Tuesday, February 22, 2011

Complete Logistic


Latest quarterly report from Complete Logistics show improvement with EPS of 1.96sen compared to 0.90sen the previous quarter. Net profit of 3.4mil. However,revenue drop slightly from 24.3mil to 22.3mil.


This counter offer 3 sen dividend and trading at RM0.43. Assuming forward PER of 7.8sen, it is trading around PER of 5x with dividend yield 7%. Limited downside.

Sunday, February 20, 2011

BSL Corp


Bought BSL Corp at RM 0.37 on 18Feb 2011

EPS at 10.5 sen meaning the stocking is trading at PER of 3.7x only.

Looking at the historical chart, this share should be trading at RM 0.50 and above.

Expected some dividend payout this or next year.

GUH Holdings Berhad


Bought GUH in January at RM1.15. This stock provide consistent dividend yield. The latest is within expectation with trailing EPS of 21.68sen (6.24;4.82;4.84 & 5.79 sen). Closing price at RM1.22 @ 18Feb 2011. PER is at 5.6x. Among the semiconductor counter, it is the most value buy with high cash reserve.


Analysis of the shareholding have several funds having position in this counter like HSBC Pte Limited with 15% stake.


The company had been aggressively buy back its share since 2008 and had since cancelled the 10% treasury it had bought in the open market. Recent development point to the high possibility of breakout of recent high of RM 1.24 in the short term.




Monday, December 6, 2010

High Dividend Counter

Some of the KLSE high dividend counter on my list as below

  • Lii Hen Industry
  • Jaycorp
  • Furniweb
  • Alcom
  • Yong Onn Corp

One thing to look out is the consistently of dividend payout by those companies if their revenue and profit is shrinking as well as their cashflow. High net cash company with minimum borrowing is able to consistently paying out dividend to the shareholder. Aim those with > 6% dividend and look for consistentency.

Dollar cost averaging method would be working well when the share of those high DY counter drop and make the DY even more attractive.

SHH Resources

Bought in SHH Resources @ 0.24 back in August. On 3rd Dec, the company announcement a 2% dividend ex 23rd Dec. DY > 8 % based on 24cents purchase price. It is a value buy since the company NTA at RM1.40 as of 30.09.2010. Borrowing at 14.3million with cash standing at 16.2 million. A definitely deeply undervalue counter.

Setback is low liquidity and stagnant earning growth.

Tuesday, June 15, 2010

Heng Sheng 2nd Birthday
















Coming to the dumpling festival also mark the 2nd birthday for Sheng Boy...We bought him a simple cakes while shopping at Tesco last Sunday which correspond to the 2nd day of 5 lunar month.










Wednesday, June 9, 2010

Investment


In the article "How to triple your money" featured in the current Personal Money June 2010 edition. With the current inflation and cost of living escalating, a common person need wise investment for capital growth and preservation. Normal FD rate currently stand at 3% is not sufficient versus inflation. One of the ways to triple the money is through equity investment which require less capital compared to property investment.
1) High dividend yield share with good fundamental easily provide 5% annual return rate.
Excerpt from The Edge Financial today :-
CIMB said Wellcall was its top small-cap pick for June, adding that in its small-cap universe, Wellcall offered the highest dividend yield of 12% gross and 9% net for CY10. “This should provide strong support for the stock in volatile equity markets. “The share price also enjoys support from its net cash of 32 sen per share, which is equivalent to 26% of its current share price,” it said.
On Asia File, the research house said the global crisis had opened up new opportunities for the company as the weak consumer sentiment in the US and Europe had forced distributors to source for cheaper yet quality supplies, which the group was able to deliver. Refer to the table on the small cap stock pick by CIMB.

2)Defensive earning stocks like Supermax, Adventa & Latexx Partners which is a good pick when there is market correction though there are downside risks as to raw material price and electricity/gas price increase which could trim down the profit margin as well as oversupply due to capacity expansion.