Sometimes, we cannot use pure logic to analyse illogical matters. Something like sensitive topic like religion which cannot be understood using logic and science. From a logical perspective, Marco's price have been stagnant and hovering around 0.155-0.165 in the pass 4 weeks, it cannot even break through the 0.17 level...it make no logic sense that it will reach 0.20 in the next couple of weeks.
It was a backdoor listing story back in the year 2001 by acquiring Khong Guan Holdings Malaysia Berhad and changed the name to Marco Holdings Berhad. Khong Guan is a biscuit manufacturer and had been incurring losses. It’s accumulated losses prior to Marco take over was RM 20.7 mil. Since then, the Group saw a significant change in the business direction from manufacturing and merchandise of biscuits and related products to the importation and distribution of timepieces and electronic calculators.
From 2006 till 2012, its earning yield has improved over the years from 3.1% to 14.5% and dividend yield increased from 1.5% to 10%. Despite high dividend payout rate from 36% to 77% of earnings, it has fully recovered from its accumulated losses.
It has been profitable and growing steadily over the years, it is not an exciting business but gave solid, reliable compounding return.
Total shareholder return = Dividend yield +Capital Gain (Earning Growth + P/E multiple revaluation). Companies which have aggressive expansion plan and strong earning growth normally don’t pay good dividend.
If its business model is sound and gave consistent earning growth, then share price will improve with P/E multiple revaluations. Otherwise it will become an undervalue stock.
Stock price rises purely driven by news and not back up by fundamental usually cannot sustain for long.
It is a slow and steady dividend yield stock with low gearing and strong cash flow. If you are looking for short term fast capital gain. This is not the counter for you. But if you prefer holding it for dividend yield and slow and steady capital gain, then it is the right stock.
itu dia...cbc hidup dalam dunia marco dengan kebanggaan syiok sendiri tanpa kemaluan..kakaka.. pls lar u bro..we know this company is good...but u degrade him badly by talking cock too much..better shut up lar...shao deh la lei cbc, shuoi duo hau...pok kai..
CASH AND CASH EQUIVALENTS GROUP COMPANY 2013 2012 2013 2012 RM RM RM RM Cash in hand 6,613 6,613 1,609 1,609 Bank balances 31,969,466 8,391,238 17,465,985 5,272,576 Fixed/repo deposits with licensed banks 9,526,396 33,305,722 2,518,044 2,436,916 Total cash and cash equivalents 41,502,475 41,703,573 19,985,638 7,711,101
. EARNINGS PER SHARE (a) Basic Basic earnings per share is calculated by dividing the profi t for the year, net of tax, attributable to owners of the parent by the weighted average number of ordinary shares outstanding during the fi nancial year. GROUP 2013 2012
Profi t net of tax attributable to owners of the parent (RM) 15,041,147 14,871,506
Weighted average number of ordinary shares in issue 809,935,111 727,838,723 Basic earnings per share (sen) 1.86 2.04 (b) Diluted For the purpose of calculating diluted earnings per share, the profi t for the year, net of tax, attributable to owners of the parent and the weighted average number of ordinary shares in issue during the fi nancial year have been adjusted for the dilutive effects of the potential ordinary shares. GROUP 2013 2012
Profi t net of tax attributable to owners of the parent (RM) 15,041,147 14,871,506
Weighted average number of ordinary shares in issue 809,935,111 727,838,823 Effect of dilution: Warrants 2004/2014 106,769,114 110,465,439 Adjusted weighted average number of ordinary shares in issue and issuable 916,704,225 838,304,262
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....
Chua Boon Chin
4,284 posts
Posted by Chua Boon Chin > 2014-07-04 08:42 | Report Abuse
mad dog already start crazy ! world start turn up side down ! not world declare .