Public invests buy call with RM5.10 target. Probably mutual funds buy.

Settlement of bad loans & recovery and MIDF buy and its impact on the Balance sheet would determine the forward earnings in 2023.
ChatGPT comments on MBSB results

Based on the earnings report, Malaysia Building Society Bhd (MBSB) has shown positive financial performance in the first quarter of FY23. The increase in net profit of 27.3% can be attributed to lower expected credit losses and operating expenditure. The company also experienced a slight rise in quarterly revenue.

MBSB's total assets have grown, driven by net financing growth and financial investments. Additionally, total deposits have increased, indicating improved liquidity. The company's CEO mentioned that steady growth in gross loans, financing, and customer deposits was achieved through campaigns and promotions.

The return on equity (ROE) and return on assets (ROA) figures can provide insights into the company's profitability and efficiency. However, it's important to compare these metrics with industry benchmarks and consider the company's historical performance to assess its relative strength.

MBSB maintains a healthy capital and liquidity position, which is positive for the company's financial stability. The gross impaired financing ratio increased slightly, but the company expects improvement in the ratio in the coming quarters through resolution and settlement of impaired accounts.

Moving forward, MBSB aims to strengthen its core retail segment and expand its financing growth by targeting premium corporates. They plan to enhance their cost of funds by increasing current account and savings account (CASA) deposits and focus on relationship-based partnerships.
To evaluate the future prospects of MBSB, it's important to consider various factors such as the overall economic conditions, the company's competitive position within the industry, regulatory environment, and any potential risks that may impact its operations. Conducting further research, analyzing financial reports, and consulting with a financial advisor can provide more detailed and accurate insights into the future prospects of the company.

Good morning, another Serba in the making. Good luck to all.

Sell on the news?

alenac

Sorry for your disappointment, those that bought recently had made some money and hoping the price will recover post-pandemic to its high. I think this counter may not be suitable for you to invest.
Maybe you should sell & go for PBB or Alliance Bank. Generally, PLC type of Bank or Finance counter will not maximise profit like other private banks. Hopefully, MBS bank can switch listing with MBSB later after MIDF buy so that its value can be enhanced by the market further. For instance, there are many interventions by the government and policymakers for social objectives, such as the recent ones on the offer to EPF member loans and others such as fixed-interest loans which may not be good to maximise stock price in times of rising interest rates.
I hope EPF being the largest shareholder, once the banking business matured will sell off the listed entity to the highest bidders so that it can operate without government intervention.
Alenac, all the data's provided by you amounts to nothing if the share price of MBSB remains depress. Anyone who holds this counter for more than 6 years are still underwater in their investment especially EPF. And why is it everytime MBSB goes on acquisition, it takes more than 18 months to finalise the deal. The deal with AFB a few years back was supposed to enhanced MBSB because it came with an Islamic Banking licence but instead MBSB share price continued dropping further. This MIDF deal is probably the last chance for this MBSB senior management board to prove they deserve to continue in senior management. Alenac, you sound like an insider of MBSB talking, I hope you can convey the disappointment of many shareholders to the BOD of MBSB. TQ.

2 hours ago

Potential overvaluation if compare to future earning visibility
Not to forget the owner's supporting SPECULATIVE share buy back ........................ the Endgame will reach its fundamental value .......................... anyway. Frequent price surge and later decline as it reaches new bottom will reflect its move towards ......
............ inventory pressured and uncertainty of demand co

HARTALEGA HOLDINGS BERHAD
HARTA. Hartalega Holdings Berhad is an investment holding company. The Company is engaged in the manufacture and sale of latex gloves. The Company also offers Nitrile gloves, Polyisoprene and Specialty gloves. The Company's Nitrile gloves products include Nitrile Powder Free 2.5 Mil, Nitrile Powder Free 3.2 Mil, Nitrile Powder Free 3.5 Mil, Nitrile Powder Free 3.5 Mil Extended Cuff, Coats Colloidal Oatmeal Coated Nitrile Powder Free 2.5 Mil, Class 100 Cleanroom Semiconductor Nitrile 4.5 Mil, Nitrile Powder Free 8.0 Mil Extended Cuff, Nitrile Powder Free 4.5 Mil Extended Cuff and Nitrile Powder Free 4.8 Mil Extended Cuff. The Company's latex gloves products include Latex Powdered 4.0 Mil, Latex Powdered 3.0 Mil, Latex Powdered 5.0 Mil, Coats Colloidal Oatmeal Coated Latex Powder Free 4.5 Mil, Latex Powder Free 4.0 Mil, Latex Powder Free 4.5 Mil, Latex Powder Free 5.0 Mil, Surgical Latex Powder Free 7.5 Mil, Latex Polymer Coated 5.5 Mil and Surgical Latex Powdered 7.5 Mil.

