Posted by DividendGuy67 > 2024-05-14 00:23 | Report Abuse

Fwiw, I do understand that the dividend declared has been extremely small, and I do understand that it looks like an insult. But for those with longer term orientation, it always look darkest before dawn.

The dad, founder, head honcho is 72 years old now, but he has his family in the Board and Senior Management with his 2 sons age 47 and 43 in the Board and Senior Management. Whilst nothing is guaranteed in investing, I feel it's great odds that over the next 2, 3, 5 years, the cash will keep building in the company. The continuity is there, it's in a great business profile wise.

Warren Buffet likes to say - after you buy, imagine that the security is no longer traded in Bursa for the next 5 years - would you be comfortable to own this business?

For me, in a diversified portfolio, my answer is definitely yes.

I don't need the daily quotes of Bursa to validate my ownership of this business.

I don't bet the farm, so, 5 years later, odds are good that they won't squander the Net Cash and by that stage, they have little choice but to do something with it. Family founded business rarely allow their children age 43 and 47 to kill the net worth built up, so, odds are good that it's worth owning and investing.

Just don't borrow, leverage and bet the moon on one stock.

For me, I stick to my position sizing and ignore the market price gyrations.

Sell something small like 5% of your holdings if you want to create a yearly dividend, if this action gets you to hold for several years.

The worst decision is to sell all for a company like this to earn 10% and then see the stock rising over the next 5 years.

Posted by DividendGuy67 > 2024-05-14 00:29 | Report Abuse

When I first entered, its net cash was much lower and I entered at an average price of 58 sen.
After a while, last QR, its Net Cash is 55 sen, so, without selling, I already feel safe at 58 sen entry.
Time helps - the company generated cash regularly and the Net worth rises steadily as a result.
Next year if it makes 40 million PAT after paying fat checks to everyone, that adds another 15 sen to the NAPS and that's not a bad increase in Net Worth.
The following year, same idea.
And so on ...
The odds are overwhelmingly favoring buy and hold investors here for several years at least.

But as always, nothing is guaranteed in investing. So, don't bet the farm. But own some of it. It's good odds.

Posted by DividendGuy67 > 2024-05-14 00:44 | Report Abuse

Fwiw, old investors always favor to get rich slowly, than win big and fast.

This stock is really great in a 30-50 stock portfolio - in this type of portfolio, the owner can't hep but get rich slowly but surely.

However, this stock should never be the 1 out of 1 stock portfolio, to get rich and fast.

If you are a hardcore Buffet fan, you are not wrong to quote that when he was younger 6 decades ago in the 1960s, he did not diversify but concentrated. He can do this because he won the lottery of being born in the US, a country that allowed him to be an activist and force management to unlock value, that even today in Malaysia, you are unlikely to be successful as an individual with PPHB.

So, no need to pick a fight with PPHB. Just own a little bit, in a diversified portfolio. Then, imagine market is closed for 2, 3, 5 years. When market reopens, odds are good the NAPS and Net Cash is much larger and odds are good that the price will rise to create that small buffer. Or if we are in a bull market, the mania at the tail end of a bull market will bid this stock up to ridiculous levels.

So, the risk is not having a position at the tip of the bull market mania.

Posted by Albukhary > 2024-05-14 12:40 | Report Abuse

PPHB is a undervalue GEM.
When the timing come, It will shine like a Diamond.
TP 1 = RM0.70 (Achieved on 10th Jan 2023)
TP 2 = RM0.90 (Achieved on 10th May 2024)
TP 3 = RM1.20 (Hopefully can be achieved within Year 2024)

Posted by daretocutandchange > 2024-05-14 13:07 | Report Abuse

orna right now 1.1,compare to pphb how much do you think ?pphb fundamental should be better????

Posted by speakup > 2024-05-15 09:27 | Report Abuse

Hmmm very strange. At all time high yet ppl grab grab

Posted by speakup > 2024-05-15 09:51 | Report Abuse

When cheap nobody grab
When at all time record high, all Rebutttt buy

Posted by speakup > 2024-05-15 09:52 | Report Abuse

After become like Mmag today. LOL!

