CPO
RM 4209 per ton

>>>>
calvintaneng

How come you can simply talk nonsense before actual results ?

Wait till August 2023 actual results to be posted in Bursa official website only then we will have the true facts and figures
>>>>

Bikin tak serupa cakap.
Just look at Netx thread.

The best way to make money in the stock market is to invest for the long term. This means that you are willing to ride out short-term fluctuations in the market and focus on the long-term growth of the businesses you invest in.

China is expected to overtake Malaysia as the world's largest rubber glove producer in the next few years. As of 2022, Malaysia has a global market share of 60%, while China has a market share of 20%. However, China's rubber glove industry is growing rapidly, while Malaysia's industry is facing some challenges, such as rising labor costs and environmental regulations.

According to a report by the Malaysian Rubber Glove Manufacturers Association (Margma), China's rubber glove production capacity is expected to reach 170 billion pieces per year by 2025, while Malaysia's production capacity is expected to reach 150 billion pieces per year. This means that China will need to increase its market share by only 5% to overtake Malaysia.

There are a number of factors that are contributing to China's rapid growth in the rubber glove industry. These factors include:

Government support: The Chinese government has been providing financial and other support to the rubber glove industry in recent years. This has helped to attract investment and boost production capacity.
Low labor costs: Labor costs in China are significantly lower than in Malaysia. This gives Chinese glove manufacturers a cost advantage.
Access to raw materials: China has a large domestic supply of natural rubber, which is the main raw material used in rubber gloves. This gives Chinese glove manufacturers a secure supply of raw materials.
In order to maintain its position as the world's largest rubber glove producer, Malaysia will need to address the challenges it is facing. These challenges include:

Rising labor costs: Labor costs in Malaysia are rising, which is making it more expensive to produce rubber gloves in the country.
Environmental regulations: Malaysia is tightening its environmental regulations, which is adding to the cost of production.
Competition from China: China is becoming a major competitor in the rubber glove industry. This is putting pressure on Malaysian glove manufacturers to reduce their costs and improve their efficiency.
It is difficult to say exactly when China will overtake Malaysia as the world's largest rubber glove producer. However, based on the current trends, it is likely to happen within the next few years.

1. Consumer or Producer of Capital:
The first aspect of the capital structure of a business is whether it is a consumer or producer of capital. In this context, "capital" refers to the financial resources that a company needs to operate, grow, and invest in its operations. Some businesses require constant infusions of capital to fund their growth or replace assets regularly. These companies are often called "capital consumers" because they depend on external sources, like loans or equity financing, to fund their ongoing operations.
On the other hand, there are businesses that generate enough internal cash flow to sustain their operations and fund growth without relying heavily on external capital. Such companies are considered "capital producers" as they generate sufficient funds from their core operations and don't constantly need to seek outside financing.

Warren Buffett, a renowned value investor, and his company Berkshire Hathaway are examples of those who prefer businesses that are capital producers. Buffett seeks businesses with strong and sustainable cash flows, as he believes that the ability to generate excess capital internally gives a company more flexibility and options for future investments or acquisitions.

2. Proper Leverage:
The second important aspect of the capital structure is whether the business is properly leveraged. "Leverage" refers to the use of debt or borrowed funds to finance a company's activities. It can amplify both profits and losses.
a. Overleveraged businesses: These are companies that have taken on too much debt relative to their earnings and overall financial strength. While leverage can boost returns when times are good, it also increases the risk during economic downturns or when the company faces financial difficulties. Overleveraged companies may struggle to meet interest payments on their debt, leading to financial distress and potentially bankruptcy.

b. Under-leveraged businesses: On the other hand, under-leveraged businesses have very little debt compared to their earnings potential and financial capacity. While this may be less risky, it might not be the most efficient use of capital. Under-leveraged companies may not be maximizing their potential returns to shareholders, as they have excess cash that could be better utilized elsewhere.

The optimal level of leverage varies from one industry and company to another. It depends on factors like the company's risk tolerance, industry dynamics, and growth opportunities. Finding the right balance of leverage is crucial for businesses to strike a balance between financial stability, growth potential, and shareholder returns.

In summary, the capital structure of a business is a critical factor in evaluating its financial health and investment potential. Understanding whether a company is a capital producer or consumer and analyzing its leverage levels can provide valuable insights into its sustainability, growth prospects, and overall attractiveness as an investment opportunity. As with any investment analysis, it's essential to consider these factors in the context of the broader market conditions and the company's competitive position within its industry.

When looking at capital structure, try to determine two important things:

1. Is the business a consumer or producer of capital? Does it constantly require capital infusions to build growth or replace assets? Warren Buffett - and many other value investors - shun businesses that cannot generate sufficient capital on their own. In fact, one of the guiding principles behind Berkshire Hathaway is the generation of excess capital by subsidiary businesses that can be deployed elsewhere.

2. Is the business properly leveraged? Overleveraged businesses are at risk and additionally burden earnings with interest payments. Under-leveraged businesses, while better than overleveraged, may not be maximizing potential returns to shareholders.

Here's the list with the capital Gains/Loss % and DY % (Dividend Yield):
Food and Beverages
From Year 2010 to 2023

GCB [s]: 1413% gains, DY %: 1.54%
ABLEGLOB [s]: 622% gains, DY %: 3.08%
AJI [s]: 382% gains, DY %: 0.57%
CCK [s]: 353% gains, DY %: 4.83%
CARLSBG: 343% gains, DY %: 4.29%
HARISON: 339% gains, DY %: 5.27%
PWROOT [s]: 323% gains, DY %: 5.79%
HEIM: 244% gains, DY %: 5.17%
SPRITZER [s]: 224% gains, DY %: 4.28%
HUPSENG [s]: 224% gains, DY %: 4.41%
KAWAN [s]: 198% gains, DY %: 1.91%
SDS [s]: 178% gains, DY %: 1.95%
NESTLE [s]: 161% gains, DY %: 1.98%
OFI [s]: 149% gains, DY %: 2.8%
F&N [s]: 130% gains, DY %: 2.37%
WELLS [s]: 109% gains, DY %: 0%
DLADY [s]: 90% gains, DY %: 2.29%
CIHLDG [s]: 82% gains, DY %: 3.81%
APOLLO [s]: 45% gains, DY %: 2.46%
OCB [s]: 30% gains, DY %: 0%
PTRB [s]: 21% gains, DY %: 0%
PPB [s]: 16% gains, DY %: 2.47%
HWATAI [s]: 2% gains, DY %: 0%
LOTUS [s]: -8% loss, DY %: 0%
MFLOUR [s]: -12% loss, DY %: 4.55%
REX [s]: -13% loss, DY %: 0%
ORGABIO [s]: -20% loss, DY %: 0%
FFB [s]: -36% loss, DY %: 0.98%
3A [s]: -48% loss, DY %: 3.12%
BIOHLDG [s]: -66% loss, DY %: 0%
KHEESAN: -70% loss, DY %: 0%
GOCEAN [s]: -70% loss, DY %: 0%
MSM [s]: -76% loss, DY %: 2.54%
HBGLOB: -83% loss, DY %: 0%
MAG [s]: -83% loss, DY %: 0%
SAUDEE [s]: -91% loss, DY %: 0%
CNOUHUA: -92% loss, DY %: 0%
CARZO [s]: -92% loss, DY %: 0%
IMPIANA: -99% loss, DY %: 0%

Note: The "s" next to the name indicates that the stock pays dividends. The "DY %" represents the dividend yield.

They reported a new contract.

They reported a new contract.

WEDNESDAY, 2 JUNE 2010
Padini versus Hing Yiap
Stock Performance Chart for Padini Holdings Berhad

From the above chart:
The EPS has grown from less than 10 sen to 40 sen since 2005. (3x)
Its dividend has increased from less than 5 sen to above 10 sen since 2005. (2x)
It share price has increased from about RM 1 to just below RM 4 since 2005. (3x)
Financial strength: Excellent
Its PE is about 10.

Share price is RM 3.49 per share.
Its annualised EPS is 49.59 sen (est.)
Its dividend yield is 3.44%.
Its P/B is 1.9

----

Stock Performance Chart for Hing Yiap Group Berhad


From the above chart:
The EPS has grown from negative 5 sen to just below 25 sen since 2005. (5x)
Its dividend has increased from just above 0 sen to about 5 sen since 2005. (2x)
It share price has increased from just above RM 0.50 to RM 1 since 2005. (2x)
Financial strength: Good
Its PE is about 4.

Share price is MR 1.09 per share.
Its annualised EPS is 37.29 sen (est.)
Its dividend yield is 7.64%.
Its P/B is 0.49

----

The growth in EPS of Padini is due to its increasing revenue over the years.
The growth in EPS of Hing Yiap is due to its better profit margins with little increase in its top line revenue.
Padini is trading at higher P/E and higher P/B ratio compared with Hing Yiap.
Which company will grow its EPS at a faster rate in the future?
Which company will give a higher total shareholder return in the next 2 to 5 years?
Which company will you choose to invest into?
Would you invest into these companies today or wait for a more opportune time?

