Monday, September 28, 2009
Thursday, September 24, 2009
Automative Industry
The recent run up of some automotive counters trigger some market interest especially the "taiko" -PROTON moved from RM2.9 to RM4.50. After screening through some of the companies, belows are my selection for those interested in automotive counters:
1. SUNCRN
2. DELLOYD
3. NHFATT
4. APM
1. SUNCRN
2. DELLOYD
3. NHFATT
4. APM
Wednesday, September 23, 2009
Warrants.
Warrant Expiry Date Exercise Price Closing (23/9) Underlying Share
BRDB-WA 26/09/2012 RM1.10 RM0.605 RM1.69
TGOFFS-WA 07/04/2016 RM0.55 RM0.860 RM1.29
RAMUNIA-WA 19/12/2014 RM0.51 RM0.260 RM0.49
My basis of considerations:
1. Expiry date : more than 3 years.
2. Underlying share : BRDB and TGOFFS posted profit for the past three years. As for Ramuinia, I believe the SIME-Ramunia "story" still intact.
3. Trading at low premium after conversion except Ramunia-wa.
4. From now till the next 3 years, I think there will be atleast a few rounds of uptrend for our KLSE.
5. Do not put all your money in these counters. My advice will be 10-20% of your fund for this kind of risky counter or use whatever gain from previous investment to try your "luck".
Abritraging opportunity:
Ramunia-PA (20/12/2009), PA trading at RM0.43, conversion 1:1, Underlying RM0.49 ( provide 13% potential return for 3 months), provided RAMUNIA share price hold RM0.49 and above.
BRDB-WA 26/09/2012 RM1.10 RM0.605 RM1.69
TGOFFS-WA 07/04/2016 RM0.55 RM0.860 RM1.29
RAMUNIA-WA 19/12/2014 RM0.51 RM0.260 RM0.49
My basis of considerations:
1. Expiry date : more than 3 years.
2. Underlying share : BRDB and TGOFFS posted profit for the past three years. As for Ramuinia, I believe the SIME-Ramunia "story" still intact.
3. Trading at low premium after conversion except Ramunia-wa.
4. From now till the next 3 years, I think there will be atleast a few rounds of uptrend for our KLSE.
5. Do not put all your money in these counters. My advice will be 10-20% of your fund for this kind of risky counter or use whatever gain from previous investment to try your "luck".
Abritraging opportunity:
Ramunia-PA (20/12/2009), PA trading at RM0.43, conversion 1:1, Underlying RM0.49 ( provide 13% potential return for 3 months), provided RAMUNIA share price hold RM0.49 and above.
KURNIA ASIA
If you beleive Capt. Chai, the new CEO of Kurasia able to turn around the company, then maybe we can expect the share price to move back to RM1.00.
Kurasia share price has been slowly moving from RM0.60 to RM0.75 . It look like some activities to accumulate this counter.
RM1.0-RM0.75=RM0.25 ( 33% upside)
If the company able to deliver positive/better result for coming quarterly financial annoucement (ended 30-9-2009), then we should consider this stock.
Kurasia share price has been slowly moving from RM0.60 to RM0.75 . It look like some activities to accumulate this counter.
RM1.0-RM0.75=RM0.25 ( 33% upside)
If the company able to deliver positive/better result for coming quarterly financial annoucement (ended 30-9-2009), then we should consider this stock.
Saturday, September 19, 2009
Proton...finally
Proton share price move to RM4.50 level followed by annoucement. Take profit at this level for those entered at RM2.90 ( 55% return within 1 month).
If you wish to wait for RM5.00, my advice will be.... cash out atleast 70%.
Go for other counters / opportunities ( either in Malaysia or foreign market).
If you wish to wait for RM5.00, my advice will be.... cash out atleast 70%.
Go for other counters / opportunities ( either in Malaysia or foreign market).
Tuesday, September 15, 2009
APB-Resources BHD ( share price:RM0.97)
Background:
APB Resources Berhad and its Subsidiaries (APB Group) are involved in the fabrication of specialized design engineering equipment for petrochemical process industry, chemical industry, oil palm processing industry, paper mill industry and power generation industry, and the provision of non-destructive testing services.
APB Resources Berhad is listed on the Main Market of the Bursa Malaysia Securities Berhad.
Suitable for mid-long term investors :
1. dividend yield of 6-7% p.a based on RM0.97 closing price.
2. EPS for cummulative three quarter @ 13 cents / shares.
3. potential to increase capacity with additional land acquired and increase in its EPS.
