Saturday, March 07, 2009

A planned show?

Suddenly, I recalled that toll operators will raise the toll rate. Then, the government came in and said no.
Is this all planned for the coming by elections?

Sunday, March 01, 2009

From best to worst?

It has been a long time I did not follow Malaysia stock market. Gave up after the tsunami election. Almost everything went worst from the best. 2007 was a superb year. Simply pick one of the top 10 and high possibility you will make a gain.

Well, let me recap - current financial crisis was a snowball effect from the the issue unveiled in 2007. But many people were so positive that it would not create any big crisis like this. Ok, 2007 was the best year . Q1 of 2008 was acceptable. I still remember Intel CEO said that he does not see any impact to the demand due to recession. Then, all gone wrong in Sept and Oct. Banks collapsed, US government provided funds to help so many companies in US ... and many many more.

When I looked at the quarterly results at Bursa Malaysia website, almost all Mesdaq gone. The champion should be Viztel? I am not sure I read it correctly or not. Revenue recorded in the quarter is RM3,000. Even N2N, Titan, TongHer are also in red. Can you believe? A listed company has only RM3k revenue in a quarter? I wonder when the auditor will raise the on-going concern for the company.

Back to US market, it is happening too. Citi is trading at $1++ only, which is cheaper than Public Bank or Bursa. Dell, Amd, Intel and the rest are on sales too.

Should we start buying now? Perhaps the bottom is yet to come?

More terrible Q1'09 result will be released in April?

Sunday, October 12, 2008

Oh no ... AUD

What happened to AUD which has dropped so much since it's high in last year?
If not mistaken, it was MYR 1 = AUD 3.3. However, it is now MYR 1 = AUD 2.2. Any idea?

Meanwhile, US market is hit badly by credit crisis and yet USD has started to climb up. Why is it so?

Please leave your comments.

Sunday, December 09, 2007

Bursa Malaysia

It was reported in a few newspapers that some foreign parties are interested to buy a stake in Bursa, with the price of around RM20. Closing price for Bursa on last friday is RM14.20.

Is it a good time to buy in?

Thursday, September 27, 2007

Award for Mah Sing

Below is the article from The Star:

KUALA LUMPUR: Mah Sing Group Bhd has bagged the Best Development Malaysia Award at the 13th International Property Awards 2007 in London.

It was awarded for its gated and guarded high-end residential development of Damansara Legenda in Petaling Jaya.

The results of the world's largest property competition were announced on Sept 14, and the awards were presented at a gala dinner in London's Grosvenor Square.

About 400 property professionals, representing 56 different countries, gathered in eager anticipation of winning one of the highly prestigious awards.

Mah Sing managing director Datuk Leong Hoy Kum said in a statement that the group was gratified to be recognised at an international level for its development.

"Awards and recognition like the International Property Awards, and the Forbes Best Under A Billion award, which we have won for the third year running in 2007, serves to encourage us and allow us to stand out in the crowded market place.

"We shall certainly be bringing more quality homes to discerning home buyers soon," he said.

The International Property Awards in association with CNBC is aimed to identify the very best in the residential property market.

Nextnation: Weak Q1 result

As expected, nX posted a very weak Q1 result. Below is the article from The Edge:

KUALA LUMPUR: Nextnation Communication Bhd’s net profit for its first quarter (1Q) ended July 31, 2007 fell sharply to RM611,000 from RM4.8 million a year ago mainly due to the rising operating costs for its wider geographical regions participation coupled with the higher technical expenses incurred from its restructuring process.

In an announcement yesterday, the company said its revenue was 24.1% lower at RM17.79 million against RM23.45 million a year earlier because of the delay in business transactions and projects as a result of the on-going restructuring process. Its basic earnings per share was 0.16 sen.

Going forward, Nextnation said the group would continue to focus on its technology, products development, service enhancement, market expansion, and maintaining strategic partnerships.

“The board expects increasing positive contribution from the group’s overseas operations in order to support business expansion,” it said, adding that the board expects a satisfactory performance for the remaining financial year barring any unforeseen circumstances.

Comment: I am wondering how long do they need for the restructuring? Once again, if it is well managed, restructuring should not be the reason for the extremely weak result. I also wonder what excuse they will use for the coming quarter. Restructure for a few years?

