Dividend Stocks Payout

THP 12.5 sen 28th April
PPB 18 sen ex. 20th May
TM 13.1 sen ex. 24th May
TDM 13.5 sen ex. 25th May + 3 sen same date
Esso 14 sen ex. 30th May
DIGI 43 sen ex. 19th May

USD weakens

AUD at 3.22 high, SGD above 2.4, Gold reaching new high of 1,500 while USD plunges 3.00
MYR has appreciated slightly against USD but is losing ground to AUD and SGD.
Properties relatively will be cheaper for the droves of Singaporean hunting real estates in Malaysia..

I & P (Bandar Kinrara)
Q'aseh Superlink Homes priced from RM 945k to 1794k
Land area = 24' x 80' = 1920sf. BU = 2799sf.
Price at psf basis = RM 492 psf land and RM 337 psf of built-up area
Reasonably cheaper than the current RM 400 - 600 psf of condo pricing

Hap Seng Consolidated. A Relook

Hap Seng Cons. share price has dropped to low of 6.16 and is deemed attractively cheap wrt. dividend yield, (with 22 sen due in May pending announcement of ex. date, bonus shares and thereafter RI @ RM1.46 + free warrants). Ex. price after the exercise should be around RM1.96

Assume simply for comparison:
Current price RM6.18/3 = RM2.06
Typical dv 7c + 6c = 13c tax exempted (13/206 = 6.3 % dy)

Contrast:
THP dv 12.5c/217
TDM dv 13.5c/290
HSP dv 13c/290

Wall St flat as S&P faces strong resistance

NEW YORK (Reuters) - The S&P 500 met tough overhead resistance on Monday as traders saw little reason to push up stock prices in the face of lingering geopolitical uncertainties that have weighed on equities recently.

The benchmark S&P 500 hovered near 1,333, a level it has been unable to close above since mid-February. That level is double the 12-year low hit in March 2009 and is not far from 1,344, the S&P's 2011 high and its highest since June 2008.

"We have a lot of resistance right above and at the moment not enough reason to push through that resistance," said Frank Lesh, an analyst and broker at FuturePath Trading in Chicago. "Overall, the market is performing quite well and we're holding in here."

The lack of significant economic data on Monday, nuclear and other quake-related problems in Japan and unrest in Libya, Syria and other countries in the oil-rich region of North Africa and the Middle East could translate into low volume on Wall Street.

Last week was the lowest in volume so far in 2011. By Edward Krudy

Good rebound for selective stocks

Selective stocks staged a rebound with gain of 15% and beyond. I'm happy for those who accumulated those stocks for past two weeks. Well done..!

Selling GenM- half of holdings on news of GenM acquiring AK gaming business Pan Malaysia. To sell another batch of GenM @ RM4.20 range
Reduce substantially my holdings of THPlant and TDM on news of only 13.5 sen dividend (13.5/190 = 4.6%) expected for TDM.
For day trade: MEGB, IRCB.

Glomac recently announced its earning. Pretty impressive Qeps 5.6sen. Fv = RM 2.10 (nta 201, Q/Q eps 4/ 4/ 5/ 5/ 5.6) Expect a 4.5 sen dividend in May. Div yield approx 4.6% (8.5/185)

My Strategy: Sell into strength

Well, I really hate to do this but I'm actually selling into strength some of stocks with good fundamentals. The price action of some of these counters is so appalling it makes me feel nausea and wanna puke.

I'm taking my chips off the table and cashing in whatever winnings offered for next month or so. Observation for past 2 months has convinced me that we're past the peak in most market sectors and there are limited upside for most of the stocks (yesterday's winners are not much fun to buy into). When stock market does not reward your investment in such volatility, why not look into other financial instruments..? When you buy into a stock and days after days, prices don't move up, you know it's not the time to park your money in stocks. There's only one instrument I can think of- CASH..! And plenty of it, at 60 - 70 % cash holdings..!

For those counters which are experiencing huge loses, why average down in a downtrend and throw good money into losers...? Conserve your cash, preserve your capital (even at 3 % FD) and take a peek at the stock market in a year or two. Meanwhile, you might want to consider taking some position or doing placements with OCBC and Citibank that pays yields of more than 5 % pa. They have an instrument called Dual Currency Investment (DCI) which is very easy to play along. And remember don't park your money in unit trust-- it literally sucks (yr money) when market plunges..

Financial market still shaky. Japan crisis

How does an earthquake triggered on 3/11, a tidal wave and nuclear crisis in Japan affects the global financial markets..? Some brief news from the tabloids:
1). Japanese insurance companies are selling foreign holdings to pay out domestic claims
2). Japanese companies and individuals are liquidating their overseas assets into cash for rebuilding/reconstruction at home. Japanese yen will soar in short term.
3). Australian dollar will dip in short term as Japanese close their "carry-trade" position in Australian's high yield account. In the mid to long term, AUD will recover as Japan buys shipments of wheat and base metals with coals for rebuilding.
4). Investors will perpetuate such trends in the short term, aggravating the fear of a new global geo-political crisis and economic downturn.

