The objective of this new topic stock talk.....!!
Especially undervalue stocks with margin of safety stock.
Also for people to critical review & raider's napshot pick & portfolio
A 'blessing' in disguise Keep in mind that Venezuela is hardly the only country awash in a key resource that is staring at a bleak future. Malaysia and Australia are another blessed countries The phenomenon is common enough that academics have a name for it: "the resource curse."
Simply put, countries with abundant resources tend to have WORSE economic growth and development than countries with fewer natural resources. The reasoning is pretty simple: when you're given wealth, you lose the value of hard work and taking risks.
Consider the case of Saudi Arabia. Saudi Arabia has a lot of oil... In parts of the country you could practically stick a straw in the ground and hit pay dirt. So, it's done pretty well for itself over the past 40 years. Like Venezuela, Saudi citizens get plenty of perks for winning the geological lottery. Gas is cheap, government jobs are plentiful, personal income taxes are non-existent, and higher education is normally free.
Yet all this wealth has had a toxic effect on Saudi society. When surveyed by Gallup, 75% of Saudis said they want to work for the government. Less than 1 in 5 prefer private sector employment! In Malaysia the similiar survey shows 70% of blessed malay citizens prefer to work for the government. Not exactly a risk-taking society...!!
When oil prices were high, the hundreds of billions in oil money flowing into the country each year were enough to mask Saudi Arabia's and malaysia weaknesses. But now that oil prices are collapsing... The country is at risk of running out of cash within the next five to ten years!
The two lessons While thinking about the destructive elements of being "given" wealth, I came to two conclusions that relate to investing.
First, when it comes to investing in foreign markets, I'm far more comfortable with countries that have exhibited a culture of innovation, hard work, and fierce competition, rather than those that lucked into a valuable resource. I believe markets such as India, China , Taiwan, Korea will define the next generation of winning companies, and I don't see any promise in countries like Venezuela.
And second, in the same way oil-rich nations can be spoiled when they don't have to work as hard for their economic advances, my children could come to expect financial wellbeing if it's just handed to her. I believe passing on these stocks to my children should be a real blessing... Not something that could diminish her own hard work and risk-taking at such an important time in her life.
So I decided... While I plan on teaching the children about investing, very well before they are 18, I'll hold off on ever letting them know the stocks we're looking at will one day be theirs.
The future country raider see the following future trend; 1. Malaysia will continue downhill in term of competitiveness and wealth 2. The country wealth & talent is deteriorating 3. Cost of living is going up 4. Malaysia will go towards an islamic country like Saudi.
U need to invest in equities to overcome the above challenges to protect yourself and family...!!
SUPERLON HOLDINGS BERHAD (740412-X) Lot 2736, Jalan Raja Nong, 41200 Klang, Selangor Darul Ehsan, Malaysia Tel: 603-5161 7778 Fax: 603-5162 7778 Email: corporate@superlon.com.my Website: www.superlon.com.my
PRESS RELEASE SUPERLON ACHIEVES BEST EVER RESULTS FOR FY2016 • Sets a record net profit of RM16.7 million on the back of RM90.4 million revenue • Declares an interim dividend of 2.5 sen Klang, Malaysia, 24 June 2016 – Malaysia’s leading rubber insulation manufacturer, Superlon Holdings Berhad (Superln, 世霸龍, 世霸龙; Bloomberg: SLON:MK; Reuters: SPLH.KL) today announced its financial results for the financial year ended 30 April 2016 (FY2016) which is its best ever. The Company’s net profit jumped 78% to RM16.7 million and revenue soared 21% to RM90.4 million despite the unpredictable economic conditions during the year.
Revenue growth was mainly led by higher demand of thermal insulation products for both export and local markets. Export sales surged 30% to RM70.2 million in FY2016 from RM54.1 million in the previous year whilst local sales climbed 13% at RM14.6 million in FY2016 from RM12.9 million in the previous year. The growth in the topline was underpinned by increase in volume coupled with favourable exchange rates.
The Company’s operating cash flows remain strong and financial position healthy with the Group sitting on cash of RM30.4 million as at 30th April 2016.
