It’s very painful to know that those who had bought one year or even three years ago,I revisited bat after 30 years,first bought at13.50 30 years back when it limit down due to currency control and foreign funds throwing
British American Tobacco Plc’s experimental vaccine, which uses tobacco plants, could start clinical trials within the next few weeks. The company expects a response on its application from the U.S. Food and Drug Administration “any day now,” Chief Marketing Officer Kingsley Wheaton said in an interview Friday
Sustainable dividend payout will be dependent on sustainable earnings. Do note that the cigarette industry is plagued by illicit trade. It is so bad that the market share of the illicit cigarette trade accounts for more than 60%. And this didn’t happen overnight, the situation happened over many years which is reflected in BAT’s declining revenue and earnings. This is definitely one counter that investors should shy away from. Plenty of fishes in the sea, why go for one that is about to belly up.
How many Co. in Bursa can give a dividend yield of 9% during Covid Year 2020?..You are F**King Okay if management don't ask you money. You can count with your fingers how many Co. are giving Dividend in 2Qr. So how can this Heavenexile SoHai said "plenty of fishes in the sea". Maybe he is fishing Goldfish in his House aquarium...MCO mah
Those think Bat cannot maintain 270-300 mil net profit for this year may reduce their investment in Bat but behave like half professional or as fund managers to talk bad about Bat without more solid financial n accounting weaknesses to prove is kind of irrational n arrogant .... The high illicit cigarettes level of these 2-3 years the main reason the profits keep dropping in last 3 years but Bat already at low valuation n if retail investors have faith to Bat , shouldn’t have too low confidence level for BAT profit for this year n next year.....
It should be the other ways around I think for many will get caught at very high if the profit taking setting in while there is big room for bat to go up
HARTA: EPS 6.5 sen, x 4 quarters = 26 sen, I generously add 50% this year to get RM 0.39, share price is RM 19.94, PE ratio: 51 Latest dividend 2.1sen x 4 = 8.4 sen, dividend yield 0.42%
BAT: EPS 19.1 sen, x 4 quarters = 76.4 sen, add 10% for recovery after MCO this year to get RM 0.84, share price is RM 10.58, PE ratio: 13 Latest dividend 18sen x 4 = 72 sen, dividend yield 6.8%
HARTA has a current estimated PE ratio of 51 with a dividend yield much lower than for a FD. I don’t have the guts to go to the glove casino at these valuations and sleep relaxed every night with BAT.
I have this RJR in the 1990s. Its price did not exceed RM10.00. I held it for dividends until it was taken private by Japan Tobacco. I gain from dividends as well as capital gains when I sold out. If u expect a big recovery n expect a home run, then it may disappoint.
As to Harta, the latest qtr is a glimpse as to whether those bank analyst said is correct. Your generous projection of 0.39cts EPS does indicates that it is largely sentiment driven. As is always, those who play to the last cent will be disappointed.
the hardest hit time was from 2010-2014,a packet of premium shot up from $7 to $17 within a space of 4 yrs,& within these 4 years till i left ,volume dropped by half and turn over also only could just maintain,if volume could maintain,turnover should be 150% more,i am just giving a clearer picture of the market situation now,these are our hard earn money,take care all investors.
if next quarter better result, will go up. So no solid proof next quarter will be worse. Let wait and see. If share price keep going down during this period, I will consider to enter.
i am giving all of u a very clear picture of the cigarette industries in the country,cigarettes are counted in stick ¬ revenue if u want to compare it's sales with the last Q,one packet is 20 sticks,one carton is 200 sticks,one case is 10mille,1oo cases is 1 million stick,this is how we calculate our sales ,in yr 2005-6,that was the prime time of the cigarette industries,a premium packet was selling at $4+,then price increased &to $5.5,that was the time sales not moving fast forward,i was in charged of an area with weekly revenue of $1 million with total cigarette volume of 300 cases about 3 million stick per week,by the time i left 3 yrs ago,total volume dropped to 130 cases ,about 1.3 million stick but revenue just dropped slightly to about 900000.00,Bat 2011 quaterly revenue about 1 billion,price per packet around $7,Q2 ,2020,revenue 546 million with $17 per packet,u calculate how much the total volume has retreated,usually all cigarettes companies will do discount {forward} sales during the last 2 wks of every Q,to push sales up,but 1st Q due to MOC not doing 2nd Q doing thats why sales better,so friends ,go into it,wish all investors good luck
300 cases in yr 2006 could turned revenue into $1m a wk as per case was $3500 then.if volume wont drop it would be 300cases x$8000 as of today's per case value, then revenue would be 2.4 million,but only could get 900,000.00.lost in revenue would be 2.4million- 900,000.=1.5million ,more than 60% lost in revenue,remember this happened in a secondary town in the country & is just for one week sales,there are 52 wks a year,i will not hold long term for this counter,short term hit & run is ok
It wouldn’t repeat history this time and is building up from here for the Q3 up coming,my opinion is it is well maintained at this level and will not break 10,I wish I can buy more the yield is so attractive
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....
williamh
926 posts
Posted by williamh > 2020-07-30 11:19 | Report Abuse
The beauty is everyone has their point of views,happy return