G7 recently attempts to stabilise the soaring yen which threaten the Japanese economy recovery prospects following the March 11th quake and tsunami by selling down the yen.
"As we have long stated, excess volatility and disorderly movements in exchange rates have adverse implications for economic and financial stability. We will monitor exchange markets closely and will cooperate as appropriate."

Read more: G7 pledge on joint action calms markets http://www.btimes.com.my/Current_News/BTIMES/articles/yeaken/Article/index_html#ixzz1H21QNU5t

The Average Investor's Allocation

What's the holding of the typical investor in the stock market, I wonder..?
A couple of close frens was kind enough to allow me to get a gauge of their position, merely for brief comparison. Two questions; what's their Return on Investment and current cash holding..?

CP invested since March 2009 and trade the stock market weekly. He gradually built up his initial investment capital to a peak of RM 320,000. Since reducing his stocks holdings over the past months, his current shares value is RM 281,000 and cash in hand is RM 126,000 totalling RM 407,000.
Gain = 407/320= 1.27 or (407-320)/320= 27% or RM87,000
Note: his cash position = 40% of initial capital (320k) or 30% (total 407k)

LE only started trading the market in 2010 with capital of RM 198,000. Since then, she has also trimmed her positions in the market and is holding RM 70,000 cash and RM 156,000 in stocks, total RM 226,000.
Gain = 226/198 = 1.14 or (226-198)/198 = 14% or RM 28,000
Note: her cash position = 35% of initial capital (198k) or 31% (226k)

In comparison, my return incl. dividends = 24%, current cash holding = 38% of initial capital.
What is yours like..?

TM. Boustead. Esso. Earnings

TM Q4 eps 11.2 sen (nta 216, Q/Q 5/ 7/ 3/ 12/ 11.2) Fv= RM3.40 Now trading at RM3.80 w/ PE 11... Still very cheap... Propose Dv 13.1 sen... plus a capital distribution of 29 sen (RM 1.037b/ 3.377b shares).

TM is in my core holdings and have benefitted many who took my recommendations to buy in on my previous posting. Well, it doesn't fly like some of the stocks prices but it gives me a peace of mind and a piece of regular guaranteed dividends of at least 20 sen (5.5 %) per year.

So taking into consideration previous Dv 13 sen + impending 13 sen + 29 sen = 55 sen FY 2010, that's 55/360 = > 15% for many of my friends who're passive investors (those buy-and forget type) ...
Late buyers who got in at RM3.38 or RM3.48, gain = (13+29)/ 348 = 12 %

Boustead Q4 22 sen (nta 450, Q/Q 16/ 10/ 16/ 10/ 22) Fv= RM5.80 Now trading at RM5.40 w/ PE < 10... Propose Dv 12 sen, ex. 17th Mar... FY10 dividend yield (5+10+12+12)/ 540 = 7.2%... Proposed a dividend policy of 70 % profit payout to shareholders

Esso Q4 45 sen (nta 281, Q/Q 22/ 26/ 6/ 45) Fv=RM5.00 at PER 5. Now trading at RM3.00 w/ PE < 10... Expect Dv 14 sen

Axiata. IJM. Genting. MPHB. Earnings

Axiata Q4 eps -4 sen (nta 222, Q/Q 7/ 11/ 7/ 8/ -4 loss) Fv= RM2.10 Now trading at RM5.00 w/ PE 24... Sold my holdings...

IJM Q3 eps 10 sen (nta382, Q/Q 6/ 8/ 7/ 9/ 10 ) Fv= RM3.40 Now trading at RM6.25 w/PE 18... Looks like a selldown...
IJM Land Q3 eps 8.1 sen (nta 113, Q/Q 2/ 2/ 5/ 3/ 8.1) Fv= RM1.80 Now trading at RM2.80 w/ PE 16...
IJM Plant Q3 eps 5.3 (nta 159, Q/Q 5/ 2/ 4/ 6/5.3sen) Fv= RM1.73 Now trading at RM2.88 w/PE 16

Genting Q4 12.6 sen (nta 418, Q/Q 7/ 6/ 20/ 21/ 12,6) Fv=RM6.00 Now trading at RM10.40 w/PE 17...
GenM Q4 6.4 sen (nta 205, Q/Q 6/ 5/ 5/ 6/ 6.4) Fv=RM2.24 Now trading at RM3.30 w/PE 15... Buy

MPHB Q4 8.2 sen (nta 222, Q/Q 10/ 6/ 6/ 8/ 8.2) Fv= RM2.80 Now trading at RM2.60 w/PE < 10... Propose Dv 5, ex 10th Mar