Have to still wait for awhile before the price reversal takes place.The technical chart sill shows bearish for this stock but there is some moderate(momentum) for the price even though the price had dropped from 1.42(ex-dividend) up to today.Almost 10 cents drop.Stock is now oversold as shown on the BB(10,2,close) chart.
Contract sum is RM16,763,597.16, projected property development cost is RM14,584,329.53, expected profit before tax is RM2,179,267.63 or PBT margin is 13%. The project is already commenced from 15 June 2016 and the completion date is on 14 June 2018. Let's say discount back inflation cost of minimum 3%, I think 10% PBT margin in the current market is quite fair enough.
To note that as at 4 Jan 2017, completion is 11.36%, so next quarter result should see some profit under construction division. Anyway, JayCorp holds 60% of JECSB, so expected profit contribution to the Group is RM993,746.04. Good thing is this project is thru internally generated funds, so no need to pay any cent of interest cost.
Haha Ssmani, I din set TP yet. I going to hold this counter for long term as long as they keep growing and pay more dividend. :) but with today's closing price @1.36, definitely this has been undervalued.
From Nov 2016, Instyle Sofa Sdn Bhd which was a 51% owned subsidiary became an 83% owned subsidiary. This will contribute to more profits in the coming Quarter of Nov16-Jan17.
The co are not only into construction. The company's 60% owned subsidiary Bongaman Solo Sdn Bhd owns about 395 acres of Agriculture land in sabah (in the district of Papar), book value Rm21.3million.... potential for property development....
It paid about 60% of earnings as dividends....last year dividend was 10 Sen Single tier...Dividend Yeld is 7.2% at current 1.39 share price
There have been a proposal to PRIMA to build Sigle storey houses on part of the land. If that come true.... the value of that piece of land will skyrocketing! :)
selling pressure well absorbed... Buyers upper hands... Sapu all those sellers... took the sellers100,000 100,000 shares... expecting GOOD resulits......fingers crossed.. :)
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....
Tai KT
1,419 posts
Posted by Tai KT > 2016-12-16 17:59 | Report Abuse
good result, debt reduce and cash increase.