Wednesday, 27 September 2023
Tuesday, 26 September 2023
ICAPITAL.BIZ BHD
The NAV of iCap grew from 3,05 per share in 2014 to 3,40 per share in 2023.
Its price traded at a discount to its NAV all these years, this is not unexpected for a closed end fund.
At times it traded at a huge discount to its NAV, for example, in 2021 the discount to NAV was 34% and in 2022, the discount to NAV was 39%.
INSAS
This company retained most of its earnings. It started distributing some dividends in recent years. Despite retaining most of its earnings, its profits remained unimpressive, showing no long term consistent growth.
LII HEN
2013 TO 2015: Profits increased due to increased in revenues and expanding profit before tax margins.
From 2015 to now: Revenues and profits remained flattish.
IFCA-MSC
Revenues, profits before tax and adj EPSs declined over the years. In 2022, the company reported a loss.
Quality: -
Management: -
Valuation: -
Hartalega
The revenues and adj EPS of Hartalega grew consistently for many years. Due to the pandemic, its revenues and EPSs shot up, due to higher volumes delivered and better profit margins. Now that the pandemic over, the world is faced with an oversupply of past inventories and falling demands for gloves. It will be another year or two before these inventories are depleted and demands for gloves at the normal level resumed. Gloves usage are still expected to grow over the years.
Due to the huge profit margin during the pandemic enjoyed by the glove manufacturers and the ease of entry into this industry, many new players were attracted and established production of gloves. Faced with new competitors, especially those from China, the preexisting glove manufacturers may not be as relaxed as in the past. They can expect their profit margins to be very tight, having to keep production costs down.
Finally, in this commodity market of gloves, it will be the ones with the lowest costs that will be the leaders in this revamped glove industry.
Petronas Dagangan
The fast growths in the 80s and 90s have petered out. It is now a big company with steady revenues and earnings, throwing up a lot of free cash flows. It distributes most of its earnings as dividends. Those in this stock are mainly enjoying its steady dividends.
PARKSON
Parkson showed losses for many years since 2016. The recent quarters showed small profits.
Will Parkson turnaround? Turnarounds can be very slow. In fact, many turnarounds never turned to the better.
PUBLIC BANK BERHAD
PBB is a stalwart in Peter Lynch's 6 groups of businesses.
You are owning a stock that is growing at a reasonable rate.
Own this when its price is fair or reasonable.
This is an example of owning a GARP company (Growth at Reasonable Price).
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