Hello JJchan, good to see you here. Was studying this counter, seems to be undervalued. By any chance you know the current intrinsic value? I did a rough calculation, the figure I've got is around 1.70. Correct me if I'm wrong. I will buy some shares and also the warrant.
I guess when majority of the shares is own by board members and lion shares goes to Mr. Ong, there's not much liquidity for share movement. I'll wait for Q2 report before commit.
Thanks for your reply, JJ Chan. I also believe that OSKD is undervalued.
The company worth more than the current market cap, because 2bil now is only close to 10% of RHB shares holdings. And, we haven't looked at other assets (hotels, constructions, property development/construction, cable etc.) this business owns.
Based on the list of the PJDev Group's Top Ten Properties, almost all the properties in the book are not revalued and undervalued.
For example, the land in You City, the 10.71ac land is the most valuable in that area. The proposed future development will be directly facing the highway and directly connected to MRT1 which will be operational in 2017. On 5/7/2016, Guocoland bought from market the land which is exactly behind this piece of land at RM248/ sq ft. I think the You City land should reasonably worth RM350/sq. ft. as compared to RM60/sq ft in the book. The Revised Net Book Value should be RM163.3mil as compared to RM28.2mil in the book. There is a undervaluation of RM135.1mil just for this piece of land.
The link for recent transaction of the land behind PJ Development by Guocoland.
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....
Vincent Goh
4 posts
Posted by Vincent Goh > 2016-05-01 09:05 | Report Abuse
Let time to prove it.