Technically broken the trend line and major support seen at 1.02-1.03.
However key take away:- 1. Existing orderbook around 4.0bil, according to The Edge 13 Apr 2017, interview to MD, tenderbook around 5bil. 2. Turnaround for plantation division. 3. Concession and recurring income from IIUM Medical Centre. 4. Toll concession for EKVE(prior to this will see revenue channel to construction revenue) 5. April private placement at RM0.98(the price now is only 7% premium compare to the private placement) 6. Low volume for the the past sell down(price fluctuation between 1.02-1.2). 7. Tabung Haji, Public Mutual, Neoh family, HLA, Manulife was the major shareholders. 8. Historically Q3,Q4 will be a better result. Q1,Q2 has shown turnaround in NPT and EPS. Gearing remained high due to financing of EKVE.
Continue to monitor if Rakuten trade of TP1.66 will come true in 6months - 12months time.
Type Announcement Subject OTHERS Description THE PROPOSED CONSTRUCTION AND COMPLETION OF BLOCK 11 & BLOCK 12 OF ACADEMIC BUILDINGS FOR FACULTY OF GEOSCIENCES AND PETROLEUM ENGINEERING AND TNB 33KV SUBSTATION AT UNIVERSITI TEKNOLOGI PETRONAS, BANDAR SERI ISKANDAR , PERAK DARUL RIDZUAN -LETTER OF AWARD The Board of Directors of Ahmad Zaki Resources Berhad (“AZRB or the Company”) is pleased to announce that its wholly-owned subsidiary, Ahmad Zaki Sdn Bhd has on 21 December 2017, received and accepted a Letter of Award from Institute of Technology Petronas Sdn Bhd (“the Award”) for a project known as “The Proposed Construction and Completion of Block 11 & Block 12 of Academic Buildings for Faculty of Geosciences and Petroleum Engineering and TNB 33kv Substation at Universiti Teknologi Petronas, Bandar Seri Iskandar, Perak Darul Ridzuan” (“the Contract Works”).
The Award for the Contract Works amounted to a total value of RM138,380,277.91. The Contract Works is expected to be completed in the next 30 months until 15 July 2020.
The Contract Works is expected to contribute positively to the Group’s future earnings.
None of the Directors and Substantial Shareholders of AZRB or any persons connected with them has any interest, direct or indirect, in the Contract Works.
The Board of AZRB is of the opinion that the Contract Works is in the best interest of the Company.
AZRB result this year should improve compare to last year. Last year they made nett profit of $28M after paying additional tax of $12M. This year the results of plantation should break even or make some small profit as it only plan to plant 600HA additional oil palm while last year they planted over 1000HA. Plus it's palm oil mill should also improve further. It's oil and gas supply base business should also improve now that the Tok Bali supply base is in full service also. Their concession business on the hospital which made $53M last year should maintain it's profit. plus $3.5B contract in hand should kept them busy for the next three to four years. In all their profit should improve and it is great time to but at 42cents which is less than the value of it's plantation asset.
10 reasons why I buy into Ahmad Zaki Resources Berhad (AZRB).
1 The group’s outstanding order book is RM3.8 billion. 2 Share buy back by substantial shareholders in this few days. 3 NTA as high as $0.860. 4 The highest $1.20. Now discount at $0.40. 5 EKVE highway will be opened in September 2019. 6 New planting in 2011 come into maturity in the coming months. 7 Diversified business. NOT depend on single business. 8 Good quarter earnings in this 7 years. 9 Rakuten's TP $1.66. Potential upside more than 100%. 0 AZRB is NOT ahjib & his gang's related counter. This is very important.
AZRB need only to record RM5 million per quarter to maintain its share price at RM0.40 based on 10x PE. I think it's a very good bet.
Normally their quarter earnings stay RM10 million and above. Last time they had posted loss-making due to high tax payment. It won't be happened again in this time.
It's very simple for me to invest in AZRB. If they record RM5 million & above in next quarter, I will buy more. BUT if their PAT under RM5 million, then I will only hold or sell.
It depends on how much AZRB will be earned in next quarter. You must know that if they have good earnings ahead, then in another 3-month time, it's very safe to hold it.
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....
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Posted by user > 2017-11-01 11:51 | Report Abuse
Ada orang kata, tidur adalah tradisi Malaysia