i) The Company has acquired quoted investments amounting to RM22.80 million as announced on 21 February 2024. ii) The aggregate fair value of the Group’s investment portfolio as at 26 February 2024 was RM60.08 million higher compared to the reported fair value as at 31 December 2023.
Meaning, if there is no much change is the poftfolio, next quarter (31 Mar 2024) you will see the NTA increase by another 30sen, from RM1.86 to RM2.16.
This company has no debts, and have RM60mil cash in bank.
As well as the earnings in US investment never bring back to Malaysia, the cash in hand of Hexza will never increase and there was no special dividend given to the shareholders. Only Reserve and Equity in Balance Sheet increased.
Why Hexza still donwan to dispose Nvidia.. I feel like US equity is going to collapse, or limited room to go up. Why Hexza still don't want to take profit?
From Peak USD 950 to current price USD760. NVDIA share price has dropped USD190. Based on Hexza holdings of 20,000 NVDIA share, Hexza has its unrealised gain shrinking by USD190 x 20000 x RM4.80 = RM18.2Mil.
I already mentioned on two weeks ago, at that time Hexza still have opportunity to dispose it NVDIA share at around USD880 - USD910 level. And NVIDIA is very liquidate counter, company can easily dispose its 20,000 within few minute. Hope fully company has already disposed it at peak level, just yet to make announcement to Bursa.
Nvidia hit USD1,200. 20,000 x USD1,200 x RM4.70 = RM113mil. Its original cost of investment is only USD90, which equal to 20,000 x 90 x 4.70 = RM8.4mil.
If dispose now, there will be a gain of almost RM105mil.
as per Hexza announcement on 31 july 2019 hexza held the followings Apple 30k(latter 1 split into 4), Facebook 30k Alibaba 30k, NVIDIA 10k (later 1 split into 4,and recently split into 10). This year Hexza announced the total value of investment is RM312m against the cost of RM147m.It is noted that the above share purchased was done between 2015 to 2018when exchange rate was around RM3.80 to 1 USD.
During the bearish market counter like Hexza, on net cash, high NTA with consistent dividend yield higher than bank rate is worth holding. Collect the dividend and wait for the better days ahead.
Surmising that this co. may not pay much more than 5-7c dividend, if that, this year & the fast sagging stock prices of NVDA & Symbiotic, I SOLD most of my Hexza $1 & above on Monday & even the week b4, leaving only 5 lots in case I'm wrong. The profit is already more than the equivalent of a 5c dividend on those shares if I were to hold on to them till Jan '25. You know what they say about a bird in hand! Also taking profit on my latest US stock purchase on May 31 [AT & T]: https://www.youtube.com/watch?v=z7Di3GFWgvE
Proposed dividend 7.5 sen if approved in AGM payable in 4 months' time. It is sweet return for anyone buying this counter recently. NTA has gone up to RM 2.33 and it still holds onto 200K NVIDIA currently traded around 120 USD and the management will disposed it when it deemed fit.
Arm Holdings closed Friday 6 September at US$117.29. Now suffers from a paper loss of over RM2 million in less than 2 weeks if it hasn't disposed of the shares.
Hexza is traded at discount of more than 50% of its book value plus shareholders will receive 7.5 sen dividend in 3 months time. It is debt free and cash rich. The downside risk is very limited. When it disposes 200K of NVIDIA around this time, it will generate huge profit. Wait for the best, good luck.
Companies like Apple, Samsung, and Nvidia use Arm Holdings' central-processing-unit chip architectures. Arm then receives licensing payments and royalties based on the number of products sold.
License revenue comes from granting the right to use its intellectual property, while royalty revenue is the continuous fee payment based on the usage or sales of that IP.
Arm’s Chief Executive Rene Haas has said that the V9 chip design earns twice the royalties of the V8 generation, with estimated rates around 4%, compared with the average 1.7% royalty rates for prior generations.
This increase enables Arm to claim more revenue from each V9 chip sold.
“As a CFO, it’s one of the better business models I’ve seen. I joke sometimes that those older products are like the Beatles catalog: They just keep delivering royalties. Some of those products are three decades old,” Arm Chief Financial Officer Jason Child said in a CNBC interview.
Was hoping they would only announce after the 26th as in previous years so that I could accumulate as low as possible the shares I mistakenly sold in the Aug panic. However, I managed to corral back 87% of that peak holding in the last few days from $1.08-1.13 [ PLUS an additional 8,000 in the margin a/c] plus the few hundred profit from the Aug sale is in the pocket already so it's all good! 😊
Furthermore, it makes no sense to me how a co. whose shares flew up to $2.26 in Aug '20 can stay @ these low levels when the book value is already $1.12 higher compared to back then...
Wah.... Big Boom. Investment in US Market has incurred RM54mil losses. Better fast fast dispose all the share before US market crash. Bring back the money and invest in Bursa, now bursa many undervalue stock.. haha
On 30 January 2024, the Company has obtained mandate from the shareholders via Extraordinary General Meeting for the proposed disposal of 20,000 units (equivalent to 200,000 units post share split) of Nvidia Corporation (“Nvidia”) shares listed on NASDAQ as and when deem fit. There was no disposal of Nvidia shares as of the date of this report.
Nvidia closed at USD121.44 on 30 September, at this moment Nvidia is trading at above USD146.
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....
Albukhary
3,039 posts
Posted by Albukhary > 2024-02-28 10:27 | Report Abuse
i) The Company has acquired quoted investments amounting to RM22.80 million as announced on 21 February 2024.
ii) The aggregate fair value of the Group’s investment portfolio as at 26 February 2024 was RM60.08 million higher compared to the reported fair value as at 31 December 2023.