This is a long term counter. As there is such a huge safety margin, it is still safe to purchase at the current price. Just look at the response of IJM Rimbayu projects and the selling price, you should have a good idea on how much is the land owned by SAB. One needs to watch out for is the latest response to Rimbayu Periwinkle project.

Dutaland: 70+ acre of land next to Istana in Jalan Duta.
MuiProp: >1000 acre of land along the highway connecting Port Dikson and Seremban city.
Kseng: A lot of land (>2000 acre) in JB which has not been re-valued since 1980.

Amazing

I found this counter way before Public Bank initiated the coverage. My target price is not less than RM10/=.

IJM Rimbayu is selling like a piece of hot cake right now. A semi-D (land area 32 x 70) is selling at RM875k. Previously I heard the profit margin for the developer is about 30%. Imagine how much can SAB make if it decides to develop the land by itself? Assume 1 acre of land is able to build 12 Semi-D (you need to allow extra % of land for road, etc). 644 acre can build 7728 semi-D, which is 6.5B. If we assume 30% profit margin, that will work out to be 1.97B, or RM14/= per share. The target price should be higher than RM14/= considering it has over 10,000 acre of palm oil plantation in Indonesia, a hospital in Klang, a lot of cash with zero debt, etc.

SAB is flying high

Its land in Penang Island (Teluk Tempoyak, 83 acres) should not be overlooked as it is just next to the highly successful SouthBay City by Mah Sing group. Penang people should know by heart what kind of price they need to fork out to buy a landed property in that area.

Need to watch out for related party transaction in Lion group of companies especially right now LionCor is in deep trouble because of heavy loss in MegaSteel. Overall, Lion group is diversified, but good at nothing.

M'sian billionaire Quek firms to buy Ezion shares worth RM508mil
SINGAPORE: Singapore-listed Ezion Holdings Ltd, which supplies support vessels for offshore oil fields, said it planned to sell shares to two firms in Malaysia’s Hong Leong Group, raising US$155mil (RM508.4mil) to help expand its fleet.

O&G should be good judging from the amount Hong Leong group invests in Ezion.

RIP

MPHBCap has the following catalysts for the land in Pengerang.
a. Rapid project.
b. Third link proposed by Najib, most likely landed in Pengerang.

Congratulate to those managed to sell this morning

http://www.bursamalaysia.com/market/listed-companies/company-announcements/1589629

Balik Pulau land sold.

Wou! I am going to buy more SAB tomorrow.

From ipo till now, the market value has gone up by 20 times in less than 2 years. Has the business gone up by the same amount?

Game over!

There is an interesting transaction completed just recently. See below.

http://www.bursamalaysia.com/market/listed-companies/company-announcements/1570849

Ecoworld is paying RM35/= per ft^2 for a piece of leasehold land measuring ~300 acre next to Kota Kemuning.

Based on the transaction price, SAB land (free hold) alone in Kota Kemuning is RM7/= per share.

POSH valuation can be calculated as follows.
Maybulk interest in POSH after IPO (before subscription) is 21.23/119 = 17.84%
Maybulk will subscribe an additional 2.2% (to make up a total of 20%) for USD 70M.
POSH is ~ 70M/.022 = 3.1 B

80+ acre of land in Penang island (Teluk Tempoyak) is a hidden gem in MPHBCap, overlooked by most people. It is next to the Penang second link. Currently at that location, residential land is estimated to be 250~300 per ft^2. See link below

http://www.penangpropertytalk.com/2014/01/penangs-second-bridge-boosts-land-prices/

80 acre worth 870M, which is more than RM 1.00/= per share.

the biggest risk in this counter is: the management might not do anything to the land for the next 10 years, just like Kseng case. there is absolute nothing we, as small shareholders, can do.

Posh Semco listing is at any moment now. Maybulk will become an O&G counter post listing. Posh Semco has more than 120 large size OSV, whereas Perdana Petroleum has less than 20.

8 cent dividend, yield is lower than fix deposit. 10 cent earning per year, 30 years to get back your investment. what a good investment!

With the price surge observed on SAB in last few days, many would wonder if it is getting too expensive now?

Let me do a rough breakdown of the company and see how much does it really worth.

(1) The company has net cash of 89 M (cash of 155M - total liability of 66 M). It is RM 0.65/= per share.
(2) 10800 acre of palm oil plantation in Indonesia. Let us conservatively assume RM10k per acre. It is worth 108 M, or RM0.78/= per share.
(3) Olechemical industry: It is making 23M PBT in 2013. Assume Tax of 25%, PE = 5.0. It is worth 23 x 0.75 x 5 = 86 M, or RM 0.63/= per share.
(4) Health Care, 3.8M PBT in 2013. Again, Tax of 25%, but PE should be higher at 10. It is worth 3.8 x 0.75 x 10 = 28.5M, or RM 0.20/= per share.

