Investing or Actively Trading?

Investing or Actively Trading?: Despite the fact that I like to think of myself as a long-term investor – albeit with a speculative bent – part of me wishes I took advantage of short-term gains a little more often. Sure, I look for shares with the potential for explosive growth but when that explosive growth comes I rarely think [...]

IPC Corp jumps after tycoon raises stake

IPC Corp jumps after tycoon raises stake: SINGAPORE, Aug 7 — Shares of IPC Corp Ltd surged as much as 18 per cent after Singapore tycoon Oei Hong Leong, who has a reputation as a value investor, raised his stake in the property developer to 25.39 per cent from 23.10 per cent. "People saw the announcement so they might be jumping in, as they think he sees some potential in the company. Oei ...

Botched Russian launch junks two telecom satellites

Botched Russian launch junks two telecom satellites: MOSCOW, Aug 7 ― A botched Russian launch junked two multi-million dollar satellites on Tuesday that were to provide Indonesia and Russia with telecom services, adding to a series of failures that have dogged the once-pioneering space industry. Russia's space agency said the failure of the upper stage of the launch atop its workhorse Proton ...

Britain’s FTSE steady; StanChart slides

Britain’s FTSE steady; StanChart slides: LONDON, Aug 7 ― Britain's top share index was flat in opening deals on Tuesday, as big falls in Standard Chartered offset gains from other banks and mining stocks. The FTSE 100 was up 1.95 points at 5,810.72 by 0716 GMT, having closed up 0.4 per cent on Monday, buoyed by Friday's robust US jobs report and by hopes Spain will request a bailout ...

Spyker sues GM for over $3 bln on Saab bankruptcy

Spyker sues GM for over $3 bln on Saab bankruptcy: AMSTERDAM: Dutch sportscar maker Spyker NV is suing General Motors Co for more than US$3 billion on behalf of its subsidiary Saab, accusing the U.S. automaker of deliberately bankrupting the Swedish group by blocking a deal with a Chinese investor.

SKP Resources Share Price Target Fair Value Research Analysis

SKP Resources Share Price Target Fair Value Research Analysis: Recommended buy by TA Securities, with SKP Resources Berhad share price target fair value of RM0.54. Let us look at the basic information by using the PEGGY Method and SKP Resources share price RM0.335:

PE: PE ratio is 9.8x (2012 March).

G: Growth 31% (2012 – 2013 March), 0.5% (2014) and 18% (2015) Forecast by TA Securities.

G: Gearing, net cash

Y: Yield, SKP Resource dividend yield is 6%

Based on the above, the PE ratio is not very expensive. There is growth potential and the dividend yield also is good.

I have actually include the outstanding warrant SKPRES-WA of 180 million shares, so the PE Ratio is 9.8x. Without the diluted from SKP Resources Berhad warrants, the PE Ratio is 8.2x.

On Sunday 5 August 2012, after reading the report, I wanted to buy on Monday 6 August 2012. Then I did some SKPRes share price checking, and I realised that they have warrants. Upon further check, I realised that the SPK Resources research paper figures are not diluted by the warrant. Then I have some uneasy kind of feeling, felt being don’t know what to say.

If you look at the figures, whether diluted by warrant or not, the difference is not so big. But what if the warrant outstanding is very huge? Although for SKP Resources the difference is not big, I decided not to buy because of don’t know what kind of feeling.

I really hope in research paper, the figures to use are the diluted figures for prudent basis, or to have two EPS, one with diluted, the other without for references. Or to put a remark saying not diluted for warrant. For me, I prefer to use diluted PE ratio.

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DATASONIC Group Berhad IPO

DATASONIC Group Berhad IPO: Datasonic IPO price RM2.00
Opening of application
03/08/2012

Closing of application
17/08/2012

Balloting of applications
23/08/2012

Allotment of IPO shares to successful applicants
30/08/2012

Tentative listing date
03/09/2012

Stock name DSONIC stock code 5216 Main Market    

Next few days if I have the information, I will post more, example the target price fair value, etc.

