Flintstones

Haha. I have heard about this undervalued counter since many many many many many years ago. Its true value never show after all these years. Good luck to all net-net investors!

2014-09-21 13:18

kcchongnz

“An investment operation is one which, upon thorough analysis, promises safety of principal and a satisfactory return. Operation not meeting these requirements are speculative” Benjamin Graham

Let me look at the 5-year return of Kuchai and see if it is good. No point making statements without any facts and figures.

Kuchai's share price was 81.5 sen exactly 5 years ago. At today's price of RM1.44, the total return is 75%, or a compounded annual return (CAR) of 11.9%. Not bad what. How much if you were to put in the bank? To me Kuchai is safer to invest because you pay RM1 but own >RM2.50 of quality asset in cash and shares, property.

KLCI was at 1217 5 years ago. It is now 1849, or a total return of 52%, or CAR of 8.7%. Also not bad what. But Kuchai is 36.4% better.

I would have no complain if I have owned Kuchai since 5 years ago. Do you?

2014-09-21 14:35

kakijudi

Kuchai 3 million shares of great eastern currently trading at sgd23. Calculate for yourself how much it is worth. This company has no business. Good potential for a RTO. Don't be surprised if it happens

2014-09-21 15:13

speakup

Kuchai is a value trap, just like Facbind.
If the company has a lot of asset, but doesn't share it with shareholders, it is almost as good a having no assets.

2014-09-21 16:01

GemDigger

Kakijudi can you share where did you found the information about 3 million Great Eastern share? I was browsing through the annual report but no info can be found.

2014-09-21 16:32

Flintstones

Well, if you think holding Kuchai for 5 years at a CAR of 11.9% is attractive, then it is attractive. Anybody who is literate could see Kuchai is an undervalued company. The question is whether the investor is patient enough to wait till the cow comes home.

So, chongnz, do you want to own Kuchai??

2014-09-22 06:39

kakijudi

Hi gem digger. Pull out great eastern annual report . I think they are the 4th largest

2014-09-22 10:03

kakijudi

@gem digger.

did you manage to find? price is moving up. :)

cheers all who invested in kuchai

2014-09-22 15:17

kcchongnz

Posted by Flintstones > Sep 22, 2014 06:39 AM | Report Abuse

Well, if you think holding Kuchai for 5 years at a CAR of 11.9% is attractive, then it is attractive. Anybody who is literate could see Kuchai is an undervalued company. The question is whether the investor is patient enough to wait till the cow comes home.

So, chongnz, do you want to own Kuchai??


Sure. Kuchai is one of the stocks in my portfolio of net current asset value investment strategy.

http://klse.i3investor.com/blogs/kcchongnz/56472.jsp

if you are investing, I can't imagine you don't have patience, unless of course if you are speculating.

2014-09-22 15:39

Kian Leong Lim

If share price don't go up for a counter for such a long time, can you imagine, a few decades the price doesn't move. There must be a reason!
Investors are prudent. I believe the boss are stingy or the company lacks growth momentum. Actually, the company mostly engages in investments, like hotels in the UK or what, makes very long term for the investment to bear
fruits. Investors, please be prudent. Don't get into this kind of stock. It characteristic is the company just want you to wait and wait forever for
a small payback. This is basically a company that treats investors very
unfairly. Finally, I am also a very open minded guy. Everyone should be responsible for their own actions. But in this case, it is obvious,
why make yourself wait for decades for an elusive dream, you let me know
what you think! We are already living in the 21 century, loyalty must be applied at the right counter.