If we sum up item 1 to 4, it works out to be ~RM2.2

With the share price at RM4/=, one is actually paying RM1.8/= for the land in Kota Kemuning. One lot of SAB has ~200 ft^2, which works out to be RM 9/= per ft^2.

If I remember correctly, land cost is normally about 20% of a house's selling price. I am living in Penang, might not familiar with the real estate in Kota Kemuning. From my limited network, I know that currently in that area, a double story link house worth not less than RM500k (project by paramount, a company linked to SAB). The land cost for a landed property (about 2000 ft^2) is 20% of 500k, which is about 100k, or about RM50/= per ft^2.

Another reference comes from the transaction by Dijaya Corporation. The company acquired 1172 acres of land next to Rimbayu at 1.3B, which works out to be RM25/= per foot.
See link below.

http://www.bursamalaysia.com/market/listed-companies/company-announcements/1257257

If we assume RM25/= per foot for the land, together with its net cash, palm oil plantation, etc. The target price should be ~RM7/= per share, which is not far from public bank target price.

Land is the most conservative, safest asset to invest if the entry price is reasonable.

A recommendation I made to my brothers months ago when SAB was RM2.7/=

(1) SAB:

Rimbayu project, by IJM land, which is just next to 644 acre of SAB land, received overwhelming response. See link below.

http://www.starproperty.my/index.php/articles/property-news/update-all-non-bumi-units-of-bandar-rimbayus-phase-2-sold-out/

You can also check on the IJM Land Rimbayu website.

SAB currently has 156M cash, total liability of 62M, market value of 377M (RM2.75/= per share x 137M share capital). The enterprise value of SAB is 283M. If we ignore all its other properties like (1) 10,000 acre of palm oil plantation in Indonesia, (2) a specialist hospital in Klang (3) receivable/inventory and calculate how much is the land in Kota Kemuning, the calculation follows.

Area = 644 acre x 43600 ft^2/acre = 28M ft^2

Price per ft^2 = Enterprise value/ area = 283M/28M = RM 10/ft^2.

To build one house with an area of 1760 (22 ft x 80 ft), the land costs only RM 17k. Compare this with the current selling price of Rimbayu project, which could easily be 400k if not less.

A sleeping counter suddenly wakes up

There is no good news on BDI, which has fallen to ~1700. Why it is moving up with relatively heavy volume?

IJM Rimbayu is selling like a piece of hot cake right now. 644 acre of freehold land (Thugamalay Estate) can easily fetch up to 1.0 Billion (assuming Rm40/ft^2), that works out to be ~RM8/= per share.

We don't rely on the red Indian for weather forecast :)

Chocolate is good for heart. I use chocolate to control my irregular heart beat problem.

Calvin: Just want to let you know that I tried out both Tango and Tudor gold, they are very good indeed. I like your down-to-earth type of investment approach on PMCorp.

The unheard story of David and Goliath:

http://www.youtube.com/watch?v=ziGD7vQOwl8

I tried Tudor gold, it is very good, but Tango series is a little bit too sweet, however, Tango is very cheap compared to other brands.

They are not able to get the quantity they want from the market without pushing up the price too much.

The Board of PPB is pleased to announce that Perdana Nautika Sdn Bhd (“PNSB”), a subsidiary company of PPB, has secured from PETRONAS Carigali Sdn Bhd (“PCSB”) a letter of award (the “LOA”) for the supply of four (4) units of Anchor Handling Tug Supply (AHTS) vessels (the “Contract”).

DURATION OF CONTRACT
The charters will run effective from 1st January 2013 for a period of five (5) years each with extension options of an additional year.

RISK FACTORS
The risks associated with the Contract are normal operational risks which can be mitigated through PPB’s system of project management and internal business controls.

FINANCIAL EFFECTS
The LOA is valued at approximately RM430 million and is expected to contribute positively to the revenue and earnings of PPB Group for the financial year ending 31 December 2013 and the financial periods thereafter for the duration of the Contract. There will be no effect on the gearing of the PPB Group and the Contract will not have material effect on the net asset per share for the financial year ending 31 December 2013

It is going to fly this afternoon. cheer!

what is a break out?

Solid state drive is taking away the market share from hard disk. What is the future of a company solely relying on supporting hard disk drive industry?

Hopeless counter.

Malaysia version of Facebook IPO

Astro: good company but too high PE.
Time to sell plantation stock.
Prefer Maybulk to MISC (No explanation was given as to why Maybulk is a better choice)
Coastal: good counter with low PE
Good time to buy steel counter.
Prefer Genting Singapore to Genting.

