MACD crossing, RSI turns up from oversold position and KLCI inching up.
Wednesday, March 26, 2008
Sunday, March 16, 2008
Accept defeat and move on
A very nice article extracted from TheStar.
Accept defeat and move on
SUNDAY WITH T. SELVA
With the right attitude, even losing can make you a better person.
THERE will come a time in every individual’s life when things don’t go our way and this is the reality of life.
One of the most common occurrences is defeat, which comes in various situations in our daily and challenging undertakings and often causes anger, disappointment, depression, unhappiness and discomfort.
At the recent 12th general election, failure was more felt by a greater number of politicians than success and this had left many people with a disturbed mood, shame and pain.
I called two politicians whom I had interviewed during their campaign trail after their defeat was announced and they refused to answer my calls.
Another politician who I went to visit cursed and swore because he lost his seat and was forced to vacate his house hurriedly following the fall of the Selangor government.
A real man is one who can face up to his mistakes and learn something from them so that he never repeats them.
Here credit must be given to former Penang chief minister Tan Sri Dr Koh Tsu Koon who accepted his defeat and the downfall of the state government gracefully and passed on the baton respectfully.
He left with dignity and style and nothing commands respect more than a man who stands up to adversity because respect clears the way to power and success.
Many say this is easily said than done because it is difficult to accept or admit defeat.
One shouldn’t be afraid to acknowledge defeat because an individual who has the ability to stand up tall and admit that he’s wrong or that he’s been bettered in some way is admired and regarded as a gentleman.
This is because with the right attitude, even losing can make you a better person as the entire episode offers us an experience to learn from.
We spend our whole life building on a good character and this is not based on how we win every task we undertake but how we deal with losses and emerge stronger.
People with credible disposition do not fall following a failure but surface greater in the society.
Don’t dwell on your performance which wasn’t the best, instead recognise your defeat. Congratulate the winner and move on with positive thoughts to recover from your setback quickly.
Never hold grudges and take revenge because such thoughts are counterproductive and in fact they will affect your physique and aura.
Swallow your pride and ego and learn from your mistakes and turn your errors to your advantage.
Every loss should be played back in your head again and again to determine exactly why you lost.
This will keep you sharp and focused for the next time you face this particular adversary.
In a defeated situation you often ask why it was him and not you who came out on top. Did he have something that you didn’t?
There’s nothing wrong with admiring those who won and take stock of what it took to come out on top.
Another defeated politician I spoke to attributed his loss to the will of God and has turned to spirituality to heal his body, mind and soul.
Many people turn to the Almighty when in crisis, not realising that they should have done it before so that they have the divine guidance and grace in undertaking challenges in life.
The reality of life is there are super powers above us and all we have to do is give our best in all our undertakings and leave the rest to the unseen supremacy.
T. Selva, The Star’s Sunday Metro Editor, feels that every failure offers a chance to bounce back as a winner the next time.
SUNDAY WITH T. SELVA
With the right attitude, even losing can make you a better person.
THERE will come a time in every individual’s life when things don’t go our way and this is the reality of life.
One of the most common occurrences is defeat, which comes in various situations in our daily and challenging undertakings and often causes anger, disappointment, depression, unhappiness and discomfort.
At the recent 12th general election, failure was more felt by a greater number of politicians than success and this had left many people with a disturbed mood, shame and pain.
I called two politicians whom I had interviewed during their campaign trail after their defeat was announced and they refused to answer my calls.
Another politician who I went to visit cursed and swore because he lost his seat and was forced to vacate his house hurriedly following the fall of the Selangor government.
A real man is one who can face up to his mistakes and learn something from them so that he never repeats them.
Here credit must be given to former Penang chief minister Tan Sri Dr Koh Tsu Koon who accepted his defeat and the downfall of the state government gracefully and passed on the baton respectfully.
He left with dignity and style and nothing commands respect more than a man who stands up to adversity because respect clears the way to power and success.
Many say this is easily said than done because it is difficult to accept or admit defeat.
One shouldn’t be afraid to acknowledge defeat because an individual who has the ability to stand up tall and admit that he’s wrong or that he’s been bettered in some way is admired and regarded as a gentleman.
This is because with the right attitude, even losing can make you a better person as the entire episode offers us an experience to learn from.
We spend our whole life building on a good character and this is not based on how we win every task we undertake but how we deal with losses and emerge stronger.
