Airasia: Buy, Sell or Hold?

Remember folks, shares of stock lose value when company profits drop or investors believe that company future profits will drop!

So how now, folks? Hahahahahahahahahah!!

Will the rally continue? Careful now, just a bull trap, folks! Wakakakakakakak!!

Careful now, a Bull Trap in the making! Risk comes from not knowing what you're doing! how now, folks? Hahahahahhahahahah!!

A Bull Trap!

Remember folks, a Bull Trap is a false signal indicating that a declining trend in a stock or index has reversed and is heading upwards when, in fact, the security will continue to decline.

Investors have short memories!! Careful now! Hahahahahahahahhaah!!

Folks, the big question: how high can the share price go? Only when the tide goes out do you discover who's been swimming naked!

Hahahahahahahahahaha!!

Are you buying a disaster on its way down thinking you are averaging your costs? Investors have short memories!! Hahahahahahahahah!!

Beside facing the weakening ringgit & high fuel price, Airasia also has to contain with 9% rise in landing charges from January 2014, 9%-11% rise in airport passenger service charges in February 2014 & 6% GST in Malaysia from April 2015

So folks, will weak Q4 results carry over or be worse into Q1FY14? The truth hurts, folks! Heheheheheheheheh!!

Remember folks, analysts will again cut their target price for Airasia in response to probably another weaker than expected 1Q 2014 earnings.

Are you ready for that news, folks? Will AA be above 2.00 by then? Hmmmmmmm.. Time will tell! Heheheheheheh!!

Analysts had cut their target prices for AirAsia in response to the weaker-than-expected fourth quarter results.

CIMB Investment Bank Bhd, which has maintained “hold” on the stock at RM2.38 while HwangDBS Vickers Research, which has also maintained a “hold” on AirAsia, today cut its TP for the stock to RM2.20 from RM2.90.

The big question now, folks: could the weak Q4 results carry over into Q1FY14? The truth hurts! Hahahahahhahahahahah!!

Folks, AirAsia India gets its first aircraft but when will it take off? Remember folks, India’s entire aviation industry tried to block it!

The truth hurts, folks! Investors have short memories!! Hahahahahahah!!

Folks, you want the truth, the truth hurts! If a business does well, the stock eventually follows!

Below 2.00 in the making? Only time will tell! Careful now, folks!! Hahahahahahah!!

Price Performamce:

01 month
High: 2.57 (28/02/14)
Low : 2.32 (25/02/14)

03 months
High: 2.57 (28/02/13)
Low : 2.18 (27/12/13)

12 months
High: 3.54 (05/06/13)
Low : 2.18 (27/12/13)

Historical High: Rm4.00

Folks, shares of stock lose value when company profits drop or investors believe that company future profits will drop. Below rm2.00 in the making?

Careful now!! Hahahahahahahahah!!

Will the support level at 2.40 hold? Careful now, folks! Hahahahahahah!!

Airasia to take off soon? How now? Hahahahahahah!!

View here: http://in.finance.yahoo.com/video/airasia-off-soon-092002691.html

1. 9% rise in landing charges from January 2014.

2. 9%-11% rise in airport passenger service charges in February 2014.

3. 6% GST in Malaysia from April 2015.

So folks, are you ready as this stock relentless tendency to regress towards its long-term mean?

Remember folks, the weak Q4FY13 results will carry over into Q1FY14! Investors have short memories!!

Folks, should the price of your stock turn down, wouldn't it be nice if you could exit your position before the price fell further.

As a loose rule of thumb, you can say that historically most stocks lose half their value in the average bear market.

So the big question: Are you ready for the prefect storm? Hahahahahahah!!

Folks, AirAsia is facing heavy competition, and it might not be able to pass on to passengers the 9% rise in landing charges from January.

What’s more, there is an upcoming 9%-11% rise in airport passenger service charges in February and the 6% GST in Malaysia from April 2015.

So the big questions: Which charges is it thinking of passing on to its passengers? Or is it going to absorb all the charges? Hmmmmmmmmmm..??

Will the critical support level at 2.40 hold?

Remember folks, AirAsia’s weak results followed poor results by AirAsia X and Malaysia Airlines will cary on for FY2014!

How now? Hahahahahahahahahah!!

Folks, why hang on to shares that are depreciating? Hoping the shares would pick up again? But this is a very practical way to see your money melt down like a burning candle.