Shareholders have enjoyed a total dividend of 9 sen per share paid out for the FY2016 and are set to receive a first interim dividend of 2.5 sen per share for the FY2017.
Jessica Liu, Managing Director of Superlon, commented, “We are satisfied with the Company’s financial performance. The stronger results were underpinned by a solid growth in demand for our thermal insulation products. Asia continues to be our key focus region and accounts for 66% of our total revenue.”
Financial Summary (Unaudited Consolidated Results) Individual Period Cumulative Period Current Preceding Current Preceding RM’000 30 Apr 16 30 Apr 15 variance 30 Apr 16 30 Apr 15 variance Revenue 23,606 20,872 13% 90,411 74,509 21% Gross profit 9,154 7,236 27% 35,294 23,913 48% Gross profit margin 39% 35% 4% 39% 32% 7% Profit before tax 4,802 4,152 16% 21,362 12,554 70% Profit for the period 3,703 3,241 14% 16,660 9,381 78% Basic EPS (sen) 4.66 4.08 14% 20.98 11.81 78% - End -
About Superlon Superlon Holdings Berhad is listed on the Main Board of Bursa Malaysia Securities Berhad. The Company, through its subsidiary company, is primarily involved in manufacturing of thermal insulation materials used mainly in the heating, ventilation, air conditioning and refrigeration (HVAC&R) system of residential, commercial and industrial buildings. It also engages in trading of HVAC&R parts and equipment. For more information, please visit www.superlon.com.my
This a good example of growth stock at very reasonable valuation and good dividend yield. Will benefit from export and the strength of USD. A good hedge if u do not like Ringgit loh...!!
Raider, kesm,superln,. Next yr, eye bjcorp. Why? Potential to strike in Vietnam high log. Now parred down lots of debts by selling many assets. Even sell down bjtoto! The means, this time really going big in Vietnam log!!!
This past week the S&P 500 - the index most of us use to represent the "stock market" -- hit an all-time high . This can be cause for great worry, especially if you subscribe to the theory that what goes up must come down.
Perhaps you saw the same headlines I did during the week that mentioned things like an overheated market, a disconnect between earnings and the latest rally, and "the coming correction." Perhaps you saw the talking heads on financial TV urging caution.
This is EXACTLY what you have to fear about the new market highs. No, not a "correction" or a precipitous drop in the market... but trying to keep all these Nervous Nellies from scaring you away from stocks. That's something could seriously harm your portfolio and delay your well-earned retirement.
As you'll see below, what goes up doesn't always come down in the stock market!
A great investing lesson
I would like to take this opportunity to share with you one of the world's greatest investing lessons. Not only does this lesson, but also history's legendary investors... names like Warren Buffett and Peter Lynch.
Here it is:
Always view investing through a long-term lens.
To illustrate the power of this lesson, let's take a quick look at this historical chart of the S&P 500 (since 1900, using data from Yale professor Robert Shiller):
S&P 500 data courtesy Robert Shiller. Chart displayed in log scale.
As you look at this amazing display of wealth creation, tell me: At what point anywhere along the way would you need to have feared a new market high - assuming you had the long-term outlook I just mentioned?
I took a closer look at the numbers since 1946 -- the post-WWII period, and a decent proxy of the modern investing era. Crunching the numbers, you had a 92% chance of making money over any 10-year period , no matter which month you decided to buy. If you reinvested dividends, your chances of positive returns were 97%.
And if your timeline was 15 years? There were ZERO money-losing 15-year periods, dividends reinvested or not.
Don't forget these 4 things
The best long-term investors I know are warren buffet and Charlie munger. Their calming advice on timeline and temperament have guided hundreds of investor over the years through both bull and bear markets - and the devastating recession just a few years ago.
Here's what they tell their members: 1.Stocks can and will go down. Sometimes a lot. And sometimes the market will take years to recover and reach new highs.
2.No one can predict with any consistency the ups and downs of the market. Stocks may go down after reaching new highs. They may just as well keep going up. No one knows! But we believe the stock market will continue a long-term upwards trend.
3.With at least a 10 to 15-year timeline, you drastically reduce your chances of losing money in the stock market.
