Posted by foreverchung > 2019-01-15 22:27 | Report Abuse

Tmr 16?

Posted by dexin > 2019-01-15 22:27 |

Post removed.Why?

Posted by Flintstones > 2019-01-15 22:38 | Report Abuse

AEONCR has stayed pretty much stagnant for the last two or three financial years. Yes, the revenue and profit keeps going up. But does the improvement in profit result in greater shareholder value? If we were to use the most simple yardstick which is book value as a rough measure of intrinsic value, AEONCR intrinsic value has contracted in the pursue of growth of the last few years.

Posted by Ricky Yeo > 2019-01-17 08:35 | Report Abuse

Maybe Flintstones can enlighten everyone the definition of 'contracted' given that book value went from $4.43 to $7.48 (CAGR 14%) over the past 4 years.

Posted by Ricky Yeo > 2019-01-17 08:45 | Report Abuse

"Intrinsic value has contracted in the pursue of growth of the last few years." - This can only be true if a company is pouring capital into investment that generate future return lower than opportunity cost.

My apology if you're not interested in my academic theory discussion. But your theory is so full of holes.

Posted by 3iii > 2019-01-17 16:01 | Report Abuse

Fast growth company at reasonable price.

Buy for the long term.

Posted by Flintstones > 2019-01-17 16:03 | Report Abuse

You are so smart Ricky. Indeed, I have no intention to get involve in any intellectual discussion with you. Told you. I came here to make money. But you, on the other hand, come here to practice as a finance journalist for The Star.

What I suggested was the flat share price could be due to the dilution from ICULS and recent change in accounting standards that tweaked reported book value. Why dont you show us the maths for your $7.48 book value with your TI BA II??

Dont forget to send your resume to The Star. I think it could be your home.

Posted by Ricky Yeo > 2019-01-17 16:54 | Report Abuse

Here - https://www.aeoncredit.com.my/aeon-corporate/investor-relations/annual-report

1. Click on AR 2018 - Page 50
2. Click on AR 2014 - Page 14

You don't need BA IX to calculate book value.

"What I suggested was the flat share price could be due to the dilution from ICULS and recent change in accounting standards that tweaked reported book value"

1. ICULS issuance increase equity. It doesn't dilute
2. Book value ain't EPS. When people invest more money into a company (that's the purpose of ICULS), BV goes up.
3. Book value growth has nothing to do with shareholder value. A company can raise $100 mil from public and BV grow by the same magnitude, do you call that greater shareholder value?
4. Whether book value goes up or down has little to do with intrinsic value. In fact, a company that can grow profit without increasing book value is a wonderful business.

You must ask yourself if you can make money with this level of flaw fundamental thinking. This isn't criticism. Be honest with yourself. You don't need to answer anyone but yourself.

I ain't smart. I am just trying to help.

Posted by Flintstones > 2019-01-17 17:16 | Report Abuse

Ricky, I do not need you to teach me finance. When I do not type/speak in your financial language does not mean that I do not understand financial theory.

Book value is always a rough estimate of a company’s intrinsic value. You can throw all your finance vocab at this statement to prove its flaw and I still wouldnt be convinced. There is a reason why Warren Buffett lists the historical value of Berkshire’s book value on the front page of its annual report every year.

Thus, I give zero fook at your “understanding” of intrinsic value and book value. In fact, if you are interested to share your financial theory again, why not sit a plane to Omaha and debate with Warren Buffett?

My apology if I hurt your feelings. Again, I do not need to tell you about my returns in the market as I have nothing to prove nor I am trying to audition for a role at The Star Business.

Posted by Choivo Capital > 2019-01-17 17:34 | Report Abuse

Flintstones,

If you're going to look at book value, look at book value per share basis.

Do you even understand why on earth warren buffet uses Book Value at the front page? Did you not read his statements over the years, telling you its not even close to a good measurement, but its the best he can give.

Because as long as you reinvest money at a good return, the company should be worth at minimum the book value. Berkshire value now is far far above the current book.

If Warren looked at Book Value as the only measure of intrinsic value for Berkshire, the book value will be far higher by now, and the intrinsic value far lower.

If you're going to be lashing out every time someone finds flaws in your thinking, to protect your own ego, i think you should stick to being an observer.

The moment you speak, the flaws in all your understanding comes out.