My subjective assessment:

Quality: Padini > Hing Yiap
Management: Padini (Great) > Hing Yiap (Good)
Value: Padini is anticipated to grow its EPS at faster rate, therefore, it is not a surprise that its P/E is higher. Hing Yiap may surprise on the upside, but it will need to be monitored.

http://myinvestingnotes.blogspot.com/2010/06/padini-versus-hing-yiap.html

>>>>
calvintaneng

I have studied Netx many rounds and I can come to one conclusion

At 1.5 sen with coming Rm21.6 billions for NFCP I think my chance of being another Chun Chun call is at least 80% in my favour

2019-10-09 08:57


calvintaneng

Netx has very very clean balance sheet
Even better than Opcom and Redtone

2019-10-09 08:58
>>>>>

It is so sad to see this forum being bombarded by such low quality research.

Runways

Padini is in a very competitive industry. As usual, it started small. We were not sure if it will grow big or not. It was not even on my radar in its early years. I first noticed it when I was doing comparative study of its industry. I realised its transformation. I compared the performance of Hing Yiap and Padini. They started quite similarly. Padini soon gave up its manufacturing due to cheap productions from China. This would have killed off its business but it managed to transform. It outsourced its manufacturing. Then it started its Concept Stores. These stores when first appeared were huge relatively. Hmm! More stores came up. Their revenues, profits and cash flows increased steeply. It was still small. The runway ahead was still long. Got into this shares and sent my representatives to attend their meetings in their headquarter in Shah Alam. Got feedback that foreign investors asked many questions too. Over the years, competitors came. Uniglo, G2000 etc. Write-ups in blogs worried over the ability of Padini to face up to these big established worldwide competitors. As investor, you cannot ignore this to. Padini was amazing. They entered the smaller towns. Then they came out with their Brand outlets, selling even cheaper goods. Such big outlets, were they able to cover the costs? Thus, they created new runways. How much longer are the runways ahead? So far, Padini has been able to compete in its industry very effectively. However, it has not been doing well in their penetration overseas.

In investing, screen and monitor the smaller companies from time to time. Business is never static. The good businesses that have grown big have all started as small businesses. If you can identify these early in their EARLY growth phase and get in at that period, you have a chance to capture their potential and realise a multi-bagger in your investing. Always think long term.

Yes, in a few the growth faltered and you probably lost money in them But the winners you have more than covered these small losses many times over.

Invest in only the best businesses with very long runways ahead.

Food and Beverages
Returns, ranking from highest to lowest


Name …. Price (2010) …. Price (2023) …. Gains/Loss % …. DY % …. PE …. MCap.(M)
GCB [s] …. 0.15 …. 2.27 …. 1413% …. 1.54 …. 22.33 …. 2667.06
ABLEGLOB [s] …. 0.18 …. 1.3 …. 622% …. 3.08 …. 11.17 …. 403.61
AJI [s] …. 3.32 …. 16 …. 382% …. 0.57 …. 35.38 …. 972.78
CCK [s] …. 0.16 …. 0.725 …. 353% …. 4.83 …. 6.81 …. 457.27
CARLSBG …. 4.63 …. 20.5 …. 343% …. 4.29 …. 20.19 …. 6267.83
HARISON …. 2.16 …. 9.48 …. 339% …. 5.27 …. 9.26 …. 649.28
PWROOT [s] …. 0.48 …. 2.03 …. 323% …. 5.79 …. 16.5 …. 979.55
HEIM …. 7.76 …. 26.7 …. 244% …. 5.17 …. 19.7 …. 8066.02
SPRITZER [s] …. 0.45 …. 1.46 …. 224% …. 4.28 …. 12.44 …. 466.2
HUPSENG [s] …. 0.21 …. 0.68 …. 224% …. 4.41 …. 18.77 …. 544
KAWAN [s] …. 0.63 …. 1.88 …. 198% …. 1.91 …. 18.05 …. 681.65
SDS [s] ….(201() 0.23 …. 0.64 …. 178% …. 1.95 …. 10.69 …. 262.16
NESTLE [s] …. 50.55 …. 132.1 …. 161% …. 1.98 …. 50.59 …. 30977.45
OFI [s] …. 0.43 …. 1.07 …. 149% …. 2.8 …. 13.43 …. 256.8
F&N [s] …. 11 …. 25.3 …. 130% …. 2.37 …. 18.69 …. 9279.5
WELLS [s] ….(2023) 0.39 …. 0.815 …. 109% …. 0 …. 450.61 …. 580.38
DLADY [s] …. 11.5 …. 21.86 …. 90% …. 2.29 …. 40.88 …. 1399.04
CIHLDG [s] …. 1.73 …. 3.15 …. 82% …. 3.81 …. 4.93 …. 510.3
APOLLO [s] …. 2.8 …. 4.06 …. 45% …. 2.46 …. 10.26 …. 324.8
OCB [s] …. 0.53 …. 0.69 …. 30% …. 0 …. -57.98 …. 70.97
PTRB [s] ….(2022) 0.46 …. 0.555 …. 21% …. 0 …. 8.14 …. 296.94
PPB [s] …. 14 …. 16.22 …. 16% …. 2.47 …. 10.16 …. 23074.55
HWATAI [s] …. 0.47 …. 0.48 …. 2% …. 0 …. -5.93 …. 35.92
LOTUS [s] …. 0.26 …. 0.24 …. -8% …. 0 …. 136.7 …. 244.55
MFLOUR [s] …. 0.75 …. 0.66 …. -12% …. 4.55 …. 4.99 …. 674.03
REX [s] …. 0.12 …. 0.105 …. -13% …. 0 …. -12.37 …. 69.05
ORGABIO [s] ….(2022) 0.33 …. 0.265 …. -20% …. 0 …. 400.52 …. 65.68
FFB [s] ….(0.22) 1.69 …. 1.09 …. -36% …. 0.98 …. 40.74 …. 2040.39
3A [s] …. 1.53 …. 0.8 …. -48% …. 3.12 …. 14.73 …. 393.6
BIOHLDG [s] ….(2015) 0.28 …. 0.095 …. -66% …. 0 …. -2.25 …. 133.38
KHEESAN …. 0.55 …. 0.165 …. -70% …. 0 …. -3.99 …. 22.65
GOCEAN [s] …. 0.05 …. 0.015 …. -70% …. 0 …. -3.61 …. 31.67
MSM [s] ….(2011) 4.98 …. 1.18 …. -76% …. 2.54 …. -4.44 …. 829.52
HBGLOB …. 0.8 …. 0.14 …. -83% …. 0 …. -1.08 …. 109.48
MAG [s] …. 1.2 …. 0.2 …. -83% …. 0 …. 14.88 …. 318.75
SAUDEE [s] …. 0.34 …. 0.03 …. -91% …. 0 …. -8.07 …. 34.22
CNOUHUA …. 0.65 …. 0.055 …. -92% …. 0 …. -2.35 …. 36.74
CARZO [s] …. 3.56 …. 0.3 …. -92% …. 0 …. -7.41 …. 57.25
IMPIANA …. 9 …. 0.055 …. -99% …. 0 …. -1.91 …. 27.34

