Posted by Icon8888 > 2019-07-08 18:26 | Report Abuse

3iii is a fool

Posted by 3iii > 2019-07-08 18:27 | Report Abuse

I love and embrace High reward low risk situations

Posted by 3iii > 2019-07-08 18:28 |

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Posted by Icon8888 > 2019-07-08 18:30 | Report Abuse

Or maybe an asshxle

Posted by 3iii > 2019-07-08 18:32 |

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Posted by stockraider > 2019-07-08 18:52 |

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Posted by 3iii > 2019-07-08 18:59 |

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Posted by stockraider > 2019-07-08 19:12 | Report Abuse

Correctloh Armada & insas are good buy as per Peter Lynch advice loh..!!

Posted by 3iii > Jul 8, 2019 6:59 PM | Report Abuse

Repost the advice by Peter Lynch.

1. Consider concentrating your efforts on finding fast growers. If bought at the right price, some of these can become 'tenbaggers' - shares that multiply your investment ten times over.

2. Otherwise, look for turnarounds and perhaps the occasional asset play.

3. Consider trying to avoid holding cash. It is better to stay fully invested by putting any spare money into stalwarts. That way, you will not miss out on rising markets.

4. Avoid slow growers (too unprofitable) and cyclicals (too hard to time).

In summary, Peter Lynch advises:

1. Look to invest into these classes of companies in this order of priority:

Fast grower > Turnaround > Asset play

2. Avoid staying in cash, instead park your spare cash in stalwarts.

3. Avoid slow growers (too unprofitable) and cyclicals (too hard to time).

Posted by 3iii > 2019-07-09 13:31 |

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Posted by 3iii > 2019-07-09 23:12 |

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Posted by stockraider > 2019-07-09 23:14 | Report Abuse

Insas

At 81 sen per share V NTA RM 2.54
Number of Share: 693.33m
Market Capital (RM): 561.60m V NET CASH RM 550M

What do you get for this price?
IN ADDITION U GET INARI WITH A MKT CAP OF RM 600M EXCEEDING INSAS MKT CAP OF RM 562M...REMEMBER INARI HIDDEN RESERVE NOT BOOK INTO INSAS BOOK YET.

(A) From 2014 to 2018 (5 years)
Total Net Income 600.458 m (120.09 m per year)
Total Net Operating Cash Flow 186.175 (37.233 m per year)
Total Capex 63.028 m (12.6 m per year)
Total FCF 123.147 m (24.6 m per year).

(B) Balance Sheet 31.3.2019
Total Assets 2,357 m
Total Equity 1,724 m REMEMBER MKT CAP ONLY RM 562M. HUGE MARGIN OF SAFETY OR UNDERVALUATION OF RM 1162M LOH....!!

(C) ROA & ROE
ROA = 120.09 / 2,357 = 5.09%
ROE = 120.09 / 1,724 = 6.96%
REMEMBER PE 8X AND DIVIDEND YIELD 2.5% PA MUCH SUPERIOR THAN NESTLE PE 50X AND DIVIDEND YIELD 1.9% PA


(D) Valuation
P/E = 561.6 / 120.09 = 4.7x. NESTLE PE 50X
P/BV = 561.6 / 1,724 = 0.3255 REMEMBER NESTLE TO BOOK 37X VERY OVERVALUE

FCF yield = 24.6 / 561.60 = 4.38% REMEMBER NESTLE FREECASH YIELD 2.3% LOH...!!

CONCLUSION INSAS VALUATION IS MUCH SUPERIOR THAN OVERVALUE NESTLE LOH..!!

IF U INVEST IN INSAS , REMEMBER U GET NTA PER SHARE OF RM 2.54 PER SHARE WITH NET CASH OF RM 0.79 PER SHARE PLUS INARI INVESTMENT WORTH RM 0.86 PER SHARE LOH..!!

