Stock trading as a profession is one where there is no limit on how much money one could lose.

So think before you jump in....

where grass is green for some might not hold true for others.

You take out 50k as capital.
If you lose it all....
would you man up and call it quits....
or would you want to fight to win back your money?

My 2 cents:

It's a different ball game IF your family and yourself are solely dependent on how much profit you can bring in on a daily/weekly/monthly/yearly basis from your trades.

Those with a lot of commitments (e.g service home and car loan, fund kid's college and uni education etc) will have even more psychological stress/pressure. Are you confident to be in the right state of mind to trade every day? How about days when you're very sick?

Even if your trading strategy may be good, but there are some situations (black swans) which may out of your expectations (e.g refer to crazy dips in BAT, Gtronic, MISC). Can you cut-loss on time? Willing to make an immediate realised loss from that or wait till price recovers back? Time is money. How much are you willing to cut-loss (e.g 2% to 30%)? To regain back the amounts that you have cut-loss also takes time.

Lot's of things to consider and lot's of battles and wars to choose. Don't need to be a champ to trade every stock out there all the time. And not necessary to follow the crowd to trade the "favourite" stock of the day/week/month.

The best thing you can do now is to gain more knowledge and experience. Read up and go for courses if you need to. Practice "paper trades".
Don't learn the hard way by burning your hard earned money within a few seconds or from just one trade. Ain't worth it.

There's always online trading nowadays. Dont need to call broker.

Btw, your few friends living the good life may have worked hard to have reach where they are now. I like the phylosophy of the swimming duck, whereby the duck may look calm and composed, but below the surface, the legs are kicking like mad. (Just sharing)

Well said.

Can write memoir already!

This post has been edited by Boon3: Jun 3 2016, 11:58 AM

agreed with giant titan.

just "invest" or "trade" in those that you have read and studied.

dont go in just because my friend say this is good. my aunty say very to make money with that.

you want to trade or invest? very different perspective.

are you a FA guy or a TA guy?

Wah abg boon lama no see

Let me try OKA:
-Net Profit Margin increased from 9% to 13% in latest FY
-Trailing PE is 9, Trailing EPS RM0.13
-Cash is about RM0.17 per share, if exclude cash trailing PE is 7.5
-Perhaps can achieve 10% growth next FY? - Conservative estimate: RM0.13 * 10% growth * PE 10 = RM1.43

A good analysis on the business: http://klse.i3investor.com/blogs/JTYeo/blidx.jsp

Boleh beli ka?

Miss me so much ah?

If got no abg boon then there wont be me . Ada apa tipsy lagi?

Btw hope all is well ya

This post has been edited by cooldownguy86: Jun 3 2016, 09:26 PM

So anyway....
finding our own poison very important la...
have your own criteria how your poison should be...

for example...
run a simple checklist...

1. is there 3 year growth? (up to you la... 5 ka, 4 ka, 3 ka, 2 ka....moto ka... all up to you. )
2. is the trailing numbers showing growth?
3. is the profit margins improving?
4. how is the cash flow?
5. run a simple cash/loans comparison table for recent 3 years...
6. how the dividend history the recent 3 years? is it increasing? (sometimes if got bonus issue, u need to adjust)
etc etc....

if you look at current ratio alone...
you run the risk on betting just based on current form...
and the risk of course is that the current form might not be sustainable.
for example Leicester won EPL. (horay for the under dog)
but could Leicester win again next year?

ps. if got 10% growth next year... should the eps not increase 10% from 0.13?

anyway this is just a simple exercise....
earnings generally across the board is like cow dung.....
very the teruk....
and the market is not EASY for the past few months.....
dun die die trade in a tough market environment cos the market usually will win......

Let's try MYEG:

1. 30% growth for last 3 years
2. 10-15% Q-to-Q growth for the latest 4 qtrs
3. Steady profit margin around 45-50%
4. FCF for the last 3 years - 95mil (FY ending Jun15), 22mil, 34mil
5. FCF to Total Debt Ratio - 7, 1.2, 2.6
6. Increasing dividend for past 3 years if take bonus issue into account

But PE is 43. Apa macam

I no guru la.....

Not all PE same one.
If use PE alone...
One will die many lives trading them China stocks.

So myeg can buy is it?

I used to think 3 to 5 years assessment alone was good.
Then changed it to min 8 to 10 years then add on with TTM. On rare occasions I go beyond 12 years.
Reason bcoz if too short a time frame, what you see may be a beautiful side of a story and not the whole cycle. So there's always a mean reversion and non-linear progress/results. And your assessment must consider those and not merely the beautiful side.

Just my 0.2 cents input.

This post has been edited by TC-Titan: Jun 4 2016, 12:54 PM

CIMB say TP 2.80 based on 3-Year EPS CAGR of 63% & CY16 PE of 24.

https://cimbpreferred.com/index.php?ch=121&...8&bb=attachment

My conservative estimate:
FY16 - 5.5cents
FY17 - 5.5 * 1.2 = 6.6cents
FY18 - 6.6 * 1.1 = 7.3cents - PE28 based on current price
FY19 - 7.3 * 1.1 = 8cents - PE25 based on current price

Growth is likely there, but I think valuation abit stretched at the moment. Apa macam ?

Litrak also just caught my attention.

There's a 60% Q-to-Q increase in profit in the latest Q due to increased (but deferred) toll rate. Next FY EPS should be at least 40cents. If PE15 then should be RM6. But upside limited.

CAGR of 63% !?!



Once i see the alphabet soup formula...
I usually run far far.



PLUS would have been a great stock

Haha. In the same report Evergreen had a CAGR of 790%

Recently no charts posting ah? Miss your charts leh

it's called finding own poison ma...
simple checklist...

so you think 10 years and older is good, huh?

LOL!

CAGR of 790% huh...

really rocket.............


post charts la....
so boring....

LOL!

CAGR of 790% huh...

really rocket.............


post charts?
so boring la..



This post has been edited by Boon3: Jun 4 2016, 03:50 PM