Share price of Harrisons remained steady and virtually unchanged all these months. Investors should look forward HAPPILY to a conservative 15 sen to 25 sen dividend expected to be announced before end of April.
A 20 sen dividend at current share price of RM 4 equivalent to a 5% yield which is even higher than the fixed deposits rate offered by banks. There are not many stocks that offered such 5% yield. Beside such good dividends yield, Harrisons' business is a stable one with consistent earnings year after year. It is no surprise that the share price of Harrisons remained unscathed all these while during the collapse share prices of so many stocks.
The market condition continues to remain competitive and challenging in year 2018. Cement sales is expected to be weak as the oversupply situation remains. The existing main fast moving consumer goods agencies are expected to grow modestly. The management will proactively monitor our trade credit exposure in managing trade receivables. There are no material adverse foreseen factors affecting the group operations.
Dividend payout is sustained thru increase in borrowing over years not thru FCF. Its FCF is quite poor tho. Lets see how long it can sustain this policy.
It dah jadi profitable over the past 5 years, growing earnings by 15% per year. Earnings growth over the past year exceeds its 5 tahun average and over the past year MELEBIHI Trade Distributor industry. Balance sheet yang AMAT KUAT. Debt is well covered by operating cash flow. Begitu juga interest payments on its debt are well covered by EBIT iaitu 5kali coverage. Memang trading below fair value. Counter yang interesting to study and hold
Wah very undervalued this company. Earnings have been really superb! Balance Sheet super healthy and pays a high dividend yield. Right now PE at 9.8 and PB and 0.8 is truly a bargain! For long-term value investors this is definitely a pick!
The most Boring counter, directors overlook the shareholders,never think of rewarding long suffering shareholders, no bonus issue , no free warrants , only some dividends .
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....
LEONGLEONG
3 posts
Posted by LEONGLEONG > 2018-04-10 10:35 | Report Abuse
Share price of Harrisons remained steady and virtually unchanged all these months. Investors should look forward HAPPILY to a conservative 15 sen to 25 sen dividend expected to be announced before end of April.