Gearing ratio is one of the concern for me too.
For example, Megan has a very low PE ratio but its high gearing really scary
However sometime high gearing is due to rapid expansion of the company - so again it depends on the risk appetite of investors I think

Yup you got that spot on.

Gearing / Debt of a company (whether long term or short term) have been included in the calculation of the NTA.

Normally if a company have high debt, NTA will be low numbers or even worst in Negative.

Another major issue is its management team. Without a good management team, no matter how its profitability, surely one day they will use up the resources. eg. previous UEM also gain a lot of gov project and $$ but poorly managed the company has brought down the company and need gov to bail out. Last time people also said UEM is blue chip also is one of the foreigners fund liking since it is backed by gov and getting almost all the big project and its share traded at RM1x.xx but when market crisis unfold during 97, all minority shareholders suffers almost their investment in it, since then, it has been delisted. I forgot how much it last traded, a ringgit or two?

Cashflow a company also an important factor, profit does not equal to cash flow. Some people might not realise it, a profit sometimes is just a paper profit, not actual getting cash from it eg. TNB got huge foreigner currency debts, when ringgit appreciated then it will generate paper profit from it since it needs to pay less but did it getting cash from it, no!. So, sometimes don't be fooled by its profit. That's why people asked why TNB getting billion of profit but still need to raise their tariff since it faced cash flow problem.

A handful of local analysts are sometimes a joke (but not all, some still putting quite good recommendation) no depth, just follow what market said. Just like now when market has gone up then said market is quite bullish and share price still has potential to go higher, still can buy, hey, people already gaining from it (10-20%) already, now only recommend people to buy it, buy high, sell low? but no recommendation at all when market is mostly quiet time at 8xx last year.

There are plenty more issue can be discussed in share investing. Long stories.

This post has been edited by cherroy: Nov 17 2006, 03:19 PM

u hv to understand the company is which industry...purely looking at gearing will not bring u anywhere...importantly, look at the cashflows n business plans...go AGM not only makan..exercise ur rights as shareholder........

arr... I dun know so much stuffs lah. But what I see today really no good!!! Most shares I bought show me (the red digits)...

same with me
patient my friend
wat goes down
will go up

At the current market situation, we can forget about strategies. This is a blind bull rush. Many predicts it will return to norm soon. Prior election everything will look good.

do anyone here have a list of all the GLCs?

Vexus,

You still have NOT learn anything. UEM was a highly profitable company during 97/98. It became unprofitable when it was forced to bail out Renong.

So, UEM is profitable now. How certain are you that it will not be asked to bail out someone again.

Dreamer

i say u invest in UEM stock market u get a gain now. UEM stock market is rising up. But you don'e expect longterm investment. Just do it short term. play around with UEM stocvk market for 2month+ and let go.

Did you read the annual report of UEM World & UEM Builder??

U're not stu**d I know but there's always a someone who is.......

Which UEM were u referring to?
Doing forget, UEM is separated into UEM World & UEM Builder now.
Anyhow, for FY2005, both of them are losing money, in the 9 figure region.

Well, to all who are new but interested with the stock market. Remember these facts:

1) KLSE are full of short-term players & speculators.
2) In KLSE, good shares sometimes don't gain but bad shares fly sky-high.
3) The SC are full of crooks.
4) Do homework, don't follow rumours. A 1-time lose would render all your previous gain back to 0.

Edited by Geminist: Posts merged

5)Beware of syndicates that play in the share market

For long term investment , go for foreign manage companies(I dun mean run by Sillyporeans) BAT, Nestle Digi etc buy into these co's in bear market.

Ok guys,... since this thread is Stock Markets in Malaysia. This post consist of some shares I've been checking so far. Any opinions about these shares, or got any information please talk here. No private information or discussion at all. Thanks a lot.

AIRASIA-CA
AIRASIA
MRCB
PBBANK-01
PBBANK
LBS
RHB
PUNCAK
FBO
PPB
OSK
COCOLND
YILAI
KAF
IDAMAN
IRIS
SCOMI
AMMB
UEMBLDR
TIMECOM
CAROTEC
TIME
BURSA
UEMWRLD
PLUS
SWEEJOO
COASTAL
CENBOND
HLBANK
KFC
KBB


Posting these information does not consider as private and confidential right? What you guys think?! The thing is,... are these shares good? That is what my main concerns all about.

Interesting bits is, I said before... no UEM. But my agent keep saying UEM?!

Thank you very much.

UEM is the blindman's choice. Probably had the Pg 2nd bridge project in their bag.

From your list, Airasia and PBB tops my list of portfolio. . Good luck on the others.

The list is a bit too long, for individual you can't monitor all the counters, the most is 10-20 counters, bare in mind when you bought their shares, you need to follow their business activities as well as their performance. Shortlisted into few then start picking what you want.

However, among the list, personally think that only PBB, PPB are considered quality stock and well managed. Airasia is a bit expensive at Rm1.50, and its business nature is quite vulnerable to oil price. But if you see oil price can drop to below USD50 then might consider. Others espeically like UEM, Time, Timedotcom, MRCB are more on political side, 'goreng' type.

For PBB-O1 is same as PBB, PBB-O1 is mean for foreign ownership which is cap at 30%, however local people/fund also can buy it. Previously, when there are plenty of foreign interest in the stock market, PBB-O1 has premium of a few ten cents to a ringgit more.

With your words, guess I would put Airasia and PBB as top priority too.
I got an idea now, when this section got many investers. Then we pick one share to invest. My capital is not big enough to raise it. But with invester001, invester002,... investerZZZ. The capital accumulated is handsome. Hit it hard, and see how?!

The problem is,... by doing this. Is this legally okay?! I'm not so sure... ?! Mind to teach me something? Anyone?!

don't quite understand, mind to elaborate.

i meant,... now i seeing you, cherroy,... and Grengo01 too. We all might be investers for any shares on the market. However, since our capital is not big enough. I mean, i myself lah, actually I could only buy 3 or 5 units of 1 share. However, when this forum grown. Many investers might be seeing what we talking/discussing here. So, we choose one share. Then, all investers buying it at the same time. The amount of units bought would increased so much. Then, others investers ain't stupid too. They would following the step too. Hence, share price would increased, right?

Thing is,... is this action legal?! My way of doing things is,... all by law. Illegal one, i won't do. Make the games fair the better.

Now clearer??!

I only buy PBB.

Dreamer