AEC coming into force next year. Things does not look too good going forward. Margins will be squeezed for automotive.

Looking at proton sales and promotions, I am sure proton running at a mega loss.

Good news is Honda sales is very strong.

EPF selling, EPF part of valuecap, if selling, I don't believe valuecap will support this share (looking at it from another point, ah jib won't support dr m).

Proton re-entering Chile....near term, nothing great, maybe sell additional 50 cars a month. Wonder what kind of margins for the near term. Once (I repeat once) brand get established, which will take a few years, than maybe margin will improve. Consumer in Chile will be worried if they decide to leave the market again.

Defence contract, very lucrative.

Bank Muamalat, should be reducing stake to meet BNM guideline. Banking sector not looking very good due to economic slow down and increase in NPL. Won't get a good price.

Property, Batu 3 proton factory land very valuable, but property sector is down right now.

DRB is in my watch list, I don't think this is the time to enter yet.

Being taken private at RM4.10, based on reports/analysis, expected to go thru. Why isn't this stock trading near RM4.10? Normally after announcement stock would be trading near the privatization price. My only guess is the owners want it to trade below this price so the offer 'looks' attractive and will be accepted. Any other thoughts?

zack_liza.....Wow!! Your timing & info is perfect!!

Looks like wasn't an error, buyer is back again today. I will try to pick up some more soon. Hope it will set new 52 week high soon.

Hahaha.....if true, would have been a very costly lesson to triple check before hitting enter!!!

Where did all the buyers at RM0.76 come from? Have not seen such a demand/support!

Jamesooi. Fantastic analysis. Thank you.

Yesterday MAA started buy back at 0.745/0.75. Going forward, this could be the new support level.

Jamesooi, I also am waiting for the stock to go up to NTA or a minimum cash/cash equivalent per share. It is like buying 1 share for 0.75 and get cash & cash equivalent of about RM1.00.

Automotive sector in Malaysia is not expected to do well in the near to medium term for the following reasons:

1) Banks are being more stringent in lending.
2) Interest rates expected to go up.
3) Economy shaky causing many people to delay their buying decision.
4) Political uncertainties.
5) Fierce competition for market share.
6) Devaluation of currency causing rise in cost of sales.

Mazda will have to start offering higher rebates to entice customers to make their buying decision. This will reduce profitability going forward.

For example, Proton is offering almost 15% rebates of up to RM9,268.00 on their Iriz 1.6:

http://protonsetapak.blogspot.my/2015/09/proton-september-2015-promotion.html

And even Toyota has promotions of over 10% of the selling price for their Vios.

Imagine if BJAUTO has to do the same for Mazda in Malaysia, how will this effect the bottom line over the next several quarters?

Automotive segment generates the highest % of sales and profit for UMW. Going forward, margins expected to be squeezed further. Industry car sales volume has been slowing down or even declining. Competitors are being very aggressive in offering rebates/promotions. For instance, DRB subsidiary, Proton is offering high rebates which could effect the sales of MyVii, Alza, Vios and Avanza.

For instance, Proton Iriz offering rebates of over RM9,000.00; details as follows:

http://protonsetapak.blogspot.my/2015/09/proton-september-2015-promotion.html

Not to mention the depreciation of the RM which will result in higher cost of sales going forward.

For O&G, it is on a down trend right now. With the slowing economy, equipment sales will be slowing down.

All in all, time to stay on the side lines till things improve.

Margins expected to be squeezed further. Car sales volume has been slowing down or even declining. Competitors are being very aggressive in offering rebates/promotions. For instance, DRB subsidiary, Proton is offering high rebates which could effect the sales of Almera and Grand Livina.

Details of Proton promotion:

http://protonsetapak.blogspot.my/2015/09/proton-september-2015-promotion.html

Not to mention the depreciation of the RM which will result in higher cost of sales going forward. All in all, time to stay away from automotive stocks.

Proton offering high rebates/promotion to regain market share:

http://protonsetapak.blogspot.my/2015/09/proton-september-2015-promotion.html

Wonder is the strategy is to achieve economies of scale and gain market share from it's competitor and wonder if they will be running at a loss 'to buy' the market share market share.

My concerns right now is as follows:
1) The falling ringgit might make cost of sales higher, thus reducing profit.
2) With the slowdown, banks will delay in replacing ATM/CDM to CRM.

Any thoughts?

This forum is for people to share thoughts, everybody is entitled to their views. No need to call people names. Do people who promote the counter trying to con people so they can sell at higher price?

Disappointing results, below my expectation. Even with devaluation of the ringgit, devalued more than Euro, still lost market share, drop in sales and profit. Other companies that have local manufacturing and are export based, sales in USD, are reporting better results. Dividend Yield still good, but if continue like this, yields might drop. I do not own this stock, on my watch list, will stay on the side lines for a while longer.

Market as a whole is on a down trend. I am glad MAAG is supporting the price with share buy backs. Wonder should realize my profits here, wait and see, than go back in again or keep the funds for other opportunity that may arise. Than I keep telling myself, with MAAG support, very little downside.....what should I do???

