this is the only company where you can check its progress anytime of the day...nothing can be hidden...tonnes of drone videos online...how to be fishy lol
this is one stock that we grow together as they progress,remember they cant go backwards,only can go forward,doesn’t matter slow or fast,as long as the job is done,by the time the share price gonna be at different level
WCE expressway is promoting direct transit from Banting/Klang to Taiping and further move north to Penang as better route as compare to PLUS once it is fully completed. However, the mission could only be successful upon completion of the Section 7, which just stuck at the middle of the whole expressway. The present progress is of 59% only, and will take 1% progress at monthly basis. Means the completion of whole expressway will be 41 months from now. Any bullish news about it is not realistic for the full usage of this WCE expressway.
Except the good Q4 result due to the exceptional of the 40% disposal of Bandar Rimbayu for RM494 mil; the forthcoming 10 quarter results will be in the red. Let us meet here again at 31-Dec-2025 to conclude the results together in 2.5 years.
WCE expressway is promoting direct transit from Banting/Klang to Taiping and further move north to Penang as better route as compare to PLUS once it is fully completed. However, the mission could only be successful upon completion of the Section 7, which just stuck at the middle of the whole expressway. The present progress is of 59% only, and will take 1% progress at monthly basis. Means the completion of whole expressway will be 41 months from now. Any bullish news about it is not realistic for the full usage of this WCE expressway.
Except the good Q4 result due to the exceptional of the 40% disposal of Bandar Rimbayu for RM494 mil; the forthcoming 10 quarter results will be in the red. Let us meet here again at 31-Dec-2025 to conclude the results together in 2.5 years.
Interesting part about the statistic count on car flow, it say during Hari Raya festive car flow are 100,000, it was based on count while enter Section 6 at Selangor, then count again while the same car enter again Section 8, at Perak. It register as 2 counts of car flow, but each was short distance, means low revenue. While Section 7 is completed, it only count 1 car, however, total distance is 6. 7 and 8. Much better revenue, therefore, simple statistic has blind spot, just to show improvement of car flow. Let us read the Q4 result which shall release fairly soon, to see the actual revenue for WCE.
I like WCE as highway concessionaire. However, one day the highway have not been fully opened to public for full traffic flow, the value of it to be fully appreciated by public is still an hold sign. I have been monitored it for 5 years and yet to receive it's full completion of work is not to satisfaction; yet the media give all the false report on it is opened at early 2024 is bad for the public and retail investors. I hope could share this with faithful readers here to understand the real scenario, not to challenge any parties.
I just share my point of view on WCE progress, as I saw several analyst reports even with WCE director statement keep selling the news about opening of WCE by early of 2024. I would like to clarify to investors that from project progress update (which could be read from WCE WCE website), it is clearly shown that Section 7 will not be able to be completed by early 2024, why all media were saying the reversal? This is very unfair news to whom who was just read and believe them and buy in.
I could not and would not predict the fair value of WCE, but just sharing the real progress of it's construction work.
use epf bought duke 34 km highway in 2016 as calculation for its value. Full valuation of duke is 2.38 bil. That is only 34 km. WCE is 233 km . It means wce highway worth 16 bil. As wce only own 80% of the highway, it means it value about 12 bil. As total share of wce is 2.97 bil share, this means WCE worth RM 4.00 per share.
Let quote EPF buy DUKE as an example, it is like buying durian orchid while it is fully seasoned and give fruits in full, then Ks5S theory ,could be applied. For WCE scenario, it has a few undone conditions as below: 1. The highway was not even near to completion, if to include the Section 7, (at the middle of the full expressway), will only be opened at early 2026. The continue construction will incur more and more capital cost and continuous paying interest, as of FY 2022, interest payable is RM170mil, for another 3 years, will be RM510mil to go. 2. Purely depend on highway toll fee, from latest Q3 report, collection is RM30mil for 3 quarters, annualise to be RM40mil, it just good for operation and maintenance expenses. 3. WCE is planned for inter-state travel, the car flow will not be as DUKE as city travel, is we take 50% cut, it asset value could only be RM8bil, 80% of WCE is RM6.4bil, which is about RM2.00 per share. To reach that level, it will take another 2.5 years. Total is 5 years.
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....
Nepo
3,390 posts
Posted by Nepo > 2023-05-11 11:03 | Report Abuse
look like this stock got very strong support