Kulim Berhad... Is it the next shooting star?

When it is down turn , then it is Opportunity! Same go for Kulim!

Reasons I say so: 

• Special dividend of 83-92 cents pending to be distribute after disposal of KFC and QSR. With current price of RM 4.36, it offers you a buy for Kulim at RM 3.5 with is the year LOW!
• The current downturn of the price is actually due to heavy selling by EPF, maybe its due to its weaker QE 3 result, nevertheless, you should take a look at the heavy buy back by the company its self as well!
• Its NTA of RM 5.07 

Is it the bottom of the price? I don't know, but it is definitely a safe bet at current level! 

It may drop further if the EPF dispose more than the share buy back by Kulim. 

Let 's us rock and row! 

Faber: shooting Star

Faber: 

It is time to do some mathematics here. This company announce its financial report on 19 November 2012 and special dividend on the same day. As we can see from the financial report. EPS increased significantly and the NTA stood at RM 1.40. Its accumulative EPS shoots to 15. 1 cents!

Its special dividen is 20 cents ( 25% less income tax = nett of 15 cents)

Well, if we take a look at its chart on 19 November... it stayed at RM 1.38 . If we add 20 cents (special dividend ) , it should be RM 1. 58 , right? This is the most beautiful part! the next day , the stock fluctuate at RM 1. 46 - RM 1.52. If you able to catch it and sold in later at around RM 1.58, you will definitely gain even before the Ex date for the special dividend.

For example, this is what i had DONE.. with around 4% gain in 2 days time. But .. BUT....

The magic of this mathematics are ...

• Faber is strong in Fundamental, EPS 16 cents giving a PE of 9 ++ and consistent dividends at 5 % every years.
• Its EPS improved significantly compare to previous years, thanks to the property division of the company.
• Not to forget the likelihood of the extension of the contract with Health Ministry, Malaysia ( Monopoly Business) which contributes to the sustaining growth of the company!
• Well, if you have the holding powers, it is a 3 * stock. 

Reit: Which company to have Reit Next? KSL

Recently, there are so many speculations that REIT going to be HOT HOT stock as most of the property company with Reit, is shooting up like no business! Well, same go to an undervalued Gem-- KSL.

Read this article:
http://www.theedgemalaysia.com/business-news/225296-dijaya-mrcb-ksl-and-wct-potential-reit-owners-uob-kayhian-.html

Don't forget about the NTA of KSL at RM 2.58 with is far below the market value! ++ its EPS which is increasing, there is no doubt that this company will shine like a shooting stars!

Cant Wait!!!!!

Fong Siling: updates on CsCsTeL

Fong Siling: "Buy at Low... Down Turn... Go against the Norms..."

The outlook for flat product players in Malaysia is at best only stable due to the muted growth prospects for the local automotive, manufacturing and export sectors over the short term. However, we see a tactical angle in owning CSC by virtue of the possibility of it being taken private given its huge cash reserve of RM231.7m or 61sen/share as at 30 Jun 2012. Also lending credence to CSC’s privatisation story is the rumour of CSC’s parent company looking to acquire a stake in Lion Group’s steelmaking business, Megasteel. Indicative fair value for CSC is RM1.66 based on 0.8x book value of RM2.08, at a premium to its historical average of 0.7x to better reflect its strong balance sheet and possible privatisation by its parent company.

Reasons:

• EXECUTION OF SHARE SALE AND PURCHASE AGREEMENT AND SHAREHOLDERS' AGREEMENT IN ESCROW BY CSC STEEL HOLDINGS BERHAD (“CHB”) IN RESPECT OF PURCHASE OF 8,000,000 ORDINARY SHARES OF RM1.00 EACH REPRESENTING 20% OF THE ISSUED AND PAID-UP SHARE CAPITAL OF TATT GIAP STEEL CENTRE SDN. BHD. FROM TATT GIAP GROUP BERHAD. 9-11-2012
• Despite the Depressing Steel Market, its EPS increased!!!(http://www.bursamalaysia.com/market/listed-companies/company-announcements/1114437)
• Cash Rich! IT is time to Rock! by acquiring the smaller Steel maker! 
• TA: Higher High Higher Low! Oss!!!

Fong Siling vs Warren Buffet again: Compounding factor!

If a person complete their studies at the age of 25 to join the workplace, work to retirement age of 55, just three decades.Over the past three decades, the era of rampant inflation.Old students studying in Taiwan 30 years ago, as long as a few dollars you can eat a bowl of good beef noodle soup, and now to the whole hundred. Currency has depreciated times.In Malaysia 30 years ago, a few cents can buy a bowl of wonton noodles, and now a few ringgit.

