Almost every company profit also drop during this bad time, what do you expect. As long as company still making profit good enough. Current price already factor in.
Don't issue bonus is much better. It will subdivide the cake and make the price even lower. You get more shares after bonus but the value is also subdivided.
Based on the many previous trend, today would be the last day to buy at a price this cheap. But you never know where the trend will lead next otherwise everyone would be rich already. There's so many external factors affecting bursa these days.
In my opinion, if you think about it, let say the qtr result is bad, why would the company do share buy back at this price if they know the price gonna go down anyway once the bad qtr result is announced. It would be smarter for them to buy back at much lower price and can buy even more shares.
Unless they suspected that once the qtr result is announced, the share price gonna go up and now is the bottom. That is why they are buying back as much as they can but not to the point it can push the price up so that they can buy back even more at this range.
SBB is a rather a puzzle to figure as why they do it and why they do it at a certain time and range. It is difficult to figure out why as are there so many assumptions can be made. But one thing for certain is that, SBB is beneficial to shareholders as the number of shares in the market would be reduce. Therefore, your percentage of ownership will increase.
But still you have to be cautious. For example, WCT do SBB and keep the share price float at 80-88 before under par QR announced. Now the share price is under serious pressure.
I think as investors we need to consider further than 1 quarter. If you have a business yourself, you don't judge it base on just 3 months of results isn't it?
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
KenaTipu_
47 posts
Posted by KenaTipu_ > 2018-12-05 02:52 | Report Abuse
After SBB no more bullets expect plunge below RM 1. 80 sen coming?