OK started already, thanks for the honor pana!

As long as hold before ex-date, dividend will be paid in full. Whether you hold for 1 full year or 1 day, as long as you hold before ex-date, dividend is paid in full. No such thing as pro-rated dividend as far as I know.

Hmm I got no option to pin it, only to close it. Maybe Cheeroy can help me pin this topic up when he checks in.

Normally, even before the dividend is announced, it is likely you will see the share appreciate. So likely when you want to buy if after the dividends is announced, it will be a little late but still possible to get some money out of it. Most announcements are made after closing hours, meaning when the markets re-open, you won't find the same price as before but rather a 'previous price + dividend' price on sale.

Yeah, I'll definitely pin all my topics haha!

Wah already pinned. Cheeroy in the house??

This post has been edited by skiddtrader: May 23 2008, 10:20 AM

Come on lar, if you've been following Air Asia, you would know that it has been accumulating the debts everytime it purchases new planes. Nothing new and as long as their planes keep flying and they are making money, those debts are well managed.

The only time to worry is when you notice AirAsia's profits begin to go down. Until then, they are making money every quarter and I don't think it is declining yet.

I'm of the opinion the fuel subsidy should be reduced every year until finally removing it completely. I might regret this in the future when I need to fill up my tank but I believe with constant gradual reduction of subsidy, people will adapt. Instantly removing the subsidy will definitely cause people to revolt so that is totally out of the question and if the leaders did it, they are definitely out of their minds and should be ousted anyway.

By gradual removal of the subsidy, people will learn to adapt by tightening their belts and save up. Learn to shop nearby and support their community retailers and also be concsious about their spending habit as prices will go up. As long as people can cope and companies slowly increase the wages, in line with the reduction of subsidy or more, people will eventually learn to live without the subsidy.

We have gone way off topic already to be honest.

Let's not use this thread to talk/praise/bash the government, LYN already got it's own "Real Life Issues" sub-forum for that talk.


Back to stock market chat.

Who is buying Maybulk? Pana?

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Added on June 4, 2008, 12:33 pmPN17 doesn't mean loss making company.

The counter has been losing money for the past 5 years and the stock price have reflected that.



This post has been edited by skiddtrader: Jun 4 2008, 12:33 PM

Money saved kept under the pillow will of course lose value over time. Savings can be put into stocks for dividend, unit trust, foreign FD, gold and even property when the prices are falling.

Well, I read a short snapshot Tenaga maybe increasing the tariffs after all.

I think it was Malaysiakini website.

OK from what I read from the official announcement.

TNB counter will surely shoot up because of the tariff hike. I remember last time a research paper once said they need a minimum of 12% increase to really make them profitable at current fuel prices, could be higher now, but nevertheless, an increase of tariffs is better than none.

Palm Oil counters will see some action as well as a levy of up to 15% of CPO prices above RM2000 will be subjected to the millers.

IPPs like YTLPOWER, Tanjong, Genting will also see some action as a levy will be imposed on their return of assets. I'm not sure how this will affect them but I presume it would be bad.

"IPP dijangka menjana keuntungan lebih daripada pulangan pasaran. Selaras dengan penstrukturan semula subsidi bagi gas, Kerajaan telah memutuskan untuk melaksanakan peruntukkan di bawah Akta Levi Keuntungan Berlebihan 1998 (Windfall Profit Levy Act 1998), ke atas IPP, sebagai sumbangan mereka terhadap kenaikan kos bahan api untuk menjana tenaga elektrik. Kuantum bagi levi itu adalah 30 peratus daripada lebihan pulangan aset pada nilai threshold melebihi 9 peratus berdasarkan akaun mereka yang diaudit."

Please explain to me that if anyone understand it, especially the final sentence.

Transportation companies like some listed bus companies will also be affected by higher subsidized diesel price.

Maybe anyone can share what other industries other than the fuel hungry industries like steel would be affected.

hmm I was expecting a bigger drop, probably when all the calculations are done and all the variables are accounted for, then maybe the market wil reflect it better.

30 points is nothing to be honest.

So let me understand this, if ROA or return on assets is more than 9% only will be levied? Hmmm looks like YTLPOWER will not be affected by this then. But still need to confirm the detaisl because I really don't understand how they will count it. As in assets in the power industry only or entire company assets.

Here is some news on the effect on tax for the IPPs and who will be most affected by it.

"The imposition of a 5% tax on IPPs is likely to impact the bottom line of companies such as Malakoff Bhd, Eden Inc Bhd and possibly Tanjong Plc. These companies have substantial portions of their IPP business in Malaysia.

Malakoff, a 51% unit of MMC Corp Bhd, contributed about RM2.7 billion in revenue last year to MMC. Malakoff runs the country’s largest IPPs, producing an estimated 25% of all the IPPs’ power-generation capacity locally. Malakoff also has power assets in Saudi Arabia, Oman and Algeria, among others, but these contribute only a small portion to Malakoff’s earnings.

Eden has three power plants in the country and according to its annual report, the energy arm accounted for some 75% of its revenue. This works out to about RM186.5 million annually.