People with credible disposition do not fall following a failure but surface greater in the society.
Don’t dwell on your performance which wasn’t the best, instead recognise your defeat. Congratulate the winner and move on with positive thoughts to recover from your setback quickly.
Never hold grudges and take revenge because such thoughts are counterproductive and in fact they will affect your physique and aura.
Swallow your pride and ego and learn from your mistakes and turn your errors to your advantage.
Every loss should be played back in your head again and again to determine exactly why you lost.
This will keep you sharp and focused for the next time you face this particular adversary.
In a defeated situation you often ask why it was him and not you who came out on top. Did he have something that you didn’t?
There’s nothing wrong with admiring those who won and take stock of what it took to come out on top.
Another defeated politician I spoke to attributed his loss to the will of God and has turned to spirituality to heal his body, mind and soul.
Many people turn to the Almighty when in crisis, not realising that they should have done it before so that they have the divine guidance and grace in undertaking challenges in life.
The reality of life is there are super powers above us and all we have to do is give our best in all our undertakings and leave the rest to the unseen supremacy.
T. Selva, The Star’s Sunday Metro Editor, feels that every failure offers a chance to bounce back as a winner the next time.
Wednesday, March 12, 2008
Bought Tenaga (5347) at RM7.25
Bought Tenaga at RM7.25, not sure this is a right move. I am not a TA guy but i do refer to chart once in a while, to interpret Tenaga's chart now is definitely on the oversold position. This stock plunged to 7.20 from 8.50, is almost 1.30 drop since Monday, there maybe more down side looking at the uncertainty right now. With gross dividend of 5%, PE=7.64 and EPS=94 at current price looks very attractive to me and very near to 4 years support line at around RM6.80. These are the factors draw my interest to Tenaga but this purchase is right or wrong only time will time, judge yourself and execute it with your wisdom. In share trading definitely there is risk involved, one should calculate the risk over reward ratio then you will see the picture clearer, no definite or sure bid of up or down for any counter. Anything will happen, for now Tenaga is under tremendous selling force and may drift lower.........As usual, i must state that the above do not recommend a buy or sell call from me, your execution is of course totally at your own responsibility.
Tuesday, March 11, 2008
Received PBBANK's Dividend
Today, i received Pbbank's dividend (50sen/1000units). With this it further reduce my average purchase price to approximately 1.50 each. Pbbank's dividend payout has been quite consistent and generous during these few years. I will do nothing with this counter except buying in more if it fall to a reasonable price (i hope so ha.ha i.e PE=8) but this is just fat hope, nevertheless, anything can happen because every dog has its day, of course Pbbank is a blue chip stock not as i described here....ha.ha...just kidding. As you can see buying dividend counters definitely benefit over the long period of time, no matter how market falls you sleep with pace with this kind of counter on hand. Till then, happy trading....
Thursday, March 6, 2008
Sold GENTING at RM6.65
Market rebounded strongly today and again i dicided to dispose off my Genting at 6.65 for a quick contra gain. For sure, can't get the highest price as usual but this is sufficient for me as i'm a fast contented person. Opportunity is always there, we just need to wait for the right time, right place and right stock of cource. Hold your bullet, there maybe more excitement to come. Happy trading.
Wednesday, March 5, 2008
Bought in GENTING (3182) at 6.35
Have managed to purchase Genting at rm6.35 today. Looking at the current market sentiment (slump by 33points), is definitely not a good move to go in but as a longterm investor, this could be the opportunity to catch some of the quality stock. For sure no one can get the lowest price, if you think this is the right move and your instinct tell you so, by all mean, go ahead and execute it without regret. Here i am, additional Genting in my portfolio. Whoever holding cash now is king. Till then, happy trading.
Tuesday, February 26, 2008
Wealth Sharing Talk ??
Is this for real a true experience of someone how he manages or plans his financial or merely make out a story to lure investor for participating ???? but interesting to read though, does this reflect you in anyway ???
Wealth Sharing Talk
Alex (not his real name) graduated in 1993. He managed to get a job with a MNC two months upon graduation. When he got his first salary, he booked a RM80,000 car. Six months later, he purchased a house for RM270,000.00. In late 1995, he married his long time sweetheart Jenny (not her real name). He spent about RM 30,000 on his wedding.
