Thank. No I don have hibiscus. Why? I did look at that counter before, one of my friend said to me got ppl want to "fried", but the fundamental is bad so I did not buy. End up another lucky decision. If I bought at 1.55, now will be trap.
I am considering to cutloss. I actually heard the same and kena trapped. On second thought, perhaps will keep. Just hope it gets abit better when they start drilling.
Please do not touch this stock, you are playing against the owner of this company. You are always on the disadvantage side, never select this type of stock.
kw and kc, looks like you both are supporting this counter as opposed to otb ! Well everyone is entitled to his own opinion and expectations. Best of luck !
Posted by kcchongnz > May 31, 2013 06:50 PM | Report Abuse X So many investor (or shall I call them punters) are just too obsessed with quarterly report; result of short term which could very well be affected by seasonality, timing of orders and delivery etc. They see the trees but miss the forest.
Posted by kcchongnz > May 31, 2013 07:06 PM | Report Abuse X How do you describe a company with an uninterrupted compounded annual growth rate of 17% in both revenue and net profit for the last 6 years with huge cash flows from operations and heaps of free cash flow; and a very healthy balance sheet with no debt and growing cash and cash equivalent? How many of this type of company can you find in Bursa?
Posted by kcchongnz > May 31, 2013 07:08 PM | Report Abuse X And yet it is trading at a PE ratio of just 7.6, and enterprise value of just 4 times EBIT. Its ROE is 20% and ROIC of 33%!
I am an investor, not a trader. If you are a trader or speculator, most people here are, my opinion follows OTB.
thanks kcchongnx for your feedback. Despite meeting all your criteria you choose to concur with OTB. I am sure you have your solid reasons is doing so.
1. Cash flow - You buy this share at 10 cents cash per share, so you're buying this share for 20 cents only, free money. 2. No/Minimal debts - Cash is useful if full of debts but not this co, it won't go bankrupt unless armageddon. 3. Growth - Consistent growth in revenue and profit over 10 years except year 2009, you don't find a lot of this kind of companies 4. Slow company? - I checked that the share price is about 7 cents in 2009. Which means if you hold it till now, thats a growth of about 500% in 4 years. Maybe you can beat that trading hot shares. I don't know. 5. Excerpt from Peter Lynch's book "$20 stocks with $2 per share in annual cash flow has a 10-to-1 ratio, which is standard. A $20 stocks with $4 per share cash flow gives you 20% return on cash, which is terrific. If you find a $20 stock with sustainable $10 per share cash flow, mortgage your house and buy all the shares you can find. This co is standing at 33% cash flow return. 6. Personally I prefer the price not to go up so I can accumulate every year cheaply and watch it explode.
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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....
Fabien Wong
2,012 posts
Posted by Fabien Wong > 2013-08-02 21:03 | Report Abuse
Congrats kevin!!!