4.Continuing to add money on a regular basis (known as "dollar-cost averaging") is a great way to invest in stocks. By its very nature, dollar-cost averaging buys you fewer shares when stocks are high, and more when they are lower.
Of course the best investors/traders love market crashes..you get to buy stocks many times cheaper. The timing to buy during crash is the ultimate decider between the men and the boys.
If there is anything Donald Trump said that i agree it is this "he said global stocks rose to levels now seen cos of the presence of cheap money,and that it is very dangerous now".
"The most active traders earned an annual return of 11.4% during their study period, vs. the market's annual return of 17.9%"
not sure if the above theory fits so well in Bursa...we are often misled by the 'U.S investors' return... U.S had one of the highest growth in the world. Malaysia..boleh ke?
IN THESE NEW ERA....THE BEST STRATEGY FOR INVESTORS ARE STICKED TO EXPORT COMPANY AND COMPANY THAT HAVE ALOT OF LOCAL INTERNATIONAL RESOURCES OR COMPANY THAT OWN VERY GOOD BUSINESS OVERSEA LOH....!!
1. RINGGIT IS AS GOOD AS A DEAD DUCK....WITH WEAKENING OF THE COUNTRY CAPACITY TO ABSORB DEBTS AND MONIES FLEEING THE COUNTRY FOR USA. 2. THE EXPERTED RUN IS DUE TO LOST OF CONFIDENCE WITH MSIA AND ATTRACTIVENESS USA OVERSEA LOH....!! 3. EXPECTED USA/RM WILL BE AS HIGH AS RM 4.50 TO 6.00 GOING FWD LOH...!!
SO TO PROTECT YOURSELF PLS LOAD UP, WITH CASH RICH EXPORT COMPANIES WITH GOOD CORPORATE GOVERNANCE. AVOID HIGH DEBTS....POOR CORPORATE GOVERNANCE AND MOST DOMESTIC DRIVEN BUSINESS LOH.....!!
AVOID LONG TERM BIG FOREX COMMITMENT....LIKE SENDING CHILDREN OVERSEA FOR STUDY IF U CAN DO IT LOCALLY OR BUYING OVERSEA PROPERTY USING LOAN LOH...!!
Complet Logistic...It is expected revenue and profit to resume growing after their new warehouse 6,500sqm in Pasir Gudang started operation in Aug 2016. The new warehouse adds about 30% of its existing capacity.
Magni is a good company loh.....!! I have not included it in my list of 18 stocks bcos i classify it as a momentum growth export stocks like in the categories of ;
1.KESM 2.Penta 3.IQ 4.Superlon 5.Magni
This type of stock have good instituitional following and with great momentum going fwd.
However the risk is if earnings slowdown it will be affected loh...!!
Thank you sifu Raider for you sharing. I I do agree with you. Its earning largely depends on US economy n Nike. Hopefully, with Trump, the US economy will be better.
"Benjamin Graham said "the companies are lacking the fundamentals of a long-lasting stable company because" it lacks a art and science combination and so how can the share price go up eventually."
The above are the findings of Bgraham...intelligent investment & margin of safety of investment loh...!! U can call these Shaolin Kung Fu mah....!!
For "Golden Rule"...it is like karate another form of martial art...that practise momentum investment...with a combination of art & science mah....!!
Don get raider wrong, i m not saying Shaolin no good or karate no good loh.....!! If Shao Lin suit u...use shaolin mah....if karate suit u...use karate loh.....!!
3ii...should understand...physic...of momentum mah....!! An object will move with continue momentum unless and until obstructed mah....!! Raider still remember this important scientific law loh..!!
So if profit is good & growth with momentum...u buy loh...bcos this important "scientific law of momentum mah!!"
U only sell when the momentum is disrupted mah.....!!
It is already proven scientifically mah....!!
This Golden Rule is a marriage of Art & science loh...!!
In order to avoid greater fool, u need to use FA loh....!! U need to do valuation mah.....!! U need to be discipline loh.....!! U buy only when they is deep margin of safety mah..!!
Warren buffet says u do not simply swing....!! U wait for a fat pitch then only swing loh...!!