ASTRA …. 0 …. 0.37 …. #DIV/0! …. 0 …. 9.79 …. 100.7

Food and Beverages
Returns, ranking from highest to lowest


Name …. Price (2010) …. Price (2023) …. Gains/Loss % …. DY % …. PE …. MCap.(M)
GCB [s] …. 0.15 …. 2.27 …. 1413% …. 1.54 …. 22.33 …. 2667.06
ABLEGLOB [s] …. 0.18 …. 1.3 …. 622% …. 3.08 …. 11.17 …. 403.61
AJI [s] …. 3.32 …. 16 …. 382% …. 0.57 …. 35.38 …. 972.78
CCK [s] …. 0.16 …. 0.725 …. 353% …. 4.83 …. 6.81 …. 457.27
CARLSBG …. 4.63 …. 20.5 …. 343% …. 4.29 …. 20.19 …. 6267.83
HARISON …. 2.16 …. 9.48 …. 339% …. 5.27 …. 9.26 …. 649.28
PWROOT [s] …. 0.48 …. 2.03 …. 323% …. 5.79 …. 16.5 …. 979.55
HEIM …. 7.76 …. 26.7 …. 244% …. 5.17 …. 19.7 …. 8066.02
SPRITZER [s] …. 0.45 …. 1.46 …. 224% …. 4.28 …. 12.44 …. 466.2
HUPSENG [s] …. 0.21 …. 0.68 …. 224% …. 4.41 …. 18.77 …. 544
KAWAN [s] …. 0.63 …. 1.88 …. 198% …. 1.91 …. 18.05 …. 681.65
SDS [s] ….(201() 0.23 …. 0.64 …. 178% …. 1.95 …. 10.69 …. 262.16
NESTLE [s] …. 50.55 …. 132.1 …. 161% …. 1.98 …. 50.59 …. 30977.45
OFI [s] …. 0.43 …. 1.07 …. 149% …. 2.8 …. 13.43 …. 256.8
F&N [s] …. 11 …. 25.3 …. 130% …. 2.37 …. 18.69 …. 9279.5
WELLS [s] ….(2023) 0.39 …. 0.815 …. 109% …. 0 …. 450.61 …. 580.38
DLADY [s] …. 11.5 …. 21.86 …. 90% …. 2.29 …. 40.88 …. 1399.04
CIHLDG [s] …. 1.73 …. 3.15 …. 82% …. 3.81 …. 4.93 …. 510.3
APOLLO [s] …. 2.8 …. 4.06 …. 45% …. 2.46 …. 10.26 …. 324.8
OCB [s] …. 0.53 …. 0.69 …. 30% …. 0 …. -57.98 …. 70.97
PTRB [s] ….(2022) 0.46 …. 0.555 …. 21% …. 0 …. 8.14 …. 296.94
PPB [s] …. 14 …. 16.22 …. 16% …. 2.47 …. 10.16 …. 23074.55
HWATAI [s] …. 0.47 …. 0.48 …. 2% …. 0 …. -5.93 …. 35.92
LOTUS [s] …. 0.26 …. 0.24 …. -8% …. 0 …. 136.7 …. 244.55
MFLOUR [s] …. 0.75 …. 0.66 …. -12% …. 4.55 …. 4.99 …. 674.03
REX [s] …. 0.12 …. 0.105 …. -13% …. 0 …. -12.37 …. 69.05
ORGABIO [s] ….(2022) 0.33 …. 0.265 …. -20% …. 0 …. 400.52 …. 65.68
FFB [s] ….(0.22) 1.69 …. 1.09 …. -36% …. 0.98 …. 40.74 …. 2040.39
3A [s] …. 1.53 …. 0.8 …. -48% …. 3.12 …. 14.73 …. 393.6
BIOHLDG [s] ….(2015) 0.28 …. 0.095 …. -66% …. 0 …. -2.25 …. 133.38
KHEESAN …. 0.55 …. 0.165 …. -70% …. 0 …. -3.99 …. 22.65
GOCEAN [s] …. 0.05 …. 0.015 …. -70% …. 0 …. -3.61 …. 31.67
MSM [s] ….(2011) 4.98 …. 1.18 …. -76% …. 2.54 …. -4.44 …. 829.52
HBGLOB …. 0.8 …. 0.14 …. -83% …. 0 …. -1.08 …. 109.48
MAG [s] …. 1.2 …. 0.2 …. -83% …. 0 …. 14.88 …. 318.75
SAUDEE [s] …. 0.34 …. 0.03 …. -91% …. 0 …. -8.07 …. 34.22
CNOUHUA …. 0.65 …. 0.055 …. -92% …. 0 …. -2.35 …. 36.74
CARZO [s] …. 3.56 …. 0.3 …. -92% …. 0 …. -7.41 …. 57.25
IMPIANA …. 9 …. 0.055 …. -99% …. 0 …. -1.91 …. 27.34

ASTRA …. 0 …. 0.37 …. #DIV/0! …. 0 …. 9.79 …. 100.7

17 Jul 2023, 09:26 AM
AEONCR is proposing to undertake a 1:1 bonus issue at a yet to be decided ex-date. This marks AEONCR’s third bonus issue since 2012 which is also at the most generous quantum. We are overall positive as it adds liquidity to the stock and would make market participation more assessable. Fundamentals remain unchanged.

Diversified Industrials


Name …. Price (2010) …. Price (2023) …. Gains/Loss % …. DY % …. PE …. MCap.(M)
SUNWAY [s] …. 0.22 …. 1.61 …. 632% …. 3.42 …. 11.87 …. 8049.43
HAPSENG …. 0.82 …. 3.21 …. 291% …. 9.35 …. 9.46 …. 7991.88
KFIMA [s] …. 0.85 …. 2.06 …. 142% …. 5.83 …. 9.2 …. 581.4
KSENG …. 2.72 …. 3.84 …. 41% …. 3.65 …. 6.85 …. 1388.07
TEXCHEM [s] …. 0.94 …. 1.21 …. 29% …. 10.74 …. 17.83 …. 152.91
BIG [s] …. 0.59 …. 0.75 …. 27% …. 0 …. 23.78 …. 47.61
CEB ….(2023) 1.5 …. 1.26 …. -16% …. 0 …. 33.36 …. 1162.98
KPS [s] …. 1.41 …. 0.685 …. -51% …. 13.14 …. 5.8 …. 368.11
BJCORP …. 1.24 …. 0.305 …. -75% …. 0 …. 170.53 …. 1818.58
BSTEAD …. 0 …. 0.855 …. #DIV/0! …. 1.75 …. -5.95 …. 1733.08

Agricultural Products
From largest to lowest returns

Name …. Price (2010) …. Price (2023) …. Gains/Loss % …. DY …. PE …. MCap.(M)
QL [s] …. 0.62 …. 5.33 …. 760% …. 0.66 …. 37.4 …. 12971.39
CAB [s] …. 0.08 …. 0.67 …. 738% …. 0 …. 4.56 …. 470.27
PWF [s] …. 0.17 …. 0.715 …. 321% …. 6.99 …. 7.93 …. 159.54
TECGUAN [s] …. 0.5 …. 1.76 …. 252% …. 2.84 …. 2.05 …. 70.57
LAYHONG [s] …. 0.09 …. 0.3 …. 233% …. 1 …. 7.98 …. 222.1
TEOSENG …. 0.31 …. 0.975 …. 215% …. 2.05 …. 7.87 …. 292.51
LTKM [s] …. 0.48 …. 1.45 …. 202% …. 0 …. 10.06 …. 207.52
SUNZEN …. 0.09 …. 0.205 …. 128% …. 0 …. 37.23 …. 147.76
AORB ….(2022) 1.9 …. 3.09 …. 63% …. 0.2 …. -344.87 …. 309
GREENYB [s] …. 0.12 …. 0.185 …. 54% …. 1.62 …. 3.37 …. 100.32
TPC [s] …. 0.21 …. 0.285 …. 36% …. 0 …. 8.03 …. 87.85
YENHER ….(2021) 0.92 …. 0.92 …. 0% …. 3.26 …. 12.67 …. 276
PLABS ….(2011) 0.21 …. 0.19 …. -10% …. 3.16 …. 16.34 …. 52.29
RHONEMA ….(2016) 0.86 …. 0.705 …. -18% …. 2.84 …. 12.57 …. 155.96
LHI ….(2019) 1.07 …. 0.52 …. -51% …. 3.46 …. 8.6 …. 1898
SMCAP [s] …. 0.45 …. 0.11 …. -76% …. 0 …. -2.69 …. 43.17

Healthcare counters
Ranked from highest to lowest returns

Name …. Price (2010) …. Price (2023) …. Gains/Loss % …. DY % …. PE …. MCap.(M)
MHCARE [s] ….(2018) 0.0948 …. 0.63 …. 565% …. 1.05 …. 26.83 …. 388.53
TOPVISN [s] ….(2018) 0.2225 …. 0.735 …. 230% …. 1.09 …. 18.14 …. 191.7
KPJ [s] …. 0.36 …. 1.11 …. 208% …. 1.8 …. 24.47 …. 5024.54
OPTIMAX [s] ….(2020) 0.27 …. 0.72 …. 167% …. 3.33 …. 25.66 …. 388.8
IHH [s] ….(2012) 3.15 …. 5.84 …. 85% …. 1.64 …. 21.03 …. 51432.83
LYC [s] …. 0.12 …. 0.21 …. 75% …. 0 …. -7.11 …. 136.49
TMCLIFE [s] …. 0.52 …. 0.605 …. 16% …. 0.45 …. 21.3 …. 1053.84
SMILE [s] ….(2019) 0.189 …. 0.19 …. 1% …. 0.53 …. 162.41 …. 47.58
CENGILD [s] ….(2022) 0.51 …. 0.375 …. -26% …. 0.99 …. 21.02 …. 312.33

I am not too sure if calvintaneng owns an oil palm estate or has ever owned an oil palm estate.

Those who are owners of oil palm estates for generations will realise the wealth of their family from owning these estates can be grown in so many ways:

1. from its regular income
2. from the appreciation of the land
3. from proximity of their land to development after many years
4. from developing their land through conversion to residential, commercial or industrial projects.
5. from (very occasionally) selling a portion of their land to reinvest into another with higher potential for greater returns.

If you have managed the asset well, especially free from leverage or excessive leverage, most plantation owners are happy to just hold forever.

