OCBC stock challenge

Hi guys, ever since school started, i dun even have time to look at annual reports. So i decided to force myself to make time for it, by joining the OCBC stock challenge starting next monday... Wish me luck!

Finally.

Sorry guys and fellow readers, have been caught up with NS stuffs, but now i am released (actually on long leave la), so can put more effort in some analysis le, but i need abit of time to catch back the reports as well as apply some new skills. Stay Tuned!

Investment: Eastern Holding

Hi readers, over the last few weeks, i was busy with my NS stuffs. The last few days, just before the market rebounds, got people ask me to take a look at CNA and Eastern Holding. So i going to post my findings between this 2 companies.

CNA, base on price of $0.325, 06 annual report

Price/Earning per share 6.54

Return on Equity 11.44%

Price/Book per share 1.343

Debt to Equity 0.79377

Price/Cash Per share 5.4593

Current Ratio 1.53075

Quick Ratio 1.48824

Dividend Yield 0.45%

Net Current Asset per share $0.2852

NAV 0.242079046

Eastern Holdings, base on price of $0.18, 07 report

Price/Earning per share 1.833549183

Return on Equity 16.14%

Price/Book per share 0.740535189

Debt to Equity 1.501830706

Price/Cash Per share 1.7152

Current Ratio 2.419231439

Quick Ratio 1.137644806

Dividend Yield 3.20%

Net Current Asset per share $0.33211

NAV 0.2430674

Well, from the above, you can see the difference in the PE ratio and the Return on Equity, base on this 2 factors, one can view that Eastern Holdings is a better company to hold for long term. However, one cannot discount the water treatment, air ventilation and the upcoming projects of CNA. But for now, I will choose Eastern Holdings over CNA.

Back From Tour

Hi dear readers, i am back from the tour. For more information about the tour, can visit my personal blog at http://www.radiantarchangel.blogspot.com/. Meanwhile, i read alot of emails saying this year is a bear year and so on. Well i think i should start to tabulate a lists of 'must buys' so that i can maximise on the advantage of the bear market.

Investment: Networking in China

Hi my dearest readers, i am going to China from 3 jan 2008 to 10 jan 2008 to relax and do some networking. Hopefully got time to drop by some factories (CG tech), haha. Meanwhile, stay tuned for my newest companiesview on China HongXing.

Happy New Year to everyone out there, HUAT HUAT!

Gathering on 21 December 2007

Well... today's gathering, not many of us turn up, only fergus (organiser), eds, et (and her bak kwa), cse and me. We had dinner (except et), and we chatted about quite alot of stuffs.

Resolution of the next year, learn about CFD and shorting... a good trader must be able to make money in both direction of the market!

Hope we get to meet again soon... because i feel that speaking face to face feels must better than chatting online!!! Hope Trader hears that!!!

Oh ya, now in the process, my company blog at http://www.shortcircuitcomrepairs.blogspot.com/
Will post here once that side is all ready... stay tuned and huat huat everyone!

Its official: Short Circuit Computer Repairs (Registration No: 53106440M)

Yea finally, i got my business registered and so on. Have been busing setting up my business and doing all the admin stuffs, such as accounts, adverts, bizfile and so on. But i have been monitoring the market, waiting for the fatal blow... Thats all, work work work! Looking forward to out ninja outing!!!

Short Circuit Repairs Pte Ltd

Hi dear readers,
Just to tell you all that i am setting up a new company doing simple computer repairs and upgrades. Free consultation for now and do not worry about the payment. If i cant repair it, i wont charge you any money (not even for transportation). I do house visits as well. So spread the word around. Thank you all very much!

If your house got any elderly that would like to learn a thing or 2 about computers, i have middle age tutors that is patient and sympathetic towards mature learners. Any lobang can just drop me an email @ miketong240286@gmail.com

Investment:If you got the money and the US market do not crash tonight...

