Dear valued members, | ||||||
You should be realistic about your goals. | ||||||
"In this business if you're good, you're right six times out of ten. You're never going to be right nine times out of ten." Peter | ||||||
Lynch | ||||||
Disclaimer: Please be informed that the following mentioned stocks / symbols are solely for the purpose of education only; it is | ||||||
neither a trading advice nor an invitation to trade. For trading advice, please speak to your dealer representative or remisier or | ||||||
financial adviser. Please buy at your own risk. Final decision is yours | ||||||
Homeriz | ||||||
My trading plan | ||||||
I like the technical chart of this stock because there is a gap up on 29/10/2013. | ||||||
Major resistance is 0.61. | ||||||
Major support is 0.50 and 0.465. | ||||||
Target price = 1.20 | ||||||
Margin of safety = 52% (0.57) | ||||||
Potential profit gain = 110% (0.57) | ||||||
Cut loss at 0.465 = 16% | ||||||
Risk reward ratio at 0.465 cut loss = 1 : 7.2 | ||||||
Feng Shui element = Wood | ||||||
Buy Homeriz at 0.555 (5/12/2013). | ||||||
Homeriz IV Calculation | ||||||
Fundamental Rating | ||||||
Total Net Profit Years | 3/3 | 91.67% | ||||
Total Positive Operating Cash flow Years | 3/3 | |||||
Total Dividend Payout Years | 3/3 | Current Price | ||||
Total Positive free Cash flow Year | 2/3 | 0.57 | ||||
11/12 | ||||||
Growth% | ||||||
10 Years Average Turn Over | 101014 | |||||
Latest 4 quarters | 112905 | 11.77% | ||||
10 Years Average Net Profit | 15189 | |||||
Latest 4 quarters | 15118 | -0.47% | ||||
Proj | ||||||
2011 | 2012 | 2013 | Growth% | 2014 | Growth% | |
EPS (Cent) | 5.40 | 7.35 | 7.56 | 2.86% | 14.0 | 85.19% |
PER | 10.56 | 7.76 | 7.54 | 2.78% | 4.07 | 46.00% |
NTA | 0.31 | 0.36 | 0.41 | 13.89% | 0.50 | 21.95% |
Net Profit | 10812 | 14700 | 15118 | 2.84% | 27800 | 83.89% |
Equity | 62886 | 72785 | 81403 | 11.84% | 91041 | 11.84% |
ROE | 19.19% | 20.20% | 18.57% | -8.06% | 30.54% | 64.42% |
Dividend | 0.6 | 3 | 1 | -66.67% | ||
Free cash flow | -4427 | 19083 | ||||
Price CAGR % (Buy and Hold) | ||||||
Average Return History | -3.84% | |||||
3 yrs Return | 5.22% | |||||
Proj | ||||||
Method 1 | 2013 | 2014 | ||||
EPS | 0.08 | 0.14 | ||||
g | 10.00 | 10.00 | ||||
Y | 7.0 | 7.0 | ||||
IV= (EPS*(8.5+1.5g)*4.4)/Y | 1.12 | 2.07 | ||||
Current price | 0.57 | 0.57 | ||||
Margin of Safety | 48.96% | 72.44% | ||||
Potential gain | 95.92% | 262.81% | ||||
Method 2 | ||||||
Discounted Cash Flows Calculator | ||||||
Discount rate | 12.00% | 12.00% | ||||
EPS | 0.08 | 0.14 | ||||
Earning expected to grow (annually) | 10.0 | 10.0 | ||||
for the next (? Years) | 3.0 | 3.0 | ||||
before leveling off to an annual growth | 3.00 | 3.00 | ||||
Calculate Stock Value per share | 1.10 | 1.92 | ||||
Current price | 0.57 | 0.57 | ||||
Margin of Safety | 48.18% | 70.31% | ||||
Potential gain | 92.98% | 236.84% | ||||
Method 3 | ||||||
ROE | 18.57% | 30.54% | ||||
Rr | 8.00% | 8.00% | ||||
NTA | 0.41 | 0.50 | ||||
IV= ROE/ Rr*NTA | 0.95 | 1.91 | ||||
Current Price | 0.57 | 0.57 | ||||
Margin of Safety | 40.11% | 70.13% | ||||
Potential gain | 66.98% | 234.82% | ||||
Method 4 | ||||||
(22.5*EPS*Book value per share)^0.5 | ||||||
EPS | 0.08 | 0.14 | ||||
Total equity | 81403 | 91041 | ||||
Number of shares | 200000 | 200000 | ||||
(22.5*EPS*Total Equity/share)^0.5 | 0.83 | 1.20 | Target price | |||
Current price | 0.57 | 0.57 | ||||
Margin of Safety | 31.50% | 52.40% | ||||
Potential gain | 45.98% | 110.08% | ||||
Thank you. | ||||||
Ooi Teik Bee |
Chart | Stock Name | Last | Change | Volume |
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Hi Mr OOi,
May I knowwhy you so optimistics with the earning next year for Home? It is double up on earnings.