Due to cash constraints, he spent his honeymoon at a neighboring country (Thailand) where he used his credit cards to cover the expenses, about RM10000 in total. The following year, he got a promotion and his salary increased to about RM4,000 (including claims). Up to now he was paying the minimum payment only on all his monthly credit card balances.
One day in a shopping mall, he was approached by a credit card sales person with a balance transfer offer. He was told that he could transfer all his balances to this bank and have a lower interest rate for a period of two years. On top of that he would be given a gold card of that particular bank. He took up the offer as he thought he could save on the interest charges.
In 1998, Alex and Jenny had a baby boy. Jenny was being seen by a specialist at a private hospital. They also decided that she would quit her RM1800 job to be a full time housewife. Alex paid close to RM10000 in total for the medical bills for the duration of the pregnancy and delivery (via a caesarean). Alex utilized his new gold credit card for this.
From now onwards, Alex’s expenditure was more than 90% of his salary. Hardly anything was left for savings. In 2002, Alex got a job offer which was paying him about RM6000. He took the offer. He had a daughter in the same year. Again, the medical cost was close to RM10000 which he paid by credit card.
In 2003 he enrolled his son in kindergarten which cost him RM250 monthly. The next year, Alex lost his job due to the company’s decision to downsize. He was caught unaware without any savings. He survived by utilizing all his credit cards to their maximum limits. He only found a job eight months later and was offered half of his last drawn salary!
Today, Alex earns RM3200 from his day job and teaches tuition at night seven days a week just to make ends meet, including paying back his credit cards outstanding balances (which are standing at about RM43,000). Lack of financial intelligence coupled with a failure to plan has transformed Alex from a bright graduate into a depressed, disillusioned and de-motivated father and husband.
Wealth Sharing Talk
Alex (not his real name) graduated in 1993. He managed to get a job with a MNC two months upon graduation. When he got his first salary, he booked a RM80,000 car. Six months later, he purchased a house for RM270,000.00. In late 1995, he married his long time sweetheart Jenny (not her real name). He spent about RM 30,000 on his wedding.
Due to cash constraints, he spent his honeymoon at a neighboring country (Thailand) where he used his credit cards to cover the expenses, about RM10000 in total. The following year, he got a promotion and his salary increased to about RM4,000 (including claims). Up to now he was paying the minimum payment only on all his monthly credit card balances.
One day in a shopping mall, he was approached by a credit card sales person with a balance transfer offer. He was told that he could transfer all his balances to this bank and have a lower interest rate for a period of two years. On top of that he would be given a gold card of that particular bank. He took up the offer as he thought he could save on the interest charges.
In 1998, Alex and Jenny had a baby boy. Jenny was being seen by a specialist at a private hospital. They also decided that she would quit her RM1800 job to be a full time housewife. Alex paid close to RM10000 in total for the medical bills for the duration of the pregnancy and delivery (via a caesarean). Alex utilized his new gold credit card for this.
From now onwards, Alex’s expenditure was more than 90% of his salary. Hardly anything was left for savings. In 2002, Alex got a job offer which was paying him about RM6000. He took the offer. He had a daughter in the same year. Again, the medical cost was close to RM10000 which he paid by credit card.
In 2003 he enrolled his son in kindergarten which cost him RM250 monthly. The next year, Alex lost his job due to the company’s decision to downsize. He was caught unaware without any savings. He survived by utilizing all his credit cards to their maximum limits. He only found a job eight months later and was offered half of his last drawn salary!
Today, Alex earns RM3200 from his day job and teaches tuition at night seven days a week just to make ends meet, including paying back his credit cards outstanding balances (which are standing at about RM43,000). Lack of financial intelligence coupled with a failure to plan has transformed Alex from a bright graduate into a depressed, disillusioned and de-motivated father and husband.
Thursday, February 21, 2008
Contra Gain on LIONDIV
This morning buy in Liondiv at a price of 1.40 and disposing them at 1.43 within the same day, making a quick contra intraday gain on this trade. Some how have been very lucky while dealing with this counter and it never fail me, maybe is pure luck and right timing as somebody claims. Market is drifting down since the beginning of the week, will there be a traditional rally before GE ? Even if it is, the rally won't be long, this act would probably just to make good impression to the "voters", so that many will deceive the wrong impression ?? Just can't predict how it going to be, no matter how during this juncture be cautious with what you trade unless you really know what you trade.........
Monday, February 18, 2008
Completely RISK-FREE Way to Buy Stocks
Interesting Article :-
Completely RISK-FREE Way to Buy Stocks
Let me prove it to you...