PE expanding faster than its earnings.

As an investor, how Jaks raised this capital is of interest.

Going to the bank for loans, and able to get a loan will give confidence to the shareholders. Banks do not simply give money without doing due diligence.

On the other hand, raising cash from new share placements, such due diligence maynot be so stringent.

Low entry to be top 1 pct in Malaysia not a bad thing, economists say
POSTED ON JUNE 4, 2023, SUNDAY AT 8:26 AMBUSINESS


A view of the city skyline in Kuala Lumpur. On Tuesday, property consultancy Knight Frank’s latest edition of its The Wealth Report (Wealth Sizing Model) revealed that Malaysians needed just US$485,000 in net wealth to be categorised as part of the country’s richest 1 per cent. – Malay Mail photo

KUALA LUMPUR (June 4): Malaysians requiring just US$485,000 (RM2.2 million) in net worth to count as the richest 1 per cent in the country was not necessarily an unfavourable situation, economists said.

Universiti Malaya honorary professor in the faculty of business and economics Nazari Ismail told Malay Mail that it could be interpreted as the country having a lower cost of living compared to others with higher thresholds, such as Singapore where it took a net worth of US$3.5 million to be in the same percentile.

“In those countries, for example, houses are costly. You have to have lots of money to live in a bungalow.

“In Malaysia, even a school teacher can afford to live in a bungalow if you live a bit further from big cities,” he said, using the term bungalow typically used here for detached homes or to describe large houses.

In comparison, a school teacher in Singapore would only be able to afford a small apartment, he added.

Another reason for the higher Singaporean threshold was that the island-state welcomed wealthy elites from all over the world to buy property and reside there, he said.

“As a result, property prices in Singapore are beyond the reach of ordinary Singaporeans,” he said.

This has led to ordinary Singaporeans being priced out of comfortable and spacious housing, he said.

“So, there is no need to rush to make our country as wealthy as Singapore or Switzerland. It will only result in a higher cost of living for most ordinary people,” he said.

Financial Alliance’s economist and investment director Sani Hamid, who was based in Singapore, expressed similar views.


A higher top 1 per cent threshold was one of the results of a higher gross domestic product (GDP) per capita, he explained.

For example, the GDP per capita of Singapore is around US$70,000 while that of Malaysia is around US$11,000, he said.

“So, from that starting point you already know that the net worth of individuals in Singapore will definitely be much higher than in Malaysia,” he said, adding that it was reflected in the 1 per cent threshold.

There was little point in comparing between the top 1 per cent of different countries, he said.

“I think anybody would agree that being the top 1 per cent earner in any country at any level of economic growth would be quite good,” he said.

Apart from that, one should also consider other less tangible indicators such as happiness and stress, he said.

On Tuesday, property consultancy Knight Frank’s latest edition of its The Wealth Report (Wealth Sizing Model) revealed that Malaysians needed just US$485,000 in net wealth to be categorised as part of the country’s richest 1 per cent. – Malay Mail

Kim Loong’s 1QFY24 exceeds expectations on better milling
BY RONNIE TEO ON JUNE 30, 2023, FRIDAY AT 3:20 PMBUSINESS

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Kim Loong’s milling division accounted for 42.2 per cent of Kim Loong’s pre-tax profit in 1QFY24 while plantation made up a larger 57.8 per cent.

KUCHING (June 30): Sarawak-based Kim Loong Resources Bhd’s (Kim Loong) annualised results for the first quarter of financial year 2024 (1QFY24) exceeded expectations due to a higher than estimated milling pre-tax profit margin.

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AmInvestment Bank Bhd (AmInvestment Bank) recalled that Kim Loong raised the processing charge for its milling division by RM15 per tonne to a range of RM50 to RM75 per tonne in 2QFY22 due to higher costs of compliance and spare parts.

“Kim Loong’s 1QFY24 net profit slid by 19.7 per cent year on year (y-o-y) to RM31.5 million, dragged by lower palm product prices and higher costs of production,” it said yesterday.

“However, 1QFY24 gross profit margin grew to 18.1 per cent from 13.8 per cent in 1QFY12 as milling pre-tax profit margin expanded.”

Although fresh fruit bunch (FFB) production climbed by 19.2 per cent y-o-y in 1QFY24, AmInvestment Bank said this was not enough to offset the impact of the fall in crude palm oil (CPO) price.

To note, 1QFY24 average realised CPO price declined by 35.8 per cent to RM4,050 per tonne from RM6,309 per tonne in 1QFY23.

“On a positive note, the milling division’s 1QFY24 pre-tax profit doubled to RM21.7 million from RM11.1 million in 1QFY23, driven by an increase in processing margin,” AmInvestment Bank said.

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“The unit’s 1QFY24 pre-tax profit margin surged to 6.8 per cent from 2.2 per cent in 1QFY23. The milling division accounted for 42.2 per cent of Kim Loong’s pre-tax profit in 1QFY24 while plantation made up a larger 57.8 per cent.

“Comparing 1QFY24 against 4QFY23, Kim Loong’s net profit declined by 14.6 per cent quarter on quarter (q-o-q) to RM31.5 mil due to higher costs of production and lower FFB production.

“1QFY24 average realised CPO price inched up to RM4,050 per tonne from RM3,970 per tonne in 4QFY23. FFB production retreated by 12.4 per cents q-o-q in 1QFY24.”


Researchers with Malacca Securities Sdn Bhd (Malacca Securities) said that as of 1QFY24, Kim Loong’s total planted area stood at 15,940 hectares, which it saw was relatively unchanged from 4QFY23.

This comes as Kim Loong maintained a healthy tree profile (immature at five per cent, young mature at 19 per cent, prime mature at 26 per cent, old mature at 19 per cent and pre-replanting at 31 per cent).

It gathered that no re-planting activities took place during the quarter.

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“Although CPO prices hovered largely below our assumption of RM4,000 per nMT in 2023, we reckon that downside will be cushioned by the onset of the periodic dry weather phenomenon (El Nino) that threaten production,” Malacca Securities said.

“According to the Environment Minister Nik Nazmi Nik Ahmad, this phenomenon may extend into April 2024.

“Still, we expect upsides to be capped as demand may remain sluggish, owing to the worsening of global economic outlook, persistently high inflation and elevated
interest rates environment.

“Given the reported earnings came largely in line, we made no changes to our earnings forecast for Kim Loong as we expect CPO prices is expected to trade at an average RM3,500 to RM4,000 per metric tonne for the remainder of the year.”

Jaks

From 2018 to 2021: raised RM 506.51 m through new shares issued
From 2018 to 2021: paid down RM 97.86 m in bank borrowings.

2022: no further raising of funds through issuance of new shares
2022: bank borrowings increased by 124.9m

Still hemorrhaging cash!

Construction sector

For the very long term investor, this sector has many companies in Bursa. Only a few delivered good returns over the long term. For the majority, its shareholders would have been poorer over this period.

Not an easy business. Complicated. Asset heavy. Only the best can deliver.

I avoid this sector in general.

The business model of a construction company revolves around planning, executing, and completing construction projects for clients. This model can vary based on the company's size, scope of services, and target markets. Here are the key components of a typical construction company's business model:

Services Offered: A construction company may specialize in various construction services, such as residential, commercial, industrial, infrastructure, or a combination of these. Some companies focus on specific types of projects, while others offer a broad range of services.

Clientele: Construction companies may serve individual homeowners, real estate developers, businesses, government agencies, or other organizations. The target clientele often dictates the scale and complexity of the projects undertaken.

Project Acquisition: Companies acquire projects through various channels, including public bidding, private contracts, referrals, and partnerships with other businesses in the construction industry.

Estimation and Bidding: When a potential project arises, the construction company provides a detailed cost estimation for the client. This involves evaluating the scope of work, materials, labor, equipment, and any other relevant expenses. They then submit a bid to the client, competing with other construction firms for the project.

Project Management: Once a project is awarded to the construction company, project management becomes crucial. This involves planning, scheduling, resource allocation, and ensuring the project progresses smoothly from inception to completion. Effective project management helps deliver projects on time and within budget.

Supply Chain Management: Construction companies need a well-managed supply chain to procure raw materials, equipment, and subcontractors at competitive prices. Maintaining good relationships with suppliers and subcontractors is essential to meet project demands efficiently.

Skilled Workforce: A construction company relies on a skilled and specialized workforce, including project managers, engineers, architects, construction workers, equipment operators, and support staff. Training and development programs are often implemented to enhance workforce skills and safety practices.

Equipment and Technology: Construction companies invest in machinery and technology to improve productivity and efficiency. This may include construction equipment like excavators, cranes, bulldozers, as well as construction software for project planning, design, and collaboration.

Safety and Compliance: Adherence to safety regulations and building codes is paramount in the construction industry. Companies implement robust safety protocols to protect their workforce, clients, and the public, ensuring compliance with local and national construction regulations.

