YiStock

Mr tan, my opinion, those company with CAGR of eps > 15% for past 1 decade, no quarter with loss, are company with durable competitive advantage, should be good one to buy..in my record got more than 100 counters in bursa fufilled this requirement.

2014-01-03 13:23

imlegend

其实在5-6年前，我时常去一间kopitiam喝茶，那时候茶店的老板娘就时常买不同的股票，不过那时她买了云顶，perdana,topglove这3只股票，我也见的她是属于长期收藏，其实如果在之前买进perdana和topglove，以之前的价格加上分拆过后再次攀上了接近那时候分拆的价格，想必真的赚了很多很多，在这几年我看见这两只股真的很不错，分拆了再次攀回接近分拆的价格，远远多过银行的利息。还有tan kw，你上面放的那几只股是很贵滴。。。没那么多钱买。。虽然他们很稳～

2014-01-03 13:32

332269

Padini,bstead

2014-01-03 14:27

KinSoon Kok

How about REIT and BJOTO. All have dividen > 6% .

2014-01-03 15:03

KinSoon Kok

I don think people stop buying 4D after 30 yrs. All buildings managed by REITS surely last 4 30 yrs.

2014-01-03 15:06

YiStock

Mr Tan, there is a book in Popular where the publisher has taking into consideration of all the bonus issue, split...etc and derived the "corrected" EPS ..i bought the new edition every year....I believe EPS's CAGR is more accurate than profit's CAGR. What do you think?

2014-01-03 15:06

YiStock

Kin, REITS very much depend on property value and rental...when many property vacant during doom, the rental income will drop..hence dividend will drop too...what do you think?

2014-01-03 15:08

KinSoon Kok

Yi, wats the title of the book tat u mentioned? Can go 4 REITS tat have anchored tenants (a few large corporations rented the hold building/ factories etc). Shopping malls also less risky.

2014-01-03 15:23

KinSoon Kok

Tan. Do u think it's appropriate to estimate future EPS by dividing estimated future profit by current weight avg no. of share? Yi. I really need the book. Another tip 4 u. Can go 4 REIT backed by bank/ govt. Sure they can get somebody 2 fill the office space.

2014-01-03 15:55

YiStock

Kin, title of the book is “股市指南” have both chinese and english version. you can easily search from the popular book store..but current version is 2012...wonder when going to release 2013 version as the year just ended...supposed October. Talking about REITS, yes, agree with you...but when over supply take place in 2014 - 2015..i afraid the game maybe a little different...Thus, i advocate Singapore REITS if seriously need to buy REITS.

But be it Share/ REITS, i afraid current DY is seriously not attractive at all...I still be believe DY more than 10% is a fairer figures to cover personal inflation rather than government's reported inflation.

2014-01-03 18:10

junben

singapore wilmar; buy and wait for 15 yrs

2014-01-03 18:37

YiStock

Mr Tan,

My business experience tells me that i will SURVIVE with good operating cash flow, but i will only PROSPER if my business got good profit. On top of that, i consider myself a SUCCESS if every dollar i invested (share issued) will give me the highest return possible..

Thus i think is more accurate to use EPS CAGR..A company can keep issuing new shares but making same profit every year. It becomes smoke that blur the eye if only looking at profit CAGR...example, company A made RM 300k every year with 100 shares issued. But company B made RM 300k with 100k shares issued.. I think investing in company A is wiser than company B. Thus, EPS will be more appropriate.

Also, for a good DY company, it must be with durable competitive advantage which in turn given a very consistent EPS CAGR...With this figures in place plus fair PER, i somehow can roughly estimate the future (say 10 years, or 20 years) shares price...This made the company not only good dividend paying stock, but also capital appreciation stock.

A beautiful and convincing EPS CAGR shuld give us certain level of confidence to ESTIMATE future eps..You may refer book written by Mary Buffett, daughter-in-law of Warren Buffett for the details...That book can be found in popular too..

Just my 2 cents and happy investing :-)

2014-01-03 18:37

KinSoon Kok

Would u b generous enough 2 post the EPS calculation in this blog? Sure it'll benefit a lot of people.

2014-01-03 18:55

YiStock

EPS calculation? It appears in the company financial statement.

2014-01-03 18:56

KinSoon Kok

I mean the EPS adjustment due to bonus share & stock split

2014-01-03 19:03

YiStock

Example Digi http://klse.i3investor.com/servlets/stk/fin/6947.jsp
The EPS is not adjusted after split

in the book, the EPS for past years will be adjust accordingly

2014-01-03 19:15

yfchong

Dear bro kW tan this this of article looks interesting mind ask yr favour to translate it in English thks

2014-01-03 21:04

YiStock

One more thought...dont forget the 8th wonders of the world - "COMPOUND INTEREST"

2014-01-03 21:57

YiStock

If year 2012, earn 300k, shares 600k, EPS is?

2014-01-03 23:51

YiStock

Mr Tan, If year 2012, earn 300k, shares 600k, EPS is?

I refer to that book whereby they keep record of total shares and changes over a very long period of time and any quantity change due rights, bonus issues , etc will be take into consideration of earning ability of the company..

2014-01-04 00:00

YiStock

Mr Tan, so is 2012 a better year then 2011 based on above example?

2014-01-04 00:01

kcliew

The below companies (as far as i know) suggested by Tan KW should not have any problem to keep for (another) 30 years as :

AMWAY - already celebrating 50 years anniversary
BAT - already celebrating 100 years anniversary
DLADY - already celebrating 50 years anniversary
NESTLE - already celebrating 100 years anniversary

Yeah !

2014-01-04 00:21

KinSoon Kok

Tan. Just type EPS adjustment due right & stok split then surf the net u'll get plenty of explanations & work examples.

2014-01-04 07:52