By Brian HuntEditor In Chief, S&A Investment Research
Dear Reader,
I want to show you a technique that should change the way you invest, for the rest of your life...
Done right, it's a way to buy stocks that eliminates all of the downside risk. Not some of the risk – all of the risk.
Using this simple technique, you can arrange your portfolio so it will be impossible for you to lose another penny, ever, in stocks. Even better, you’ll still get 100% of the gain.
In other words, if you buy a stock and it drops 50%, you shouldn’t lose a dime. And if it soars to 1,000%, you keep every penny.
It’s kind of like buying an insurance policy for your portfolio. But, it’s even better than that. Because, done right, this “insurance” won’t cost you a thing.
In short, you get a risk-free investment in common stocks – for free.
This is the perfect setup for long-term investors who are seeking capital gains, but can't afford to lose any money.
You can adopt this strategy, buy all of the most promising businesses you find, whether they're risky or not, and never worry, ever again, about losing a single penny.
How is this possible?
Let me explain...
Step 1: Collect the Cash
The key to this technique lies in dividends. This is where it all starts.
To correctly use this strategy – and ensure you don’t lose a single penny on your investment (while keeping 100% of the gain) – you first have to find high quality businesses paying a stable dividend.
Generally speaking, these are not hard to find.
I’m talking about the Coca-Colas of the world. The Microsofts. The Exxon-Mobils.
But there is a catch.
Not every stock – blue chip or otherwise – pays the kind of dividend we’re looking for. In order for this strategy to work, the dividend must cover the “cost” of the investment.
What’s your cost?
The risk you assume by making the trade. Namely, what you’ll lose if the stock goes south.
If you invest $1,000 in a stock, your “cost” in this case is anywhere from zero to $1,000, depending on when you get out. But, believe it or not, there are companies in the market right now that will cover this cost for you – in part with the dividends they pay.
So the first step is finding the right company with the right dividend.
Let me prove it to you...
By Brian HuntEditor In Chief, S&A Investment Research
Dear Reader,
I want to show you a technique that should change the way you invest, for the rest of your life...
Done right, it's a way to buy stocks that eliminates all of the downside risk. Not some of the risk – all of the risk.
Using this simple technique, you can arrange your portfolio so it will be impossible for you to lose another penny, ever, in stocks. Even better, you’ll still get 100% of the gain.
In other words, if you buy a stock and it drops 50%, you shouldn’t lose a dime. And if it soars to 1,000%, you keep every penny.
It’s kind of like buying an insurance policy for your portfolio. But, it’s even better than that. Because, done right, this “insurance” won’t cost you a thing.
In short, you get a risk-free investment in common stocks – for free.
This is the perfect setup for long-term investors who are seeking capital gains, but can't afford to lose any money.
You can adopt this strategy, buy all of the most promising businesses you find, whether they're risky or not, and never worry, ever again, about losing a single penny.
How is this possible?
Let me explain...
Step 1: Collect the Cash
The key to this technique lies in dividends. This is where it all starts.
To correctly use this strategy – and ensure you don’t lose a single penny on your investment (while keeping 100% of the gain) – you first have to find high quality businesses paying a stable dividend.
Generally speaking, these are not hard to find.
I’m talking about the Coca-Colas of the world. The Microsofts. The Exxon-Mobils.
But there is a catch.
Not every stock – blue chip or otherwise – pays the kind of dividend we’re looking for. In order for this strategy to work, the dividend must cover the “cost” of the investment.
What’s your cost?
The risk you assume by making the trade. Namely, what you’ll lose if the stock goes south.
If you invest $1,000 in a stock, your “cost” in this case is anywhere from zero to $1,000, depending on when you get out. But, believe it or not, there are companies in the market right now that will cover this cost for you – in part with the dividends they pay.
So the first step is finding the right company with the right dividend.
Friday, February 15, 2008
IOI Corp earnings surge 52% in Q2
IOI Corp earnings surge 52% in Q2
By IZWAN IDRIS
PETALING JAYA: IOI Corp Bhd's net income surged 52% in the second quarter ended Dec 31, as soaring palm oil prices boosted profits from plantation and resource-based manufacturing businesses.
The three-month earnings swelled to a record RM581.2mil, or 9.71 sen per share, compared with RM382.6mil, or 6.25 sen per share, a year earlier.
