Hi targetinvest, I see you are strongly pushing for this counter here and in your blog. I agree with your technical buy, provided certain conditions are met, however fundamentally would like more information. I commented this under your post, hope to get some clarification from you.
"Dominan hasn't been profiting since 2018 and their losses has increased up to the recent quarter.
I'm interested to have a different view and to invest some money in it. However, it looks merely of a technical buy now, provided it breaks the current resistance with healthy volume. However, fundamentally, What are your numbers to support the RM1 at year end?
To clarify, I'm not saying you are wrong, just want more information to make better decision. There is a responsibility to be clear if you make posts like this as this will affect people's decision and their money."
Yes, I agree. I do miss out on some trades because I do my due diligence. There are more than a 1000 counters in Bursa, I'm not missing them all so I'm alright.
I ask because he did his study so he has more info. Nothing wrong to ask.
Dominant has been paying dividend consistently since FY05. Its dividend yield has been fluctuating between 2.96% and 3.70% since FY13. However, its dividend payout has declined from 53.6% in FY16 to 36.0% in FY17.
NS Pacific Sdn Bhd (NSP), the largest shareholder, holds 45.05% stake. The owners of NSP include Cha Aku Wai @ Sia Ah Kow and Teo Chiew Peng Cha is the main driving force and is actively involved in its overall operations and corporate planning.
Dominant’s three-year (FYE15-17) compounded annual growth rate (CAGR) for sales was a stable 6.2%.
However for FY16, the global economic uncertainties and the weak Ringgit against USD have resulted in the company facing compressed margins on the back of higher cost of imported raw materials.
Fong YM Those stupid only go and buy dominan, perhaps some people will think that dominan no up. You will be surprise with the revenue and LAT next week. 13/11/2020 2:36 PM
1) This company have a good balance sheet, although not perfectly healthy but it does not have worrying debt or liabilities.
2) The company have been growing in revenues, almost doubling its revenue in least than 10 years. But profit margin have been a concern since its getting smaller.
3) DOMINAN have been paying good amount of dividend consistently over these few years and it expected to do so for many years ahead, and 5% is rewarding a big dividend yield.
4) The Management of dominant is handling the crisis well by taking 30% salary cut from all directors, and for every AGM, you can check back the points in their website. This shows that they take shareholders importantly.
5) Dominant business are forestry, but also related to furniture, it is no secret that furniture stocks in malaysia have been doubling/tripling their share price since the lows of March 2020. This is due to the shift of demand from China to the rest of the world, hence increasing exports from Malaysia. And so Dominant will have a positive effect from this too sooner or later.
6) Dominant have been very consistent throughout the years, their price are very stable since 2009 and have only taken a hit during MCO, this shows that when vaccine is out and economy goes back to normal, Dominant will easily climb back to its stable price at RM1.3 and would continue improving in revenues and profit consistently.
This is just my own research based on their website, annual reports, and google searches.
But in my opinion, they are taking care of their investors the best they can, and that is something that makes me feel safe to put my money in. A very good management.
Reasons:- -ASP -Leadtime -US furniture boom - furniture peers all double up or triple up but Dominan back to march price. - fire case nt severe as expected - covid screening issue solved.
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....
nakata
308 posts
Posted by nakata > 2020-08-24 13:34 | Report Abuse
Today is the last day of warrant conversion, that's why the price goes up?