Financial Management: Effective financial management is crucial for construction companies. This includes budgeting, cost control, cash flow management, and handling contracts and payments with clients and suppliers.

Quality Control and Assurance: Construction companies maintain stringent quality control measures to deliver projects that meet or exceed client expectations. Regular inspections and quality assurance processes ensure the final output is of high standard and meets all specifications.

After-Sales Service: Providing post-construction support and warranty services to clients is an essential aspect of customer satisfaction. Addressing any issues that may arise after project completion helps maintain a positive reputation and fosters long-term relationships with clients.

By effectively integrating these components into their business model, construction companies can operate profitably while delivering high-quality projects to their clients. Adaptability, attention to detail, and customer satisfaction are key factors for success in the competitive construction industry.

51 stock(s) found. Construction stocks
Name …. Price (2010) …. Price (2023) …. Gains/Loss % …. DY % …. PE …. MCap.(M)
KERJAYA [s] …. 0.14 …. 1.11 …. 693% …. 5.41 …. 12.18 …. 1406.6
PEB [s] ….(2012) 0.39 …. 1.42 …. 264% …. 0 …. 755.06 …. 98.16
STELLA [s] …. 0.38 …. 0.8 …. 111% …. 3.12 …. -3.72 …. 53.6
PTARAS [s] …. 0.83 …. 1.71 …. 106% …. 5.85 …. 14.06 …. 283.63
DKLS [s] …. 1.15 …. 2.16 …. 88% …. 1.39 …. 12.57 …. 200.23
MERCURY [s] …. 0.64 …. 1.03 …. 61% …. 0 …. -11.45 …. 66.23
EKOVEST [s] …. 0.24 …. 0.38 …. 58% …. 0 …. -7.36 …. 1024.41
MITRA [s] …. 0.17 …. 0.265 …. 56% …. 1.89 …. 6.88 …. 205.68
GAMUDA [s] …. 2.91 …. 4.48 …. 54% …. 9.82 …. 6.47 …. 11925.92
MGB [s] ….(2014) 0.49 …. 0.69 …. 41% …. 0.72 …. 20.79 …. 408.24
AME [s] ….(2019) 1.07 …. 1.42 …. 33% …. 2.82 …. 8.79 …. 909.75
GKENT [s] …. 0.36 …. 0.45 …. 25% …. 4.44 …. 342.99 …. 253.47
KITACON [s] ….(2023) 0.62 …. 0.625 …. 1% …. 1.6 …. 9.08 …. 312.5
WCEHB …. 0.72 …. 0.725 …. 1% …. 0 …. 22.27 …. 2166.09
SUNCON [s] …. 1.85 …. 1.7 …. -8% …. 3.24 …. 17.11 …. 2197.93
INTA [s] ….(2017) 0.24 …. 0.21 …. -13% …. 3.57 …. 10.5 …. 112.49
KIMLUN [s] …. 0.88 …. 0.745 …. -15% …. 1.34 …. -360.64 …. 263.27
ZECON [s] …. 0.46 …. 0.385 …. -16% …. 0 …. -10.52 …. 56.75
MELATI [s] …. 0.68 …. 0.525 …. -23% …. 1.9 …. 2.99 …. 63
MUHIBAH [s] …. 0.98 …. 0.68 …. -31% …. 0 …. -30.39 …. 494.33
ECONBHD [s] ….(2014) 0.31 …. 0.21 …. -32% …. 0 …. -14.87 …. 297.67
GADANG [s] …. 0.47 …. 0.315 …. -33% …. 2.22 …. -39.91 …. 229.34
IJM [s] …. 2.26 …. 1.51 …. -33% …. 5.3 …. 34.8 …. 5507.82
IREKA [s] …. 0.78 …. 0.51 …. -35% …. 0 …. 2.34 …. 116.17
SYCAL …. 0.32 …. 0.19 …. -41% …. 0 …. 44.59 …. 79.1
CRESBLD [s] …. 0.82 …. 0.48 …. -41% …. 0 …. -5.65 …. 84.92
TRC [s] …. 0.59 …. 0.335 …. -43% …. 3.58 …. 8.79 …. 160.97
FAJAR [s] …. 0.56 …. 0.29 …. -48% …. 3.45 …. 18.8 …. 215.96
GDB [s] …. 0.43 …. 0.185 …. -57% …. 0 …. 17.24 …. 173.44
JAKS [s] …. 0.43 …. 0.18 …. -58% …. 0 …. 8.88 …. 412.17
AZRB [s] …. 0.67 …. 0.26 …. -61% …. 0 …. -1.55 …. 155.46
ADVCON [s] ….(2017) 0.9 …. 0.33 …. -63% …. 0 …. -9.91 …. 192.96
TJSETIA [s] ….(2021) 0.71 …. 0.22 …. -69% …. 4.55 …. -2.11 …. 69.7
GBGAQRS [s] ….(2012) 1.11 …. 0.3 …. -73% …. 0 …. 8.63 …. 163.18
HOHUP [s] …. 1.05 …. 0.27 …. -74% …. 0 …. -4.5 …. 133.61
TSRCAP [s] …. 0.92 …. 0.235 …. -74% …. 0 …. -5.51 …. 41
PRTASCO [s] …. 0.66 …. 0.165 …. -75% …. 0 …. -3.04 …. 81.74
OCR [s] …. 0.37 …. 0.075 …. -80% …. 0 …. -7.31 …. 74.25
WCT [s] …. 2.18 …. 0.44 …. -80% …. 1.14 …. 7.02 …. 623.99
PESONA [s] …. 0.9 …. 0.17 …. -81% …. 0 …. -19.29 …. 118.15
IHB [s] …. 0.66 …. 0.1 …. -85% …. 0 …. -1.89 …. 37.92
SENDAI [s] ….(2011) 1.15 …. 0.14 …. -88% …. 0 …. -0.33 …. 109.35
PUNCAK [s] …. 2.95 …. 0.265 …. -91% …. 0 …. -5.65 …. 119.06
BENALEC [s] ….(2011) 1.41 …. 0.1 …. -93% …. 0 …. -2.27 …. 103.16
ZELAN [s] …. 0.67 …. 0.04 …. -94% …. 0 …. -6.61 …. 33.8
BPURI [s] …. 0.69 …. 0.04 …. -94% …. 0 …. -1.55 …. 134.79
VIZIONE [s] …. 0.88 …. 0.05 …. -94% …. 0 …. -2.98 …. 102.38
MUDAJYA [s] …. 3.77 …. 0.19 …. -95% …. 0 …. 22.58 …. 356.39
LEBTECH [s] …. ? …. 0.79 …. #VALUE! …. 0 …. 113.74 …. 107.82
TOPBLDS [s] …. ? …. 0.02 …. #VALUE! …. 0 …. -0.25 …. 14.12
AGES [s] …. ? …. 0.03 …. #VALUE! …. 0 …. -0.06 …. 9.35

KLCC REIT is indeed a stapled REIT, also known as KLCC Property Holdings Berhad. The stapled structure of KLCC REIT combines the ownership of shares in KLCC Property Holdings Berhad (the property owner) and units in KLCC REIT (the investment trust). This structure allows investors to hold both components as a single investment.

KLCC Property Holdings Berhad owns and manages a portfolio of prime real estate assets located primarily in the Kuala Lumpur City Centre (KLCC) area in Malaysia. These assets include iconic properties such as the PETRONAS Twin Towers, Suria KLCC Mall, Mandarin Oriental Hotel, and several office buildings.

Under the stapled structure, KLCC Property Holdings Berhad holds the physical real estate assets, while KLCC REIT owns the investment units that represent a proportionate ownership of the income generated by those assets.

Investors in KLCC REIT hold stapled securities, which consist of both shares in KLCC Property Holdings Berhad and units in KLCC REIT. These stapled securities are traded as a single security on the Malaysian stock exchange.

By stapling the two entities together, KLCC REIT provides investors with exposure to the rental income and potential capital appreciation of the real estate assets owned by KLCC Property Holdings Berhad. The income generated by the properties is distributed to KLCC REIT unitholders in the form of dividends.

The stapled structure of KLCC REIT aims to combine the stability and income potential of prime real estate assets with the benefits of a listed investment trust, offering investors an opportunity to participate in the performance of KLCC's prominent properties.

As with any investment, it's important for investors to carefully review the financials, performance, and risks associated with KLCC REIT, as well as the specific terms outlined in its stapling agreement and other related documents.

Certain consumer services may enjoy economic moats, which are competitive advantages that allow a company to maintain its market position and fend off competitors. Here are a few consumer service sectors that commonly have economic moats:

Technology Platforms: Companies that operate dominant technology platforms, such as social media platforms (e.g., Facebook), e-commerce marketplaces (e.g., Amazon), and search engines (e.g., Google), often benefit from network effects. Network effects occur when the value of a platform increases as more users join, creating a barrier for competitors to replicate the scale and reach of the platform.