INITIAL PUBLIC OFFERING IN CONJUNCTION WITH OUR LISTING ON THE MAIN MARKET OF BURSA MALAYSIA SECURITIES BERHAD COMPRISING:
(I) PUBLIC ISSUE OF 20,373,996 NEW ORDINARY SHARES OF RM0.50 EACH ("SHARES") IN THE FOLLOWING MANNER:

• 6,000,000 NEW SHARES AVAILABLE FOR APPLICATION BY THE PUBLIC;

• 4,009,996 NEW SHARES AVAILABLE FOR APPLICATION BY OUR ELIGIBLE DIRECTORS, EMPLOYEES AND PERSONS WHO HAVE CONTRIBUTED TO THE SUCCESS OF OUR GROUP;

• 8,517,000 NEW SHARES AVAILABLE FOR APPLICATION BY BUMIPUTERA INVESTORS APPROVED BY THE MINISTRY OF INTERNATIONAL TRADE AND INDUSTRY;

• 1,847,000 NEW SHARES BY WAY OF PLACEMENT TO SELECTED INVESTORS;

AND

(ll) OFFER FOR SALE OF UP TO 7,932,000 EXISTING SHARES BY WAY OF PLACEMENT TO SELECTED INVESTORS;

AT AN ISSUE/OFFER PRICE OF RM2.00 PER SHARE, PAYABLE IN FULL UPON APPLICATION

Source: Bursa


KUALA LUMPUR (Aug 5, 2012): Datasonic Group Bhd, enroute to a listing on the Main Market of Bursa Malaysia on Sept 3, sees the proposed exercise as a springboard to expand overseas with its eye on Asean and the Middle East, said its deputy managing director Chew Ben Ben.

Chew said the company plans to leverage on its expertise and experience gained from the government's multi-purpose cards projects to expand overseas.

"Right now we have a strong presence in the multi-secured and e-passport solutions. With the listing, we will have a strong foundation to expand our expertise overseas as secure multi-identification and e-passport is a global trend," he told reporters after the launch of Datasonic's prospectus here on Friday.
"We have been invited to work with local partners from the region, but nothing concrete yet," he said.
The company has so far formed partnerships with global ICT players in the US, Germany, Italy, Switzerland, China, Japan and South Korea to exploit opportunities both locally and internationally for the purpose of acquiring new technologies and expanding its business.

As of May 31, the company's orderbook stood at RM531 million. It has recently secured a contract from the Immigration Department to supply new passport polycarbonate data page and laser engraving personalisation equipment.

The ICT solutions provider is looking to raise RM40.8 million from the initial public offering exercise, of which RM27.1 million is for capital expenditure (capex), RM6 million for research and development, RM5 million for working capital and the remaining RM2.7 million for listing expenses.
Under the exercise, it will offer 20.4 million new shares and an offer for sale of 7.9 million shares at an offer price of RM2 each.

Chew said the company plans to use RM8 million of the capex to set-up its new headquarters cum regional personalisation service (RPS) centre. This will enable the group to increase its production capacity by 3,500 cards a day.

"The setting up of the premise will be on our newly acquired leasehold land together with a commercial building, Wisma Sinflora in Petaling Jaya. The new headquarters cum RPS centre is expected to have a built-up area of 16,000 sq ft," he said.

Another RM19.10 million will be allocated to set up a manufacturing plant for the production of smart cards, which is expected to raise its production capacity to 750,000 smart cards a month. However, the location of the manufacturing plant has yet to be identified.

Datasonic also plans to expand the use of e-hospital solutions in local public and private hospitals. Chew said of the 140 public hospitals in the country, only 20 are using the total hospital information solution.

Source: The Sun Daily


For more on Pasukhas IPO, here.
http://politemarket.blogspot.com/search/label/Datasonic


For more information on other recent IPO, here
http://politemarket.blogspot.com/search/label/IPO


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Financial Sector's Biggest Movers: Westpac Banking Corporation (ADR) and More

Financial Sector's Biggest Movers: Westpac Banking Corporation (ADR) and More: On a good day for the market, the Nasdaq has moved up 2.2%, the S&P 500 has climbed 2% and the Dow is up 1.8%. The financial sector is the category of stocks containing firms that provide financial se ...

August 3, 2012 Market Summary

August 3, 2012 Market Summary: Friday, August 3 proved to be a strong day once again for the major index ETFs. Signals are mixed though on different time frames - with certain time frames pointing to a correction, while the two month uptrend seems to be strong and signaling higher prices.

Bought Pantech Share price target fair value RM0.82

Bought Pantech Share price target fair value RM0.82: Recently bought Pantech at RM0.625. Pantech share price target fair value is RM0.82 according to TA Securities Research.