HUGE POTENTIAL UPSIDE RERATING APPRECIATION FOR INSAS LOH...!!

Posted by stockraider > 2019-07-09 23:34 | Report Abuse

BERKSHIRE HATHAWAY (B) Balance Sheet 31.3.2019
Total Assets 738,724 m
Total Equity 368,877 m V MKT CAP 527,260M.
THERE IS NO MARGIN OF SAFETY FOR BERKSHIRE BASED ON BOOK VALUE.

INSAS HATHAWAY (B) Balance Sheet 31.3.2019
Total Assets 2,357 m
Total Equity 1,724 m REMEMBER MKT CAP ONLY RM 562M.

INSAS HAS HUGE MARGIN OF SAFETY OR UNDERVALUATION OF RM 1162M COMPARE TO BERKSHIRE TRADING AT A PREMIUM LOH....!!

C) BERKSHIRE HATHAWAY ROA & ROE
ROA = 23,398 / 738,724 = 3.17%
ROE = 23,398 / 368,877 = 6.34%

C) INSAS HATHAWAY ROA & ROE
ROA = 120.09 / 2,357 = 5.09%
ROE = 120.09 / 1,724 = 6.96%

INSAS ROE AND ROA IS MORE SUPERIOR THAN BERKSHIRE MEANING INSAS PERFORMANCE IS AS GOOD AS BERKSHIRE IF NOT BETTER LOH...!!

(D) BERKSHIRE HATHAWAY Valuation
P/E = 527,260 / 23,398 = 22.5x
P/BV = 527,260 / 368,877 = 1.43

FCF yield = 21,739.6 / 527,260 = 4.12%

(D) INSAS HATHAWAY Valuation
P/E = 561.6 / 120.09 = 4.7x
P/BV = 561.6 / 1,724 = 0.3255

FCF yield = 24.6 / 561.60 = 4.38%

VALUATION WISE INSAS BEAT BERKSHIRE ON BETTER PE, LOWER PRICE TO BV AND HIGHER FREECASH FLOW YIELD.


FINAL CONCLUSION; INSAS HAS A MORE SUPERIOR VALUATION THAN BERKSHIRE AND MUCH HIGHER MARGIN OF SAFETY LOH...!!

THUS WE CAN SAY INSAS IS AS GOOD AS BERKSHIRE LOH...!!

Posted by 3iii > 2019-07-10 09:26 |

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Posted by 3iii > 2019-07-10 13:30 | Report Abuse

Comparing Nestle and QL from years 2014 to 2018 (5 years)



Revenue growth: Nestle + 14.8% QL +32.8%
Net Income growth: Nestle + 19.8% QL +28.8%
NOCF growth: Nestle +20.6% QL +35.5%
Average annual Capex: Nestle 198.7m QL 269.5m (trend increasing)
FCF: Nestle + 82% QL negative FCF
Cash Dividends (2018): Nestle 644.9m QL 90m
Cash Dividends Trend: Nestle +17% QL +141.7%
avg annual DY: Nestle 1.83% QL 0.5%
Market Cap: Nestle 34.82B QL 11.03B
FCF yield: Nestle 1.81% QL -0.196%
Price: Nestle $148.5 QL $6.84

Posted by 3iii > 2019-07-24 13:39 |

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Posted by 3iii > 2019-07-24 15:39 |

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Posted by 3iii > 2019-07-24 15:45 |

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Posted by 3iii > 2019-07-24 15:50 | Report Abuse

Although 8% may seem a disappointing rate of return to locker-room braggarts, it appears high when viewed as a return on productive investment, rather than on financial investment. While businesses often target higher returns on investment than this, they rarely achieve them.


An average return of 8% per annum before inflation is a demanding, but not impossible, target for the intelligent investor. The inflation target is about 2%, so that a corresponding real return is between above 6%.

An 8% return will turn $100 into $215 in 10 years and a 6% real return will add 80% to the purchasing power of your savings in a decade.