This company’s forward price to EPS is 59.32, which makes it the 1st ranked stock in this list.

Hartalega Holdings Bhd. is +25.00% over the past month and -38.26% over the past year, outperforming the FTSE Bursa Malaysia KLCI Index by +25.88% over the past month and -30.31% over the past year

PE should be based on forecasted earnings of 11 sens (pre pandemic) should be fair.
Bursino

Trading at PE 10.13. Assume sector PE 11.3, the share price will be 6.42 * 11.2 = 0.72. Known issues like MIDF are factored.
2022 annual report of MBSB
WE ARE INVESTING IN PEOPLE AND TECHNOLOGY
TO SECURE OUR LONG-TERM FUTURE
We continued to make significant investments in technology,
products and people as part of our strategy to achieve sustained
long-term growth. We dedicated 47% of our capital expenditure
to technology improvements and upgrades. With digital being
a critical business enabler, our investment in technology has
resulted in a 90% increase in online transactions across MBSB’s
various digital platforms and a 438% increase in mobile banking
application users.
We spent over RM10 million on cybersecurity-related systems.
Additionally, the Bank has transformed 13 branches that used
to mainly focus on operations to become more sales-centric and
customer-focused, leading to a 162% growth in the opening of
new Current and Savings Accounts-i (CASA-i) compared to 2021.
Furthermore, to ensure that we have the necessary capacity and
capability to deliver on our goals, MBSB brought on board 489
new hires, led by front-liners to help drive key roles. The arrival
of new talent has enlarged our family to 2,361 people, yet we
maintain a relatively low turnover rate of 10.4%, which reflects a
generally positive workplace environment and culture.

MBSB delivered a positive total Shareholder return of 20.6% in 2022. This outperforms
the Bursa Malaysia Finance Index, which gained 6.0% last year

All are secured with mortgages on land & others, so no worries and the amount also small.
speakup
https://themalaysianreserve.com/2023/05/24/cross-default-clause-triggers-potential-wave-of-default-events-for-serba-dinamik/

Straight-forward business model dealing with and selling medicine to the government can lose money? Even BP if bought at the right price and taken over the supply chain of this company can make 10 times more and the share price also multiply by the same value. No brainer company can land in this kind of problem.

Anytime this or early next week should be out. An increased interest rate environment should assist in improving the balance sheet. Previously 8.5 sen divi payment should reflect management's confidence in generating more cash for the shareholder, particularly EPF.

0 seconds ago

Probably be next week. It is a tradition that they won't pay any divi in the first quarter anyway whatever the result.

Depend on how long can the owners of glove companies support each counter.
telusdansuci
Bad result but good for Supermax share price . Everything become opposite now in our Bursa M'sia . Good become bad and bad become good . Believe it or not ! Boleh tetap boleh . Wait and see .

10 hours ago

Short-term borrowings of 1 billion are due within 6 months. Rights or refinanced? Earnings can't support loan and interest payments.

alenac

Owners buy back their shares or gamble in their stocks. Short to medium terms small fry will be caught in the ups and downs. Unless one can read into the owner's pricing rhythm. The fundamental value will prevail in the long run. But owners who are involved in AT or/and HFT will plough the profit to themselves and disadvantage small traders because of the volume, speed and timing made in disposing and buying.
"Algorithmic trading (AT) and high-frequency trading (HFT) have the potential to affect market liquidity, price discovery, and overall market stability in the US stock market. AT accelerates the speed at which traders can detect and exploit price discrepancies among securities, thus it can potentially enhance price discovery 1. However, such improvement may come at a cost to other traders who are disadvantaged in terms of speed 1."

There is some debate over whether HFTs provide or consume liquidity. One study found that the lowest spread, which is a signal of high market liquidity, is observed for small numbers of orders placed by high-frequency traders and a large number of trades by high-frequency traders 2.

Become Ularsawa, Stingray and Mikecyc forum now no more Insaf.

All Glove bosses supporting their counter. But for how long and eventually the stock price will move to its fundamental value.

More bad worms crawling out of the woodwork? Distressed banks estimated to more than 160 in the states. Hopefully our local banks do not have Fed junk bonds exposure.

