Protasco was part of Intria Berhad Group, until Intria collapsed in the 1997 crisis. Past few years earnings was flat, but, looking at its past 4 years dividend yield, it is 8-14% but the price hardly move from 90 sen to 110 sen, until lately. Is there a catalyst for this stock, since then the DY has dropped to 2.5%, must be something on……………….. Say, you got it 4 years ago at RM1.00 + DY (37sen) + 62 sen (Capital Gain) = 99 sen gain or almost 100% in 4 years, another great company to invest in.
Just read the latest quarterly. Catalyst, contributions from oil & gas & property development for 2014. However the Company sold all its treasury shares its 17 million shares at RM1.43 in late January 2014. A bit conflicting, not that the Company need cash. Looking at the purchase cost of the oil and gas USD22million (63%) revised from USD55 million (78%), not sure why, the acquisition cost is about RM73million, so the contribution, say very optimistic 5 yrs payback, the indonesia project will give cash return of RM14.6million + say depreciation say RM5m, the oil and gas can contribute about RM19.6 million. This will be equal to EPS of RM0.06 + existing EPS of RM0.16, so 2014 EPS will be around RM0.22. At RM1.60, it is trading at prospective PE of 7.3X. Not too bad.
nch218, no worry, the private placement price is RM1.64, price should not below than it. mk88, the announcement was in December, I just bought this counter yesterday. Somemore newpapers here is Brunei's Times. =.="
Lim, very simple logic, the "Investor" who pump in money for private placement at 1.64 will push the price high to reach a target, let say 1.80 - 2, once the target reach, he will slowly pull out his investments...
Check the daily volume with the price, todays volume is high, very high, unusual for this counter. If the volume dwindles, the interest has move away somewhat, so you can take some profit, if you still have confidence that there is more to come when interest comes back, and buy back again at lower price. Does that sounds good?
Last minute drop a bit meh? I'm going back to Malaysia next Saturday for 1 week holiday, will take 7pm flight from miri. Let's us all ride Protasco to RM3.20!!!
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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....
mk88
986 posts
Posted by mk88 > 2014-03-05 13:00 | Report Abuse
flying to 1.63, huat huat