The following is a list on stocks to buy and hold as they are damn cheap now, not an inducement to buy, buy only if u got the cash:

1) Chip Eng Seng
2) ARA
3) Asl Marine
4) Ausgroup
5) C&G industrial
6) Capitaland
7) CAO
8) China HX
9) Couragemarine
10) HLN tech
11) SMRT
12) Synear

Just some food for thoughts...

Investment: Ecowise

Using FY06 financials and $0.72 before the rights issue, the following are the calculations

Price/Earning per share 15.01
Return on Equity 21.27%
Price/Book per share 5.186
Debt to Equity 0.62411
Price/Cash Per share 12.6801
Current Ratio 1.90110
Quick Ratio 1.81740
Dividend Yield 6.25%
Net Current Asset per share $0.1350

The carbon credit sale will provide Ecowise with an income of roughly $1,596,000 (using $16.80) and this will not affect FY07 financials as stated in the papers.

Thus i am giving Ecowise an instrinsic value of $0.60 after the warrant effect. Due to the good ROE and an additional source of income through the Carbon Credit sale. instrinsic value is calculated using DCF and DEPS.

Investment

Its has been a volatile week, with all the oil prices and all the companies' results showing strong fundamentals. Investors and traders must have been through a roller coaster ride. Well for me, i have been sitting on the sideline for a while. I have been compiling a list of companies that can buy if it falls to that certain price. Some of my readers will say, 'no way these companies will fall to those prices again' However, you will never know when recession will come again and these companies will fall again. So I might as well compiled a watchlist of the 'buy-in prices' for some of the companies so that when 'that time' really come, i dun have to rush to the charts and check everything. I have compiled a variety of watchlists, which also showed the dilemma that i am in during the past few weeks.

For those readers who have been following my blog, i began by looking for First Tier companies:
Capitaland, ChinaAngel, CAO, China Hong, China Sky, China Sports, Chip Eng Seng (aka chippy), City D, Cosco, Fibrechem, Midas. Of course there is many more of first tier companies out there. And then i thought, i cant really afford these companies given my limited capital.

Thus, i move on, with lowest entry price for companies.
Companies, Entry Price
CourageMa, 0.20 AsiaPower, 0.25 ChuanHup, 0.290 Chip Eng Seng, 0.645 Tiong Woon, 0.885 BH global, 0.410 C&G industrial, 0.55 Food Empire 0.70 Int Roller, 0.710 UOBKayhian, 1.39 ChinaAOil, 1.79 Asl Marine, 1.00 Ausgroup, 1.27 Swiber, 1.20 Raffles Edu, 1.40 Olam, 2.00 Hyflux, 2.05 Cosco Corp, 2.70 SPH 3.86, Ezra, 4.40 Capitaland, 6.05

This method works to a limited extent. After much reading, i found out this is the graham way of investing, buy cheaply, and wait. However, as you can see, some price maybe reasonable to wait for, however some others are just too impossible unless there is something really big that can cause such an uproar.

Finally i move to companies that have consumer monopoly:

SBStransit (Duopoly in Transport), SGX (Dont really need to elaborate), Singpost (Monopoly in residential Mail), Singtel (Leading in Telecommunication), Smrt (Duopoly in transport), SPH (Monopoly in Media). These 6 companies have their own way of monopoly or acting like a toll gate to services (like in order to use a handphone, you need to have a handphone plan.) Of course there are more, that i will go looking for it. Which as time allows, i will update this blog respectively.

Meanwhile, i am looking at Raffles Edu and ARA.

Enlightment part 1

Dear readers, its been a good 1 month of reflection. During this month, many things happened on the stock market, from the S-shares flying to institutions predicting that there will be a pullback. However on a personal note, i have been reflecting on the past half year of my investments and trades. Ever since starting out in February, i have tried all kind of strategies and methodology of the market. From value investment to rumour playing, from contra to shorting, of course at the end of it, i lost money.