Remember folks, risk comes from not knowing what you're doing! Hahahahahahahah!!

The wise things to do when investing is to use your head & not to follow your emotions! Shares of stock lose value when company profits drop or investors believe that company future profits will drop!

So what to do then...Buy more? Hehehehehehheehheheh!!

Investors become emotionally attached to a stock and overlook the company's shortcomings. Whatever the reason loving a stock, separate your emotions from the hard reality that it may be time to sell.

How? Wakakakakakakakakakakak!!

latest news: China manufacturing gauge drops to eight-month low of 48.1, HSBC says.

So folks, will the rally continue? Do take profit while you still can! Hahahahahahahah!!

USD/MYR 3.3068

Folks, the cost environment remained hostile throughout the year with the weakness of the Malaysia ringgit and continued high oil prices being the key challenges.

Below rm2.00 in the making? Remember folks, if a business does well, the stock eventually follows!! How? Hahahahahah!!

AirAsia India gets its first aircraft but when will it take off?? Hmmmmmmm......careful now, folks!!

Folks, AA Q4 revenue growth was supported by a 14% growth in passenger volume. But the average fare was down 18% at RM 158 compared to RM 192 last year.

So the big question: Will weak Q4 results carry over into Q1FY14? Careful now! Hahahahahahahahah!!

Fernandes explained AirAsia has deferred seven aircraft in 2014 and 12 in 2015. But why?

Knowing 2014 & 2015 going to be a tough year? Hmmmmmmmmmmm!!

Fernandes says the carrier would continue to focus on cutting costs by selling older aircraft and reducing staff, among other measures.

But folks, some analysts were quick to highlight the potential residual value risk as demand for second-hand aircrafts may be lacklustre given airlines’ preference for newer generation aircrafts and the more favourable financing terms for new aircrafts.

Investors have short memories!!

AA management concedes that it would likely not undertake any share buy-back this year, given its preference to conserve cash.

How? Will the rally stop? Hahahahahahahahhah!!

Folks, latest on changes in Director's Interest:

1. Dato' Kamarudin Bin Meranun
Acquired 14/11/2013 1,000,000 2.545
Acquired 29/08/2013 700,000 2.535
Acquired 02/09/2013 300,000 2.585
**Disposed 07/08/2013 2,292,900 3.180

2. Dato' Abdel Aziz @ Abdul Aziz Bin Abu Bakar
**Disposed 17/10/2013 50,000 2.810
Acquired 23/08/2013 50,000 2.660
**Disposed 05/06/2013 50,000 3.500

3. Robert Aaron Milton
Acquired 18/09/2013 100,000 2.500

4. Tan Sri Dr. Anthony Francis Fernandes
**Disposed 21/08/2013 10 3.180
Acquired 22/08/2013 500,000 2.810
Acquired 22/08/2013 200,000 2.790
Acquired 22/08/2013 200,000 2.780
Acquired 22/08/2013 100,000 2.770
**Disposed 07/08/2013 2,627,000 3.180

Now folks, who are having the last laugh! Directors selling high & buying low! How about you, folks.......buying high & forced to be a long term investors? Hahahahahahahahah!!

Listing plans for Indonesia AirAsia will likely be shelved? Really!! Hahahahahahahahah!!

Folks, the weak ringgit will still dent AirAsia’s earnings, as most of their costs are borne in US dollars, specifically for fuel & borrowings.

Prev Close: 3.2965
Open: 3.3147
Bid : 3.3095
Ask : 3.3110

Dare to buy? Remember folks, if a business does well, the stock eventually follows! How? Hahahahahahahah!!

Is AA uptrend recently a false signal indicating that a declining trend in a stock has reversed and is heading upwards when, in fact, the security will continue to decline?

Investors have short memories!! Heheheheheheheh!!

Will the rally continue to bring AA above Rm3.00 or just a "bull trap" to bring AA below Rm2.00 soon?

Only time will tell, folks! Hahahahahahahahaha!!

Profit before tax
FY13: 363.182m
FY12: 962.557m

Folks, will weak FY13 results carry over into FY14? Investors have short memories!! Hahahahhahahahahah!!

To add to the uncertainty, the technicals have worsened. After holding up at the 50-day moving average (50DMA), the KLCI lost that support level last week and appears to be racing towards the 200DMA, which is at 1793 points.

