Small shareholders should make some noise occasionally, otherwise major shareholders might think that we are happy with the way they manage the company.
If the company decides to compensate investors for the loss of dividends in 2020 and 2021 and declares a 26 sen a share final dividend, then it is worthwhile to buy at this price.
Keck Seng normally announces timelines for final dividend payment in the first week of April. Should the directors decide to compensate investors for the loss of dividends for years 2020 and 2021, there is still hope that its share price may recover.
At the company's AGM every year, the management would seek shareholders' mandate for proposed share buy back by the company but they take no action after that. Don't know why they want to waste time on this.
Very difficult to get Keck Seng directors to pay higher dividends. With a cash pile of over RM 1 billion, money is what Keck Seng least needs. Yet for decades, its directors have been unwilling to share the spoils with small shareholders but would immediately reduce/cut completely dividend payment when it faces the slightest headwind.
Just distribute 50 to 60% of the company's earnings to its shareholders as dividends, Keck Seng's share price would immediately spike. Allocate another RM10 million per year (less than the interest the company earns a year) to buy its own shares would energize Keck Seng further.
Selling Keck Seng at RM3.50 is just sheer craziness. Its cash and value of its share investments are already worth almost RM3.90 a share. Its other assets in Malaysia including thousands of acres of plantation land in Johor Bahru, property development land, golf club, factories, Menara Keck Seng, Regency Tower etc are worth RM4 to 5 billion, not including properties in the US, Canada and Singapore.
I strongly agree with you #prudentinvestor! Hope the Directors are aware of this...n will reward the minority shareholders soon for their patience n faithfulness in this counter. Have been holding KSeng since 2003
Holding a degenerate stock for umpteen years is not a feat. 30 years ago, if my memory serves me right, it was in the range of RM5 to 7 or more. Look at it's value now. If it is that good it should be above RM12 or more. If you are happy with miserable dividends, then you are not bluffing me, but yourself.
"Is this the same Prudentinvestor who promoted Serba last year??? @BobAxelrod33, I have stopped investing in speculative stocks for several years. Tell me the date and time that I had promoted Serba last year.
@DickMe, did I say it was a feat? Read my comments, I have been dressing down the management in most of my comments. I bought Keck Seng shares likely in 1993 or 1994 at under RM3 a share. After two 1 for 2 bonus issues, my average price is now just RM1.20 a share. Keck Seng traded between a low of RM1.45 and high of RM4.73 in 1993/94. It could have gone up to over RM7 a share earlier before another bonus issue in the late 80s.
If the company makes better use of its RM1 billion cash instead of keeping it in US$ and Sing$ deposits, Keck Seng shares will not only fly but shoot through the roof.
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....
speakup
27,012 posts
Posted by speakup > 2023-03-10 10:47 | Report Abuse
Hancur