Sunday, September 23, 2007

Oil & Gas Sector

The above sector is another sector that could be benefited from the high crude oil price recently, where it is still trading at above USD81 per barrel.

EPIC is among the O&G stocks that attracts my attention. Strong balance sheet and monopoly of services in Terengganu are the main factors. However, the ability of the management is still a big question mark. You may refer to Whereiszemoola blog for details analysis. From buying a business perspective for mid-term, EPIC should be a good bet. It is set to enjoy Eastern Corridor as well, which will be launched by PM by end of October.

Another attractive O&G stock would be Petra Perdana. With the acquisition of additional 4 vessels, almost all research houses released reports that give a BUY call to Petra Perdana. Averagely, the target price for Petra is above RM6. As a result, it has 20% upside potential conservatively. Everything looks correct now and the emerge of high profile substantial shareholder should be able to push the stock to higher level quicker. Petra has strong support at RM5 at the moment.

Property Sector

Personally, I believe the above sector will be the winner during the year end rally. By the way, let us hope there is no huge crash from now until year end. Otherwise, we may need to change our strategy again.

Property sector has been a hot topic since the waiver of RGPT, back in somewhere in April. However, quarterly results from the main players are not impressive enough. Perhaps it may take some times for the developers to enjoy better result from the incentive introduced by the Gov? Or maybe the cycle in Malaysia is not correct where HK and Singapore have been enjoying the great development in this sector since 2 years ago?

With the uncertainty of global economic and market at the moment, do the effort from Malaysia Goverment will be enough to support property sector? What will happen to all the high-end projects if economic crisis hits the global market in next 2 years?

Base on historical data, it shows that the crisis hits every 10-12 years. It is 2007 now and the crisis may come the latest by 2009? How many of the high-end projects can be completed by 2009?

Anyway, I believe Mah Sing offers good buying oppurtunity now. The stock price has been in huge selling pressure after the substantial shareholders, Felda continues to dispose their holdings in recent weeks. Perhaps they need the money to buy the en-bloc of The Icon @ Tun Razak? From another prespective, Capital Group is still holding tightly and the price is still below some of the acquisitions done by them. It should be a great value to buy with current price.

Meanwhile, according to Oriental Biz, d7 - a project by YTLLand is selling like a hot cake in the pre-launch. Within an hour, a total of 100 units were 'swept way' by the buyers. YTL Land should be another good bargain hunting stock at currect price as the prospect of Sentul area is good. YTL Land has huge landbanks in Sentul.

Lastly, if you prefer to bet in Northern area, E&O, Asas Dunia and Equine should be in the shortlist. Asas Dunia have landbanks in the mainland while Equine will be enjoying their 20% stake in the company which will be developing PGCC. Even though both Asas Dunia and Equine do not have strong financial results in the past, they have big potential in the future ...

Saturday, September 22, 2007

Nextnation - Q1 result

It is the time for Nextnation to release their Q1 result in this month, September. As I mentioned before, I have sold all of my holdings in the company a day after their Q4 result, back in June.

I also noticed that some of the investors still holding it as they believe there is nothing wrong with the business model of the company.

I went through some of the websites of nX and found that there are not much changes or progress to the company. They even removed their release where the CEO, Mr Tey comments about their Q4 result - where everyone can remember that the company incurred net loss for the first time(I think it should be around RM0.4mil?). Prior to this, nX has recorded net profit of RM4mil consistently every quarter.

I believe their venture into China is a failure as well. If I can remember correctly, the JV in China has been called off. Furthermore, I never see any progress and development over there. The mobile game portal - mostar should be considered as a failure too. You hardly see any development and the forum is really cold, with not much gamers having discussion there.

What do you expect from the coming Q1 result? Amid our mistake early before too late?

Fundamentally, I believe this stock is at the end of the era. But who knows speculators may push up the price in the future?

In conclusion, I think it is not worthwhile to keep holding it as they are many other attractive oppurtinities outside there. Property sector? Oil and Gas sector?

Just to share a meaningful quote from my friend - 'Not all good counters make you money, but those make you money counters are good counters' It is the fact, isn't? Happy investing ....