Posted by 764950395 > 2019-01-17 17:37 | Report Abuse

Hi I hold this counter since price was about Rm 3.7 and keep adding to the position when opportunities arise. When you look at the BV of the finance stock , give me an example in which banks counter doesn’t grow their book value? Unless Stop loan growth , loan being written down or a great fine coming from government to lower their book value maybe a case for Goldman Sachs. Important to look at here is the EPS growth , EPS growth rate for this counter is the highest compare to other banking counter even better than public bank , one thing public bank more superiors is the NPL lowest in MALAYSIA. So long NPL for this counter is manageable, Similar NPL with maybank , around 2+% ,I think the management of Aeoncr is doing great to push EPS higher and the intrinsic value for this counter will continue to go up.

Posted by Choivo Capital > 2019-01-17 17:38 | Report Abuse

764950395,

At the current valuation, its not a bad idea. The company is a pretty great business.

Posted by 764950395 > 2019-01-17 17:41 | Report Abuse

Addition to the BV, now with central bank impose Basel 3 requirement, you need to keep minimum 7% at all time for tier one capital. So if you growth your loan, your BV will need to grow too.

Posted by Flintstones > 2019-01-17 17:49 | Report Abuse

Jon, I have no tendency to believe my understanding of things are superior to everybody else unlike Ricky and you.

As a matter of fact, I do recognize the imperfection of my unconventional understanding of the market against the academician consensus. Of course, I do not need you to agree with everything I said.

I agree with most of your assessment of certain investment yardsticks. What about those that I do not agree with? Did you see me harping on the issues I disagree with like heaven god’s send?

A self-perceived superiority in knowledge is always always found in arrogant young men who have not seen enough. Lets not try to become philosophical in proving or disproving financial theories. We are here to make money not become a nobel prize laureate in finance.

I see great potential in you Jon. I am just trying to help. You are still young and you can pick your own path. Become good in investing like long numbers guy or become good in writing for finance newspaper. The choice is yours.

Posted by Ricky Yeo > 2019-01-17 18:13 | Report Abuse

If you insist on quoting WB, then he also said assume that you spend the same amount putting two children to college, the book value of each child’s education would be the same. But the present value (intrinsic value) of the future payoff might totally different with each of the two children – they can range from zero to many times the costs of education. If you are still convinced about book value, feel free to buy up all stocks with B/V < 1

No offense, you don't like to discuss theory not because your objective is to make money, it is because your theory is so weak that it breaks apart as soon as it comes out your mouth. So you use "I came here to make money" to avoid discussion at all cost.

Sure, you don't have to give a fck about what my theory is. You just have to make sure your theory is right. If they're right, then you make money in the long-term. Who cares what Ricky says. But are they correct? That is for you to answer to yourself.

Posted by Flintstones > 2019-01-17 18:59 | Report Abuse

Ricky boy, I acknowledge your proficiency in finance academics. I will be very proud if my son had the same theory articulation like you in future.

There are two types of people on i3. The first group is people like me who are here to have fun and make money without any agenda. The second group is people like OTB or Kcchong who are here to sell subscription newsletters.

I assume you are in the latter group or at least, aspiring to be. To be recognize as a top investor here on i3, you need to show people your investment analysis like long numbers guy who recently became one of the most acknowledged member in a short period of time. Think about it, how many years have you been here? And has your newsletter business took off?

Here's a tip for you. Instead of showing off your academician knowledge, why not spend more time writing investment case studies? If you are incapable of doing that or are afraid of the repercussions of being wrong and ridiculed, try channelling your "I am the smartest finance guy on i3 and I need to show everybody I am smart at all costs" on popular members like calvintan, icon3333, stockraider or sslee. I am sure these people are the best targets to market your business since they have a large audience.

Jon have been here a shorter period than you. Even he has shown promising signs to become good at investing by taking a risk publishing his investment reports for all to see. He has his fair share of finance theory but also showed everybody his analytical ability.

You on the other hand have shown nothing. Zero. No credibility whatsover.

I am just trying to help you as a nobody without any agenda on i3.

Posted by 3iii > 2019-01-17 20:30 | Report Abuse

An old post, still relevant.

https://myinvestingnotes.blogspot.com/2016/10/aeon-credit-attractive-alternative.html

Posted by Ricky Yeo > 2019-01-18 03:56 | Report Abuse

We're stretching this BS too far now. At the end of the day, it doesn't matter whether I am 1st or 100th group; whether I got zero or 100 credibility; whether im really showing off or just helping; the only thing that matters is, is your theories right? Your theory is not answerable to me, but to the market. Can it stand the test of the market? Or break apart easily? That is for you to answer to yourself.

Making money without agenda, what a nice way to put it. Like I'll close my eyes and pretend nothing happened.