While certain owners are toying with buying aeroplanes, there are those that took the necessary steps to shut down certain assembly lines, and others are hopeful that there will be a recovery soon. Under this difficult condition, looks like it would be a very long time before another glove party is to come by.

Looks like Top Glove admitted that it will take many more quarters to return to the black.
https://klse.i3investor.com/web/blog/detail/ceomorningbrief/2023-04-27-story-h-272376779-Further_Correction_Imminent_for_Top_Glove_Based_on_Worsening_Indicators

AI seemed to think there is hope that the Malaysian glove Industry may recover due to strategic reasons. All is not lost for those who wish to time the entry into this market. But for the short to medium term, the down turn will continue.

Reply from chat Gpt:

There is some truth to the statements made in the message. The COVID-19 pandemic did create a surge in demand for medical gloves, and many new manufacturers from China did enter the market to take advantage of the increased demand. Additionally, some existing Chinese manufacturers expanded their operations to meet the demand, which led to increased competition for Malaysian glove manufacturers.

It is also true that Chinese manufacturers generally have lower production costs than Malaysian manufacturers, which could give them a competitive advantage.

However, it is difficult to say definitively whether the pandemic has caused permanent damage to the market share of Malaysian glove manufacturers. While it is true that Chinese manufacturers have captured a sizable chunk of the market, it is possible that demand for medical gloves will shift back towards Malaysian manufacturers as the pandemic subsides and countries look to diversify their supply chains.

THE COVID-19 PANDEMIC HAS CAUSED PERMANENT DAMAGE TO MARKET SHARE OF MALAYSIAN GLOVE MANUFACTUTERS.

Fact 1: New manufacturers from china jumped on bandwagon; existing manufacrers there expanded due to lucrative profit during the pandemic.

Fact 2: China manufacturers costs are cheaper.

Fact 3: Post pandemic, china manufacturers captured a sizeable chunk of malaysian manufacturers market share in the world, causing a permanent loss of market share to malaysian manufacturers.

Yeah watching the owner finding ways to spend the company's money as the shareholders watched in disgust?
pang72
End of covid.
Thanks god, we are still alive

2 days ago

Global prices still up by 28.3% in 2023

The banking crisis is only limited to the USA and further banking laws will tighten the valuation of bank investment. Hopefully this is true. Same opinion as Warren Buffet.
https://economictimes.indiatimes.com/markets/stocks/news/more-dominos-waiting-to-fall-in-the-us-banking-business-aswath-damodaran-warns/articleshow/100033158.cms?from=mdr

Next change, real estate bubble burst due to high-interest rates?

"A lot of banks had illiquid balance sheets. They would take significant losses if they had to mark [their assets] to market,” said Ryan Nash, managing director of the financials group research at Goldman Sachs, in a webinar. Many banks had "limited to no shareholder equity and a highly correlated deposit base, particularly among uninsured deposits.”

In addition, many regional banks, Nash said, have "exposure to high-risk commercial real estate areas, such as offices.”

Because property values have declined as office vacancies have increased in many cities across the U.S., many banks are expected to encounter challenges with their commercial real estate portfolios.

"A lot of real estate isn’t so good any more,” Charlie Munger, vice chairman of Berkshire Hathaway, recently warned. "We have a lot of troubled office buildings, a lot of troubled shopping centers, a lot of troubled other properties. There’s a lot of agony out there.”

https://www.thestreet.com/banking/will-pacwest-be-the-next-u-s-bank-to-collapse

Another bank crashes, PacWest, next Western Alliance........
https://www.thestreet.com/banking/troubled-bank-pacwest-crashes

Looks like US depositors do not trust US regional banks anymore.
The number of failing lenders in the US may snowball as about 190 regional banks are seeing their uninsured depositors continue to withdraw savings. If the classic run on the lenders goes on unabated, the overall US financial system could run into bigger trouble, which may send shockwaves across global markets.

If the US Federal Reserve maintains its course of reining in inflation by raising the federal funds rates further this year, more mid-size US banks could go under water and be forced to declare insolvency, because American depositors will withdraw their savings from the regional banks in order to get higher rates elsewhere. This will put a lot more stress on those banks.
https://www.globaltimes.cn/page/202305/1290082.shtml

Weeks later still no end in sight for banking jitters. Public just today raised BLR. How much do funds know about the next US bank in trouble?

