Posted by soros228 > 2016-03-16 13:30 | Report Abuse

Good

Posted by moneySIFU > 2016-03-16 13:55 | Report Abuse

Wonder why so many people love to do great things in i3 without charging?

How wonderful & fantastic in life!

Posted by i4investor > 2016-03-16 13:57 | Report Abuse

HIL-strong cash but weak price, why?

Posted by PlsGiveBonus > 2016-03-16 14:11 | Report Abuse

Gold is king

Posted by Probability > 2016-03-16 15:06 | Report Abuse

KC..its been quite sometime since you made some stocks comparison like you did for furniture stocks earlier....it will be nice to have such comparison again for furniture / any other competitors of similar nature if possible.

Posted by kcchongnz > 2016-03-16 17:45 | Report Abuse

Posted by Probability > Mar 16, 2016 03:06 PM | Report Abuse
KC..its been quite sometime since you made some stocks comparison like you did for furniture stocks earlier....it will be nice to have such comparison again for furniture / any other competitors of similar nature if possible.

I have been doing this for a number of times in this forum, and I encourage you guys to do it now. It will definitely improve your thought process and analytical and report writing skills.

If you want to get investing ideas, there are some good ones here too. If you want more, you can go to our Facebook group. There are plenty of good ideas from many good analysts in our group now. They are even better than many professionals. No need to look too far.

Posted by Probability > 2016-03-16 18:27 | Report Abuse

Ok KC... yup...

hmm...really not that easy to come out with such write ups.
Sometimes even understanding other people's write up is quite difficult...(e.g Icon's Airasia, JT Yeo' OKA)...for my lazy brain...he he..

Posted by ag397 > 2016-03-16 19:18 | Report Abuse

what is the facebook gruop name kc? tq

Posted by PlsGiveBonus > 2016-03-17 00:38 | Report Abuse

Fed raise interest --> market crash --> many bankrupt
Fed pause interest hike --> market stagnant
Fed drop interest rate --> print more money --> market recovery --> bank suffer NIRP.

Tough decision neither way market is about to crash.
No wonder the rich move to more safer vehicle
Property hard metal gold, mineral oil etc.
Who care about market.

Posted by PlsGiveBonus > 2016-03-17 00:41 | Report Abuse

Yellen's last option, reproduce the 2008 money printing card, print more money let the market crash first before showing the card.

Posted by stockmanmy > 2016-03-17 01:34 | Report Abuse

who don't you say the most important thing is Monopoly?

cash flow is King....as if the world don't change one. The plant and machinery don't age one.

competitors all dead already one.

everybody wants to be King. A lot of them died trying.

and even Kings get disposed.

Posted by Frank Soweto > 2016-03-17 04:53 | Report Abuse

stockmanmy who don't you say the most important thing is Monopoly?

Halo khawan this article is about value investing in particularly about the importance of cash flow not play play monopoly n if u're looking for monopoly here is where u can get it :) got plenty of dif version too - maybe the King one as well :)

http://www.hasbro.com/en-us/brands/monopoly/toys-games?gclid=CLmbq6mKxssCFdJOgQodaRgNtg&gclsrc=ds

Posted by PlsGiveBonus > 2016-03-17 09:25 | Report Abuse

So the interest rate didn't changed, what now?
With low interest rate and bad market condition, better buy only necessity instead of throwing your money at risk.

Posted by stockmanmy > 2016-03-17 09:28 | Report Abuse

cash is king should apply to both investor and the investee.


in an low interest rate environment, capacity and ability to borrow is perhaps the new King.

Posted by stockmanmy > 2016-03-17 09:45 | Report Abuse

strong cash flows don't last unless it is a monopoly.

Posted by PlsGiveBonus > 2016-03-17 09:52 | Report Abuse

The problem with fed is they don't want to print more money to rescue bankruptcy energy company, this will spill over to banking sector soon and the rest of the plc

Posted by stockmanmy > 2016-03-17 10:11 | Report Abuse

I am not a critic of the FED.....

I am a critic of Ah Jib who wants to put his own man in BNM.

Posted by sostupid > 2016-03-17 10:58 | Report Abuse

We have depreciation of currency and high inflation, how come cash can be king. how? It is not that cash is King. You have to be able to do something that people will need in the future, be useful. Be useful and not be king. Even got money also can not do everything in life, got money no need to die is it? Be Productive: buy useful assets, the kind of assets that don't always ask for people for money but can give people money in the future. Cash is King. You think money can buy everything is it?

Posted by PlsGiveBonus > 2016-03-17 11:07 | Report Abuse

Ringgit is strengthening now
It is good to keep cash

Posted by 2centsense > 2016-03-17 11:58 | Report Abuse

While positive cash flow is indeed an important element in the health of a company, what's more important is the human assets and most importantly, a passionate and caring leader for the company. We have today a leader who says cash is king but leading us to an absymal pit. Warren Buffet selects leaders to drive his portfolios of profitable companies. The leaders know what is needed from them.