Expect the 1,800 support level to be surrendered this week as
we doubt that the “invisible hands” would want to interfere when sentiment is rather fragile - MIDF.

Will local & foreign funds dump more shares today & tomorrow? If a business does well, the stock eventually follows. Will AA weak Q4 results carry over into Q1FY14? Hmmmmmmmmmm..!!

USD/MYR
Prev Close: 3.2775
Open: 3.2950
Bid : 3.2955
Ask : 3.2970

The weak ringgit will still dent AirAsia’s earnings, fokks as most of their costs are borne in US dollars, specifically for fuel & borrowings!

How now? Are you buying a disaster on its way down thinking you are averaging your costs? Hahahahahahaha!!

Folks, China's debt problems have been a major concern for investors in recent years. The country's corporate debt hit a record $12 trillion at the end of last year, Standard & Poor's estimated, equivalent to 120% of gross domestic product.

China saw its first bond default this month when Shanghai Chaori Solar Energy Science & Technology failed to make an 89 million yuan ($14.5 million) interest payment.

The drumbeat of bad news about debt defaults in China is likely to continue as the government appears unlikely to step in. This will cause a lot of volatility in credit markets and the equities market & people will lose money.

So folks, are you ready for the perfect storm coming? I'm! Hahahahahahahahahah!!

Emerging markets in Asia will be closely watched for reaction to Federal Reserve Chair Janet Yellen's comments given their high volatility levels in recent months and vulnerability to interest rate shocks!

Will the rally in the EMs continue? Will foreign funds dump more of AA shares? Remember folks, 49.30 % of AirAsia 2,781,034,580 ordinary shares were held by foreigners.

Investors have short memories!! Careful now! Hahahahahahahaha!!

Asian stock markets fell on Thursday, following losses on Wall Street, after Federal Reserve Chair Janet Yellen suggested interest rate hikes could happen sooner than expected.

Total Debt (Current & Non Current Liabilities/Borrowings)
4Q13: Rm10.171b
3Q13: Rm9.202b
2Q13: Rm8.813b
1Q13: Rm8.464b

Remember folks, AA borrowings are mostly dominated in USD! Interest rate hike good for AA? Risk comes from not knowing what you're doing! Hahahahahahahah~!!

This stock relentless tendency to regress towards its long-term mean below rm2?

Hmmmmmmmmm...time will tell!

Folks, 6 economic consequences of a new Cold War!

1. The European economy gets even worse.
EU-Russia trade had grown from $90 billion 10 years ago to $335 billion now. That has helped European companies at a time when their domestic market has been struggling.

2. Energy prices will rise.
Europe is heavily reliant on Russian oil and gas. If supply goes down, the price will go up that is one of the most solid laws of economics.

3. The Russian economy declines.
With sanctions and visa bans how many foreign firms are going to want to invest in Russia in the next few years? Not only is that bad for the global economy in itself — emerging markets such as Russia that are meant to be leading global growth — but it will create yet more turmoil. Poor countries are unstable, and that means more trouble ahead.

4. Defense spending will rise.
Take the U.K., for example. When the Berlin Wall came down, Britain was spending 4% of GDP on defense. Now it is less than 3%. That may sound a modest shift, but 1% point of GDP represents a lot of money. If Russian territorial aggression has to be contained, then that is inevitably going to have rise.

5. More Quantitative Easing.
We have already seen a big drop in global holdings of U.S. Treasuries since the Crimea crisis started — no one knows why, but the speculation is that Russian money has headed somewhere it can’t be frozen. In a tense, divided world, money doesn’t flow as easily as it does in a peaceful one. But without foreign inflows, governments in nations such as the U.S., the U.K. and now Japan can’t finance themselves. The fix? Get the central bank to print money, and buy the bonds instead. It is the only way to stay afloat.

6. Strategic Economies Get Support
Russia has always eyed Greece as a close ally, mainly for its ports on the Mediterranean. If geopolitical rivalries are back, no one is going to let Greece go bust — it is too important. The same is true of Turkey, which controls access to the Black Sea. And Egypt, with the Suez Canal. Any nation of geostrategic significance will get bailed out, just as they did in the 1960s and 1970s.

So will the rally continue? Are you ready for the prefect storm? Hahahahahaha!!


6.