Revenue jumped to RM3.46bil from RM2.26bil before.
IOI Corp released its latest quarterly results during the market's midday break, reflecting a growing trend among big corporations to announce vital corporate development to investors in a more effective manner.
“The stock is pricey at these levels, but the premium could be justified given its size, trading liquidity and probably because most people consider IOI Corp to be the best proxy for rising palm oil prices,'' a local fund manager said.
Last year, IOI Corp bought its first overseas plantation land in Indonesia and acquired a rival refinery in Johor. Last month, the company announced a plan to raise RM600mil in fresh capital to help fund further expansion.
IOI Corp shares closed 20 sen higher at RM8.15 yesterday on volume of 13.3 million.
The stock hit a record RM8.55 a month ago.
IOI Corp's six-month earnings jumped 62% to RM1.03bil against RM638mil a year earlier.
The company said its palm oil fetched RM2,572 a tonne during the six months, up from RM1,560 a tonne in the year before.
“Barring unforeseen circumstances, all business segments are expected to continue to perform well in FY08,'' it told Bursa Malaysia.
The crude palm oil (CPO) futures on Bursa Derivatives, the global benchmark, had risen 80% over the past one year amid fears the global edible oils market was in short supply to meet growing demand worldwide.
The CPO futures contract for April delivery jumped RM91 to RM3,451 a tonne yesterday, its highest closing price.
“We remain upbeat on CPO price prospects as supply deficits for other edible oils will encourage consumers to switch to palm oil,'' CIMB Investment Bank said in an update on the sector yesterday.
Shares in Kuala Lumpur Kepong Bhd (KLK), the third most valuable plantation stocks behind Sime Darby and IOI Corp, hit a record RM19.20 yesterday, up 60 sen.
KLK is due to announce its first quarter ended Dec 31 results on Feb 20.
In a separate statement, IOI Properties Bhd said it posted a net profit of RM91mil on sales of RM191mil for the second quarter. Its six-month net income surged to RM171mil on turnover of RM396.8mil.
The improved performance was attributed to “higher demand for residential properties”, it said.
IOI Properties proposed a gross interim dividend of 60 sen per share for the period.
By IZWAN IDRIS
PETALING JAYA: IOI Corp Bhd's net income surged 52% in the second quarter ended Dec 31, as soaring palm oil prices boosted profits from plantation and resource-based manufacturing businesses.
The three-month earnings swelled to a record RM581.2mil, or 9.71 sen per share, compared with RM382.6mil, or 6.25 sen per share, a year earlier.
Revenue jumped to RM3.46bil from RM2.26bil before.
IOI Corp released its latest quarterly results during the market's midday break, reflecting a growing trend among big corporations to announce vital corporate development to investors in a more effective manner.
“The stock is pricey at these levels, but the premium could be justified given its size, trading liquidity and probably because most people consider IOI Corp to be the best proxy for rising palm oil prices,'' a local fund manager said.
Last year, IOI Corp bought its first overseas plantation land in Indonesia and acquired a rival refinery in Johor. Last month, the company announced a plan to raise RM600mil in fresh capital to help fund further expansion.
IOI Corp shares closed 20 sen higher at RM8.15 yesterday on volume of 13.3 million.
The stock hit a record RM8.55 a month ago.
IOI Corp's six-month earnings jumped 62% to RM1.03bil against RM638mil a year earlier.
The company said its palm oil fetched RM2,572 a tonne during the six months, up from RM1,560 a tonne in the year before.
“Barring unforeseen circumstances, all business segments are expected to continue to perform well in FY08,'' it told Bursa Malaysia.
The crude palm oil (CPO) futures on Bursa Derivatives, the global benchmark, had risen 80% over the past one year amid fears the global edible oils market was in short supply to meet growing demand worldwide.
The CPO futures contract for April delivery jumped RM91 to RM3,451 a tonne yesterday, its highest closing price.
“We remain upbeat on CPO price prospects as supply deficits for other edible oils will encourage consumers to switch to palm oil,'' CIMB Investment Bank said in an update on the sector yesterday.
Shares in Kuala Lumpur Kepong Bhd (KLK), the third most valuable plantation stocks behind Sime Darby and IOI Corp, hit a record RM19.20 yesterday, up 60 sen.
KLK is due to announce its first quarter ended Dec 31 results on Feb 20.