Posted by LouiseS > 2019-01-26 12:47 | Report Abuse

The EPS is fluctuating in last five years, range from 109 to 167 sen per share, PE ratio is reasonable around 11, the ROE is 23%, and dividend yield 2.74%

https://louisesinvesting.blogspot.com/2019/01/preliminary-screening-of-counters-with_25.html

Posted by (S = Qr) Philip > 2019-01-27 22:36 | Report Abuse

I realize Ricky is the one who loves to argue for the sake of arguing.
Problem is in investing there is no point in arguing, whether your theories are right it wrong can always be explained away in a biased frame.

It's like looking at the Forex chart,
Daily chart looks like it's losing money.
Weekly chart looks like it's uptrend.
Monthly chart looks like it's downtrend.
But yearly chart looks like it's making tons of money.

There is no wrong or right if you are arguing just based on theories.

But if you have skin in the game just draw the line in the sand, tell everyone what you bought and what price you bought it at. If you make money then you have the right to say whatever you want.

If you lose money be brave enough to admit it.

If you don't have any skin in the game, why spread so much info and theories and arguing? Just agree to disagree, like icon888.

At the very least be like Stockraider wth a price a buy all and a reason for shorting out investing.

Theories without conviction are a waste of time.

Posted by qqq3 > 2019-01-27 23:26 | Report Abuse

philip

but u are referring to AeonCr version 1.0......but , they are moving nicely to version 2.0....Management not stupid one, and taking necessary steps........with the right issue and iculs.....and new ideas.....

a couple of years ago, people sold down the share while profits are still rising.....I don't know why but I am sure management knows......

Posted by (S = Qr) Philip > 2019-01-27 23:40 | Report Abuse

Yeah, I read about their expansion into Philippines and Indonesia and increasing revenues from personal motor financing.

If it does well, things will definitely change.

But until then, will have to wait if the raising of money and cost of capital can bring in the beef.

Clock is ticking.

Posted by hong2166 > 2019-01-28 17:45 | Report Abuse

http://www.sinchew.com.my/node/1834574/%E6%B0%B8%E6%97%BA%E6%B0%B8%E6%97%BA%E4%BF%A1%E8%B4%B7%E5%89%8D%E6%99%AF%E5%92%8C%E5%90%88%E7%90%86%E4%BB%B7

Posted by hong2166 > 2019-01-28 17:48 | Report Abuse

Hi all, I am a long term investor of AEONCR. Invested since 2008 till now, it has now become the biggest holdings in my portfolio.
I think AEONCR does not really depends on AEON Mall that much anymore as AEONCR provides loans to buy motorcycle, credit card and many other services. It may soon provides car and housing loan soon if you read bursa malaysia announcement.
Opportunity and Risk always exists concurrently, lets wait and see.

I am glad that i escape from recent small and medium cap price collapse. And I am waiting for AEONCR to go up to 20. Haha

Posted by Choivo Capital > 2019-01-28 17:50 | Report Abuse

Phillip,

Go and study motorcycle ownership trends in Malaysia.

Posted by eskay67 > 2019-01-29 14:38 | Report Abuse

Quote from Philip above : “ it's fortunes are tied very closely to aeon co, which is a gruesome business.”
This statement is not correct .... Business and revenue from collaboration between AEON Credit and AEON retail operations in Malaysia is quite small, as reported by management. Vehicle financing and personal financing (money lending) portfolios are biggest contributors, not related to AEON Malls ...

Posted by (S = Qr) Philip > 2019-01-30 00:14 | Report Abuse

My bad eskay67, I had assumed that most of the vehicle and motorcycles were sold via the branches near or within the aeon mall locations. My apologies, I am most humbly mistaken. As you can probably surmise in sabah we don't have any aeon malls.

You learn new things every day!

Cheers.

*Deleting my comments now to save future investors misunderstanding.

Posted by pputeh > 2019-01-30 10:14 | Report Abuse

No worries Philip. We are all here to learn. No one is infallible. What about a comparison between LPI and Aeon Credit. Accepted they are in different spheres of business.

Posted by value88 > 2019-01-30 10:14 |

Post removed.Why?

Posted by pputeh > 2019-01-30 10:18 | Report Abuse

Also what effects the recently money lending licence they obtained http://www.bursamalaysia.com/market/listed-companies/company-announcements/6036765

Posted by Ricky Yeo > 2019-01-30 10:47 | Report Abuse

"If you make money then you have the right to say whatever you want. " - That is how so many investors get fooled (outcome bias) into following others who have 'track record'.