Posted by SincereStock > 2024-05-15 10:16 | Report Abuse

@speakup lmao compare with MMAG which price is still at least 4x above it's mini tiny NTA

btw already got some stakes of PPHB at around 0.675, traded and earned a few in between it's up and down. now still holding quite a lot of shares here

Posted by SincereStock > 2024-05-15 10:17 | Report Abuse

please don't compare company without fundamental with company with fundamental

Posted by SincereStock > 2024-05-15 10:20 | Report Abuse

@daretocutandchange I hold some ORNA from price between RM1.00 to RM1.02, imo currently ORNA is even more undervalue than PPHB because it's NTA is much higher, only concern with ORNA if it's profitability recovery can presist

PPHB here also still undervalued with very persistence EPS and PE strongly and consistently below PE while price is also still below NTA

Posted by SincereStock > 2024-05-15 12:05 | Report Abuse

lock very few profit at 0.970 just in case, don't want to be too greedy. but still holding quite a lot of share while anticipating QR

Posted by DividendGuy67 > 2024-05-15 21:35 | Report Abuse

Nice price action this week, past 4 weeks, and past year.

Thanks to PPHB and 25 green stocks offsetting 13 red stocks, my portfolio made new all time high again today. Thank-you PPHB, thank-you Mr Market!

Posted by SincereStock > 2024-05-15 22:34 | Report Abuse

@DividendGuy67 almost same here, thanks to PPHB and 8 green stocks offsetting 3 red stocks, my portfolio also made new all time high for several consecutive days already, hopefully uptrend continue for longer. thank you bullish market, looks like everyone make money in bursa now

Posted by Albukhary > 2024-05-16 18:35 | Report Abuse

99 sen is the All Time High for this counter.
Once break RM1.00, there will be no return in the future.
See you at RM1.20.

Posted by navi > 2024-05-16 19:45 | Report Abuse

grats, let's see rm1 tomorrow

Posted by SincereStock > 2024-05-17 10:48 | Report Abuse

grats all, all the best

Posted by SincereStock > 2024-05-21 09:00 | Report Abuse

cut queue sold a few more at 0.98, just in case, volume is building up this level slight below rm1

Posted by Albukhary > 2 months ago | Report Abuse

Hopefully the PAT can be around RM12mil.

Posted by SincereStock > 2 months ago | Report Abuse

just reviewed PPHB QR, think the result is within expectation, i will maintain hold position for my remaining shares, not setting any TP because of potential privatization offer if price does go up. will top up only if price go to another lower level, which has yet to be decided, but won't be above 0.87 for sure

Posted by Albukhary > 2 months ago | Report Abuse

Yup, although the result doesn't hit my expectation of RM12mil, but not bad it still have RM10.6mil. But one thing not good is there is no interim dividend announce.
Once again, the company is holding too much of cash, and it must find a way to generate more return with its cash.
Perhaps they can build another hotel, or acquire some new business, or get more client.
I mean Penang is booming, so many MNC setup factory there, and PPHB is doing packaging business, please try to secure some long term contract with those MNC.
(

Posted by navi > 2 months ago | Report Abuse

@sincerestock, where is the rumour about the potential privitization?

Posted by SincereStock > 2 months ago | Report Abuse

@navi no rumour, just that the state of undervalue and bos refuses to give proper dividend payout made suspicious that they might have intend to privatize the company at some point if they got the cash to do so

Posted by bryan2003 > 2 months ago | Report Abuse

@sincerestock May I know how the dividend correlated to privatisation please? If the management declare dividend, themselves will be benefitted as well and the NTA will drop and hence they can use lower price for privatisation.

Posted by SincereStock > 2 months ago | Report Abuse

@bryan2003 actually it is like opposite.

privatisation price most of the time is more correlated to current market price than NTA. therefore, by not giving proper dividend payout, market price would stay at lower level instead and hence they can use lower price for privatisation.

hope you get what I mean

Posted by SincereStock > 2 months ago | Report Abuse

and then I need to emphasize ya, there are no rumour for privatization, all is just investors our own speculatives

Posted by bryan2003 > 2 months ago | Report Abuse

@sincerestock, thanks for the explanation. I was thinking let’s say the current share price is rm1 and the nta is rm1.5, if the management offer rm1.3 for privatisation, higher chances that the shareholders will reject and currently the owner just holding around 50%+ of the total issued shares. So I wonder how you would have such speculation.

Posted by SincereStock > 2 months ago | Report Abuse

@bryan2003 no, in the case of your assumptions, most of the remaining shareholders will accept the offer, I can say that with 99% confidence, unless there is a major significant shareholder that wasn't the part of the privatization offered. retailers mostly will just agree, including myself talking as a retailers. why would a retailer reject? you cannot sell your Rm1 stock to the market into it's NTA price of RM1.5. how easy you think soon or later it will surely hit RM1.5 in market? many counters traded below NTA "forever" in the stock market. so instead of continueing trading at price of RM1 in stock market, why not just accept RM1.3 offer and leave to other counters. there are so many good counters out there.

for real life case study you can refer to MMCCORP privatization

https://klse.i3investor.com/web/stock/financial-quarter/2194

if you had time and interested to my more detailed comment on this, please read my comments on MMCCORP forum which I shared my own privatization experience and feeling / review on it. it was really one of the most happy moment in my bursa market investing experience. but some of the other involved retailers might feel otherwise. very worthful to read conversation between us there

Posted by SincereStock > 2 months ago | Report Abuse

anytime, any of my current and future holding stocks counter, if the owner would had offered anything 10% or above the current market price, I will take that offer and leave happily and continue hunting for the next counters

Posted by Albukhary > 2 months ago | Report Abuse

In my own experience, if current price is RM1, NTA is RM1.50, and privatization offer price is RM1.30. High chances this privatisation will be failed, as minority will not accept the offer price.

