cherroy,

<<If really want to have financial stocks, some overseas hardly beaten financial stocks might be a better choice than locally. Just my opinion though.>>

The problem is in oversea, they are either

A) Not protected aka too much competition = low profit

B) Even more political loans.

Dreamer

so, to all the PBBANK fan boys...... had anyone taken their action???

The price is still not attractive, why the rush?

the slump of these 2 days r cause by the Plantation counters only...... When will we see all red again?

Wat do u guys think about this?


Attached File(s)
 Public__most_crowded_____summary__Aug_2008__.pdf ( 107.19k ) Number of downloads: 66

exia5733,

I bought PBBank at RM7 about 3 years ago. Now, I probably collect RM0.80 dividend this year. That gives me dividend yield of more than 10%. And, if the earning do not grow, I still collect dividend of 10% based on my purchased price.

So, I hope for this kind of short term thinking. Then, PBBank stock price can drop and I can buy more.

This research is ONLY relevant if you want to trade on PBBank which I don't. I hope more people read this kind of report and push the stock price down.

Dreamer

My opinion,
In the article, the use of comparison between CIMB and PBBank is a weak point instead a strong point to claim Pbbank is expensive, although I personally also rate Pbbank not cheap at current level, but if share price of CIMB is having the same PER or P/BV with Pbbank, then who is going to buy CIMB or Maybank etc?
In term of NPL ratio, Pbbank excel over CIMB and the rest of banking in Malaysia, in term of management, Pbbank excel over all local bank, best example would be go through 1997 crisis without any aid and losses incurred, in term of dividend, still Pbbank on top over them.

So Pbbank is trading at much more premium over CIMB, Maybank and other local banking stocks has its own reason. Not to mention, others are highly political link and GLCs related issue.

PS: I don't say current price is cheap, nor recommend it is a good stock to buy at current situation. Just stated out the reason of premium price that investors in the market willing to pay.

That's quite a weak report in my opinion. The analyst is rating PBB based on the price which is higher than another banks price without actually dwelling on why the price is high in the first place.

One more thing is if najib cannot be the prime minister, you can see cimb price drop like hell. My personal view

Hmmm it might drop a bit but won't drop like Equine or Scomi. Because CIMB price is more based on on fundamental fact rather than being goreng to that level of price because of it being politically linked. But come to think of it, in Malaysia anything can happen haha .

For sure it will not be like equine or scomi as the fundamental is still there. But i think it may loose some of its business. One example is government cheque (maybe will use back to maybank).

darkknight81,

What is the NPL for CIMB?? If it is HIGH, the fundamental for this bank is bad.

Dreamer

Besides of NPL issue, the more concern is, it might be more political linked than Maybank. Especially nowadays with lot of uncertainty in political front. My opinion only.

Hey, will its price ever drop ?

Damn stable this pbb stil $10.

that's why, choosing on good fundamental stock is important.

it is worth waiting.

ohyah, i just gotten my dividend from PBBANK. i am going to buy more

me too.... but i only got a few cause i didnt buy a lot that time.... wanted to buy more but the price didnt drop
u must be owning a lot of PBBANK share huh?

nope. i also start from small, slowly accumulate.

PB Bank drop below to RM10
how u all thinks for it ?
Is this best time to join it ?

Well, a Credit Suisse analyst report release two weeks ago did suggest a target price of around 10 citing several reasons to be cautious. With highest foreign ownership and comparatively low trading volume, the report highlights a risk that a small sell off would have a big impact on price. This stock is still expensive IMHO when compared to its peers, so its good management has already been priced in. Maybe check with your friends working at banks, how is retail banking going?

This stock so stable, and expensive. What does it take to make it go below $8?