Posted by sostupid > 2016-03-17 13:42 | Report Abuse

Economy has not recover the ringgit will not strengthen that much. If you want to know when the ringgit is strengthening, wait until GDP is growing more. The Foreign guy, Mark Forbus is confusing you. The ringgit now is tied to GDP of Malaysia and the whole world. If you are not expecting GDP of Malaysia and the whole world growing very fast, don't expect the ringgit to appreicate very fast in teh future.

Posted by PlsGiveBonus > 2016-03-17 14:08 | Report Abuse

I know what is worrying the youngster today, they rush into the market to make some quick buck and hoping it will enough to curb the inflation, but they couldn't wait at all, that is why they are still doing it today. They never experience recession before and thought they can make money even if during recession.

Posted by PlsGiveBonus > 2016-03-17 16:55 | Report Abuse

They could be lucky and make some quick buck
Obviously it is not about investing by being luckiest among all.
Luckiest guy can make few round of quick buck and may end up loss everything in the end, I had seen countless example of this restless youngster think they are exceptional.

Posted by PlsGiveBonus > 2016-03-17 17:02 | Report Abuse

What make our ringgit strengthening well is the high tax amount to protect the market
In the U.S. they couldn't increase their tax or interest as agressively as they want. A 0.25% increased is too big for them to absorb it, but we have this gst of 6%, it is more than gdp amount, and even more than enough to make our ringgit stronger. Besides gst, there is still many tax subsidies cut which is very good move to save the currency from inflating, price of goods is high, it isn't matter as long as the ringgit is strong we can opt for imported cheap goods if local goods isn't price competitive. It should be short term issues.

Posted by kcchongnz > 2016-03-17 17:59 | Report Abuse

Posted by ag397 > Mar 16, 2016 07:18 PM | Report Abuse

what is the facebook gruop name kc? tq


This is a closed group for those attending my online investment course and set up by a participant of my course.

Posted by nakata > 2016-03-17 22:35 | Report Abuse

Thanks for sharing !

Posted by singh1 > 2016-03-18 21:26 | Report Abuse

Kcchongnz thanks for the great effort. A growing cash balance is something I always look at, management, debt levels (currency matters here),growing assets , NTA and so much more. I am still puzzled by some counters that are growing internally but on the external are not showing growth in share price. On the other hand the share price is at near historical low level. Could you kindly look at TA GLOBAL and tell why it is behaving so sickly. Thanks.

Posted by paperplane2016 > 2016-03-18 23:57 | Report Abuse

Is cash important? Yes. Airasia great cash with low crude oil, buy now

Posted by kcchongnz > 2016-03-19 00:22 | Report Abuse

Posted by singh1 > Mar 18, 2016 09:26 PM | Report Abuse

Kcchongnz thanks for the great effort. A growing cash balance is something I always look at, management, debt levels (currency matters here),growing assets , NTA and so much more. I am still puzzled by some counters that are growing internally but on the external are not showing growth in share price. On the other hand the share price is at near historical low level. Could you kindly look at TA GLOBAL and tell why it is behaving so sickly. Thanks.


First of all I don't know about TA Global. If you want my opinion about it, you should show me some figures why you think its share price should be higher, such as its ROE, ROIC, cash flows, P/E, FCF/P, or whatever you think is relevant.

Posted by Desa20201956 > 2016-03-19 01:57 | Report Abuse

All share prices have two components.

I call it the two factor model .

it is intrinsic valuation of existing business plus X factor.

It is the valuation of the X factor that people have to put equal if not more attention than the valuation of existing business.

Posted by latjiu > 2016-03-19 20:26 | Report Abuse

Hi Kcchongnz, is Scientx worth the current price tag? It's CY has dropped but profit margin has improved for 1Q2016.

Posted by kcchongnz > 2016-03-20 01:19 | Report Abuse

Posted by latjiu > Mar 19, 2016 08:26 PM | Report Abuse

Hi Kcchongnz, is Scientx worth the current price tag? It's CY has dropped but profit margin has improved for 1Q2016.


You and only you should decide on it. If you need guidance on how to make your own decision, you are encouraged to refer to these posts:

http://klse.i3investor.com/blogs/kcchongnz/92580.jsp
http://klse.i3investor.com/blogs/kcchongnz/92871.jsp
http://klse.i3investor.com/blogs/kcchongnz/93172.jsp

Good luck.

Yes, investing needs luck too.

Posted by Desa20201956 > 2016-03-20 02:14 | Report Abuse

The X factor for Scientex is that it has the best management and best strategy in Malaysia. How much is that much?

Posted by latjiu > Mar 19, 2016 08:26 PM | Report Abuse

Hi Kcchongnz, is Scientx worth the current price tag? It's CY has dropped but profit margin has improved for 1Q2016.

Posted by Desa20201956 > 2016-03-20 02:15 | Report Abuse

The X factor for Scientex is that it has the best management and best strategy in Malaysia. How much is that much?

easily $ 15 this year.

