US: Economy grows most since ’03 on consumer-spending gains. The USeconomy roared into overdrive in the 3Qas consumer and business spending fueled the biggest expansion in more than a decade. GDP grew at a 5% annual rate from July through Sept, the biggest advance since the 3Qof 2003 and up from a previously estimated 3.9%, revised figures from the Commerce Department showed. Consumer spending is poised to grow in 2015 as stronger employment and lower gasoline prices boost household buying power, one reason why the Federal Reserve will probably raise interest rates next year. (Bloomberg)
Since the RM dropped against USD.. it is good time for export orientated company. Decided to go in at RM1.18 At this price, the dividend is still very impressed at 6.5%+ . I expect will get better dividend for this year as 70% of the product is to US
http://klse.i3investor.com/blogs/cimbresearchklse/62448.jsp Classic Scenic (CSB) is a typical Warren Buffett-type company. It operates in a profitable niche industry with minimal capex and strong free cashflow. Berkshire Hathaway's Larson Juhl is CSB's third- largest customer. CSB offers investors dividend yields of almost 10%. Warren Buffett bought the US picture framing giant, Larson Juhl in 2002, citing superior economics as his reason. Investors have the same chance today in CSB. CSB has paid total dividends of 47 sen over the past five years, representing 40% of its current market cap. Combined with its net cash of 13 sen/share, this solid dividend-yielder could be worth RM1.53-2.06, based on SOP, offering investors 31-76% upside.
No, don't think so. In 2004 annual profit RM13m, In 2014 RM9.9m. 2004 to 2014 up and down lingering between 7 to 14m. Time this company is not growing for 10 years! Both in terms of revenue and profits.
It is true for the past and hopefully will change after resignation of executive director and co-founder Lim Chee Khoon will bring more hope to CSC (saw a record high of it share price) . It directors are started acquired the share from 23rd Dec 2014 onwards. With present market uncertainty, it is not a bad choice if the price is very reasonable with good dividend. This share is suitable for middle term
i plan to buy , u pulak sold it ... i think can get more ler this stock ... for once i bot this share at 30+c and sold all of them around 80C ... hahahahha ... very regret ... so now want to buy in again ..
Review of recent performance after less than a month, it is on the right path. The Coming q result should much better and hopefully better dividend which will become a booster to move further up.
CSB sells over 90% of its products in US$, even to non-American locations, such as UK and Australia. As is typical of an export industry, it is a beneficiary of a strong US$ and a weak RM. For every 1% appreciation in the US$ vs. RM,CIMB research estimates that CSB’s revenues and earnings will rise by 0.9% and 3.8%. As the wooden picture framing industry is already matured in North America, CSB’s revenues should remain stable, in line with fluctuations in the US consumer spending cycle and the growth of its major US customers – Michaels Stores, Hobby Lobby and Larson Juhl.
Its products are zero-rated for the purpose of GST calculation as 98% of its revenues are derived from exports. Expect a stronger 2H as customers ramp up orders ahead of the Christmas sale period. Full-year FY14 revenues should exceed RM60m, while net profit should surpass Rm11m.
---CSB’s balance sheet has been in a net cash position since its listing in 2004. As at end-Sept 14, the company was in a net cash position of RM18.4m or 15.3 sen per share. It has no outstanding debt or dilutive warrants.--- ---Believe final dividend of 5-6 sen per share is possible, which will translate into a full-year dividend of 10-11 sen (8.8-9.6% annual dividend yield).---
Financial year end net profit 10.116 million (increased 10.75%) .
Why pick CSB? -Has an excellent track record of capital management, having paid out dividends of at least 90% of annual net profits since 2009.
-Potentially commencing quarterly dividends, which will further add to its dividend appeal and boost its trading liquidity. -Experienced and conservative management, -Beneficiary of recovery in US consumer spending, -Strong free cashflow with minimal capex, -Beneficiary of a strengthening US$, -Net cash balance sheet,
at current situation of malaysia economy, its better invest my $$$ at this share rather than keep at FD which is around 3.3%. Cscenic ave dividend payout per year is about 6.25%.
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....
Ericapek
34 posts
Posted by Ericapek > 2014-11-19 15:44 | Report Abuse
any idea on the dividend calculation?