I supposed that the buyback shares of 1 mil units refer to one amount only despite of the multiple disclosure.
In deed, It is a sign of confidence displayed by the Company. The funds for the buyback can be raised internally, through better financial arrangement. Good. The more creative one could be that the Company had saved those periodical dividend payouts and do more buyback of shares to reduce the issued shares of 1.3 bil units. Consolidate the shares could be an option, like 2 shares to become one share.
Another better situation we may be able to see sometimes in some very good companies, they called it "investment" in the Balance Sheet. These companies have public listed shares of other companies. Even invested in lands also can help, no doubt.
Revaluation of the land and building (need to pay gain tax) and lesser issued shares in the open market can strengthen the Balance Sheet.
By such time, after growing organically and gradually, the value of shares shall be appreciated naturally.
this company now need to decide what he want future, 1. continue pay dividend, share price up slow and warrant useless, not good to get more fund for future expansion 2. buy back share and pay dividend, share price up a lots and make warrant look good to convert to mother share in future, all happy. win win both party. if I am wrong, pls correct me. not educated in market..
TA and Public Bank is giving TP 0.44, now 0.235. 87% Gap. too good to believe but the share is not moving up. wish is keep and restore the energy for rocket high one day
Friends, Thanks for sharing. I learned all those accounting knowledge while in the classroom, in the University . In fact I got an "A" in Financial Accounting but I am not an accountant.
We invest in shares for its future not because of the current performance of the company. Thus, the calculations of PE and EPS will be applied to determine the fair value for a share. Its price will increase on the anticipation that the coming Quarters will be better.
As long we continue to bear in mind the needed effort and can improve the quality of the Balance Sheet, the value will grow and the public will notice it.
QR is part of the Balance Sheet. From this A4 size paper which consist of all the summarized data, you can translate the company's performance into such a lengthy possibilities. SO, the numbers and facts in the Account/Financial Statement are very important. They look at your retained profits, type of assets, balances in the banks, accumulated losses, total liabilities and numbers of share issued, etc.
Some said the investors need to keep the shares for 2 or 3 years before they can enjoy the profits but likely the Company can make it shorter. Who know?
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....
kytan
2,865 posts
Posted by kytan > 2019-12-13 20:59 | Report Abuse
1. Minimum downside 2. Company see the value to buy back 3. Share in market less better to manipulate.