Posted by Fabien "The Efficient Capital Allocater" > 2019-07-24 15:51 | Report Abuse

Given the current environment, late economic cycle, perhaps holding cash is not a bad decision afterall. for one, you could protect yourself from the massive drop in asset prices. and secondly, you are in a better position to take advantage of other people's risk aversion. of course, how much allocation to cash is very subjective. no one rule fits all.

Posted by 3iii > 2019-07-24 17:51 |

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Posted by 3iii > 2019-07-24 17:53 | Report Abuse

My competitive advantage is having a very long-term investment approach.

Long term = stock-holding period >5 years and sometimes >10-year buying period for a stock.

Posted by 3iii > 2019-07-24 18:06 |

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Posted by 3iii > 2019-07-24 18:16 | Report Abuse

Four common myths about value investors is that:

1. Value investors only invest in bear markets.

2. Only low price to earnings (P/E) ratio stocks qualify as bargain investments.

3. High-growth businesses cannot be value investments.

4. Value investors never sell stocks short.



Four things that are true about value investors is that:

1. They only invest in business they understand. :thumbsup:

2. They get excited when equity prices are declining. :thumbsup:

3. They first think about the proba-bility of capital loss before thinking about the capital gain.# :thumbsup:

4. They tend to find great bargains in unloved areas of the market. :thumbsup:



# Remember Buffett's Rule No.1 and Rule No. 2 :cash:

Posted by Icon8888 > 2019-07-24 18:19 | Report Abuse

zzzzzz

Posted by 3iii > 2019-07-24 19:12 |

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Posted by 3iii > 2019-07-24 19:58 |

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Posted by 3iii > 2019-07-24 20:03 | Report Abuse

My investing resolutions for this year:

Keep it Simple and Safe.
(must stay within circle of competence)

Don't try to time the markets.
(stay within price vs value)(review returns and strategy)(evaluate opportunities)

Add and invest regularly. (checked)

Only buy quality businesses.
(learn new businesses, search broadly and seek potential young companies)

Buy with intention to hold long term.
(checked)

Remember to take advantage of Mr. Market .
(practise, practise and practise)

Remember to not fall folly to Mr. Market.
(checked)

To welcome volatility as my friend.
(a gift)

To make rational decision.
(stay calm, take a walk, relax and keep smiling)

Not be swayed by the crowd/herd.
(you are on your own)

Posted by Icon8888 > 2019-07-24 20:08 | Report Abuse

Stay home and eat grass ! You cow !

Posted by Icon8888 > 2019-07-24 20:08 | Report Abuse

I better go and finish my lobsters

Posted by 3iii > 2019-07-24 20:14 | Report Abuse

Every investment strategy goes through periods where it works poorly. That’s life. If you have a strategy that always works well, that means:

-You haven’t run it long enough.
-You’re not running enough money.
-You’re not taking enough risk.

Survive through your bad times, and prosper during the times where your intelligent strategy is paying off. Patience is a virtue in investing for the most part.

David J. Merkel, CFA

Posted by 3iii > 2019-07-24 20:23 | Report Abuse

Buffett thinks there are two main factors in assessing management:

-How have their results been?
-How do they treat the company's shareholders? Look also at how management treats themselves relative to the shareholder by reading the proxy circular.

Buffett later went on to say that one of the two or three most important things a Chief Executive Officer does is to allocate capital (i.e., invest money - either retained earnings or new outside capital).

Posted by stockraider > 2019-07-24 20:35 | Report Abuse

Insas is one of the off map anomalies that give u good return loh...!!

What is the anomalies is the huge undervaluation & due to misinterpretation of insas mah ??

There have under estimated and misinterpreted the true potential of this stock loh..!!

Posted by kcchongnz > Jan 23, 2019 10:26 PM | Report Abuse

When asked how he could achieve 50% a year with small sums, Warren Buffett said,

“You have to turn over a lot of rocks to find those little anomalies. You have to find the companies that are off the map - way off the map.”