Now, some of you may say, 'serve him right, or i already say that stock market really make one lost money...' But i feel that these monies that i lost is money well spent. Like what Master Ninja once said, its only when you lost money, then you wont repeat it again. Fortunately for me, i think that these money gone is small compared to big time traders and investors. Thats all for my post today.

Investment: Reflection

Every now and then, i believe everyone will sit down, look at their trade records and determine is their strategy working for them, during the last few weeks, i have been thinking long and hard about my strategy. Is there a need to revise them? How can I improve them instead? Well there are still some stuffs that i cannot get through, meanwhile, hope to gain my 'light' soon, before i reenter into the market!

Stay tuned

Investment: Oakwell

Dear friends, for this company, i cant find its competitor, anyone can care to share, just post on the tagboard.

Its ratios as such:

Price/Earning per share 29.82
Return on Equity 2.33%
Price/Book per share 0.694
Debt to Equity 1.43316
Price/Cash Per share 8.0694
Current Ratio 1.46565
Quick Ratio 1.06063
Dividend Yield 8.33%
Net Current Asset per share $0.1402

IV for Oakwell: using DCF, with a cash flow growth rate of 13.28% and discount rate of 5.75%, its 0.22. Using DEPS, with a EPS growth rate ofm 44.22%, eps of $0.0033 and discount rate of 5.75% is $0.26.

Investment: InvestFair 2007

Hi guys, i know that i am away for the past 2 weeks. Well today (or rather yesterday), i went for the invest fair at suntec level 4. I went for the investment merits seminar for a few companies, such as Midsouth, C&O and KSH. I also learnt about the Zero Certs by ABN Amro too. I will do my research on them soon, and they seems to be quite sound.

But something that i want to highlight is the seminar by Melvin Yong (CNA guy) on: What's Hot and What's Not for the year 2007. In this seminar the panelist is:
1) Kevin Norbert Scully from NRA Capital Pte Ltd
2) Ooi Ltd Seng from Societe Generale
3) Song Seng Wun from CIMB-GK Research
4) Terence Wong from SIAS Research Pte Ltd

Not in any order, i will just report here whatever i can remember from the 45 mins panel:

The recent rally maybe a 'dead cat bounce', and recommended to sell into rally while still can. The recent cut in the fed rate is a sign of diminished confidence. As Kevin stated, if the US govt never reduce the fed rate, it may be a show of 'the sub-prime loan problem is a small one and we can control it in due time'. However a cut in the fed rate shows that the sub prime loan problem is not that small afterall.

From Ooi side, he kept mentioning that the fact that as a issurer of Warrants, he and his company have to keep a neutral stand, thus the only obvious sign he stated is that, 'the number of people buying put warrants have increased...'

From both Song and Terence, they shed a few stock picks and their view on the economy.

Terence was cautiously bullish about this selldown, saying that there were many opportunities presented this time round. He mentioned about 3 things, 1) Take note of companies that do with domestic demand (Singapore), 2) He also state that Oil and Gas Sector is still his play and 3) He loves dividend plays. Thus to sum up the sectors that he will look into, will be oil and gas, properties, construction and Marine and offshore sector. He feel that out of the 3 banks in singapore, UOB is the safest, saying that 'for a bank who dun know its exposure to CDO, its dangerous...' He also stated that many of the REITs are quite defensive.
Stock pick by Terence: One of his picks is Babcock and Brown. For oil and gas, Blue-chip, Sembcorp Marine and Keppel, there is also Cosco Corp. Properties, he mentioned about there is actually small cap properties that has good fundementals albeit smaller margin, one of it is BBR. Marine and offshore is but of course Rotary.
One thing that Terence emphasied (repeating 3 times throughout the seminar) is that to avoid Penny stock, or junk caps as he mentioned it. they will shed about 80% to 90% in this selldown.