2014-09-22 21:39

kakijudi

hi kian leong, the company doesnt own any hotels.

they Own:

1) 3 million shares in Great Eastern
2) 15.88 million shares in SBAGAN (24%)
3) RM34 million NET CASH ( 0 Liabilities)
4) Shop house in Emerald Hill Road in singapore for rental
5) 8 acres of land in Ulu Langat
6) Small stake in Sungei Bagan

All of these are very liquid assets especially their stake in Great eastern. There were rumours of GE being privatise. Really a no brainer investment

2014-09-24 15:25

kakijudi

since kcchongz has already been 'waiting' for a decade like you said. shouldnt you be buying now? because afterall, he showed his confidence in the stock although all the lost opportunity costs

2014-09-24 15:42

kcchongnz

Posted by kakijudi > Sep 24, 2014 03:42 PM | Report Abuse
since kcchongz has already been 'waiting' for a decade like you said. shouldnt you be buying now? because afterall, he showed his confidence in the stock although all the lost opportunity costs

If I get a compounded annual return of 11.9% return as mentioned in my last post above, close to 40% above the 8.7% for the KLCI for the last five years, I don't see any "lost opportunity costs". Do you?

The assets Kuchai has are not "dead" assets. They are properties, shares of listed company, cash etc which goes up in long term and provides real return too.

2014-09-24 18:45

kingdomtan888

This counter bukan kata tak boleh
But this is a 可以喝酒的老人场counters
Not those canggih canggih pub or disco....
If u want to Kuasa to ur son or grandson then can buy la
Kekekekekekekkekekekek

2014-09-24 19:45

kakijudi

Hi kcchongz,

didnt mean to take a jab at you. after all, ive been invested in kuchai since below RM1. it looks like its going to breakout. RM1.55 now

2014-09-25 10:28

Kian Leong Lim

Kakijudi, Kuchai owns hotel properties in London through owning shares in Sugai Bagan Rubber. You go to the annual report of Sugai Bagan Rubber yu will be able to know!
Flat 5, Residential Leasehold 3,741 square 999 years 30,736,222 * April 1997 22 Down Street, building feet (expires in London
It is a residential property, probably when the sons go there to study, they have to buy the whole building.

2014-09-25 16:23

kcchongnz

Posted by kakijudi > Sep 25, 2014 10:28 AM | Report Abuse
Hi kcchongz,
didnt mean to take a jab at you. after all, ive been invested in kuchai since below RM1. it looks like its going to breakout. RM1.55 now

kakijudi, yeah I know. We are all matured people. It is ok make constructive criticisms with each other. There is no harm. We have crossed path before and I could see you can take things easy too.

My comments are actually for the purpose of discussing with those adversaries of Kuchai to bring forward their arguments why investing in a stock like Kuchai which has all the upside potential and little downside, is such a bad idea. They talked about share price, I also can talk about it with facts and figures that investing in Kuchai is not really that bad an idea. So where are their arguments?

It is just for discussions. Everyone has his opinion. Bring forward yours, rather than just baseless statement.

2014-09-26 13:29

Steven Yong

HI KC Chong bro,

This company seems to utilise its cash no so efficiently. I calculated and studied, it is churning ard 3% of cash return from operation only.
Mind to share your views?

2014-09-26 13:44

kakijudi

cheers kcchongz. things are looking very good for kuchai right now. Rm1.65 wall broken, looks like upside potential is huge. good luck to all vested

2014-09-26 14:49

kcchongnz

Posted by Steven Yong > Sep 26, 2014 01:44 PM | Report Abuse
HI KC Chong bro,
This company seems to utilise its cash no so efficiently. I calculated and studied, it is churning ard 3% of cash return from operation only.
Mind to share your views?

Steven, you must know there are different investment strategies around. If you invest in Kuchai, you are betting on its quality assets, not earnings from ordinary business as Kuchai's ordinary business is only the rental of its apartment in Singapore.

The investment thesis in Kuchai is its negative enterprise value; pay me RM1.60 and you get RM2.50 worth of cash, investment in shares, a property in Singapore etc.

Please read here if you are interested in my view.

http://klse.i3investor.com/blogs/kcchongnz/45296.jsp

Of course there are risks in all kinds of investment, but the good thing about Kuchai is there is all the upside potential, but little downside.

2014-09-26 14:57

kk123

Crap company - its an "asset trap" company

2014-11-13 08:05