Using trailing PE will mislead you in this steel booming cycle, as value investor you need to foresee the business situation and apply dynamic forward PE according to latest situation (assess on demand, evaluate on bottom line), that will lead you to the true value of this stock.
Nice to see familiar names like Mr Pauper and Albukhary. It’s a superb QR, although I question the low taxation (tax credit from the past?) and the sustainability of the RM 900m revenue. Let’s ponder that another day. Today I’ll go home early from work and chill a little. Lately the market has stressed me out quite a bit.
Rukawa, what do you think about the future of this counter atleast up to another 3 more quarters? Will it be better than previous 3qr based on current market situation?
Using trailing PE will mislead you in this steel booming cycle, as value investor you need to foresee the business situation and apply dynamic forward PE according to latest situation (assess on demand, evaluate on bottom line), that will lead you to the true value of this stock.
today learned something again.. price simply get so much lower just to shake away those short term investors...luckily still holding, but didnt load my last batch of it...
3r1cl33, not next 3 quarters, next few years will be good business for Malaysia steel industry (esp long steel). First look at China, people underestimated the determination of China government to conduct 供给侧改革, basically this will sustain the steel price at high level. You can check back my previous posts and you will understand more about the situation at China now.
Dont forget SSteel is part of the highly branded HL Group. So a high goodwill value must be added to fundamental values....that will be the market price of SSteel shares in the KLSE. ENJOY THE THRILLING RIDE PEOPLE.
Sellers bullet seems finish. With today price action, MRCB should hook up to cross signal into positive region. Early of price appreciation to PE 10 2.90 in near future. all the best
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....
ks5S
4,601 posts
Posted by ks5S > 2017-11-28 18:28 | Report Abuse
Maybe bonus issue coming.