alex foo, the revenue is not declining only profit declines due to higher raw material cost 1Q2016 - revenue 25625 profit - 6052 1Q2017 - revenue 26326 profit - 3568
One of the biggest profit margin biz, 10-20%, very hard to find. Steel, mnfg, trading mostly at 5%. Now no longer hve growth factor, investor sell. Price down.
Then, Vietnam output only cntribute at FY19. FY18 will hve capex and if material cost and sales not helping, next qtr will still not promising.
Do I want to buy it now? Not really. Even KWAP is selling. Better put somewhere else.
In terms of price, if assume next 2 qtr profit at 4m each (i based on 3 years average annual profit), at price 1.80, PE around 16. Still not attractive.
When i buy stock, i set rule that every rm1 i spent, it should return 1.5-2 cents eps quarterly. Thats why when superln at rm2, with profit 6m, eps at 8 cents, investor cant resist to buy. Hope you all get what i mean. But now at rm2.1, profit 3.5m, eps at 2.2 cents, it no longer get attention.
FYI, i sold all my superln at 2.85 before qtr rpt release (due to expected lower earnings). One of my lucky bid.
I did same to VS, sold 90% of share at 2.6 b4 qtr rpt out (due to expected lower earnings), earnings did down from 50m to 35m, but market see growth prospect, it goes up to rm3 instead of down. Lost opportunity to earn 5k profit in 2 wks time.
My conclusion here, lower earnings does affect investor BUT if growth prospect still there, investor will steadfast holding and topping up. So, pls careful, calculate & compare before invest.
at ths moment, my future potential stock is vs. why? - worked 10 yrs there - knew their operation in senai well - good mgmt
but still hve risks as below, - now trading at 3.14 @ PE24 (quite high cmpre its cmpetitor), - china and indon may not perform well - others investment/impairment which we dont know - exchange losses
but since i knew their order/forecast and cnfident will achieve ave 40-50m nxt 3 qtr, PE will be drop. can consider buy its WA also at rm1.4X now. expire jan 18.
but ths is mid-long term counter, at least 2 qtr or 1 year.
To be frank, i only hve 5. mmsv, krono, lctitan, vs & serbadk. Hve own reason why i like them.
John, in my thinkg VS much better. SKP not bad either, solid cmpany but i chose only one for the same industry. Both frm Johore and both hve Gan surname in mgmt.
For Dyson project, initial cntract awarded to VS and Meiban. SKP only comes later as sub cont then only awarded as Main Cont after few years.
Buy on price weakness. I recommend to buy Superlon now. We may not know where is the it going to reach the trough but is always to accumulate early when price weakness kicks in. I have started to collect some.
Price plunged so much and made me relook Superlon again. Fundamentals seem to remain intact with decent dividend payoit ratio. Gonna accumulate some at this cheap price
Im more to value when invest. but value not always correct bcoz mrket is manipulative. the only gd thing about value is it can be calculated whilst manipulation cant.
manipulation is to manipulate with certain intent (up down due to many subjective reason) which cannot be calculated... it happen entire klci population.
value can be manipulated too but the fact is, good value never comes cheap, why? bcoz it stores the value @ fundamental, and it can be calculated.
small cap stock 15.8mil share,yearly good dividend,QR made less NOT loss making company short term loss long term gain,look back pass history 5 yrs chart
agreed with safewinner....the capability of the management has already proven in the past....and we can observe the graph of the dividends and profit grew in recent years....only fools will dump to let the mutual fund and big institution to sapu....can't u see vietnam factory ahead? I choose to hold until i die for superln.
and cheh fook ming please use your brain to think.....if you dont choose to collect when the cycle down then collect at peak? like those irrational investor chase high and then lose money?
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....
godhand
1,952 posts
Posted by godhand > 2017-10-15 21:56 | Report Abuse
U have 2 months time to think. For me no reason rush to buy now. Buy now also stuck for 2 months