Fundamentalist91

Fundamentalist91 | Joined since 2020-06-17

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2020-06-18 17:07 | Report Abuse

I believe this is a good long term investment. Even if revenue drops 20-50% for a few quarter, you can expect that this company have enough to survive through all of it. Furniture is effect indirectly, and so its not as bad as tourism, leisure or airlines stocks. So since it has dropped 50% now from its high, the risk is so small to lose money here. Hence why you should also see the directors accumulating. I'm holding 10k shares and will buy more if it drops below 0.8

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2020-06-18 15:14 | Report Abuse

Before you invest blindly, please read the yearly annual report, learn about the company service and products. You'd find that most of the profit for muhibbah is from oil and gas construction, Cambodia airport concession and many more involving constructions.

During the highest unemployment period since more than a decade ago, do you think this is the period for more constructions?

how about airport? did you read the news that Cambodia sees 99% drop in foreign tourist?

How long do you think this damage will last? We never know, but statistically it shows that it usually take more than 2 years for the economy to recover.

So if you plan to invest, you'd better be prepared to hold for 2 years at least if it goes sideways, or drop more than 50% from current level.

Chances for this stock to go back to RM2 in short/mid term is almost impossible.

Be smart, mitigate the risk. I advise slowly buying it on the way down, not up.

Stock

2020-06-18 15:01 | Report Abuse

There's a reason the richest investor warren buffet got out of airlines stock and admitted his mistake. Airasia is flying with only 20 planes now instead of 200+ , the expense and debt are pilling up.

Government and private institution would be lining up to fund airasia if they really have a good recovery road ahead. But this is not the case, if you invest now, its a big gamble. Fundamentally, its a no-go.

You wanna profit, Invest in statistic, balance sheet, more fact numbers and not gut feeling.

As much as I wanna buy this stock, I don't find any price above 0.50 as attractive, and definitely not worth the risk.

Stock

2020-06-18 14:48 | Report Abuse

Its the end of MBWorld in Bursa market guys, read the news at the top. They're taking it private, they're buying all the shares back at 0.99

Stock

2020-06-17 16:16 | Report Abuse

Poslaju is already at full capacity, they even outsourced their parcels. Just because MCO has triggered more online spending it doesn't mean poslaju will benefit a lot. Because before MCO they're already operating near capacity.

This means that their profit from parcel delivery service won't be spiking high as expense also spiked. Remember that other segments of pos berhad are still making big losses and just like they told the public, pos berhad won't be profitable until 2021 at least.

Remember also, parcel delivery segment only accounts for around 35% of the company revenue.

Me as an e-commerce merchant that post more than a hundred parcels everyday with poslaju, around 1 from every 20 orders that I post are stucked more than two weeks, up to 2 months. And they started turning off their phones too now, terrible service right now.

If other delivery service starts IPO, people would be running to them and pos could hurt badly.

If you invest in poslaju for long term (at least 5 years), I have no doubt that you'll make good profit. But for short term, I wouldn't be surprised if it visits 0.5 cent again.