Both topics being merged in a Resorts thread.

Genting and Resorts are not famous for the dividend, kedekut company. Don't get me wrong, they are good fundamantal company, just on dividend side, if one aims for dividend play one, then they are not a good choice.

Except Genting,
It is not something fishy, those stocks are staying high level because people knews they are going to be paid at least 6% and above annually on dividend yield compared their money put in FD with 3.7% only. That's the primary reason.
While those stocks although will be affected by economy slowdown, but impact is lesser compared to general businesses out there.

It is not rocket science, if some stocks are giving out 2x better than normal FD yield while risk wise is low (their businesses are quite stable as well as share price throughout as history tells), it is a supporting factor for those kind of stocks.

You need 2 primary conditions for those kind of stocks to plunge ie.
1. Economy recession is severe which resulted company profit to drop severely which make the dividend yield not sustainable.

2. Interest rate goes up, which make those dividend yield not attactive.

If you have 2 CDS holding the same stocks, they will send you 2 copy of financial report, while those voucher come with financial report, disregard of shareholding number.

The company registrar (most) are sending out financial report or anything related to company issue based on CDS account, not name or individual entity.

Actually I wonder (since I get contradicting answer and information right now), Resort world has interest in Resort Singapore casino stake?

I taught Genting only has exposure in it (Singapore new casino and theme part), not Resort.

I will only dare to say it might hit bottom if it git 1.6x..

Just based on the median price (adjusted) of last time bear market (2002-2005).

Ultimate support level is around 1.4x which based on both last time bear market chart and its NTA.

Remember Resorts's operation business still making profit and contribute positive cashflow every year about 1.5~2billion even discount for future bleak economy and drop in revenue, it should be able register positive cashflow around or near 1 billion.

Somehow need to see from what perspective

If you invest a Ferrari, then getting after a few years, a new Toyota Camry generally not much a problem, but in the process your Ferrari is in risk, might turn into Camry, if bought too high.

But if you invest a kancil, then try to getting a Toyota Camry, then 5-10 years time frame might not enough.

Just my 2 cents.

Yup, since this news come out, its share keep on going down and facing enormous selling pressure until now because investors don't like the related party transaction which has conflict of interest.

There is no details putting up by any analysts regarding this company. What we all know is suddenly Resorts acquired this company for around 200 millions, if not mistaken.

SG issue is affecting Genting, not Resorts.

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Added on March 20, 2009, 4:14 pmStock market is always sensitive to some related party transaction that have conflict of interest.

If DW is bought from third party which doesn't related to Resorts in the first place, then damage would be lesser or little damage only.



This post has been edited by cherroy: Mar 20 2009, 04:14 PM

They will keep the treasury shares, they won't cancel it, that's my prediction. Generally company will utilise it as share dividend instead of cash dividend especially in current situation, there is always high chance company compensate cash dividend with share dividend.
or sell it when price is higher which generate back cashflow to the company.

It is very rate company cancel the treasury which increase the EPS.

Proposed when its released its 4th result time. Just the date hasn't announced and finalised yet.

It is a strong resistance line, which is its 100 days moving average if not mistaken. Feel free to correct me on this. I don't have TA chart at the moment.

TA, it is still bearish.

If sell then use the money to buy goreng penny stocks and burned, then if you look back, you shouldn't sell it at all.

Penny stock seldom got very good track record, as if they are good, they won't be penny in the first place, unless some special circumstance. (still got exception, not against penny stocks, but must choose wisely on penny stock).

Set a floor price to protect your profit if you scare the profit running away.

Resort dividend yield current comparable to FD rate, finally. (Not because dividend going up, but FD rate going down. )

Rename also can consider a good news?

Nope, they pay semi-annually one.

How much you bought doesn't matter one, it is number of shares you have.

4 cents per share

You have 1000 shares or 0.04 x 1000 = 40.00
But it is less tax 25%

40 x 0.75 = 30.00 (Cheque sent to you will be 30.00)

But you can claim back the 10 (tax) part if you are not subjected to income tax, or portion based on your tax bracket.

Don't worry doesn't mean good news.

As single tier, no claim back aka he needs to pay tax eventhough as student.

It has been like that for years even though company holds a few billion cash in hand and keep on rising.

If they are generous on dividend, the stock price highly will trade much higher than current level.

Anyway, this is about company management board decision, can't say which way is a definite right or wrong decision, as most important part is taking good care of the company.

But I would like to see the company put some dividend policy as a reward for loyal shareholders, like 30-40% of the profit is set aside for the dividend, so if profit goes up, dividend goes up as well unless some circumstances that need to hold cash for acquisition or expansion issue, which is another aspect.

This post has been edited by cherroy: Aug 27 2009, 11:50 AM

My view,
Some impact surely got as Singaporean also one of its major customers as well. Also Genting will no longer the sole casino that punters can go to in this region. Although Singapore could be more expensive to go, but it is much convenience for some just fly there to 'play a few hands', compared need to spend hour(s) to go to the hillside by road

I would say some impact will be felt, but won't be too great.