1 second ago

Relieve the market sentiment from going bad. Next round of bad news coming????? Any more runs on banks will be devastating .........? Yellen will not be able to stop them.
masterus
U.S. regulator seizes First Republic Bank, to sell assets to JP Morgan

12 hours ago

Yeah, there is some truth to financial & liquidity problems in China. Due to the pandemic & housing meltdown over the last 3 years, even China's provincial governments are in debt which Bejing refused to assist.

https://www.cnbc.com/2023/03/27/chinas-local-governments-finding-new-ways-to-raise-money-amid-debt-concerns.html
Posted by IDQWE001 > 16 hours ago | Report Abuse

China's Mortgage Crisis, Banks are Failing, Protests Everywhere. China's financial crisis is Here…

https://youtu.be/geXM0AWSLgo

Yeah more failed banks reporting......when will the next one be? Already factored in? Think again!
Yellen is finally listening. She and her team are working out a plan to shutter First Republic, selling the carcass of the bank to other, more stable players. Now Yellen needs to start focusing on other problem banks because they’re certainly out there, and figure ways to prop up the US economy. And by all means don’t cover all deposits over $250,000 like you did the last time. Doing so would just encourage more risky ­behavior.

If we have learned anything from all our financial crises over the years, it is that allowing the consequences of excessive risk-taking (losing money and worse) makes for the best type of financial regulation. The bailout-friendly Yellen may not be able to grasp this, but they’re harsh, teachable moments.

In the meantime, it would be nice if someone also taught Yellen to read a bank balance sheet.
https://nypost.com/2023/04/28/clueless-yellen-fails-to-stave-off-bank-crisis-as-first-republic-sinks/

Who is the buyer of First Republic assets, as far as I know, no successful bidder as yet.
Posted by BobAxelrod > 3 minutes ago | Report Abuse
FIDC already stepping in, First Republic has gone under.......already factored into Markets....nothing new.

First republic is near to collapse if no rescue plan is successful. First Republic with USD 212 bill assets is as big as our bigger banks.
https://www.malaymail.com/news/money/2023/04/30/us-regulators-lead-first-republic-rescue-talks/66996

Can Airasia X handle the RM10 billion loans when it is unloaded to the airline? Why want to kill 2 airlines in one go?
Posted by Sslee > 1 hour ago | Report Abuse
Somone do not read or till now still has no idea that Stony plan for CapitalA to exit PN17 is to exit aviation by divest CapitalA' aviation group with its billions liabilities to AirAsia X in exchange of shares for subsequent distribution to its shareholders.

So what is he talking about CapitalA will be a fully functional airline???

The mistake is not selling cheap tickets but having hive off all planes to an entity and re-lease them, therefore, made it saddle with liabilities of RM11 bill. In doing so it enriched major owners and left debts that the Airline are unable to pay off post-pandemic. Tony is now looking to start other types of business knowing that Cap A days are numbered.
Repost from CapitalA forum.
Posted by supersaiyan3 > Apr 28, 2023 10:54 AM | Report Abuse

個人覺得，亞航的問題在於經營者並不是很會賺錢的，但抄股還是很能幹的。怎麼說呢？要賺錢是每天每時每刻都要算過量過，要買多少飛機，要開什麼航線.....而且能賺錢的時候要盡量去賺，不能賺的時候要努力減損。

我覺得亞航管理層這條線定得太高，就是對事物總是太樂觀，結果什麼都是買得太多，機票賣得少了一點點，結果盈利永遠上不來。

記得有一回亞航賺了大錢，以為可以分一點給股東，結果卻給了（五個月）花紅給空姐，害股東一場空。

其實經營者要在無意間製造一點點稀缺，而不是有意的製造一點點過剩，才能夠賺到錢。而這也才是理智的商業行為。

在所有航空公司都是理智的情況下，市場卻有不以盈利為目標的航空公司，結果就是大家都賺不了錢。

以前看亞航的賬，機票平均售價只要提高二十塊錢，股東就開心了。但為什麼總是要便宜那麼二十塊，令股東不開心呢？

當然，亞航是否痛定思痛，已經改變了就不得而知

0 seconds ago

Share price overhyped? Just building an integrated network for communications..................
Info from chat GPT
In general, land acquisition does not have a direct relationship with a digital hub. A digital hub is typically a software or device that provides integrated access to applications and workflows or switches multiple streaming services. Land acquisition, on the other hand, refers to the process of acquiring land for development or other purposes. However, if a company or organization is planning to build a physical location for their digital hub operations, they may need to acquire land for that purpose.

Need to deplete cash like Topglove so no issue over too much of a good thing then. hahahaha...........

