i already said earlier... it is too early to conclude that flbhd is not giving any dividend.. if u checked their previous record, flbhd used to declared dividend slightly later also in past years
cash and cash equivalents is RM98mil. No borrowings. That means this company, you buy now at current market valuation, only 28mil.
Lets say worse case scenario, the company only make 1m per quarter or 4 mil per year till forever. Discount that at 4.5% (Fd/risk free rate rate). The company should still be worth around RM89mil.
Conservative FV: RM89mil + RM 98mil= RM187mil.
Current price of RM125 mil present margin of safety 34%.
Now that is very very conservative, assuming profit per year only 4mil.
If profit you estimate at say 10mil. Margin of safety goes up to 61%. Or even just 6 mil per annum. Margin of safety is 46%.
Thats a lot.
But of course, remember, what is low can go much much much lower. There are at least 4-5 companies in malaysia trading at less than net cash and cash equivalents. 2 of them is even profitable!
I sapu many many alreday now tooo cheap buyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyyy
I think it's time to nibble some. It has a net cash of 105.9 milliion.(source : isaham net cash). With shares of 103 millions, it work out to be RM1/share. In my opinion, it wont go below RM1 unless there is a big market crash.
The Board of Directors of FLBHD wishes to announce that the Company will be seeking shareholders' approval at the forthcoming Twenty-Eighth Annual General Meeting of FLBHD on the Proposed Renewal of Share Buy-Back Mandate.
A statement to shareholders containing details of the Proposed Renewal of Share Buy-Back Mandate will be despatched to the shareholders of the Company together with the Company's Annual Report in due course.
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....
ivan9511
3,854 posts
Posted by ivan9511 > 2018-02-23 15:34 | Report Abuse
ya wait
not now
price still not strong
below 1.10 only can buy