WHY KYY G0LDEN RULE IS 0NE BEST INVESTMENT TECH AVAILABLE, OTHER THAN WORLD FAMOUS MARGIN OF SAFETY INVESTMENT PRINCIPLE LOH ?
THE GOLDEN RULE CAN BE USED FOR INVESTORS, SPECULATORS, TRADERS AS WELL AS GAMBLERS TOO....!!
LETS STUDY & ANALYSE THE GOLDEN RULE CAREFULLY LOH..!!
1 KYY golden rule for stock selection: Before you buy any share, you must make sure that the company can make more profit in the current year than last year by looking at its profit for the last 2 quarters and the projected P/E ratio is less than 10. If it has very good profit growth prospect, you may buy it at higher P/E ratio. THIS RULE ENSURE U INVEST LIKE A BUSINESS MAN LOH....U BUY BUSINESS...THAT HAVE VALUE LOW PE....CURRENT EARNINGS GROWTH & SUSTAINABLE LOH...!! IF NOT SUSTAINABLE U DON BUY MAH.....!!
2 Up and down trend charts: You don’t have to be an expert in chart. All you need to know is what is up trend and down trend. Never buy down trending stocks even if they are selling below NTA because you don’t know when the price will go higher than your purchase price for you to sell to make money. For example some of the property companies are selling below their NTA. As you know there is an oversupply of properties in every town and city in Malaysia. If you buy property shares, you have to wait a few years before the property market turns around. THIS RULE SUIT A TRADER & SPECULATOR LOH....U BUY WHEN THE STOCK SHOWS MOMENTUM & TRADING STRENGTH LOH....U DON WANT TO BE A LONG TERM INVESTOR & GET STUCKED, EVEN IF THERE IS MARGIN OF SAFETY LOH...!! THIS COUNTER THE MARGIN OF SAFETY PRINCIPLE....BUT RAIDER CAN AGREE WITH THIS DIFFERENTIATION....GOLDEN RULE IS A SHORT TERM MOMENTUM MECHANISM, WHEREAS MARGIN OF SAFETY IS A LONG TERM VALUE MECHANISM MAH.....!!
Posted by stockraider > Dec 10, 2016 10:43 AM | Report Abuse
WHY KYY G0LDEN RULE IS 0NE BEST INVESTMENT TECH AVAILABLE, OTHER THAN WORLD FAMOUS MARGIN OF SAFETY INVESTMENT PRINCIPLE LOH ?
THE GOLDEN RULE CAN BE USED FOR INVESTORS, SPECULATORS, TRADERS AS WELL AS GAMBLERS TOO....!!
LETS STUDY & ANALYSE THE GOLDEN RULE CAREFULLY LOH..!!
1 KYY golden rule for stock selection: Before you buy any share, you must make sure that the company can make more profit in the current year than last year by looking at its profit for the last 2 quarters and the projected P/E ratio is less than 10. If it has very good profit growth prospect, you may buy it at higher P/E ratio. THIS RULE ENSURE U INVEST LIKE A BUSINESS MAN LOH....U BUY BUSINESS...THAT HAVE VALUE LOW PE....CURRENT EARNINGS GROWTH & SUSTAINABLE LOH...!! IF NOT SUSTAINABLE U DON BUY MAH.....!!
2 Up and down trend charts: You don’t have to be an expert in chart. All you need to know is what is up trend and down trend. Never buy down trending stocks even if they are selling below NTA because you don’t know when the price will go higher than your purchase price for you to sell to make money. For example some of the property companies are selling below their NTA. As you know there is an oversupply of properties in every town and city in Malaysia. If you buy property shares, you have to wait a few years before the property market turns around. THIS RULE SUIT A TRADER & SPECULATOR LOH....U BUY WHEN THE STOCK SHOWS MOMENTUM & TRADING STRENGTH LOH....U DON WANT TO BE A LONG TERM INVESTOR & GET STUCKED, EVEN IF THERE IS MARGIN OF SAFETY LOH...!! THIS COUNTER THE MARGIN OF SAFETY PRINCIPLE....BUT RAIDER CAN AGREE WITH THIS DIFFERENTIATION....GOLDEN RULE IS A SHORT TERM MOMENTUM MECHANISM, WHEREAS MARGIN OF SAFETY IS A LONG TERM VALUE MECHANISM MAH.....!!