2013-12-07 12:36
I just base on last quarter result. I will follow up whether next quarter result will be the same or not.
Please note that Latitud and Tguan also show the same good result, hence I am optimistic.
Thank you.
2013-12-07 12:49
I see..Thanks..BTW, for furniture, the result is good during 2H compared to 1H...Home does not show consistent result across quarter..But, the result is best during Q4.
2013-12-07 13:18
Hi Mr Ooi TB, obliged if you could kindly enlighten me what is g in your calculation and how you arrive at g in your method 1,and how do you calculate stock value per share in method 2, and in method 4 the formula, (22.5*EPS*Book value per share)^0.5, what is 22.5 and 0.5. I notice, these two figure are fixed in all your calculation.Thanking you in advance.
2013-12-07 19:27
Yes. They are formulae to calculate IV of a stock. g is the return of investment you expect. BLR is around 6%, I put g = 7, slightly higher than BLR.
Please go back to Kcchongnz post to find out. I copy from there.
Thank you.
2013-12-07 21:02
Sorry Mr Ooi TB, I think you mean y=7 which I understand, g has different value for different counters viz: Puncak-WB g=12.17, Latitud g=15.00, Tguan g=15.39, Hevea g=10.00, Homeriz g=10.00, Insas g=21.71, WTK g=2.00, Caely g=16.01, in your calculation.Thanking you in advance for enlightening me.
2013-12-07 23:09
Thank you Mr Ooi for for unselfish contribution. You remind me of Mr KC Chong NZ. He is exactly like you.Perhaps I need to attend your lecture to understand further.
2013-12-08 00:01
Dear bro Ooi, I am keen to learn Ta , can you please recommend a good book for me ?
Tq.
2013-12-08 07:51
Posted by Rose > Dec 8, 2013 07:51 AM | Report Abuse
Dear bro Ooi, I am keen to learn Ta , can you please recommend a good book for me ?
Posted by hepitrade > Dec 8, 2013 08:14 AM | Report Abuse
me too, MR OTB, or any website that can learn TA? thanks
Ans : FYI, I did not learn it through reading book. I attended many courses which is the fastest way to learn. I almost attended all technical courses in KL.
I read through > a million charts, I spend many hours a day to learn to read chart and do many back testing. I also learn it through experience as a remisier for the last 20 years.
Thank you.
2013-12-08 10:18
OTB, i believe your clients must be happy to have such a hardworking remiser.
2013-12-08 14:33
BTW, Mr OOi, Yesterday was a extremely high vol upthrust for Home, the retracement is coming 2 days is a good pick up?
2013-12-10 15:10
hepitrade
MR OTB, among all counters u recommend, HOMERIZ is the most making money? Tq
2013-12-06 22:36