In a separate statement, IOI Properties Bhd said it posted a net profit of RM91mil on sales of RM191mil for the second quarter. Its six-month net income surged to RM171mil on turnover of RM396.8mil.
The improved performance was attributed to “higher demand for residential properties”, it said.
IOI Properties proposed a gross interim dividend of 60 sen per share for the period.
Wednesday, February 13, 2008
Bought CARLSBERG
Bought Carlsberg at 4.18 for 1000 units today. Total holding increased to 3,000 units for now. The impending dividend is going to announce someway around this month. Still very much in tact with dividend stocks. PM has just dissolved the parliament this afternoon and the market react negatively on the announcement as to what i've anticipated in my previous post. Many will sell off thier share as many think that is a safer move for the time being. I will foresee uncertainty on the KLSE market till the end of General Election. During this time is best to wait and see how the GE turn out before making an attempt again in KLSE. Till then happy trading....
Tuesday, February 5, 2008
Monday, February 4, 2008
Sold my LIONDIV again
Have sold all my LIONDIV at 1.61 this morning, another quick contra gain, thanks to DJ who rebounded strongly. The timing is just right for me on these two occurences recently. Try not to keep too long as the CNY and GE are both just right the conner. Would like to take this opportunity to wish all 'A PROSPEROUS And HAPPY CHINESE NEW YEAR'. See ya....
Thursday, January 31, 2008
Bought Back LIONDIV
Bought back LIONDIV at 1.50 for 5000units, just can't resist the temptation after seeing the price drop below my target price at 1.57. Let see how it work out, obviously this stock is deviate from my focus on dividend stock. This is just could be short term attempt.
Sold RESORT
Tomorrow is Federal Territory Day and is a holiday for Kuala Lumpur and Labuan. Next week is CNY, wow...time flied. Everyone guessing GE is going to be announced after CNY, GE will be held in around March. How is our bources ? KLCI drifting lower and looks like trend is changing. I just sold 1000units of Resort at 3.86 this morning keeping 2000units that was purchased at a lower price for longterm. Looking and waiting KLCI to drift lower before entering into market again for a cheaper price hopefully. Anymore excitement after GE ?? is lifting currency control gonna stimulate KLSE ?? Sorry to tell that, can't predict the future, wait and see loh...
Wednesday, January 30, 2008
Received 15sen T.E from PANAMY
Just received 15sen tax exempted from PANAMY, i believed the next round of dividend is someway around July and probably is gonna be a good one as well, minimum 1.00 again ? just need to wait and see. Anyway, i still maintain 500units of this Panamy, thinking of buying back when it fall back to my buying target price around 10.70. Till then happay trading.
Thursday, January 24, 2008
Sold LIONDIV
Bought LIONDIV on Tuesday for 5000 units at price of 1.57 and now (Thusday) have disposed all of it at a price of 1.70 for a quick contra gain. Not bad huh...thanks to the US rate cut or the DJ rebounce ?? Have you ever ask yourself how long will this going to sustain ? If you are speculator then it would be better for you to reduce your holding, sighting that the General Election is around the corner. Life after GE may seem weary.
Tuesday, January 22, 2008
Shares Swap
Looking at the current market, really heart sick. Whatever gain previously, has now turned almost zero gain. Take years to build your gains and take days to collapse it. Phew...whatever is it "don't catch the falling dagger" but everything seem to be very expensive before, now you feel dirst cheap. Hard to hide your temptation away, i'm eager to accumulate more quality stocks like Genting, Resort, Tenaga, Maybulk, Carlsbg and Cepat but instead finally, decided to dispose off half of my PANAMY at 11.10 for a swap of LIONDIV share at 1.57 for 5,000 units. Nonetheless, still stay very positive with the market for 1st quarter of year 2008, will try liquidate some and keeping majority of my stocks for very longterm as this is my focus which i'm still very much intact with "dividend stocks"......"if you are an investor, see this as normal cycle. Constant and increasing dividend is what we are looking at". Happy trading.
Friday, January 18, 2008
Received Dividend Again From BJTOTO
I have received dividend again from BJTOTO, this round is 41st & giving 8sen and noticed that the income tax rate has reduced further to 26% instead of 27% last year. This will bring down my total average purchase price of BJTOTO to $2.01 for batch 1 and $4.21 for batch 2 respectively. Overall average price will bring down to $2.56. Other than this, i managed to dispose IOICORP @ 8.15 and grab it back @ 7.90 for a contra gain of 25sen during this sell down, this retain my holding to IOICORP with a cheaper price instead. With this my average price is $5.72. Till then happy trading.
