When I screen for companies, I just don’t look at the performance of a metric at a particular point in time. I also look at how it changes over time.
One way to do this is to look at the trend of the metric and compare it with a reference company that I have found to have good fundamentals. It is a quick and dirty way to judge its fundamentals.
One example is illustrated in the charts for Bursa Malaysia TH Plantation. It shows its ROE and Net income margin trends compared to those of my reference company – KLK.
You can see that while TH Plant performance had improved relative to 2018, the results of the 2 metrics is not going to be as good as KLK. So its fundamentals are not so great. https://i.postimg.cc/2jKjDz9D/TH-Plant.png I think this is a better way to screen for companies than just look at static numbers. Unfortunately most screens don’t display such trends readily.
When I screen for companies, I just don’t look at the performance of a metric at a particular point in time. I also look at how it changes over time.
One way to do this is to look at the trend of the metric and compare it with a reference company that I have found to have good fundamentals. It is a quick and dirty way to judge its fundamentals.
Benjamin Graham seeks for Shares With High NTA. NTA stands for High Net Tangible Asset as a Margin of Safety. Usually these Securities are In Some Form of Trouble with negative connotation. Or they are dull and uninteresting – so rejected by the Market.
I remember Mr. Liew of Helang Camar Used Car telling me how he searched for mispriced Auction of Repossessed Cars. He found a Proton Saga 1.5 labeled as 1.3 when it was displayed for Auction. How did he detected the difference? In the Displayed Notice The Proton was stated with 1.3c.c. engine. But when he checked with the RoadTax Disc he clearly saw that it has a 1.5c.c engine. And there is a price difference of RM3,000 between a 1.3 & a 1.5 liter Proton in those days. So he bid a higher price for a 1.3 Proton but got a Value Buy.
2) Value Is Misplaced.
One of my favourite past time is to look for good durians when they are in seasons. There are many classifications for Durians like D24, D12, D10, Hoong Har, Mai Sang Wong or just ordinary kampung ones.
Sometimes during collection and sorting and distribution one or two higher grade durians are misplaced into the lower end kampung pile. With training you can pick out these Value buys because they have been misplaced.
3) Value Is Overlooked.
In Year 1977 to 1980 Early Mitsubishi Sigma 1.6 was manufactured. For 4 years they did some cosmetic upgrades. But in Year 1980 End to 1983 Mitsubishi came out with a Completely New Model called Mitsubishi Galant 1.6GLS. One Day I went to submit a tender for a 1980 Mitsubishi Car advertised by a Finance Company. The Officer In Charge told me to view the Mitsubishi Sigma Car and submit a tender.
Promote hard because u have shareholdings. Dont fall into calvin tan BO ENG trap. Once u buy in, he will sell before it hit RM1 and tell you is a bulltrap and comewith his long arse theory.
BEWARE THIS KIND OF SWINGER AND ARTICLE POSTER in I3
calvin tan eng say is jesus son but spreading lies in his articles and had to spam every counters forum.
When it comes to thplant and his palmoil as lubricant to fab, he can say it is misunderstood stock and promote it hard. Stop listening to this clown of i3
Since KLK failed to collaborate with BPlant, what are the chances they might collaborate and become partner for TH Plant ? This can easily improve THPlant management competencies, cash flow and values.
Unlike any other sifu Calvin ceaselessly promotes from rock bottom price and sky high price where most of the sifu promote only prices have surge to sky high
I come it will move usually.calvin come it will be later.read the messages do my tp right. 17/2/24 6.01pm Buy called thp 54.5 Tp 65-70 cents 15/9/23 8.01pm
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....
calvintaneng
56,895 posts
Posted by calvintaneng > 2024-01-23 18:13 | Report Abuse
https://www.youtube.com/watch?v=OPsW1FF7vlw
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