Someone got fat fingers? maybe wanna typed 3.31

Aiyoooo...... are we wanting to talk and become aunties?

leave such stuff alone la...
you won't get rich or poorer from it.

A Better strategy I think is understanding the trend, and choosing higher profit growth

For example aluminium prices, USD strenght or raw material prices

If got dividend, even better since it suggests good cashflow

Extra, if the company has an economic moat

Then I let the profit runs, or cut my loss short

If there is correction because profit is stagnating, then I evaluate to hold or sell

This post has been edited by Coup De Grace: May 31 2017, 05:23 PM

You did not answer the following question...

Let me say this.... you can have a good/SOLID so-called company....
paying more than 6% dividend....
but profits kept falling.....

U think the price will hold just because of the risky yield?

No, i don't think so

After all, a lot of punters in bursa are chasing after profit growth

Not cash flow or dividends

Would not lower profit reduce their cashflow hence lower dividends?

This post has been edited by Coup De Grace: May 31 2017, 05:26 PM

Haha well that's true. But rant abit lo because i cabut at 3.29 yesterday. Memang uncle aunty ni

This post has been edited by hehe86: May 31 2017, 05:30 PM

So you realise and understand that dividend counters will have its risk because the lower profits puts a burden on the company's cash flow and hence forces the company to reduce dividends.

Case study: Amyway.

Hope you understand when you said PROOT would be a dividend counter is risky.

Cabut because QR-1% yoy?

I cabut because it breaks 3.30 and the 23rd May volume dunno how to interpret. I cabut that time also QR not yet out. After market only it released

The fundamentals should be used to your advantage.

If a company profit is still good and if you foresee better future profits, you do not have to force yourself to look at every possible exit.

Trade wisely la.

Yea went in because i see FA is still ok lo. As to foresee future prospect, long way to learn. But so far when i 'try' to foresee, i still feel uneasy. Not much confident still.

Not only dividend stock, GROWTH stock as well.

Take a look at KAREX, with that super high PE, one should immediately get out once the growth has stopped.

For sure!

Great advice!

It's like the chat of JAKS i posted the other day.



Clearly for now, the stock has stopped advancing. It had been consolidation lower and lower. Current PE multiple? >100x.

So many suckers in the world?

Karex ....

The chart looking damn FUGLY !!! Yikes!!!



First thing noticed there's 2 RECENT sell downs...

1st one in Feb 2017.

It reported it's earnings on 24/2. See how the sell down after that.

From 2.34 to a low of 1.98. (Amazing thing is the stock rallied to 2.2++ after that! What a kind world! Shitty results but yet this one can still up. )

Then came to the current sell down (Karex was 2.33) which started on 26/5. Four days before the report came out on the 30th.

Current cumulative profits indicates a decline of ONLY 67% in yearly profits......

The amazing thing was the end of profit growth DID NOT just happened overnight.



We are NOW looking at the 5TH CONSECUTIVE quarter where earnings DECLINED!

Was there not a chance to exit this stock earlier? Or rather SHOULDN'T ONE NOT CONSIDERED THEIR EXIT STRATEGY EARLIER?

Update...

Parkson closed at 575.

The profits does matter (not difficult to have a quick look see)



* those 3 quarters that shows positive profits? They all include one-off disposals. *

By my calculations... we have now seen 19 CONSECUTIVE QUARTERS of losses !!

And not looking for the share price.... the share price has broken lower...



* Buy low, sell high? The problem with such strategy is that it is rather very risky if we used this as a one blanket rule. Some stocks are consistently hitting new 56-week lows (another rather pointless yardstick) , The low one buy today could very well turn out to be the highs of the yesterdays. *




The BIG picture is actually highlighted clearly in their performance review in their latest earnings notes.




Look at the cumulative year-to-date review of its retail sections in all countries.

THEY ARE ALL LOSING MONEY!!

Also, this Parkson business strategy of focusing on new store growth.... well it clearly doesn't seem to be working anymore. Yeah Parkson opened 2 new stores. Parkson MyTown and Parkson Sunway Velocity. Hard to understand. Opening two brand new stores at two NEW MEGA MALL which are located so close to each other.


** Technicals? Chinese Water Torture. Just when you think the stock cannot go down any further, it does!

** NTA. Many have used the NTA as a reason to buy this stock.... and yet Parkson keep falling!


Take care.

Soon will go to 0 cents

I think profit growth is what matter. Once the growth ends like Karex, it is time to cabut

Profit growth .... has it's risks. Plenty - in fact.

But what to do.... no risk no gain. LOL!

1.Once the growth rate slows down...

You gotta watch this. A company's profits can grow for say... 20% per annum. Which really is phenomenal.... but as in the business world, such growths don't last for a long period of time. The minute, it slows down to say 8%... these stocks can get hit so bad. In some cases, more than 50% can be wiped off the share price in the blink of an eye.

( Math's time. Stock is 100. It falls 50%. It is now 50. But for it to recover back to 100... that stock needs to double. Odds of it happening is slim in most cases !)

2. Perception can kills too.

Not too long ago, we have seen this happen here. Those export oriented stocks. Some high flyers were stocks like Heveaboard which experienced an incredible growth boosted by the STRONG USD. Profits flew, stock flew. Then... before Heveaboard actually posted its earnings, the market got nervous as the Ringgit recovered 'slighly' (strengthen about 10% + nia... ) and before I could finish saying 'Let's go out tonite and have some Hokkien mee (tambah the CYC) and then have some teh tarik.... ' all exports oriented stocks tumbled. Till today, Heveaboard stock never reach its recent peak prices.

So you gotta be careful too. Know your risks.

And of course, when times are good, these growth stocks can trade at very high valuations. The market is pricing the stock towards its future earnings prospects.

To check growth, use year to year comparison?

Another stock (5155) getting cheaper and cheaper



-35% today for failing to submit its third quarterly report

Looks like trading will be suspended

Dude this is one extremely poor fundamental stock.