4. No borrowing. Net cash position of approximately RM0.40 per shares.
Risk : counter illiquid.
If the company management able to secure more contract for coming months, I think the potential is there. 12 months target price : RM1.30 of its NTA
APB Resources Berhad and its Subsidiaries (APB Group) are involved in the fabrication of specialized design engineering equipment for petrochemical process industry, chemical industry, oil palm processing industry, paper mill industry and power generation industry, and the provision of non-destructive testing services.
APB Resources Berhad is listed on the Main Market of the Bursa Malaysia Securities Berhad.
Suitable for mid-long term investors :
1. dividend yield of 6-7% p.a based on RM0.97 closing price.
2. EPS for cummulative three quarter @ 13 cents / shares.
3. potential to increase capacity with additional land acquired and increase in its EPS.
4. No borrowing. Net cash position of approximately RM0.40 per shares.
Risk : counter illiquid.
If the company management able to secure more contract for coming months, I think the potential is there. 12 months target price : RM1.30 of its NTA
Friday, September 11, 2009
Stock Watch: Affin Bank
Why?
1. Strong shareholders- LTAT, Boustead and Bank of East Asia (HK)
2. Public spread - major shareholders hold most of the shares and easy to "push" when any annoucement is made.
3. PE - low PE (8X based on RM1.93), industry PE is 14X for 1st tier bank. IF, given PE of 10X, price may move to RM2.40. PE 12X, target price RM2.88
Any Risk?
Strong shareholder back-up. Don't worry.
If you are looking at 14-20% return within 3 months...Good TRY
1. Strong shareholders- LTAT, Boustead and Bank of East Asia (HK)
2. Public spread - major shareholders hold most of the shares and easy to "push" when any annoucement is made.
3. PE - low PE (8X based on RM1.93), industry PE is 14X for 1st tier bank. IF, given PE of 10X, price may move to RM2.40. PE 12X, target price RM2.88
Any Risk?
Strong shareholder back-up. Don't worry.
If you are looking at 14-20% return within 3 months...Good TRY
Tuesday, September 8, 2009
CPO..rebounded.
CPO today closed higher. Crude Oil and Soybean oil rebounded due to weak USD$.
US will need a weak currency in order to boost export to help its economy atleast for period of 1-2 years. Therefore, we need to be caution about the commodity prices as we can not expect a low commodity price during recovery period.
As for CPO, I think 2100 level is the immediate strong support (worst case scenario is 1835 level for short period of time only).
Trading range for this week is 2127 - 2248. If 2248 break, then the next level will be 2300.
US will need a weak currency in order to boost export to help its economy atleast for period of 1-2 years. Therefore, we need to be caution about the commodity prices as we can not expect a low commodity price during recovery period.
As for CPO, I think 2100 level is the immediate strong support (worst case scenario is 1835 level for short period of time only).
Trading range for this week is 2127 - 2248. If 2248 break, then the next level will be 2300.
After Proton...Can DRBHCOM Move?
Fundamentally DRBHCOM do not warrant any good value. However, being a GLC proxy, this counter may give us a surprise. Target price RM1.70 given by financeblogspot. It look like accumulation at 1.15-1.20 level. If you are looking at 20% return for short term trading, target price of RM1.44 is achieveable.
Proton today break RM3.50 and hit high RM3.70. Good move and volume increase.
Happy trading and maybe can get some Hari Raya Ang Pow.
Proton today break RM3.50 and hit high RM3.70. Good move and volume increase.
Happy trading and maybe can get some Hari Raya Ang Pow.
Monday, September 7, 2009
CPO..Time To Rebound?
After three weeks of selling pressure, CPO Nov 09 contract closed at RM2130. (15-8-09, CPO still trading at 2400-2500 level). The next support level should be 2099, 2050 and 2000 level. If OPEC decided to cut output, crude oil may sustain at USD$68 level and CPO may sustain at 2100-2155 level. Time to LONG CPO for short term trading and SHORT level should be 2175 and above.
Friday, September 4, 2009
Proton...Really Want To Try RM4.00? 4-9-2009
Proton share price has been hovering around RM3.00 to RM3.10 for 2 weeks and finally break RM3.10 level and touch RM3.30. Today closed RM3.17 with volume 2298 lots traded.
If the share price able to maintain at RM3.15-3.30 level for coming week and with any annoucement to be made, I think the share price may try RM3.50 level next week.
Happy trading
If the share price able to maintain at RM3.15-3.30 level for coming week and with any annoucement to be made, I think the share price may try RM3.50 level next week.
Happy trading
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