Subscription-Based Services: Consumer services that employ a subscription model, such as streaming platforms (e.g., Netflix) and software-as-a-service (SaaS) providers, can develop strong economic moats. Once users subscribe and integrate these services into their routines, switching costs increase, making it difficult for competitors to attract and retain customers.

Financial Services: Established financial institutions, such as banks, insurance companies, and asset management firms, often benefit from regulatory barriers to entry. These institutions have significant capital requirements, regulatory compliance costs, and established customer relationships, creating obstacles for new entrants. Additionally, companies with strong brands and reputations in the financial sector can enjoy customer loyalty and trust, serving as an economic moat.

Retailers with Scale and Efficient Supply Chains: Large retailers, like Walmart, have significant advantages due to economies of scale and efficient supply chain management. These companies can negotiate better deals with suppliers, offer competitive pricing, and invest in advanced logistics systems, making it challenging for smaller competitors to match their operational efficiencies.

Healthcare Providers: Established healthcare providers, such as hospitals and clinics, can benefit from high switching costs. Patients often have established relationships with their healthcare providers, and the cost and effort required to switch to a new provider can be substantial. Additionally, healthcare providers with specialized expertise or access to the latest medical technology can create a competitive advantage and establish themselves as leaders in their respective fields.

It's important to note that while economic moats can provide a competitive advantage, they are not invincible. Market dynamics, technological advancements, changes in consumer preferences, and other factors can erode or disrupt these moats over time. Companies must continuously innovate and adapt to maintain their competitive positions in the ever-changing consumer services landscape.

Consumer services refer to a broad category of services that are primarily aimed at meeting the needs and desires of individual consumers or customers. These services are typically provided by businesses and organizations to assist individuals in various aspects of their daily lives or enhance their overall experiences.

Consumer services can encompass a wide range of industries and sectors, including but not limited to:

Retail: This includes businesses that sell goods directly to consumers, such as clothing stores, electronics shops, supermarkets, and online retailers.

Hospitality and Tourism: Services related to travel, accommodation, dining, and entertainment, such as hotels, airlines, restaurants, theme parks, and tour operators.

Financial Services: Services related to banking, insurance, investment, and personal finance management, including commercial banks, credit card companies, insurance providers, and financial advisors.

Transportation and Logistics: Services involved in the movement of people and goods, such as taxi services, ride-sharing platforms, delivery services, shipping companies, and courier services.

Communication and Media: Services related to telecommunications, internet service providers, cable or satellite TV providers, streaming platforms, newspapers, magazines, and other forms of media.

Healthcare and Wellness: Services provided by healthcare professionals, hospitals, clinics, wellness centers, fitness clubs, spas, and alternative health practitioners.

Home Services: Services focused on home improvement, maintenance, and repairs, including plumbing, electrical work, cleaning services, pest control, landscaping, and home security systems.

Personal Care and Beauty: Services related to personal grooming, hairdressing, beauty salons, spas, skincare clinics, and cosmetic products.

Education and Training: Services that offer formal or informal education, vocational training, coaching, tutoring, online courses, and educational materials.

Entertainment and Recreation: Services related to entertainment, sports, and recreation, such as cinemas, theaters, sports facilities, amusement parks, gaming arcades, and event organizers.

These are just a few examples, and consumer services can vary greatly depending on the specific needs and preferences of individuals in a given market. The goal of consumer services is to provide convenience, satisfaction, and value to customers in their everyday lives.

Consumer Services Stocks
23 stocks

Name …. Price (2010) …. Price (2023) …. Gains/Loss % …. DY % …. PE …. MCap.(M)

DKSH [s] …. 0.57 …. 4.8 …. 742% …. 6.67 …. 6.57 …. 756.76
SEG [s] …. 0.1 …. 0.655 …. 555% …. 7.63 …. 22.99 …. 829.06
EURO [s] …. 0.0411 …. 0.09 …. 119% …. 0 …. -7.73 …. 95.71
CWG [s] …. 0.18 …. 0.315 …. 75% …. 0.79 …. 9.37 …. 51.71
SCC …. 0.19 …. 0.32 …. 68% …. 3.13 …. 26.71 …. 45.17
XL [s] …. 0.49 …. 0.79 …. 61% …. 0 …. 35.33 …. 188.54
UPA [s] …. 0.4933 …. 0.78 …. 58% …. 10.26 …. 12.29 …. 186.22
KTC [s] …. 0.16 …. 0.245 …. 53% …. 0 …. 7.85 …. 167.05
ENEST [s] ….(2019) 0.1 …. 0.15 …. 50% …. 0 …. 5.52 …. 69.75
ZHULIAN [s] …. 1.25 …. 1.87 …. 50% …. 9.09 …. 41.39 …. 860.2
ETH [s] ….(2019) 0.165 …. 0.2 …. 21% …. 0 …. -15.1 …. 54.56
AHB [s] …. 0.12 …. 0.145 …. 21% …. 0 …. -8.79 …. 88.21
CCIB [s] ….(2022) 0.31 …. 0.35 …. 13% …. 1.83 …. 18.37 …. 135.18
SUPREME [s] ….(2019) 0.62 …. 0.67 …. 8% …. 4.36 …. 4.98 …. 81.6
EMICO [s] …. 0.38 …. 0.28 …. -26% …. 0 …. 93.78 …. 34.89
PELIKAN [s] …. 1.32 …. 0.82 …. -38% …. 0 …. 7.32 …. 498.67
ASIAFLE [s] …. 5.27 …. 1.85 …. -65% …. 1.08 …. 11.39 …. 360.4
CNH [s] …. 0.26 …. 0.06 …. -77% …. 0 …. -11.29 …. 43.2
JADI [s] …. 0.135 …. 0.03 …. -78% …. 0 …. -2.97 …. 32.29
XOXNET …. 0.3 …. 0.03 …. -90% …. 0 …. -3.79 …. 34.07
MINDA [s] …. 3.73 …. 0.13 …. -97% …. 0 …. 31.12 …. 218.28
MFGROUP [s] …. xx …. 0.24 …. #DIV/0! …. 0 …. 30.89 …. 76.8
MPSOL [s] …. xx …. 0.18 …. #DIV/0! …. 0 …. 53.06 …. 40.11

Pharmaceuticals

Whether it's a ride on a pharmaceutical that gets good news or a stock that Mr. Market has left for dead, 10-baggers can be found, especially in this economy, without having to ride them up for decades.

Pharmaceuticals are certainly an area where you might have a chance for a 10+ bagger in quick order. If one trades these, however, they should understand that the losers will outnumber the winners.

This might be acceptable if you’re willing to risk a small part of your portfolio, but such trading should not be your plan for an early retirement. Likewise in this market, taking a chance on a stock that Mr. Market priced for bankruptcy in the 60-cent range and riding it up to $8 is another way to “trade” your way into a 10-bagger.

For me, those would be good trades, but not quite what I consider an investment-grade 10-bagger. For me, it’s the home-grown, getting in when the equity is fair-valued by fundamental standards, and riding it up as it grows in earnings and potential.

Pharmaceuticals (7 stocks)

Name …. Price (2010) …. Price (2023) …. Gains/Loss % …. DY % …. PE …. MCap.(M)
AHEALTH [s] …. 0.21 …. 2.46 …. 1071% …. 3.46 …. 16.13 …. 1766.35
KOTRA [s] …. 0.66 …. 5.1 …. 673% …. 5 …. 11.04 …. 755.13
DPHARMA [s] …. 0.57 …. 1.28 …. 125% …. 1.8 …. 16.99 …. 1231.29
YSPSAH [s] …. 1.09 …. 2.36 …. 117% …. 4.24 …. 8.63 …. 334.39
NPS [s] ….(2018) 0.225 …. 0.23 …. 2% …. 1.09 …. 20.78 …. 34.27
NOVA [s] ….(2018) 0.76 …. 0.7 …. -8% …. 4.64 …. 15.47 …. 223.1
PHARMA [s] ….(2012) 0.59 …. 0.38 …. -36% …. 5 …. -0.79 …. 497.88

KLCC has superior property assets, including the Petronas Twin Towers which are well tenanted. KLCC's balance sheet remained strong. The net gearing stayed low at 0.10x as at 31.03.23.

REITs - Selecting REITs
Choosing a good REIT is like choosing any other value investment.

Assets = Real Estate
Debt = Debt
Returns = Rents + other payments received on the portfolio.

An investor must analyze and compare a REIT's:

management quality,
real and anticipated returns,
yields, growth,
reserves, and
asset values.

Many of the techniques for common stock can be put to work here.

What are the Risks of Investing in Real Estate Investment Trusts?

Of course, nothing in this life is guaranteed, and that includes real estate investment trusts.

