Author: FinancialVeracity

United Engineers Limited – What really matters in a Stock

Founded in 1912 | Property/Engineering/Manufacturing Comparison will be done with Boustead (F9D) 1)  IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED. Price to book ratio : 0.873 (22.7 Below fair value) F9D – 1.553 Price to earning ratio : 65.12 ( Above industry standard – 35.86) F9D – 14.521 2)  LEARN ABOUT THEIR NUMBERS Debt To Equity : 50.35% | 27.44% Growth Performance : -42.99% | -10.33% Dividend Yield : 2.09%[ 5 years] | 2.84% [ 5 years] Current Ratio : 2.11 | 2.17 [Stable] Book Value per share : 3.06| 0.6166 Cash Flow per share : 0.0583 | 0.1231 Average management ability ( 0 dividend growth  | Weak net...

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#12 – AUDUSD (Dollar weakening)

Majority of the currency pairs are gaining on the dollar Spotted USD weakness over on its index and an opportunity to hedge against it through AUDUSD. Monthly trend seems to be forming bullish characteristic as it tries to break off previous high. Bullish momentum is strong in the volume indicator. During May, price action has failed to break key Weekly level and since then, market has been making strong progressive bullish candlestick. As you can see, multiple rejection of a bearish pull down. On the Daily Chart, Market bearish channels were broken as soon after formed bullish trend characteristic. This...

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Is CPF really that bad? (Part 3 – Healthcare)

What does Medisave do? “Medisave is a national savings scheme which helps CPF members save for future medical expenses, especially after retirement.” – CPF.GOV.SG What can you do with your Medisave account? Use it at all public healthcare institutions, and approved private hospital and medical institution – Click here if you want to know which specific one Benefits of Medisave? Use it for yourselves (of course) and for you family members For all medical issues “The Medisave Withdrawal Limits are generally enough to pay for the charges incurred by a patient staying in a Class B2/C ward in a...

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AEM Holdings – What really matters in a Stock

3 Manufacturing Plant (China, Malaysia, Singapore) | Presence is in 8 countries | Precision / Plating & Chemical /  Equipment Solution | Many famous directors in its board Maybank holds 5 %,  while 40% are hold by two separate Novo Tellus companies Comparison will be done with Micro-Mechanics (5DD) 1)  IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED. Price to book ratio : 4.364 (436.4% Above fair value) 5DD – 3.385 Price to earning ratio : 17.798 ( Above industry standard – 23.74) 5DD – 13.01 2)  LEARN ABOUT THEIR NUMBERS Debt To Equity : 0.19% | – No data Available- Growth Performance : -6.48%...

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#11 – USDJPY

Last week, I spotted a potential trend reversal on USDJPY. DollarYen has been trending bearishly for the 1991 and only in recent year 2013, BOJ has failed to meet many “promises” which leads to the fall of its currency price against the strong dollar. Monthly Chart indicate that 2007 high has been broken, a sign of a trend reversal on this market pair. As, I have noticed market has bounced of from key level, I’ve decided to hedge my trading idea on the smaller timeframe. Last Monday on the Daily Chart, I’ve noticed that market was trading in key price action...

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Is CPF really that bad ? (Part 2 – Housing)

CPF Did we harm ourselves? Or is it the Government fault? Like how DTLIM commented, the allowance of more usage has lead us to deplete our CPF money faster than ever.  It’s actually quite scary, that Govern allowed CPF savings to pay for more than one property ( Very bad for the low/middle Income group) Have the Allowance of CPF used for housing a good thing?   Singstats   There was a study done by the Government as you can see, the average Singaporeans doesn’t shift to a smaller house but always to a bigger house! The number is...

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GP Batteries – What really matters in a Stock

Founded in 1964 | Under the establishment of Gold Peak Group in Hk | Largest consumer battery manufacturer in China Couldn’t find a good company for comparison 1)  IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED. Price to book ratio : 0.577 (43.3% Below fair value) Price to earning ratio : 37.4 ( Above industry standard – 28.13) 2)  LEARN ABOUT THEIR NUMBERS Debt To Equity : 77.73% Growth Performance : -16.81% Dividend Yield : 1.46[ 5 years] Current Ratio : 1.15 Book Value per share : 1.43 Cash Flow per share : 0.2108 Average management ability ( Low dividend growth | Weak net income/gross profit margin | overall Positive cashflow) 3)...