Tanjong, meanwhile, had in recent years grown its power business into foreign markets such as Pakistan, Bangladesh, Sri Lanka and Egypt. But the domestic market still makes up a significant portion of its power assets. Tanjong has about 1,490MW of capacity in its three local power plants - Pahlawan Power Sdn Bhd, Panglima Power Sdn Bhd and Powertek Bhd. The company’s power assets, which have a total generation capacity of about 3,951MW, raked in RM1.8 billion revenue for the year ended Jan 31, 2008.

As for YTL Power International Bhd, it is a bigger overseas player. About 71% of its annual revenue comes from its overseas operations. YTL Power posted a revenue of about RM3.1 billion for the nine months to March 31.

Similarly, conglomerate Sime Darby Bhd, which owns Port Dickson Power Bhd and gaming company Genting Bhd, which controls Genting Sanyen Power Sdn Bhd, derive most of their revenue from plantation and casino operations respectively.

Genting has said it was looking at hiving off some of its power assets.

Sime Darby is also the project manager and owner of the 2,400 MW Bakun power plant in Sarawak, which is still under construction and is likely to commence operations in 2010. "

To be honest even at -50, it is still not that bad because TNB is suspended. If TNB is not suspended, their new daily highs would push the market back up. Good news for the shortists of FKLI or "kateks"

I'm not saying TNB alone can push up the index, but their suspension makes KLCI looks much worse than it actually is. Unless it drops more than 50 points, nothing to shout about at least in my opinion.

Even the volume is pretty low so it is not panic selling and some of you are not looking at it factually.

This post has been edited by skiddtrader: Jun 5 2008, 10:14 AM

Genting prices are not directly affected bythe fuel hike. Their problem is before that.

A bit OT. Actually if you are a person who always pay on time for your CC. It is better to shop with CC and then can get rewarded with the points received. No loss to you, on interest incurred, very slight fee to pay and rewards to enjoy.

Regarding Monday, as usual KLCI will drop a bit following Asian trends. As expected the KLCI hardly drop at all in the last 2 days due to TNB counter pushing it back up. If TNB was not suspended the 1st day, you will hardly notice a drop in the KLCI but all the counters wil show red.

But I believe Monday would be a red day following Asian trends based on Wall Street performance on Friday. Interest rates are also expected to be increased in Europe soonish which will also punish the stock market a bit.

KLCI will still wait and see how the entire subsidy thing actually works before balancing it self. Lots of details still not known yet and if the government is consistent in its inconsistencies, then expect more changes as investors and business direct their views and anger towards it.

In the mean time, check all the counters you have been watching and re-evaluate how their business will be affected by new inflation figures and higher operating costs. If they are not affected, then find a good price to enter when it gets hit by low confidence in the market. Ditch the lousy, spoon fed, bad management, high debts, talk a lot but no profit companies.

That's because the market haven't crash yet. And recession haven't kick in as well.

Inflation is going to be high, but it is a silent and slow killer. You won't feel it until it starts to eat into your savings and make you eat less to save the same amount.

When RM10000 you saved last year is now RM9000 in value, you won't realize the value until you try to spend it.

I'm still aiming my Maybulk. My broker called few times already asking me want to enter or not, coz 2 of the previous support I said have been broken. RM4, RM3.8 and next is RM3.5. I keep telling her to wait first, see how market want o die or not, then only enter.

Many stocks like what? Other than utility, shipping and steel counters which has traditionaly low PER levels, I don't think the others are even near the PER of 10.

If oil really shoot up to USD200, we might see a lot of energy conservation programs taking off. Which is good for the environment as a whole.

During inflation, cash is not as worthy as it cannot grow in value. But commodities like gold, copper or even oil gets higher and higher during inflation.

Even land/property can grow in value over time but the effect will be lagged.

This post has been edited by skiddtrader: Jun 12 2008, 06:14 PM

I see it's much higher now, but what are you trying to say, that all stocks PER less than 10 will one day fly up? That's not a good example. How many stocks can you quote out of all of KLSE has the same example as above?

I don't know how you pick that counter up out from the haystack, but from the last 10 minutes browsing through their company's past performance, I wouldn't even give it a second look much less try to buy it. Why?

Low cash but giving dividends, high debts that is not decreasing, high receivables every year. Their past 4 quarter's performance is less than average and suddenly their latest quarter is more than their whole of last year's profits combine.

I have no idea what they are doing but it must be something good, but why hasn't the price jumped up higher since it is performing so well. If it can deliver this kind of quarterly report for the next 3 quarters, their price would probably go up to RM2+ and I'm surprised it is still so low, unless of course this quarter's performance is a one time event?

Nevertheless, it was good that you spotted this low PER counter that paid off, but the question still remains, if all low PER counters are good, why isn't anyone buying up all of em?



Edit: But if the MUDA example is to prove that a company not from the industry I've listed, then I guess it's fair, although it's quite naive to think those are the ONLY industry to have low PER. High performance companies' will not have low PER unless it is an industry standard. Which is what I was trying to imply.

This post has been edited by skiddtrader: Jun 12 2008, 06:32 PM