still a landed property even though the size is smaller... can you deny the fact that it is not a landed property? and how big is a condo normally? it is also around that size or smaller... and lets say the sq ft (area) is the same, will u pay RM500K for condo instead of RM400K for landed property... i await your answer...
Izam_mahathir, ok, i assume your statement is correct - in general, 600K for landed property (the 400K i found may be exceptional case).. but if u r a buyer, will u pay additional RM100K for a landed property (vs RM500K for condo only)... i will definitely pay additional RM100K.. in Penang for example, in a same area, if condo is about 500K, landed property is already around RM1million (about double the price),... so do you think a lot of ppl will pay RM500K for condo while they can get landed property at only RM600K (and much biggest land area at RM600K!!)
hahaha....................i don't care whether 500k for condo and 500k for landed properties......................if the properties is way far from my usual daily activities..........i don't bother it is landed or not.............i won't buy.
2nd arguments.........although landed properties is bigger in space................i might not buying if my preference is smaller space for easier maintenance (eg. cleaning,mopping,etc).
3rd arguments..........if i do not need so many rooms since i am not thinking of having kids forever............why i want a big house for?.
4th arguments..............even the different is 100k for landed compare condo.................how many can afford the extra 100k financing.
Hence, everyones have their own preference and taste when come to properties of their choice..............so you can see why condo or apartment usually fully taken up everywhere.............the same for landed properties.
bro ktsk88, i agree with your points to certain extent only... if u look at Penang properties... nowadays condo units are oversupplied and many developers have delayed their projects... but landed properties (normally with less units) are normally selling better (still selling slow though) than condo units... and maybe some ppl will think like what u do, they prefer condo, that is fine.. but pls ask around,,.. for most of the ppl, if they can afford landed, do they choose landed or condo? (i mean most of the ppl out there)... just be honest to ourselves... and 100K isnt too much for many ppl... there are really a lot of affordable buyers out there.. just that they will think: is this investment a good deal? (not bcoz they cannot afford, just that they may want to invest in other areas if the condo rental is not giving good return)...
see, as what I had expected.. the quarterly report posted poorer result... as most of the property development revenue has been recognized in Q1 & Q2...
and i would expect a much poorer result in Q4 (EPS should be around 1 sen or less)...
Izam, i agree with you too on the prospect of weak Ringgit.. many have expected Ringgit will continue to strengthen when it once climbed back from RM4.45 to RM3.9x... and I did not think so when a lot of ppl were stating that Ringgit will recover and export play is over... based on so many uncertainties and negative news in Malaysia (and likelihood of US FED to increase rate soon), I do not believe Ringgit will be getting stronger... and I believe USD/MYR will remain around USD1/MYR4 for the next 1-2 years... I dont see a sign why Ringgit deserves a better stance for now...
unfortunately SYF's rubberwood furniture exports have dropped quite significantly compared to previous quarters so they can't benefit much from weak Ringgit...
export business taken 53% of their revenue and their export business are including MDF, Particle Board, Rubber wood materials, and furniture..they focus to expand its upstream (mdf/particle/materials) so the low scale sales of finished product (furniture) doesn't make any big effect of their future revenue..this is just my point of view...
the company is making profit albeit slower and softened market condition ............but overall with rolling 4 QR the EPS is 6.6sen and a PE of 8.8 times..............not very bad figure.
Applying PE of 10 times, the stocks still valued at 0.66sen...........how many stocks trading at single PE?.
ktsk88, sometimes we must not be deceived by the low PE... especially when that particular year's EPS has peaked and there is no clear sign that upcoming years' EPS can be sustained or improved... we have seen that in many cases, so if next year's EPS dropped, the PE will no longer be attractive... just my 2 cents thought.
as SYF management has highlighted, they are only focusing on a very small scaled property development at the moment (at Sg Long & Cheras area only)... and they do not have a long term plan/roadmap down 5-10 years about their property development projects... question is: what if after the recent property sales, they are not going to defer the property development due to softer demand? will this year EPS be repeatable? we have to ask ourselves.. i have seen IJM and even Setia defer some of their projects due to softer demand now.. and the subsequent question is, even if they continue to build houses, will they sell good again? I personally do not think property market is good now... in fact, it is not getting stagnant but worse...
sokowanda, i am seeing only one person who is bullshitting here which is you.. we are all discussing points here but you are apparently not... we are talking about facts and possibilities. You are dreaming on virtual reality and mere hopes without any sound data.
Izam, you have got a point here.. if Brexit does materialize, USD is gonna strengthen and this helps a lot of export counters... unfortunately strong USD does not help SYF much.. see this link below: as stated by SYF management:
However, Chee pointed out that the group exports its furniture to 87 countries, unlike other listed furniture companies, where most of their sales come from US customers.
As such, SYF Resources is not enjoying as much US dollar-translation gains as its counterparts because some of the company’s export markets are facing slowdowns and currency depreciations, he said.
“Since the US dollar is so strong, we have to give some discount to a few of our export markets. But this discount doesn’t hurt us, just that we’re not enjoying the foreign-exchange translation upside as much,” Chee said. http://www.stockhut.com.my/news/88306
going to touch RM0.48 soon (which is what I originally thought it should be valued at , 6sen EPS x PE8 = RM0.48)... any price over RM0.50 is conisidered expensive for small cap like this (without good earning records in the past, and not giving a single sen of dividend).. what PE can you expect? PE=8 is reasonable.
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iloveshare128
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Posted by iloveshare128 > 2016-06-16 09:32 | Report Abuse
SYF claimed that Utar is moving to SG long.. but... that means nothing... it is not a confirmed thing that students will need to rent new units in Sg Long... unless you are renting out very cheap... else they will opt for cheaper units... students have tight budget, ok? we all were students once... and we know it best.. and if you buy SYF's property in Sg long and can only rent out cheap.. u can't even cover your bank interest rate.. if this is the case, why investors still wanna buy the property there? wake up man...it is 9.30am now...