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#10 – GBPAUD

Last week has been an interesting trading week as I have only entered the market  4times. Spotted a potential reversal on GBP and decided to hedge on it against the Australian dollar. Monthly Chart showed that market is in a bearish trend and current price action shows that market is testing key level / reversing from key level. Price action on the  Weekly Chart shows that market is in a short-term bullish trend and is currently retesting key level (see if there is a strong amount of sellers). What encourage me to find a bullish entry was the formation of...

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Is it better to invest in a Foreign Market?

In order to answer this question we have answer 3 important question liquidity, availability and cost. Trading Volume = LiquidityAs you can see the STI trading volume only bounces below the $500 million dollar mark while the SPX (S&P) bounces around the $10 billion dollar mark. Higher the trading volume = Greater liquidity in the market. Liquidity in this context talks about the easiness to buy and sell shares that you own. Number of listed companies = Greater number of opportunities StraitsTime Currently we have 759 listed companies in Singapore. Topforeignstocks Cost of trading overseas = reduce your profit...

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Maxi-Cash – What really matters in a Stock

Comparison will be done with ValueMax(T6I) 1)  IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED. Price to book ratio : 1.319 (702.8% Above fair value) T6I – 0.76 Price to earning ratio : 10 ( Below industry standard – 43.39)  T6I – 8.788 2)  LEARN ABOUT THEIR NUMBERS Debt To Equity : 207% | 102% Growth Performance : 23.31%| -4.48% Dividend Yield : 2.262%[ 5 years] | 0 [ only paid for 4 years] Current Ratio : 1.44 | 2.15 Book Value per share : 0.1337| 0.3198 Cash Flow per share : 0.0197  | 0.0354 Below average management ability ( Stable dividend growth | Weak net income/gross profit...

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#09 – Long CadChf

The previous week has been a rather a quiet one as there were little charts that fulfilled my trading requirement. However, I’ve spotted a potential entry on the CadChf as market test key monthly level. I spotted signs of bear exhaustion on the Monthly Chart and was seeking an entry. Scrolling down the Weekly Chart had me realised that market has been acting repeatedly when price heads towards the monthly level. As you can see market tend to retrace with a strong momentum whenever it touches that level. Last week week market broke off the key level with a strong bullish...

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Is CPF really that bad? (Part 1)

Try putting whatever you know about CPF aside before reading this post Disclaimer; CPF is a mandatory thing for all Singaporeans/PR so knowing it is as important as maintaining your financial health -Short Summary- There are 3 Accounts in your CPF before you turn 55: Ordinary Account (OA) Special Account (SA) Medisave Account (MA) When you turn 55: OA + SA = RA (Retirement Account) MA = Acts like your health insurance At this current point of our life, how much do we have for retirement (Cash/Savings) not including property, because we would want to be living comfortably like...

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Dairy Farm International – What really matters in a Stock? (IKEA/7-11/GIANT/COLDSTORAGE/GUARDIAN/GNC)

The more the better?? The bigger the better?? The more expensive the better? 6,500 Outlets / 180k Staffs / leading pan-Asian retailer / Member of Jardine Matheson Group / Founded in 1886 Comparison will be done with OLAM (O32) 1)  IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED. Price to book ratio : 7.028 (702.8% Above fair value) O32 – 1 Price to earning ratio : 23.587 ( Below industry standard – 43.39)  O32 – 16.855 2)  LEARN ABOUT THEIR NUMBERS Debt To Equity : 64.08% | 256% Growth Performance : -0.65%| -Not given- Dividend Yield : 2.66%[ 5 years] | 2.59% [ 5...

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#08 – Gold (should we all buy now?)

In order know if it is a good time to buy good, we need to know the price behaviours of consumers. I have chosen to use USD/OZ (USA holds the biggest gold reserves). Market trend on the Monthly Chart has broke of a 8 year bull trend, making a bearish trend. As you can see market has failed to make higher high in 2016 while making a strong bearish candlestick. Thereafter, market build up (demand) became weak and show signs on bearish trend continuation pattern. On the Weekly Chart, market has just formed a double top (aligning with monthly...

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A reminder to self

I’m finally back from a 6D5N vacation from Bangkok,Thailand and it was amazing. It taught me to be constantly fighting for what I want (discounts) and if it fails the first time, who says it will fail the second/third/fourth. No one can fight your battles only yourself / Victory goes for those who doesn’t give up Some photos are missing as I was busy enjoying myself . Some recommendation that you can consider if you’re heading down to BKK for a holiday! Use Eatigo app to find good food deals, discount are based on timing of booking! Best thing...

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