Sunday, January 13, 2008
KLSE Top 10 Picks for Year 2008
The 10 picks are:
Sime Darby Bhd. This is the largest player in the must-have sector of plantations.
TA said Sime Darby was an excellent proxy to the plantation sector, given its fairly good sensitivity to the upstream plantation business, which is the most profitable part of the palm oil value chain. “We estimate a RM100 per tonne increase in crude palm oil (CPO) price would boost Sime Darby's earnings per share by 3%,” TA said, adding that any further earnings upgrade could stem from the group's successful extraction of merger synergy.
IOI Corp Bhd. IOI Corp is the second largest plantation counter by market capitalisation after Sime Darby. Half of its operating profit for the financial year ended June 30, 2007 was derived from the upstream plantation business.
“A key catalyst for upgrade in earnings forecast is potential acquisitions. The group has been on a merger and acquisition trail, acquiring land in Sarawak and Indonesia,” said TA.
British American Tobacco (M) Bhd. This stock is on the “buy” list of Citigroup. The consensus 6% to 8% contraction in market is too pessimistic, said Citigroup head of Malaysia research Wai Kee Choong. The counter could surprise from a hike in civil servants' pay.
Public Bank Bhd. In the banking sector, this stock is on the list of Citigroup, Aseambankers and TA.
TA said: “As capital ratios are expected to improve due to the adoption of Basel II (international banking guidelines on capital requirements) by early 2008 and no mandatory transfer of 25% annual earning to statutory reserves, the group will have some leeway to improve its capital management.”
The management has also given its guidance that the bank's risk-weighted capital ratio and capital adequacy ratio are expected to improve by 70- and 50-basis points, respectively.
Citigroup likes the counter for its strong growth in business loans and asset management business as well its dividend yield of 5% to 7%.
SapuraCrest Petroleum Bhd. At the current price, oil and gas services player SapuraCrest still has plenty of upside. While the share price has corrected some 41%, its fundamentals remain intact, said Citigroup. SapuraCrest's order book now stands at more than RM5bil.
Petra Perdana Bhd. This oil and gas sector play looks like good value at the current price.
TA's pick has outperformed earnings expectations in the recent results season due to a higher vessel utilisation of 85% and charter rates that are 10% to 15% higher as the company rolled over spot contracts that have expired.
“This is likely to be the order of the day with demand for vessels shooting up following greater exploration and production activities but hampered by tight supply,” said TA.
Future growth potential is bright, with 17 more new vessels coming on stream by 2010 and most of the vessels tailored for deepwater operations, said the research house.
PLUS Expressways Bhd. In the infrastructure sector, TA likes highway concessionaire PLUS, whose traffic volume could grow greatly with the government-driven domestic development in the next few years.
TA said traffic volume growth of 7% year-on-year to 10.9 billion passenger car units (PCU) for the 10 months to October 2007 “has been encouraging, so far”.
The group's future acquisition of the ELITE and Linkedua highways announced in June last year is also expected to benefit PLUS partly from advantageous pricing from friendly party and parent, UEM Group.
Tenaga Nasional Bhd (TNB). TNB is the choice of Aseambankers and TA. At its current price level of around RM9.80, the stock has plenty of upside to the two brokerages' target prices.
Aseambankers said there could be a “reversion of 'old' bellwethers like TNB”. “We also foresee some resurgence, particularly for TNB, following a lacklustre year for the old 'TMT' bellwethers TNB, Malayan Banking Bhd and Telekom Malaysia Bhd,” it added.
TA said driving the demand growth is the general increase in economic activity, with an expected gross domestic product growth of 6.2% in 2008 and “spillover effect” from the commencement of big-ticket Ninth Malaysia Plan (9MP) projects.
RCE Capital Bhd. For mid-caps, RCE has the largest upside among Aseambankers' picks.
RCE, the brokerage said in a report, could be a “beneficiary of higher consumer spending from the recent civil service salary hike”.
Ann Joo Resources Bhd. This is Aseambankers' favourite counter in the building materials sector, which still has plenty of upside and is trading quite cheaply at the moment.
Ann Joo is an emerging integrated steel player that could benefit from sky-high steel prices. Aseambankers expects “titanic growth” for building materials plays.
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