Posted by stockraider > 2019-07-24 20:42 | Report Abuse

Below is the true Ben Graham margin of safety investing approach adopted by Buffet in the earlier days mah...!!

It has been proven huge success by Ben Graham, Walter scholls and Warren Buffet as one of the best investment approach , If u study the famous book " Intelligent Investment- ben graham describe how it is done loh"

INSAS IS ONE OF THE BEST MARGIN OF SAFETY STOCK U CAN FIND IN KLSE TODAY LOH.....!!

Posted by stockraider > Jul 24, 2019 8:35 PM | Report Abuse X

Insas is one of the off map anomalies that give u good return loh...!!

What is the anomalies is the huge undervaluation & due to misinterpretation of insas mah ??

There have under estimated and misinterpreted the true potential of this stock loh..!!

Posted by kcchongnz > Jan 23, 2019 10:26 PM | Report Abuse

When asked how he could achieve 50% a year with small sums, Warren Buffett said,

“You have to turn over a lot of rocks to find those little anomalies. You have to find the companies that are off the map - way off the map.”

Posted by 3iii > 2019-07-24 21:12 |

Post removed.Why?

Posted by Icon8888 > 2019-07-24 21:17 | Report Abuse

Empty talks give you empty stomach

Posted by kclox > 2019-07-24 21:19 | Report Abuse

Zzzzzzzzzzzzz

Posted by 3iii > 2019-07-24 21:45 | Report Abuse

Although Warren Buffett had stronger percentage returns in phase I, I would say he created way more wealth in dollar terms, during phase II. The first phase made Warren Buffett a millionaire but the Buffett Prime stage is what put Buffett on the map. This is the phase when Warren Buffett bought large, dominant, companies like Washington Post, American Express, and Geico.
Warren Buffett used to be 100% Benjamin Graham during phase I, whereas he started being influenced by Philip Fisher and Charlie Munger during the 1970's (and early 60's to some degree). Fisher and Munger instilled growth investing into Warren Buffett. Whereas Graham had a singular focus on the strength of the balance sheet and quantitative factors, Fisher/Munger taught Warren Buffett to look at earnings power and qualitative elements. Warren Buffett started to realize, and put into practice, the notion that earnings power and qualitative factors (such as brands or intellectual property) gel to form a powerful moat. The notion of a moat may have been used in earlier times but it really became powerful when you focus on earnings power and hard-to-measure qualitative elements.

Buffett also started buying companies, not way-below intrinsic value, but close to intrinsic value. Instead of buying weak companies that are significantly undervalued, he started buying great companies at fair or slightly-below-fair-value prices. If you were able to get a great company for a fairly reasonable, albeit not extremely cheap, price, it also meant that you could hold on to them for a long period of time. Great companies have long lifespans and high return on equity so it didn't make sense to sell these golden geese just because they hit intrinsic value.

Posted by 3iii > 2019-07-24 22:20 | Report Abuse

"A lot of great fortunes in the world have been made by owning a single wonderful business. If you understand the business, you dont need to own very many of them."

Posted by 3iii > 2019-07-24 22:29 |

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Posted by 3iii > 2019-07-24 22:39 | Report Abuse

http://www.investlah.com/forum/index.php/topic,44103.msg857678.html#msg857678

Padini vs Bonia

Posted by 3iii > 2019-07-24 22:46 | Report Abuse

Investment Education

MBA’s have been taught a lot of nonsense about investing.

If Buffett were teaching about investing, he would teach two courses:
1.How to value a business
2.How to think about market prices

Ray Kroc did not think about options; he thought about how to sell more hamburgers.

You must know the difference between which businesses can be valued and which cannot. Buying cheap businesses works.