When trouble hits your stock, don't ignore it. But don't panic-sell either. The best approach is to look closely at each situation individually, understanding the particular problems involved and realizing that the problem maybe the tip of a larger iceberg.

Sometimes, a problem is so obvious that you can't miss it. So folks, be smart!! Hahahahahahahahah!!

Folks, if your stock is doing well and there is a strong uptrend momentum, you may consider selling it. Do not attempt to sell all your shares at the top because you may never catch it.

Why do you do this? As stock price goes up, the probability of it declining also increases. You do not want to chase selling down your stocks when stock price is falling sharply.

By that time, you may already be in panic and selling on fear. Sell while it feels good. Maximize your selling price by getting the highest average instead of catching it at the top. Hahahahahahah!!

Folks, when research Houses do not want to say that a stock is a “buy” and, at the same time, hesitant to call it a “sell,” they usually recommend a “hold,” meaning do not take any action on the stock.

You should consider a “hold” a danger sign that something is wrong with the stock and, therefore, you should investigate further to validate your doubts.

You can read the explanation in the research report. If the tone of the report or the way they explain to you sound less exciting, then this is sign for you to cash out.

Remember folks, shares of stock lose value when company profits drop or investors believe that company profits will drop! How?

Hahahahahahahah!!

So folks, without financial and business training, how do most people make decisions on buying and selling stocks?

The answer is based on fear and greed. It is the combination of ignorance, fear and greed that motivate people to buying a stock when the price is too high and selling it when the price is too low, resulting in a loss.

There are stories of how people have had their life savings wiped out overnight. Or money they have borrowed to buy a 'sure, hot stock' was lost when the stock suddenly took a nose dive

Remember folks, stock prices go up and down randomly and erratically based on world events.

So now why hang on to shares that are depreciating? Hoping the shares would pick up again? But this is a very practical way to see your money melt down like a burning candle.

Careful now! Hahahahahahahahahahh!!

So folks, is it true that most people lose money buying stocks? The answer is Yes! But how can this possible?

Folks, we know that the stock market as a whole has been consistently increasing in value for the last 15 years! The main reason is that most people who purchase stocks are ignorant of the business behind the stock. It doesn't mean they are not intelligent people. It's just that they lack the 'financial intelligence' to understand, analyze and buy businesses.

Let me ask you this question, folks! If a whole bunch of people with no advanced driving skills were given the keys to drive a Formula One racecar at 230km per hour round a circuit, how many would crash after a few rounds?

Probably most of them! Well, this is exactly what is happening in the stock market today! The majority of investors are made up of the general public who enter the market looking for riches without any financial or business training and, as a result, crash and burn!

To these people, investing in stocks is indeed a high risk, sure-lose venture. They treat the stock exchange like it is a casino.

Risk comes from not knowing what you're doing! How? Hahahahahahah!!

Will the rally continue?

Recessions and depressions are the causes of these stock market conditions. Business and economic reality always somehow underlies market prices.

The underlying cause of any bear market is an overvaluation in stocks relative to their value. Companies by definition, their stock can be valued in a number of ways. These relate to earnings, cash flow, profitability and much more.

Should prices rise so far that they can no longer be justified by investors, less investors will be interested in purchasing. As the underlying value becomes harder to quantify, current stock holders will be ever more willing to sell and take their profits.

This combination of holders willing to sell and buyers unwilling to pay the high prices creates an inbalance in the overall supply and demand of company stock. When multiplied across an entire sector or market - the effects can be devastating.

As a loose rule of thumb, you can say that historically most stocks lose half their value in the average bear market, folks!

Investors have short memories!!

Investor attention now turns to the conclusion of the Federal Reserve's policy-setting meeting later on Wednesday, where Fed chair Janet Yellen is widely expected to continue the central bank's current path of tapering monthly bond purchases.

Fears over a crisis in China's real-estate market dominated trade for a second session after property developer Zhejiang Xingrun reportedly defaulted on its debt on Tuesday, less than two weeks after the mainland's first onshore corporate bond default.

So folks again take profits while you still can! Heheheheheheheheheh!!

Asian shares were mostly lower on Wednesday despite gains in global markets overnight due to caution over the Federal Reserve's policy meeting and the health of China's property market.

Take profits while you still can, folks!

Folks, 49.30 % of AirAsia 2,781,034,580 ordinary shares were held by foreigners. Careful now!

Wakakakakakakakakakak!!