The best scenario of privatisation will be :-

Current price - RM1.00
NTA - RM1.50
Intrinsic value of the company - RM2.50 (i.e. Company have land that reflected very low book value in account, but actual market value is few times of the book value.)
Offer price - RM1.80.

In this type of scenario, minority shareholders will be happy to accept the offer, because the offer price is exceed the NTA (book value). Major shareholder also happy, because their offer price of RM1.80 is far below the real intrinsic value of the company RM2.50. Moreover, the company has so many cash, all bank institution is happy to provide financial support to the major shareholder to privatise the company, coz once they privatise, they can anytime declare dividend or capital repayment to withdraw the money from company bank account.
The

Posted by SincereStock > 2 months ago | Report Abuse

@Albukhary do you have similar real case similar to your statement? I mean current price is below NTA while privatization price is above NTA? if yes, the offerer are definitely a lot more generous than Syed Mokthar in MMCCORP privatization.

I know a few cases of privatization above NTA, but for those cases I know, but the current trading price itself is also above NTA, despite still below the offered price.

then again, please refer to MMCCORP privatization of success case of privatization below NTA price. minority would just accept, although many are voicing their reluctancy, in which myself don't agree or understand

Posted by SincereStock > 2 months ago | Report Abuse

back to PPHB here to be honest, I am only expecting privatization to be anything below NTA. but if offered at exact NTA price, I would be surprisingly more happy of course, could not imagine anything above NTA

Posted by SincereStock > 2 months ago | Report Abuse

tbh, I don't understand the mentality of retailers that want to hold long term into a stock just because of it's intrinsic value that might never be realised into real cash. strong belonging feeling to company that you don't start off or involves directly in all it's operations? or lack of confidence in looking for the next counter?

Posted by SincereStock > 2 months ago | Report Abuse

after many years, I still insist with my arguement with the opposing retailers of MMCCORP privatization.

Posted by bryan2003 > 2 months ago | Report Abuse

@sincerestock thanks for your sharing

Posted by SincereStock > 2 months ago | Report Abuse

@bryan2003 welcome

Posted by navi > 2 months ago | Report Abuse

wau Hupseng push from 0.9 to 1.2. Wishful dream for PPHB road to 1.2..

Posted by speakup > 2 months ago | Report Abuse

Pphb is worth at very very least 1.20

Posted by speakup > 2 months ago | Report Abuse

Pphb at 91 so undervalued remind me of Insas at 80sen

Posted by navi > 2 months ago | Report Abuse

hupseng 2.0 incoming...

Posted by OTB > 2 months ago | Report Abuse

Up 11% today, any good news !!
Good luck.

Posted by speakup > 2 months ago | Report Abuse

Kasi limit up

Posted by SincereStock > 2 months ago | Report Abuse

still holding some stackes bought at 0.675 long ago, 1 of my longest holding counter, hoping for privatization announcement or price hitting NTA to sell

Posted by navi > 2 months ago | Report Abuse

wau OTB is here. Fundamentally sound company and cash rich.

Posted by SincereStock > 2 months ago | Report Abuse

hope for pending transaction announcement this afternoon after 12.30pm

Posted by SincereStock > 2 months ago | Report Abuse

best of luck everyone who still holding some stacks

Posted by daretocutandchange > 2 months ago | Report Abuse

privatise?pphb seldom up so much

Posted by SincereStock > 2 months ago | Report Abuse

@daretocutandchange rumours no, but speculations yes, has always been and especially everytime it's price hike lol seems like many are parking capital here for privatization bet

Posted by Albukhary > 2 months ago | Report Abuse

PPHB is a undervalue GEM.
When the timing come, It will shine like a Diamond.
TP 1 = RM0.70 (Achieved on 10th Jan 2023)
TP 2 = RM0.90 (Achieved on 10th May 2024)
TP 3 = RM1.20 (Hopefully can be achieved within Year 2024)

Dream come true soon!!!

Posted by ValueInvestor888 > 2 months ago | Report Abuse

i think investors starting to reliase this stock is undervalued.