New buy calls issued by Kenanga for Top Glove, Supermax and Harta. Potential upside about +20%.

Please use your own judgment. The PE ratio is sky high.

For e.g. the PE ratio for Top Glove is 71.26.

Yes, Genting is the mother while Genting Malaysia (GenM) is the son. For risk diversification purpose, normally we will buy either one.

If GEnM makes a profit (or loss), this may affect Genting. But since Genting also has other companies in its stable, the losses may be offset by the profits made by the other companies.

Therefore, the perception is that it is "safer" to buy Genting rather than GenM.

This is only my layman understanding. The sifus here can correct me if I am wrong.

AirAsia is a cyclical stock. It fares the worst in an economic downturn. I won’t touch it now if I were you.

Salary cut for all the staffs. It is bleeding badly.

Why take the risk of buying it?

I entered Top Glove, Supermax and Harta last Thursday and Friday. Unrealised profit now at about +RM2205.

Win big or go home.

I missed out buying Bursa although it was on my radar for 2 weeks. Since then, it has gone up about 18%. Too late now to join the party. You can't have it all.

I am not sure about Comfort because I sold it off for around +53% profit. Unless you are following KYY.

Right now it seems to be a play between oil and gas stocks and glove stocks.

I sold off 4 oil and gas stocks for a loss last week i.e. Dayang, Carimin, Velesto and Hibiscus. This morning all the stocks are up between 7% to 21%. In fact, these stocks have been up for the past few days.

It is all a roller coaster ride now.

I think the QR for Top Glove is also tomorrow right?

All I can say again for the 10X times is....please don't play contra and margin trading in the share market, especially in the current volatile market.

A lot of traders/speculators have been burnt before and will continue to be burned because they aimed for a quick kill and got trapped instead.

Only trade or gamble with money that you can afford to lose.

This is only my 2 cents view as usual...

This post has been edited by Vanguard 2015: May 18 2020, 12:47 PM

Noted with thanks for the info.

For me, Comfort is just a trading buy. It is a cyclical stock which benefited from Covid-19.

But the biggest turn off for me is because Comfort is now being heavily promoted by KYY. I suspect that is part of the reason for its meteoric rise.

After seeing the spectacular crash of Dayang which was heavily promoted before by KYY and which caused many investors to suffer, it is better to cash out now with a good profit.

Did you buy it my friend?

Well this morning all the glove stocks masuk longkang. Supermax now down about -7%. Comfort now down about -7%.

Flushing out the contra players? How many more % need to be down before margin call kicks in?

Mr Market has no mercy. It's job is to push the price of the stocks higher and higher and lure unsuspecting investors in. The herd will rush in because of FOMO mentality. Then the stocks may gradually or suddenly decline in value.

If we ignore the fundamental and valuation of a stock and buy without any margin of safety, then we will get burned when things go south.

It is even worse for goreng stocks when the syndicates or sharks start unloading the stocks.

The question is what is an investor's/trader's exit plan when things go south?

(1) Those with deep pockets will say "I will average down the costs". In the current market, I don't think that is a good idea.

(2) Those with holding power will say "I will wait and see the next QR results".

(3) Those with an exit plan will say "I will cut loss not matter what once my losses hit -10% or -15%".

(4) Those playing contra with no money to settle at T+2 has no option. They will be forced to sell at T+2 even though the stock may recover a few days, weeks or months later.

So, which category do we fall under? Decisions...decisions...

Thank you for your input Cherroy.

As usual, you have explained issues in simple way so that a layman like me can understand it.

P/S: I got burned badly before for averaging down and for not having an exit plan to cut loss. Never again!

This post has been edited by Vanguard 2015: May 19 2020, 02:33 PM

I cut loss this morning for Carimin and Serba Dinamik.

Cut Harta at cost price as well.

Entered Comfort for day trading. Carefully monitoring my profits for Supermax and Top Glove. Stock glove counters rebounded this morning. To take profit now or wait until tomorrow?

Are you referring to ICON (5255)? The stock that went up +82.05% these past 2 days and then fell -4% yesterday and now falling another -4%?

This is a strictly a goreng stock. Fundamental and valuation all fail.

Personally, I won't touch it. Even when I trade and make a loss, I want to do it with style and not commit hara-kiri.

P/S: This is just my 2 cents views as an amateur trader. The sifus here may have different ideas about ICON.

I only bought HARTA for short term trading. The latest QR shows that its performance is only average. Therefore, following my earlier post, no point in waiting for the next QR. The current PE multiple stands at 68.75.

See for e.g. https://www.theedgemarkets.com/article/do-h...ise-share-price

In fact, for me, the valuation for all the glove stocks (except for maybe Comfort) all fail. There is no margin of safety at all. Its all about hit and run. At some point, the party will end and the retail investors holding the tulip will cry - the Tulip Mania.

Just my own 2 cents view...

I am conflicted because I am holding both Maybank and Public Bank. I sold off TENAGA after they paid the special dividend 1-2 months ago.

From a valuation point of view, there is not much upside potential left in these stocks.

We are not sure how the banks will perform 6 months down the line with the moratorium for the housing loans and HP loan in place (interest free). In fact, there is currently a petition at chng.it for the moratorium to be extended for another 3 months (from October to December 2020)!

So, if you are buying at the current price, please don't expect any substantial capital gain. You would really need to hold it long term for a few years. Please also consider the risk to the valuation of the banking stocks once the moratorium ends.

In the current global recession, do you dare to hold the same stocks for 10 years?

This post has been edited by Vanguard 2015: May 20 2020, 01:26 PM

I am sorry. Maybe my previous posts were not clear and led to some misunderstanding.

I am not saying that Maybank or Public Bank will not survive this global recession. They will still be around.

What I am saying is that the current valuation of Maybank and Public Bank does not justify their price. I don't see the potential upside of let's say another 20% to 30% for these stocks. But if an investor is interested in income stock and is only concentrating on the dividend yield, then this could justify buying these banking stocks.

Apart from banking stocks, if we look at other companies listed on Bursa or KLSE for the past 10 years, some of the companies are no longer be around or may have been delisted. One example is OldTown. I made some good profit from it before it was delisted last year.

Sold off Comfort, Top Glove and Supermax just now. Made a reasonable profit.

Until next time, Mr Market when we continue this Russian Roulette. My luck may run out.