REITs are more than just a pile of properties, they are active businesses, and subject to business risks. It's a testimony to the industry, however, that over the years only a handful have gotten into deep financial trouble.

According to Ralph L. Block in Investing in REITs, those real estate trusts that have gotten into trouble have done so primarily due to
- excessive debt leverage,
- poor allocation of capital resources, and
- questionable transactions with directors or major stockholders.

That's for individual REITs. As an industry, their businesses are subject to two particular risks no matter how well managed they are (though good management can succeed despite these dangers).

1. Overbuilding or excess capacity, or overdevelopment.
2. High interest rates

Of the 19 REITS, the one that stands out from the rest is KLCC. No brainer.

REITS

Name …. Price (2010) …. Price (2023) …. Gains/Loss % …. DY …. MCap.(M)
KLCC [s] …. 3.31 …. 6.83 …. 106.3% …. 5.56 …. 12330.42
AXREIT [s] …. 0.97 …. 1.82 …. 87.6% …. 5.36 …. 3168.72
ATRIUM …. 0.9 …. 1.4 …. 55.6% …. 5.86 …. 371.77
ALAQAR [s] …. 1 …. 1.24 …. 24.0% …. 6.53 …. 1041.1
IGBREIT ….(2012) 1.39 …. 1.67 …. 20.1% …. 5.9 …. 6002.4
SUNREIT …. 1.3 …. 1.55 …. 19.2% …. 5.95 …. 5308.45
YTLREIT …. 0.86 …. 0.975 …. 13.4% …. 4.05 …. 1661.78
AMEREIT [s] ….(2022) 1.15 …. 1.24 …. 7.8% …. 3.06 …. 647.37
PAVREIT ….(2011) 1.24 …. 1.24 …. 0.0% …. 6.75 …. 4524.66
KIPREIT ….(2017) 1 …. 0.9 …. -10.0% …. 7.56 …. 545.72
UOAREIT …. 1.26 …. 1.13 …. -10.3% …. 7.63 …. 763.43
SENTRAL …. 1.04 …. 0.83 …. -20.2% …. 8.22 …. 889.58
HEKTAR …. 1.1 …. 0.65 …. -40.9% …. 12.31 …. 324.21
ARREIT …. 0.85 …. 0.455 …. -46.5% …. 7.47 …. 260.81
CLMT …. 0.98 …. 0.5 …. -49.0% …. 8.02 …. 1349.05
ALSREIT [s] ….(2015) 1 …. 0.48 …. -52.0% …. 5.21 …. 278.4
TWRREIT …. 1.14 …. 0.435 …. -61.8% …. 4.25 …. 122.02
AMFIRST …. 0.95 …. 0.34 …. -64.2% …. 7.94 …. 233.38
IGBCR ….(2012) 1.67 …. 0.5 …. -70.1% …. 6.84 …. 1174.72

Name …. Price 2010 …. Price 2023 …. Price Chg% …. DY%
IBHD [s] …. 0.2 …. 0.245 …. 22.50% …. 0

For those who have invested in iBHD, the returns on your investment are less than your risk free interest rate for the same period. This is despite the company having completed so many upscale buildings in their prime land in the Klang Valley.

Where are the profits for the shareholders?

Of the 99 property stocks, the majority (70%) delivered negative returns to the shareholders over a 10 year period.

Unless analysing this property business is within your circle of competence, it is better to avoid this sector altogether.

Moreover, there are so many ways for creative accounting in property development and construction industries.

Everything you read a post, you have to scroll all the way down the page. A lot of time wasted by users of this platform.

Not so easy to search.

In general, I avoid the property sector.

How to analyze real estate developers
How to analyze real estate developers

Real estate stocks make up a significant number of companies in Asian stock exchanges and many of them are among the the most volatile stocks. Whether the real estate developer is listed or not, they are influenced by a host of cyclical factors ranging from government policies, interest rates, unemployment rates, affordability, etc. Hence, it is important to understand how real estate companies can be analyzed.


Profit Model

Real estate industry can be separated into the following sub-industries or types of real estate developers:

Residential real estate developers
Commercial and mixed use real estate developers
Industrial real estate developers

Profit model of residential real estate developers

Residential real estate developers are more dependent on economies of scale than ever because of increasing land prices and declining rate of increase in residential property prices. In many developing countries, developers used to be able to acquire land at cheap prices and hope for rapid increase in home prices to make huge profits. In developed countries, land prices are higher, and price increases are more muted. Hence, brands and good management are playing an increasingly important role.


Profit model of commercial real estate developers

As prime real estate for commercial developments become more scare, commercial real estate developers tend to prefer to have rental incomes rather than selling units so that they can have consistent income and manage the properties. These developers are also more likely to sell their commercial properties to real estate investment trusts to free up capital and many are REITs that also develop properties.


Profit model of industrial real estate developers

Industrial real estate developers operate more like commercial real estate developers as they seek to have stable rental incomes and also sometimes selling their properties. Some industrial estate developers might even have a fund to invest in promising industrial companies so as to achieve higher profits.



Factors that Affect Value


1. Land bank - the value of a real estate developer is directly influenced by its land bank. As the larger the land bank, usually means the developer can make more profits from developing the land banks later. Hence, the land bank that a real estate company has is always disclosed in detail in the listed companies' reports.

2. Inventories - Real estate inventories can be separated into a few categories. Usually increasing values of construction-in-progress and land held for development will translate to higher future earnings for the company:
Completed developments - properties whose construction has been completed
Construction-in-progress - means the value of properties under construction.
Land held for development - value of land help for future developments.
Investment properties - properties held for rent or sale

3. Customers deposits - for residential projects, it is often that developers will collect customers deposits or even prepayments of entire houses prior to completion of the units. As these properties are pre-sold and their profit and loss have yet to be recognized in the income statement, growing customer deposits could signal increasing revenue and most likely profits in the coming years ahead.

4. Housing prices - the profits from real estate developers that primarily sell their developments come from selling the units at above costs. Hence, the moving of housing prices have direct impact on the profitability of residential real estate developers. Usually the stock price of real estate developers have high correlation with the anticipated housing price direction.

5. Rental rates - Rental rates are especially important for commercial and industrial real estate developers as most of them do not sell all the units that they developed but they keep these units for rental returns. Rental rates have direct bearing on stock prices of such developers and REITs.

6. Industry consolidation - as economic difficulties mount and economies of scale becomes more important, mergers and acquisition activities will also drive prices of real estate companies as the merged entities might be more efficient given a larger land bank.

7. Macro economic factors - government policies play a huge role in controlling property prices as the following factors will determine the direction of property prices. We have listed

Factor Movement Likely Effects
Interest rates Up Negative
Land supply Down Positive on short term price but will affect future
profitability if land bank dries up
Loan Quantum Up Positive
Reserve ratio Up Negative
GDP Up Positive
Unemployment Up Negative

Valuing Real Estate Developers

A common method to value real estate developers is using the Revalued Net Asset Value ("RNAV") approach which basically determines the net asset value of a real estate developer by adding up

the change in value of the investment properties held by the company,
the surplus value of properties held for development using Discounted Cash Flow method and
the net asset value of the company with any other adjustments that are deemed necessary.


Usually a discount or premium percentage is multiplied with the RNAV base on the developers other qualities such as management capabiltiies, branding, track record, etc. A smaller developer with poor record of continuously generating consistent income is usually given a significant discount to its RNAV.

Using the RNAV approach only takes into account of what the developer can earn with the assets that it has in its books at the time of the valuation. If properly applied, it is usually more conservative than the market approach such as P/E multiples.

However, to use this method, it requires a lot of work in revaluing the properties held by the developer, making it difficult to implement by most people as information needed to determine RNAV needs some skill in obtaining.

The price earnings ratio method could also be useful to cross check the RNAV method.

Property counters: How are shareholders rewarded? How exciting are property counters in terms of investment returns?
Property counters

1. Land held for development.

2. Land being developed and properties for sale.

3. Investment properties held for rental income.



How are shareholders rewarded?

After successful development and realisation of profits from the projects, the property counter may choose to reward the shareholders by paying half their earnings as dividends.

The investment income from properties held as investment can also be partially disbursed as dividends.

[How exciting are property counters in terms of investment returns?]