Ex auditor quits. Supermax got too much cash, father to look at what to spend on behalf of shareholders? Think again!!! The statement below as a professional reason, taken at the onset looks good. But how many of the owner's children are actually in the BOD to justify such an explanation?

"It goes without saying that having too many executive directors, especially non-independent family members, with overlapping roles would not be ideal in terms of corporate governance"


http://malaysiansmustknowthetruth.blogspot.com/2023/04/supermax-to-reshuffle-boardroom-as.html#

0 seconds ago

hahaha are you talking on behalf of management?
myinvestor
All the decision is made by the boards of director. The proposed aircraft not even approve yet. What accountability u talking about? Anyone can propose a buy a "moon" but final decision is still need to get approval from board of directors and shareholders.

25 seconds ago

The issue is not who is capable. The issue is who is accountable. No doubt the company had net cash of RM2.6 billion, but for how long with continued losses and hoping to revive in the next pandemic? It is better for the company to declare the net cash flow of RM2.6 billion as a divi distribution if the company can't create value from the excess cash. Thereafter, let the market determine the supermax price post-dividend.

myinvestor
First thing the investor must think who can create value for the company. Stanley or Cecile.? When Stanley setup the company 30 years old she was just a kid. As saying he is 'eat salt more than her eat rice'. I will prefer his dad to manage the company as he is still healthy and capable.
9 minutes ago

So are you saying that father and daughter are playing good cop and bad cop? If so shareholders are in deep shit.
myinvestor
Just not time yet for her to take over. She is heir of company who can bully her. Her dad still have unfinished job in the company. Patient girl!

2 minutes ago

Stanley can say anything he likes as he controls the BOD through his stake in the company. Buying 2 planes within 2 years is a crazy decision when the business is in a downturn. More of mismanagement. Moreover, Stanley had a record of insider trading as well, even though the court found him not guilty. The question is can you trust the owner from past events and records to buy Supermax? I won't be surprised if funds start to shy from covering Supermax. Already they are underweight on Supermax.
myinvestor
https://www.youtube.com/watch?v=dr3RwZQVgYg
Too many family members in board of director is not good governance in a company. Overlapping roles will waste in management. According to Stanley the removing his daughter is not bc of propose aircraft.
https://www.theedgemarkets.com/article/high-court-overturns-guilty-verdict-stanley-thais-insider-trading-case
3 minutes ago

4 seconds ago

6 minutes ago

Good article on accountability and corporate governance, too often CEO or owner of companies ignore their responsibility to the shareholders and treat their companies like the neighbourhood sundry shop. Let the share price drop to the bottom.
https://www.freemalaysiatoday.com/category/opinion/2023/04/25/thai-vs-thai-supermaxs-boardroom-saga-raises-huge-red-flag/

Scam company appointing ex-government officers as ind directors.

Staff and directors take commercial flights even 1st class still cheaper than buying & maintaining a plane.
myinvestor
The proposed aircraft is business class falcon 10x jet and flying range of 8000 nm which need not require to refuel or stop when travel to intended destination. Bring in customers from Europe and US to Malaysia will be as ease and in shortest time. Technical support personnel can be easy send to Texas factory to resolve any startup machinery problem. Have an advance aircraft for the purpose to bring in more value to company is good investment. Note that Supermx products are 100% exported. The top exd are constantly needed to built good relationship with customers from Eu and US by visiting each other country and thus bring in more sales.

20 hours ago

Father old school type, run a publicly listed company like a sole proprietor. But the daughter wants accountability and she got transparency. Shareholders should propose a resolution to sack the father in the company's best interest. Off course this will be defeated but no harm done. Just to prove a point.

Wow underworld & MACC mafias are involved, Revenue will be a 1 sen stock soon, once these gangsters completely milk the company. Always thought it was an IT company. Getting involved in the black underworld dealings will tarnish Revenue for a long time.

Whatever it is, the rights issue will happen as the company lacks working capital. Shareholders' funds are negative.
Any more stocks of vaccines to write off going forward?
0 seconds ago

Any ideas left besides all women BOD.

MBSB now offered all types of services once merged with MIDF. Only lacking good & experienced senior management. Hope EPF takes note that they need to add value to the merged entity operations. Social services for the last 3 years of covid have certainly weakened its financials, now is the time to buck up. What is certainly needed is to double or tripe the share price of the enlarged MBSB.

Good morning, jitters on banking failure in the States, dampen the sentiment of all banks the world over, a great opportunity to slowly collect grandpa counter. fear not.