The number of packages and book order amount are far more than MRT 1.0. The cake is bigger. There should be more contractors who benefit this time round.
Referring to the MRT 1.0 contract award results, Gadang and Mudajaya (non-bumiputra participants) will be the last ones who received the award. Being last does not mean never being awarded.
i think more than 20B,as JV of mmc and gamuda already took 15.47B,sunway construction took1.2B,azrb took 1.44,and today announced 4.2B, total 22.31B(havent include projects took by other companies like TRC and so on)
Gadang tender for 10b projects & Kok Oon said in the news that Gadang stands chance of 20%.
So far, Kok Oon has delivered his promises & recent results has proven the ability of Gadang to clinch higher profit margin from the contruction division.
I dun see any reason for Gadang not to be able to secure MRT2 viaduct package contract as they are the fastest contractor to complete MRT1 viaduct package 2, of course their MRT1 package 2 was more straight forward compared to IJM package 5 which mostly at the center of existing traffic. Some more, we can also notice that their management team efficiency in improving their construction profit margin. If not mistaken, the profit from Johor Capital City still yet to show much in their financial statement. At the same time, their recurring income from Indonesia utilities and also Sabah plantation will be boost their financial in near future. Last and not least, their current low PE among construction peers also contribute to their price limited downside,
Gadang is poised to move up in slow and steady way. Look at the pattern the buyers collecting the stock, u know that the stock is building the uptrend momentum..there are 10b worth of contract hv yet to announced,,good chance that gadang will be awarded..
Most of the projects awarded to big time cronies contractors belakang ada kira like l help you and in return you also help me , sama sama cari makan lah . Even how strong in your business line up , but you never kaotim this nuts , you will never get it lah as cash is king described by the Bugis pirate .
The sellers are getting much lesser. The volume dropped so much today, now need to wait for buyers to pump the price above 2.15 and it will go all the way to break 2.24 resistance and fly to 2.5.
sigh... everytime wanna reach my average cost of 2.15, then will drop back to 2.10.... but gonna hold til end of year/early next year... hope by that time is more than 3...
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....
SJSOON
2,579 posts
Posted by SJSOON > 2016-05-12 21:26 | Report Abuse
The number of packages and book order amount are far more than MRT 1.0. The cake is bigger. There should be more contractors who benefit this time round.