Good morning Great Raider!
Calvin thinks DRB will be a Great Momentum Stock of Year 2017
1) At least 13 Cts Profit possible from POS share price rise yet to be factored in by Feb 2017 qtr results
2) Cash inflow from Corwin Spore Asset sale About Rm500 mil
3) Proton Ertiga sales will grab headlines
4) POS (53.5% owned by DRB) will be in focus when ECommerce is launched by JackMa by March 2017
5) Profits from defense tanks 8x8, Proton Iriz (Rm5k discount for Uber taxi) & others will raise profits
3 Buy up trending stocks provided they have good profit growth prospect and selling at low P/E ratio. The advantage is that after your purchase, you can see the price continues to go up. But you must remember that no share can continue to go up for whatever reason. You must sell to take profit. U MUST UNDERSTAND STOCK VALUATION WILL ALWAYS OVERSHOOT...AND TOO OPTIMISTIC ON UPSIDE & TOO PESSIMISTIC ON DOWNSIDE LOH....!! YOUR OBJECTIVE IS TO MAXIMISE YOUR PROFITS ON THE UPSIDE AND MINIMISE YOUR LOSSES ON THE DOWNSIDE....THEREFORE U MUST SELL TO TAKE PROFIT LOH...!! THEREFORE ALWAYS GO TRENDING UP STOCK MAH....!! DO NOT GET MARRIED TO YOUR POSITION, WHEN PROFIT FALTER OR STOCK START TO TREND DOWN LOH....!!
4 Cut loss will limit your losses: After you have bought a share and the price did not go up as you expected, you must cut loss when the price drops more than 10% of your purchase price. YES THERE SHOULD BE A LIMIT HOW MUCH U R PREPARE TO LOSE LOH...!! 10% IS A REASONABLE AND REMEMBER SOMETIME PEOPLE DO MAKE MISTAKE LOH....!! DO NOT BE EMOTIONAL & REFUSE TO TAKE ACTION WHEN THE RULES ARE BROKEN MAH.....!!
5 Control your emotion of fear, greed, ego and over confidence to think logically is the key for successful investing. Most people cannot control their emotion to think logically. If everyone can think logically, all the shares would be fully valued and there would not be any underpriced share for sale. That is not the case. If you can control your emotion you would know when to buy and when to sell to make money.YES INVEST BUSINESS LIKE LOH....IF THE STOCK CAN JUSTIFY HOLDING U SELL LOH...!! IF IT IS PERFORMING & ACTING WELL U HOLD TIGHT AND MAXIMISE UR RETURN MAH...!! REMEMBER GOOD STOCK IS HARD TO FIND LOH....DO NOT SIMPLY SELL TO TAKE SMALL LITTLE PROFIT LOH...!! RAIDER RECOMMEND U ALWAYS MAKE AT LEAST MINIMUM ABOVE 20% UNLESS & UNTIL THE SELL RULES ARE TRIGGER MAH..!!
6 You must develop some business sense. Quite often you can see share prices of really good companies remain flat or keep dropping for no reasons. If have some business sense, you dare to buy. But if you do not understand business, you would miss the chance to make money. THIS AREA CALLED FOR SOME SCUTTLE BUTT....RAIDER SO CALLED 009 INVESTIGATIONS....U NEED TO TURUN PADANG AND INVESTIGATE WHETHER THE BUSINESS DOING REALLY WELL LOH....SEE FOR YOURSELF LOH...!!
7 To maximize profit, you must have patience. Every day you can see how share prices fluctuate. The day’s high and low can be quite a wide difference. If you have patience, you can buy at the lowest price or sell at the highest price of the day. RAIDER SAYS U SHOULD NOT DO THIS TYPE OF THING, LIKE DAY TRADING LOH....IT IS A WASTE OF TIME...U SHOULD HAVE CONVICTION IF U BUY & HOLD....BCOS MOST MONIES ARE MAKE FROM HAVING A GOOD EXPOSURE & HOLDING WHEN THE STOCK RUN UP STRONGLY LOH..!! DO NOT EASILY GET SHAKEN OUT LOH....!!