Imagine I told everyone I made 800%+ in Scientex, now many people will come and ask me what do I think about Genting, KNM, Carimin, semi-con or whatever stocks they are interested in. I can of course craft a lucid narrative to explain why these stocks are good or bad and everyone will believe every single world I said since I have made so much return in Scientex. But how do they know if my hypothesis is accurate? They don't. They rely on the heuristic "he picked Scientex, therefore he is good." No one know those stocks are outside my circle of competence.

Just as I don't want to fool myself, fool someone else, or fooled by others (even if unintentionally done others), the best way is theories. If someone can't properly explain his thought process, all bets are off.

If someone tells me "xx stock is undervalued because of low P/E or low BV." - His one sentence theory gives me more insight about the quality of his thinking than how much money he made, all the narrative about the stock etc. Theory is a great way to filter out nonsense. I like theories not because theories are sexy, but because they're effective.

Posted by 3iii > 2019-02-28 10:13 | Report Abuse

AEONCR Financial Information

Price 16.84
Market Capital (RM): 4.224b
Number of Share: 250.84m
EPS (cent): 139.26 *
P/E Ratio: 12.09
ROE (%): 24.60
Dividend (cent): 41.130 ^
Dividend Yield (%): 2.44
Dividend Policy (%): 0
NTA (RM): 5.660
Par Value (RM): 0.500

Posted by 3iii > 2019-02-28 10:15 | Report Abuse

>>>
Ricky Yeo
If someone tells me "xx stock is undervalued because of low P/E or low BV." - His one sentence theory gives me more insight about the quality of his thinking than how much money he made, all the narrative about the stock etc. Theory is a great way to filter out nonsense. I like theories not because theories are sexy, but because they're effective.
>>>


Very insightful.

Posted by 3iii > 2019-03-04 16:29 |

Post removed.Why?

Posted by 3iii > 2019-03-12 11:36 | Report Abuse

AEONCR Financial Information

Price 16.84
Market Capital (RM): 4.224b
Number of Share: 250.84m
EPS (cent): 139.26 *
P/E Ratio: 12.09
ROE (%): 24.60
Dividend (cent): 41.130 ^
Dividend Yield (%): 2.44
Dividend Policy (%): 0
NTA (RM): 5.660
Par Value (RM): 0.500





My intrinsic value for Aeon Credit is $33.00 per share.

It is trading at a huge discount to its intrinsic value.

Posted by Nowek > 2019-05-01 22:09 | Report Abuse

So the bottomline is... Aeoncr is a good stock to buy for long term investment, right my boss?

Posted by remus > 2019-05-03 15:45 | Report Abuse

eh how come keep dropping? any negative news?

Posted by dnlt > 2019-05-14 10:03 | Report Abuse

3iii , I think the > Rm30 for the intrinsic value if you put 20% for the expected growth rate. That's is the number over 10 years data but it has slowed down in the recent years. I will be very happy if they can continue with just 15%.

Posted by rajachulan > 2019-05-29 09:58 | Report Abuse

15/3 day huge volume close in red
11/3 week huge volume close in red

Posted by chl1989 > 2019-06-25 12:30 | Report Abuse

the best share in bursa :)

Posted by Choivo Capital > 2019-06-27 18:25 | Report Abuse

interesting.

I dont like how they didnt explain much.

Posted by jason007 > 2019-06-28 09:28 | Report Abuse

sell please , don't complaint

Posted by value_man > 2019-06-28 10:08 | Report Abuse

Don't just look at net profit. Inspect also the revenue, receivables, transaction and financing volume, cash flow, NPL ratio, etc.

Posted by eskay67 > 2019-06-28 16:05 | Report Abuse

https://www.theedgemarkets.com/article/aeon-credit-posts-14-decrease-1q-earnings-despite-transaction-and-financing-volume-growth

Posted by 3iii > 2019-06-29 09:13 |

Post removed.Why?

Posted by chl1989 > 2019-07-01 12:10 | Report Abuse

rm30

Posted by pang72 > 2019-07-09 19:00 | Report Abuse

FLASH: Government sues Aeon Credit for unpaid taxes

Posted by pang72 > 2019-07-09 19:01 | Report Abuse

No wonder earn more money... Don't want to pay tax...

1st company sue by PH

Posted by Trouble Huat > 2019-07-09 20:57 | Report Abuse

haha. tmr will be some selldown. grab while u can

Posted by Nicholasming91 > 2019-07-09 21:14 | Report Abuse

Ggg limit down