Property counters

Name …. Price 2010 …. Price 2023 …. Price Chg% …. DY%
HCK [s] …. 0.04 …. 2.180 …. 5350.00% …. 0
LBICAP [s] ….(2015) 0.03 …. 0.485 …. 1516.67% …. 4.12
RAPID …. 1.68 …. 21.420 …. 1175.00% …. 0
ECOWLD [s] …. 0.07 …. 0.870 …. 1142.86% …. 5.75
IDEAL [s] …. 0.25 …. 2.120 …. 748.00% …. 0
MENANG [s] …. 0.09 …. 0.730 …. 711.11% …. 0
PTT [s] …. 0.16 …. 1.040 …. 550.00% …. 0
TANCO [s] …. 0.09 …. 0.535 …. 494.44% …. 0
YNHPROP [s] …. 1.27 …. 5.050 …. 297.64% …. 0
IGBB …. 0.62 …. 2.100 …. 238.71% …. 1.59
SMI [s] …. 0.24 …. 0.810 …. 237.50% …. 0
ECOFIRS [s] …. 0.1 …. 0.335 …. 235.00% …. 0
OIB [s] …. 0.36 …. 1.160 …. 222.22% …. 4.31
MUH [s] …. 0.21 …. 0.500 …. 138.10% …. 0
KPPROP [s] …. 0.28 …. 0.650 …. 132.14% …. 4.62
AYER [s] …. 3.18 …. 7.100 …. 123.27% …. 2.82
EUPE [s] …. 0.46 …. 0.845 …. 83.70% …. 2.13
NCT [s] …. 0.2 …. 0.365 …. 82.50% …. 0
MATRIX [s] ….(2013) 0.79 …. 1.400 …. 77.22% …. 5.89
IBRACO [s] …. 0.31 …. 0.530 …. 70.97% …. 3.77
LBS [s] …. 0.28 …. 0.465 …. 66.07% …. 0
TROP [s] …. 0.81 …. 1.330 …. 64.20% …. 0
SBCCORP [s] …. 0.32 …. 0.525 …. 64.06% …. 0
EWEIN [s] …. 0.75 …. 1.190 …. 58.67% …. 0.42
SHL [s] …. 1.25 …. 1.950 …. 56.00% …. 4.62
SUNSURIA [s] …. 0.28 …. 0.435 …. 55.36% …. 0
PLB [s] …. 0.72 …. 1.060 …. 47.22% …. 0
CVIEW [s] …. 0.63 …. 0.900 …. 42.86% …. 7.78
KEN [s] …. 0.36 …. 0.500 …. 38.89% …. 0
MKH [s] …. 0.91 …. 1.260 …. 38.46% …. 3.17
BCB [s] …. 0.21 …. 0.290 …. 38.10% …. 0
OSK …. 0.82 …. 1.070 …. 30.49% …. 5.61
KSL [s] …. 0.64 …. 0.815 …. 27.34% …. 0
IBHD [s] …. 0.2 …. 0.245 …. 22.50% …. 0
MUIPROP [s] …. 0.14 …. 0.170 …. 21.43% …. 5.88
MALTON [s] …. 0.33 …. 0.400 …. 21.21% …. 0
GMUTUAL [s] …. 0.24 …. 0.290 …. 20.83% …. 1.72
TAMBUN [s] ….(2011) 0.75 …. 0.885 …. 18.00% …. 6.67
THRIVEN [s] …. 0.09 …. 0.105 …. 16.67% …. 0
HUAYANG [s] …. 0.22 …. 0.250 …. 13.64% …. 0
PARAMON [s] …. 0.74 …. 0.840 …. 13.51% …. 21.43
SEAL …. 0.42 …. 0.460 …. 9.52% …. 0
BJASSET …. 0.27 …. 0.290 …. 7.41% …. 0
ASIAPAC [s] …. 0.1 …. 0.100 …. 0.00% …. 0
MJPERAK [s] …. 0.26 …. 0.260 …. 0.00% …. 0
CRESNDO [s] …. 1.2 …. 1.180 …. -1.67% …. 4.24
LIENHOE …. 0.29 …. 0.285 …. -1.72% …. 0
SKYWLD [s] ….(2023) 0.8 …. 0.730 …. -8.75% …. 4.11
RADIUM [s] ….(2023) 0.39 …. 0.355 …. -8.97% …. 2.82
SAPRES [s] …. 0.5 …. 0.455 …. -9.00% …. 0
JIANKUN [s] …. 0.23 …. 0.200 …. -13.04% …. 0
JKGLAND [s] …. 0.11 …. 0.095 …. -13.64% …. 0
PASDEC [s] …. 0.36 …. 0.300 …. -16.67% …. 0
Y&G [s] …. 0.76 …. 0.605 …. -20.39% …. 0
MAXIM [s] …. 0.24 …. 0.185 …. -22.92% …. 5.41
MPHBCAP ….(2013) 1.37 …. 1.040 …. -24.09% …. 43.27
FARLIM [s] …. 0.28 …. 0.210 …. -25.00% …. 0
MAHSING [s] …. 0.87 …. 0.635 …. -27.01% …. 4.72
SDRED [s] …. 0.61 …. 0.445 …. -27.05% …. 0
PLENITU [s] …. 1.33 …. 0.935 …. -29.70% …. 2.67
CHHB [s] …. 0.6 …. 0.400 …. -33.33% …. 0
GOB [s] …. 0.35 …. 0.230 …. -34.29% …. 0
ARK [s] …. 0.4 …. 0.260 …. -35.00% …. 0
UOADEV [s] ….(2011) 2.52 …. 1.580 …. -37.30% …. 6.33
SYMLIFE [s] …. 0.56 …. 0.320 …. -42.86% …. 0
GUOCO [s] …. 1.09 …. 0.620 …. -43.12% …. 3.23
IWCITY [s] …. 0.66 …. 0.375 …. -43.18% …. 0
EWINT [s] ….(2017) 1.24 …. 0.630 …. -49.19% …. 0
GLOMAC [s] …. 0.65 …. 0.320 …. -50.77% …. 4.69
YONGTAI [s] …. 0.88 …. 0.430 …. -51.14% …. 0
MAGNA [s] …. 0.91 …. 0.430 …. -52.75% …. 0
BDB [s] …. 0.61 …. 0.280 …. -54.10% …. 1.64
DPS [s] …. 0.19 …. 0.085 …. -55.26% …. 0
IOIPG ….(2014) 2.64 …. 1.150 …. -56.44% …. 3.48
SIMEPROP [s] ….(2017) 1.2 …. 0.490 …. -59.17% …. 4.08
MKLAND [s] …. 0.39 …. 0.155 …. -60.26% …. 0
E&O [s] …. 0.83 …. 0.325 …. -60.84% …. 0
ENRA [s] …. 1.57 …. 0.580 …. -63.06% …. 0
PGLOBE [s] …. 0.4 …. 0.145 …. -63.75% …. 0
TITIJYA [s] ….(2013) 0.78 …. 0.260 …. -66.67% …. 0
BERTAM [s] …. 0.26 …. 0.085 …. -67.31% …. 0
PARKWD [s] …. 0.4 …. 0.130 …. -67.50% …. 0
L&G [s] …. 0.35 …. 0.105 …. -70.00% …. 4.76
ENCORP [s] …. 0.96 …. 0.255 …. -73.44% …. 0
UEMS [s] …. 1.29 …. 0.340 …. -73.64% …. 1.47
MRCB [s] …. 1.29 …. 0.330 …. -74.42% …. 3.03
NAIM [s] …. 3.48 …. 0.850 …. -75.57% …. 0
SPSETIA [s] …. 2.45 …. 0.585 …. -76.12% …. 2.51
LAGENDA [s] …. 5.25 …. 1.170 …. -77.71% …. 5.56
AXTERIA [s] …. 0.78 …. 0.155 …. -80.13% …. 0
PHB [s] …. 0.03 …. 0.005 …. -83.33% …. 0
MERIDIAN [s] …. 0.46 …. 0.075 …. -83.70% …. 0
ACME [s] …. 1.35 …. 0.205 …. -84.81% …. 0
WMG …. 0.56 …. 0.085 …. -84.82% …. 0
AVALAND [s] …. 1.29 …. 0.185 …. -85.66% …. 0
TALAMT [s] …. 0.12 …. 0.015 …. -87.50% …. 0
IVORY [s] …. 0.93 …. 0.085 …. -90.86% …. 0
SNTORIA ….(2013) 0.67 …. 0.060 …. -91.04% …. 0
TWL [s] …. 0.53 …. 0.035 …. -93.40% …. 0

It is the long term investments in the stock market that do well. If you invest like a gambler in a casino, you are not likely to do well.

Charlie Munger 👍👍👍

Always buy with a margin of safety. You should buy at a price so low that probility of the upside gain will be many times the downside loss.

Many of the above stocks have given positive gains over the long period from 2010 to 2023. However, their share prices are volatile. Historically, prices of these stocks fluctuated hugely. It was not uncommon to see stock prices going up 50% and dropping the equivalent 1/3rd over a 52 weeks period.

Thus, you may entertain a loss because you have paid too high to own a stock, though the stock has given a positive return during the same investing period.

Ranking the returns of Telecommunication Service Providers stocks from 2010 to 2013, from highest to lowest:

Timecom 759.2%
CDB (Celcom-Digi) 190.5%
TM 143.8%
OCK (2012) 91.8%
Maxis 43.6%
Axiata 10.1%
GPacket -96.0%