Posted by Desa20201956 > 2016-03-20 05:08 | Report Abuse

both Scientex and Top Glove have many satisfied shareholders.

but Scientex is on the way to be a top conglomerate with little competition while Top Glove will remain subject to the fortunes of his industry and intense competition.

Posted by Desa20201956 > 2016-03-20 05:10 | Report Abuse

stock picking is not just about number crunching....its about strategies and strategic management and about the X factors.

Posted by kcchongnz > 2016-03-20 09:04 | Report Abuse

Posted by Desa20201956 > Mar 20, 2016 05:10 AM | Report Abuse

stock picking is not just about number crunching....its about strategies and strategic management and about the X factors.



"A head full of dew water"

Posted by Desa20201956 > 2016-03-20 09:13 | Report Abuse

what do you call deniers of X factor?



"A head full of dew water"?

Posted by Desa20201956 > 2016-03-21 17:44 | Report Abuse

Kc....you have heard of strong profits weak cash flow.....cannot buy according to you.

Have you heard of strong cash flow weak profits? can buy?

Coastal will have strong cash flows weak profits this year....can buy?

Coastal has 1 billion inventories of generic boats, another 1 billion of designed to order contracts.

In view of market conditions, their contracts will have thin margins and they intend to dispose of their inventories at low to negative margins just to get rid of the inventories.....They will have two billion dollars cash flows , very weak profits.......can buy?

Posted by donfollowblindly > 2016-03-21 17:48 | Report Abuse

Agree. Hence paperplane2016 said KC is a bias people which I supported.

Posted by Desa20201956 > Mar 21, 2016 05:44 PM | Report Abuse

Kc....you have heard of strong profits weak cash flow.....cannot buy according to you.

Have you heard of strong cash flow weak profits? can buy?

Coastal will have strong cash flows weak profits this year....can buy?

Coastal has 1 billion inventories of generic boats, another 1 billion of designed to order contracts.

In view of market conditions, their contracts will have thin margins and they intend to dispose of their inventories at low to negative margins just to get rid of the inventories.....They will have two billion dollars cash flows , very weak profits.......can buy?

Posted by kcchongnz > 2016-03-21 18:24 | Report Abuse

Posted by donfollowblindly > Mar 21, 2016 05:48 PM | Report Abuse
Agree. Hence paperplane2016 said KC is a bias people which I supported.

Posted by Desa20201956 > Mar 21, 2016 05:44 PM | Report Abuse
Kc....you have heard of strong profits weak cash flow.....cannot buy according to you.
Have you heard of strong cash flow weak profits? can buy?
Coastal will have strong cash flows weak profits this year....can buy?
Coastal has 1 billion inventories of generic boats, another 1 billion of designed to order contracts.
In view of market conditions, their contracts will have thin margins and they intend to dispose of their inventories at low to negative margins just to get rid of the inventories.....They will have two billion dollars cash flows , very weak profits.......can buy?


First I will answer that always follow blindly fellow first.
I, kcchongnz, is just one person. I am not having two heads and two bodies. So I am a person, not a "people".

Just what do you mean by "KC is a bias people"? Again you are following blindly on what others said. Everything you do is just following blindly. the one you follow didn't even understood what I was trying to convey in my article. Why do you use this name "dontfollowblndly"?

Next one is this Desa's comment.

Investing is not so simple. Anybody who thinks it is easy is stupid!

The above is said by a well-known super investor in the world, Charles Munger, who had made billions USD for himself and his investors, not just any Tom, Dick and Harry who claims to be super investor.

Investing is not that simple like what you are shouting, what "x" or "f" factor lah, instinct lah, make fast decision lah, quoting from what Robbin something lah. They are all craps. Nonsense craps!

Whether a company with strong profit and poor cash flows or vice versa can invest or not, there are many things to consider. Anybody who knows about proper investing won't just ask a simplistic yes or no question like that, unless he has no clue of what investing is about.

Posted by Desa20201956 > 2016-03-21 18:33 | Report Abuse

All share prices have two components...the valuation of existing business and the X factor.

all the 10 formulas and 20 ratios derived from the accounts will only give you one aspect of the share. All the number crunchings are subject to the Law of garbage In, garbage Out.

How can you hope to get a proper picture of the share if all the attention is on the 10 formulas and 20 ratios you are trying to peddle?

Posted by Desa20201956 > 2016-03-21 18:41 | Report Abuse

I like KYY style.....in the pursue of simplicity.

At the age of 83, settle on the simplest 1 rule and one formula to rule them all.

that is where you get conviction. From great convictions, you get great profits when you are right....and margin to the max.

That's call conviction. No fickle minded yes no yes no ratios.


Die die la...that is how all self made tycoons are .

Posted by valuelurker > 2016-03-22 16:03 | Report Abuse

So now the Greenblatts formula has been butchered to CY and CROIC