冷眼： 高股息 抗跌 前景佳 3要素选优质产业股
全国 2012-10-29 08:29

纵然下起倾盆大雨， 但因冷眼久未举办讲座， 其拥趸如“久旱逢甘露” 热烈捧场， 现场座无虚席， 不少人甚至不惜站着“受教” 。
（梳邦再也28日讯）高股息、抗跌和具有增长前景，是选择优质产业股的三大要素。

冷眼在“优质产业股怎样选？”讲座会上说，在选择产业股时，投资者应选择股息率高的股项。

他说：“很多投资者都会忽略股息，只专注在股价，但股息对投资者而言是一项稳定收入。”

他比喻，获取股息就像投资产业获得租金一样。

至于抗跌性，他说，这类股项较为安全，在股市大跌时，仍能保住价值。

他说：“具抗跌性的股项，除了生意稳定外，债务也低，并拥有良好的管理层。”

优质股非蓝筹股

此外，投资者也应选择增长前景佳的股。他认为，符合以上三个要素，或至少两个要素，即可列为“优质产业股”。

冷眼也提醒股民，优质的产业股并不等于蓝筹股。

他指出，大部分蓝筹股价值已反映在股价，投资者获利空间不大。

产业仍是最佳投资

产业，抑或产业股，哪一项才是最好的投资？冷眼认为，两种投资都各有千秋。

话虽如此，他还是认为产业是最好的投资，而民众则可透过购买实质的房产，或购买产业股参与其中。

他指出，投资产业股的优点是，投资者比较自由，可免除招租、收取租金等琐碎事务，获取的回酬也未必低于投资在实质的产业。而且，脱售产业股远的程序较简单，投资者可随时离场，进场所需的资金也较少。

投资股票前应先置业

冷眼认为，当前一些产业已放缓，如果是购买房屋自己住的话，就无需再等。

他忠告年轻一代，在投资股票前，应先置业。他看好本地产业市场，并认为产业市场不会崩溃。

但他认为产业市场仍需另一轮的整合，产业价格才会有上涨空间。

冷眼推荐８大产业好股

配合“优质房地产及家居展”，冷眼“入乡随俗”，特地向现场公众推荐一些他心目中的8个产业好股。

他在讲座上，以入账销售、盈利预估、现金流和增长前景，分析有关产业股，资讯丰富，即使公众不买进，也受用无穷。

此外，他也不吝分享一些非产业的好股。

产业好股
恒大置地（Tambun，5191，主板产业股）
UOA发展（UOADev，5200，主板产业股）
华阳（HuaYang，5062，主板产业股）
鹏尼迪（Plenitude，产业股）
置地通用（L&G，3174，主板产业股）
美景控股（MKH，6114，主板产业股）
高胜控股（KEN，7323，主板产业股）
雪兰莪实业（SPB，1783，主板产业股）

非产业好股
沙布拉工业（SapInd，7811，主板工业产品股）
多元电子（Multico，7004，主板工业产品股）

快问快答

问：怎么看待产业信托（REITS）？

答：市面上大部分产托都不错，提供产业股以外的另一项选择。产托是很好的投资，回筹率约6至7%，不错。

问：UEM置地控股（UEMLand，5148，主板产业股）如何？

答：我不会买，因为它是“不生蛋的母鸡”。

问：威达（Weida，7111，主板工业产品股）怎样？

答：好公司，但要看价钱，谨记本益比太高的不买。

问：请问马建屋（MBSB，1171，主板金融股）会发展为银行吗？

答：不大可能会。虽然有资格，但发展成为银行对它无利。它目前享有非银行体系金融公司的好处，可把所有资本借出。如果变成银行将受国行监管，需遵守国行为银行定下的资本充足率。

问：如何看待Astro（Astro，6399，主板贸服股）？

答：Astro是好公司，但我不买。本益比约30倍，太高。

问：云顶（Genting，3182，主板贸服股）是否值得投资？

答：我比较喜欢云顶新加坡（Genting Singapore），因为它不只是在新加坡发展，也积极向外发展。

问：原棕油一直下跌，现在是否买入油棕种植股的好时机？

答：不是，棕油股现处顶峰，我正逐步脱售。

问：怎么看马国际船务（MISC，3816，主板贸服股）？

答：现在买入还是早了一点。船费刚起，船务行业预计会在2014年才会复苏。我比较喜欢大马散装货运（Maybulk，5077，主板贸服股）。

问：如何看待沿海工程（Coastal，5071，主板工业产品股）？

答：好，现在便宜。本益比低。

问：怎么看待钢铁行业？大马钢厂（MaSteel，5098，主板工业产品股）值得投资？

答：现在是钢铁股的低潮，是买入的时机，应该有比大马钢厂更好选择。

问：怎么看马国际船务（MISC，3816，主板贸服股）？
冷眼 答：现在买入还是早了一点。船费刚起，船务行业预计会在2014年才会复苏。我比较喜欢大马散装货运（Maybulk，5077，主板贸服股）。
This could be the reason why Maybulk is moving up this morning.

Someone has been accumulating. Is there any good news on this counter?