If you put the notes in the safe, after three decades out consumer can only buy one-tenth or less the same thing.30 years ago, Kuala Lumpur Bangsar house, sell a million ringgit. The same house, now changed hands four or five hundred thousand ringgit. The banknotes increasingly worthless

More and more worthless banknotes to Favorites money to old age, retirement, I am afraid to porridge water to get by the.

After HKSE had rallied for since July, it hits the almost year high at 22899.85. With ICBC highest at HK 5.25, with sudden slump today at HK 5.08 after Obama took over White House. Hm... Time to take profit on this 5 Star Stocks.


Same go to KLSE which started to retreat after hitting year High at 1670++, and gradually retreated to 1630++... General election 13 is just around the corner. Time to be in cash to grab the good stuff!!!

Take a look at my China Windpower at HK 0.25 (up 11%) in a single day!! wow! I think something is moulding here! Hope to get the leap and flight!

Fong Siling: Glove Maker...

SuperMx:


Over the past 10 years, the Malaysian glove industry thriving, completely free from the impact of the economic recession, the sub-prime financial tsunami did not slow down the growth of the company.

Addition to the Top Glove, the other listed glove companies, including Supermax, Hartalega, profits, stability and so on, and also the performance of the standard green, in the next 10 years, according to the demand of international research institutions, gloves, maintain a growth rate of 8-10%.

Gloves shares as shareholders to create amazing wealth, but only a long-term investment of shareholders in order to enjoy the wealth created by the growth of the glove industry, those short-term speculators, buy a small profit on disposal can only get a teeny small Lee, salaried class investors, investment, investment growth is too low, when they retire is difficult to achieve the goal of financial autonomy.

A slight profit on the disposal, by no means the cumulative wealth of the road.

Sit on the Formula One project is the "reverse", and is cheap to buy, but the low price does not guarantee profits, it is the second project is the "growth", growth, such as Top Glove, long-term growth trend, but the only long-term holding in order to fully enjoy the fruitful business growth, short-term investments as if on picking one kilogram can grow up to 5 kg of watermelon, can not enjoy the sweet ripe watermelon.

• If you notice, recently glove maker had been actively come out in the headlines of news! Why? 
• 2 companys- e.g Latexx is being bought by other company.
• the EPS of glove maker such as Top Glove is Fabulous! Same go to Supermx which is expansion mode!! 
• The research showed that the international demand for glove is going to raise at the rate of 8-10 % , what about the profit margin? especially for Supermx which is moving towards automated systerm? 

Fong Siling: ICBC

Why Non Tangible Assets so Important?

Update:
ICBC had rocked the HKSE with shoot up to HK 5!!! wow! Awesome Return!
Based on the TA, uptrend is still intact, resistant at HK 5.6.
But , FA always the best! ROE 20% ++ Dividend of 5% for 5 star world class stock!

Let's us discuss about value of NTA since ICBC is top 3 WORLD brand!!!


A successful business living in the leading position in the industry. This fact alone is valuable.

(1) successful enterprise necessarily relevant products occupy a certain market new products to have a share, easier said than done. Therefore, the market share is valuable.

(2) followed by technology. When a company has the technology to manufacture high quality products or special products, the technology itself is valuable intangible assets.

(3) Third, is talent. The success or failure of the enterprise, whether the talent is the key, in particular, require special knowledge, skills and experience in the service industry. Such as financial institutions, information industry, the press, and so on. Some companies in the acquisition of other businesses, adhere to the original talent to remain a number of years before they agree to contract, that is, for this reason.

(4) place of business is also valuable, such as the banking sector. If you already have a bank branch in the same street, usually the National Bank will not approve another bank to establish a branch in its vicinity. Therefore occupy a key position in the branches, and is also valuable.Similarly, rent to superior status, crowded stores bits itself valuable.

(5) farming and industry, the company has a good location of the land, its stock should be higher than the value of tangible assets is reasonable. Such as good agricultural land have been listed company monopoly, again to establish the same scale of the company even more difficult, so the value of the stock should be higher than the net tangible assets per share is reasonable.

(6) The enterprise system is also valuable. For example, the financial industry, basically rely on the system to manipulate. Establish a system takes time, so the system is an intangible asset.

(7). Especially relations with old customers, but also valuable intangible assets.

(8) Time is intangible assets. At least to establish a successful enterprise for 10 years, eight years. During this period, the company to pay an enormous amount of interest to overcome countless difficulties. Some companies prefer to pay a higher price than the value of tangible assets (Premium) acquisition of the off-the-shelf enterprise, which is more cost-effective.