Posted by 3iii > 2019-07-24 22:59 |

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Posted by 3iii > 2019-07-24 23:42 |

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Posted by 3iii > 2019-07-24 23:59 | Report Abuse

some people run the BuffettMunger screen:

(1) Have at least 10 years of profit and book value growth
(2) Possess High Returns on both Equity and Total Capital
(3) Are priced with the highest current rate of return (yield)
(4) Have a favorable outlook going forward

Posted by 3iii > 2019-07-25 00:17 | Report Abuse

http://www.investlah.com/forum/index.php/topic,29171.msg775947.html#msg775947


Raider,
u totally miss the point. i meant, if both u n iiinvestsmart started out at the same moment, u might outperform him in the very short term. today, there is no where even near the returns u hav even compared with the returns on just his dividends.

imagine this, in his portfolio u hav stocks bought at 2.00 paying dividends of 1.80(today), imagine next year. what is that return? your 30% or even 40% return (one off) isnt even.......close!!!!

Posted by 3iii > 2019-07-25 14:50 |

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Posted by 3iii > 2019-07-26 16:01 | Report Abuse

>>>
Quote from: stockraider on February 27, 2012, 07:34:32 PM
Raider is amaze of alot of people says D lady fair price is Rm 25-30.....but how is this valuation derive leh ???

Another thing if the fair price of Dlady....is RM 27.50 (current mkt price).....what is the TP leh ??

Is there any margin of safety buying at Rm 27.50 ah ? If yes how ?

>>>



Today, DLady is trading at 64.00 per share.

Market Capital (RM): 4.096b
Number of Share: 64.00m
EPS (cent): 201.74 *
P/E Ratio: 31.72
ROE (%): 92.54
Dividend (cent): 200.000 ^
Dividend Yield (%): 3.12
Dividend Policy (%): 0
NTA (RM): 2.180
Par Value (RM): 1.000


Using historical cost of $27.50 per share in Feb 2012,
its

DY based on historical cost = $2 / $27.50 = 7.3%.

Was DLady overpriced in 2012?

Was $27.50 in 2012 expensive?

Was $27.50 in 2012 at a price which might lead to low reward/ high risk situation?

Was $27.50 in 2012 a price that did not provide a margin of safety?

What was the intrinsic value of DLady in 2012?

Posted by 3iii > 2019-07-26 16:02 | Report Abuse

>>>

>>>
Quote from: stockraider on February 27, 2012, 07:34:32 PM
Raider is amaze of alot of people says D lady fair price is Rm 25-30.....but how is this valuation derive leh ???

Another thing if the fair price of Dlady....is RM 27.50 (current mkt price).....what is the TP leh ??

Is there any margin of safety buying at Rm 27.50 ah ? If yes how ?

>>>



Today, DLady is trading at 64.00 per share.

Market Capital (RM): 4.096b
Number of Share: 64.00m
EPS (cent): 201.74 *
P/E Ratio: 31.72
ROE (%): 92.54
Dividend (cent): 200.000 ^
Dividend Yield (%): 3.12
Dividend Policy (%): 0
NTA (RM): 2.180
Par Value (RM): 1.000


Using historical cost of $27.50 per share in Feb 2012,
its

DY based on historical cost = $2 / $27.50 = 7.3%.

Was DLady overpriced in 2012?

Was $27.50 in 2012 expensive?

Was $27.50 in 2012 at a price which might lead to low reward/ high risk situation?

Was $27.50 in 2012 a price that did not provide a margin of safety?

What was the intrinsic value of DLady in 2012?


>>>



Why was buying DLady at $27.50 in 2012 a good investment today, on hindsight?

Posted by 3iii > 2019-07-26 16:06 | Report Abuse

>>>
Quote from: stockraider on February 20, 2012, 02:10:15 PM
ORIENTAL REAL VALUE ABOVE RM 10.00 MAH....!!!
>>>


.. and today Oriental is priced at 6.60 per share.

Why?

Posted by 3iii > 2019-07-26 16:11 |

Post removed.Why?