8 You must own a maximum of 8 stocks so that you can keep track of the companies’ progress. All businesses have different challenges and obstacles at different time to overcome. If you can keep track of them, you know when to buy or sell to make more profit.DO NOT OVER DIVERSIFY AND TOO CONCENTRATED ON FEW STOCKS LOH...!! 8 TO 10 STOCKS ARE NICE BALANCE NUMBER FOR U TO INVEST & MONITOR LOH...!!
9 You should use margin loan to increase your profit provided you really know all the above guide lines. The current interest rate is 4.8% pa. You can easily make more than the interest rate to increase your profit. IF U R NOT GOOD ENOUGH & BEGINNERS DON DO IT LOH...!! U USE MARGIN ONLY WHEN U R PROVEN OF GOOD RESULTS....AFTER 3 TO 5 YRS GOOD RECORD LOH...!! MARGIN MAGNIFY UR GAIN BUT ALSO MAGNIFY UR LOSSES LOH.....!! IF U HAVE GOOD RECORD...ESPECIALLY USING GOLDEN RULES, THEN U SHOULD USE MARGIN, BCOS GOLDEN RULE HAS AN BUILT PROTECTIVE MECHANISM MAH..!!
10 Share investing is not an easy venture. If you cannot afford to lose, don’t try. There are more losers than winners in the stock market. If you have not been successful after a few years, you must stop. Otherwise you and your family will suffer.FINALLY STOCKMARKET IS NOT A GET RICH QUICK ARENA & IT IS NOT A GAMBLING AVENUE LOH...!! U MUST INVEST LIKE A BUSINESSMAN LOH....!! DO NOT SIMPLY BUY LOH....UNDERSTAND THE BUSINESS & ITS VALUE PREPOSITION, THE RISK ..B4 U PUT IN UR MONIES TO INVEST LOH..!!
Having master Golden rule...u can invest in any companies...anywhere around the world as long as u always adhere to the investment golden rule loh....!!
This golden rule is balance & universal it is easily adaptable loh.!!
1."As a general tactic we bought into weakness and sold into strength."
2. "In disrepute, we grabbed them. In favor, we sold them."
3. "Dwelling successfully in woebegone regions of the markets is a different story. Until results surface, few investors can muster the courage to buy down-and out stocks that evoke blank stares more often than envy. Once results become visible, of course, the opportunities usually have passed."
4. "Keep tabs on stock prices posting new lows... the stock of 185 New York Stock Exchange companies sank to their lowest points in 52 weeks. On NASDAQ, 148 stocks etched new lows
Low stock prices should never trigger automatic buy signals. For some of these companies, more dismal days lie ahead. Buy, in the course of my career, few days have passed when the new low list has not included one or two solid companies worth investigating. The goal is to find earnings growth capable of capturing the market's attention once the climate shifts."
5. Windsor (Fund managed by John Neff) gained an edge in cyclical stocks by staking out positions when big Wall Street firms were advising their clients to wait and see."
JOHN NEFF IS A CLASSIC CONTRAIAN INVESTOR LOH.....HE BUYS WHEN SHARE PRICE OF THE COMPANY AND MARKET COLLAPSE AND WHEN THERE IS DEEP VALUE MARGIN OF SAFETY OR WHEN THE POTENTIAL TUNAROUND & RECOVERY ON SIGHT LOH.....!!
Raider still remember sifu Dr Neoh mentioned many years back, that successful farmer wyckoff will only chose to plant fruits and vegetable when it hit all time low loh....!! He plant & plant when those other farmers are throwing & away their current produce by burying them as fertiliser and uprooting those plants loh...!! This app can be apply to investment tech...is one of the most successful style but it demand alot of patience & discipline loh...!!
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Posted by stockraider > 2014-04-28 09:48 | Report Abuse
The objective of this new topic stock talk.....!! Especially undervalue stocks with margin of safety stock. Also for people to critical review & raider's napshot pick & portfolio