Entire Board of Directors should be sacked. In a slowing economy, they paid out record price when they should be getting a great deal on the land. Not their money, they don't care. Fortunately, I don't own any of their share.

Beginning of the year, buy back was being done at 0.655~0.68. Can safely say we now have a strong support level at 0.73~0.735. In the short term, after those who want to sell at these levels, stock will be trading at the next support of 0.79~0.82 after breaking the resistance of 0.77.

Soon many will start converting. Dividend of 0.02 per share will be proposed at the AGM.

I went to Astoria sales office. Not yet launch as they are still waiting for approval. Approval is expected to be in a couple of weeks. Overall, great concept and good location. I believe will sell. Phase 3 MRT expected to be near Ampang Point (exact location has not been finalized) and new access to AKLEH being built.

On the launch date, would be good to see the actual number of units booked/sold.

Had a good run. Thank you very much everyone.

It is not Mr. Tune selling. It is his wife, Liew Swee Lian. She has been doing this for some time, buying a few times below RM0.36 and selling once goes above RM0.40.

Consolidating between RM0.72 to RM0.74 now. There is value in their Takaful licence as Bank Negara is not giving out any new licences. If Zurich does not agree with the selling price, I am sure other insurance will be willing to buy.

I am still holding MAA and am accumulating some more. Hope my analysis is right.

e1shi: Final dividend will normally be announced at the end August or early September with Payment being around the end of Oct.

cn21: Yes, agreed, things will get worst for the automotive industry before it gets better. With GST, cost of living has gone up and economy is slowing down, many people are delaying their buying decision for a new car. Normally, in an economic slow down, the auto industry will be hit first and the last to recover.

Average down at 0.40

Why down so much today? Is this a good time to go in?

I believe it will easily go below 1.60.....Please be careful. Good luck.

Agreed. What would the price to go in? RM1.30, RM1.50 or something else?

I am guessing P2 sales was down about 18% compared to March.

We should see sales increase in June and July being peak selling months for cars before Hari Raya. After that, it is expected to be slow again.

Like I said earlier, please be careful.

http://www.motortrader.com.my/news/32-9-decline-in-new-vehicle-sales-in-april/

Be careful guys. Auto car sales drop by about 33% in April; mainly due to increase in cost of living. This auto sales expected to be slow in the next few months.

Proton sales down by about 50% and Honda saw sales drop about 30% compared to March. Could not get Perodua sales volume figure.

http://www.motortrader.com.my/news/32-9-decline-in-new-vehicle-sales-in-april/

Price going down as auto car sales drop by about 33% in April; mainly due to increase in cost of living. This auto sales expected to be slow in the next few months.

Proton sales down by about 50% and Honda also saw sales drop about 30% compared to March. Not to mention the other brands that DRB represents.

Yes, good performance this year.....hoping for a minimum 10% dividend announcement in Oct.

I have cut my losses yesterday. Too much uncertainty. Will wait and see before deciding weather to go back in. First time loss so much in a stock. Like many others, feel cheated and wonder why only at the last minute the auditor cannot qualify the audited statement. Shouldn't they have indicated something earlier? Additionally, based on quarterly financial report thing look good but financials could be manipulated.

Hope goes all the way to RM0.67 soon

Been a good few days. Hoping to see at RM1.13 soon. Good luck to all.

Wow!!! I picked up some more this morning @ 0.85. If can double up, I would be very happy. :-))

Mr x, you had called this in February. Your information is very good. Any indication of target price?

I believe the 'Derivative Financial Instruments' is the hedging of the RM against the USD. FLBHD would have sold USD in advance. With the current rise of the USD, FLBHD will not benefit as already sold at previous lower rates. Any Forex Gain will be offset by a loss in the Derivative Financial Instruments.

Can someone explain something to me, private placement and employee share option at RM1.00. Share price is currently around RM0.53. Why buy at RM1.00, if can get at open market at lower price???

Yes, good financial results. Since I came out on 20th November, price has dropped by almost 19%. I will still wait before going in again. I will wait for next quarter results. Auto sales, especially for National car (P1 & P2) has been falling. Honda sales increase not enough to compensate for the drop in national car sales.

Company has been selling it's treasury shares at 0.97. Will be hard to go beyond this point for now. Indicates that the company, people with inside information, think 0.97 is a fair value currently. Wait, can add shares for slightly lower prices.

Deposit, cash & bank balances = RM444 million or about RM0.41 per share. Can expect good dividend or have war chest to get some good property for future development.

Yep, agreed, something is brewing....no announcement of company buying back stocks....means somebody must know something, given the volume yesterday and the support today....even with the long holidays. Last year made good returns on another stock, hopefully this year MAA will do the same.

All the Best, Happy New Year & Happy Holidays.

Hope this continues

Theong, you are right, I have been waiting to pick up some more at 0.68 but cannot get.

Starting to move.....hope continues all the way to RM1.20.....Good Luck everyone!

Bila mau kasi itu bonus issue?