Whereas for Song, he is quite bearish about the economy, stating that the European market has pumped in about 600 Billions into the market to stablise it, and for a mature market to pump in that much, the situation is really quite dire. 5 to 6 months is the time he give to this selldown. He also mentioned that Japanese Banks is not able to sustain the low interest rate, and if they were to increase their interest rate, it maybe a repeat of the 1997 economic crisis. He also mentioned that the Oil and gas sector has book orders all the way til 2010, however, he said, having book orders is good, but the quality of the book orders must be there. Construction sector in Singapore is also set to go, placing Tat Hong and Tiong Woon as his picks for the construction sector. He also mentioned about the spillover effect to other companies related, like a wiring company, (which i cant catch the name, anyone readers know please tell me, it was noisy there).

When ask about how they see STI will be heading for the remaining of the year, they all agree that 2800 to 3000 is something not impossible to happen as any more 'bad news' will drive the market downwards. Song mentioned about next friday's Ben Bernanke's views on the Housing and Credit Market will show the direction of the market. He also said that the domestic market in US is weakening and that is a sign that we (investors) should take note of.

Investment: Pine Agritech

http://www.ocbcresearch.com/pdf_reports/company/Pine%20Agritech-070813-OIR.pdf <<<<< Newest Report from IOCBC, which seems pretty powerful in affecting the share price of Pine.. Enjoy!

Investment: Pine Agritech vs Celestial

Dear readers, finally i am back with slightly more time on hand. Today i will compare 2 soyabean companies namely Pine and Celestial. In this post i will compare just the ratios, if time permits, i will do a detailed valuation on these 2 companies. Meanwhile an Appetiser for my dear readers.

For Pine Agritech, using $0.42 price:

Price/Earning per share: 10.65
Return on Equity: 33.25%
Price/Book per share: 3.541
Debt to Equity: 0.18431
Price/Cash Per share: 17.1274
Current Ratio: 3.26069
Quick Ratio: 2.44445
Dividend Yield: 1.71%
Net Current Asset per share: $0.0591

For Celestial, using $1.32 price:

Price/Earning per share: 11.33913343
Return on Equity: 12.19%
Price/Book per share: 1.382740937
Debt to Equity: 1.171009088
Price/Cash Per share: 3.0309
Current Ratio: 4.575615793
Quick Ratio: 4.448987851
Dividend Yield: 1.52%
Net Current Asset per share: $0.61538

The above 2 companies used to be trading at PE of 14x, now they are considered fairly undervalued. Tomorrow is Pine's results announcement, i wonder how it turn out... Huat ah to everyone who managed to get their fair share of good FA companies.

Investment: Bargain Hunting

Companies that can be bargain hunted during this trying times..

1) ASL Marine
2) Asia Power
3) C&G Tech
4) Pine Agritech
5) Midas (Subject to Corruption Rumours)
6) Courage Marine
7) Ausgroup
8) Synear

The above companies still have very sound fundementals. Solid and unaffected by the recent selldown. Take note :D

Apologies

Dear readers, i really sorry that i replied your mail so late, because of the recent committments with '9 of august'. And i just completed the heritage run on saturday. Really apologise for it. For those who volunteered to be my beta tester, thank you all so much.

Please give some valuable feedbacks on how i can improve on it...
For now, i think i will just give the IV of some of the companies in the tagboard requesting...
Since ET requested for Rotary, the following is its financial ratios:

Ratios for Rotary:
Price/Earning per share :15.78

Return on Equity: 10.55%

Price/Book per share: 1.666

Debt to Equity: 1.36541

Price/Cash Per share: 5.1489

Current Ratio: 1.74834

Quick Ratio: 1.70711

Dividend Yield: $0.12

Net Current Asset per share: $0.6406

IV for this counter: $2.05

Investment: Good 1 Day Correction

Dear readers, lots of stuffs happening, yesterday's correction is a good shopping day,

A few good FA stocks can take a look:

1) ASL marine
2) Pine Agritech
3) Ausgroup

Take a look at them, if u into value investing! :)