Pantech analysis using PEGGY Method:
PE: PE ratio is about 12x 2012 Feb. Not very high.
G: Growing about 45% (2012 – 2013 Feb), 23% (2013), 10% (2014). Good.
G: Gering about 0.4x. Manageable.
Y: Yield, the dividend yield is about 6% and is improving as the profit grows. Good.
Forecast by TA Securities



Below are my most recent transactions:


Pantech  Buy RM0.625

Innoprise    Buy RM1.83

Boilermech Buy RM0.78
P&O            Buy RM0.915

Padini           Buy RM1.72
TSH              Buy RM2.15

Bstead         Buy RM5.12
Huayang     Buy RM1.57

TSH             Buy RM2.57

Fitters           Buy RM0.87
TSH              Buy RM1.85


Last month my TSH (bought at RM2.57), Fitters and Boilerm are losing money.
Now after TSH and Boilerm prices went up, only Fitters are losing money. I also have Imaspro in my portfolio that is having paper loss.

Besides Fitters and Imaspro, I think all other stocks in my portfolio are making paper gain.

If you noticed, I bought few times TSH recently. I bought Huayang in 2010 and bought again recently. This is my strategy, which is different from many people. Many people will sell if the share price goes up. I will still buy if the stock is good even the share price has gone up.


My performance normally outperforms or performs closely with the performance of KLCI. If there is a market crash now, all my stocks will drop. For example in April and May, most of my recent purchases are making losses. But if the market is up, my stocks normally goes up faster than the KLCI. On a long term basis, I will normally outperform the KLCI.

For information on my Fund Performance, here.
http://politemarket.blogspot.com/search/label/Fund%20Performance%20PEGGY


Normally if my friends follow what I buy, they will suffer great losses. I didn't ask them to follow, but sometimes they follow by their own. You can refer to this article How I Kill My Friends in Stock Market
http://politemarket.blogspot.com/2011/04/how-i-kill-my-friends-in-bursa-malaysia.html


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Believe in the Power of Compounding.

Believe in the Power of Compounding.:

Two friends, E and L are just out of college and have taken up jobs.

From day one, E sets aside $300 every month, which earns him 10 percent per annum.  After 10 years, he stops as he has started a family.

L got married early and did not save anything for a long while.  After 10 years, he began to set aside $300 every month earning him 10 percent per annum.  He continued doing this for the next 30 years until he retired at the age of 60.  

L's investment was $108,000, while E's was only $36,000.

When both retired, who have more money?  

It would seem to be L as he has been saving for 30 years.  In reality, it was E.

At 60, E got $1,051,212 while L got $621,787.

This is the power of compounding which investors normally forget.  

L could not make up for the 10 years that E's money compounded at an annual rate of 10 percent per annum.  

E is an early saver.  L is a late saver.

Many investors ask whether they can build an investment portfolio with a small capital.  

The answer is in order to grow big, you need to start small and stay invested.  The longer you hold the better for you.  Believe in the power of compounding.  

Health is Wealth Bullbear Stock Investing Notes

Malaysia boosts tax free palm quota to maintain exports: Sources

Malaysia boosts tax free palm quota to maintain exports: Sources: KUALA LUMPUR, July 30 – Malaysia will increase shipping quotas for tax free crude palm oil by up to 2 million tonnes this year to help planters cope with an expected increase in output, sources said today as the world’s No.2 supplier struggles to maintain export momentum. The move will lift Malaysia’s total duty free CPO export quota to 5 million ...

HSBC sets aside US$2b for US investigation, mis-selling

HSBC sets aside US$2b for US investigation, mis-selling: LONDON, July 30 – HSBC’s chief executive apologised today for shameful and embarrassing mistakes made on anti-money laundering controls as the bank set aside US$2 billion (RM6.31 billion) to cover the cost of US investigations and compensate UK customers for mis-selling. Europe’s biggest bank reported a 3 per cent dip in underlying profit and said ...

Draghi under pressure to deliver on pledge to save euro

Draghi under pressure to deliver on pledge to save euro: FRANKFURT, July 30 – European Central Bank President Mario Draghi must back up his pledge to do what it takes to protect the euro when the bank’s policymakers meet on Thursday or else face deep disappointment from investors hungry for – and expecting – immediate action. In his boldest comments to date, Draghi (picture) said last week that, within ...

Buy on declines for longer-term investing

Buy on declines for longer-term investing: The market would enter a new intermediate uptrend if the Sensex were to cross 17,325, the Nifty 5,275, and the CNX Midcap Index 7,275.