to me they are super cash rich.. if they don't increase dividend anytime they can get into the same business Heng Huat is doing Sabah is not short of palm plantations.
management very focus, only do what they do best. not interested to do other business.have surplus cash, distribute to shareholders. Thats what sholders really want.I like.! Why ask them to diversify to plantation business. They are not expert in plantation busines.its better we use the dividen received and invest direct to plantation company.
zzas..its not plantation business (heng huat uses waste from plantation EFB (empty fruit bunch) from the palm processing mills...kernels etc...to make money!)
From the looks of it, the management has no intention for aggressive expansion, so unlikely to see any strong growth. Quarter operations review confirmed that the increase in sales and profit are mainly because of higher average selling price, higher gross margin and forex gain. Sales volume remain similar, perhaps slight growth.
If management decide to go into plantation or doing something that foolish, im the first to sell.
The mgt has missed a great opportunity to execute their 10% share buy back now that the share price is trading very close to fair value, but i still believe increasing dividend or doing a lumpsum cash release or bonus issue is the right thing to do for the company and shareholders.
unexpected dividend, I tot if it can announce another 5sen to 8 sen at year end is very good already. Give 10 sen interim wor. kakaka. then year end another dunno how many sen. kakaka, siok!!!
Possible limit up ? Earning so much 9cts. Assume every quarter 9 cts, one year 36 cts. Target of RM3.60 (PE 10) can be achieved easily ^^ . Very very good and generous company. Applause to the management team and their workers.. cheers
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....
RosmahMansur
2,870 posts
Posted by RosmahMansur > 2015-11-17 22:58 | Report Abuse
IV is RM 3.55. Pls buy