Author: FinancialVeracity

Singapore Shipping Outlook (2016/2017) – 2 Things to note

How it affects us and how the future of it will look like 1.   “A Big Nightmare”  – Channel News Asia (Logistically) Imagine you (SmallMediumEnterprise) have placed an order to shipped products/equipments or worst perishables from another country and you have decided to use HanJin for its competitive pricing. Now it’s stuck/lost/stolen… what can you do?? Go down to their singapore branch…”I went to their office almost every day but all they say is: ‘We don’t know when your vessel can come in’,” the contractor recounted. “It was a disaster.”……..  what else??? you need to hand over $5,000 deposit upfront...

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OUE Commercial – What really matters in a REIT

I ran out of bonds to write Incorporate on 2013 | Subsidiary of Clifford Development | Properties in Singapore & Shanghai IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED. Price to Book Ratio : 0.756 ( 25.4% undervalued) Price to Earning Ratio : 14.139 LEARN ABOUT THEIR NUMBERS Gearing : 67.95 ( above average reliance on financing for growth) Wale : 2.9 Years ( Very short) Current Ratio : 0.088 (inability to pay of its short term debt and long term obligations) Growth Rate :  not given NAV Per unit : 0.96 ( You’re paying 0.695) Cash Flow Per Share : – Not provided – Average management ability...

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ComfortDelGro – What really matters in a Stock

Opps. I forgot to post yesterday Passenger land transportation company | Started in 1970 | Operate in 7 Countries ?! (UK, Singapore, China, Australia, Malaysia, Ireland,Vietnam) 1)  IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED. Price to book ratio : 2.406 (140% above premium) Price to earning ratio : 17.98 (Under performing compared to industry standard of 25) 2)  LEARN ABOUT THEIR NUMBERS Debt To Equity : 15.319 ( Very low reliance on financing for growth) Growth Performance : 5.08 Current Ratio : 1.276 (Ability to liquidate in peace) Cash flow per share : 0.3563 ( You’re paying $2.6) Above average management...

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Great Eastern Holdings Limited – What really matters in a Stock

Is insurance company safe? Founded in 1908 | $60 Billion in asset | Offices in Asia 1)  IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED. Price to book ratio : 1.573 ( 57.3% overpriced) Price to earning ratio :  12.474 ( Under performing across industry standard of 14.10) 2)  LEARN ABOUT THEIR NUMBERS Debt To Equity : 6.576?!?!?! ( Super high reliance on financing for growth) Growth Performance : 9.14 %  Current Ratio : 2.159 ( twice the ability to pay off its short-term debt and long term obligations) Cash flow per share : 1.16( Remember you’re paying $20.17a share) Average management ability...

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What should you do during these poor economic situation??

lol everyone say save save save but everything so expensive how to save?  “Economy is not expected to pick up in the near term | Weak demand in global trade | 2017 to expand at a mediocre pace” No significant pick-up in Singapore’s GDP growth  (ChannelNewsAsia) Basically everything is not looking well…. Strike out all irrelevant expenses ( Yea you don’t have to cab on a rainy days….unless got Uber promos….of course) – Learn where to bank you Loose Coins/Change here Have a purpose/meaning/goal to save money (It makes it easier) Seek opportunities to invest (You probably get deals at a...

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First – What really matters in a REIT

Patience is the key to achieving your goals in the shortest time Dividend Yield 6.11% | High percentage of properties in Indonesia and the rest is in Singapore and South Korea | Started in 2006 IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED. Price to Book Ratio : 1.246 (24.6% overpriced) Price to Earning Ratio : 15.536 LEARN ABOUT THEIR NUMBERS Gearing : 46.478 ( Below average reliance on financing for growth) Wale : 10.8 Years ( Healthcare) Current Ratio : 1.749 (Ability to pay of its short term debt and long term obligations) Growth Rate :  -12.80% (over 5 years) Cash Flow Per Share : – Not...

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Ascendas – What really matters in a REIT

$2.42 per share.. Overpriced?? 6.63% Dividend Yield | Properties in Singapore/China/Australia | Mostly business park IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED. Price to Book Ratio : 1.13 Price to Earning Ratio : 19.47 LEARN ABOUT THEIR NUMBERS Gearing : 63.478 ( Above average reliance on financing for growth) Wale : 5.2 Years (Above normal wale years) Current Ratio : 0.241 ( Unable to pay off short-term debts and long term obligation if liquidated) Growth Rate :  -15.14% (over 5 years) Cash Flow Per Share : 0.1289 Poor management ability ( Increasing dividend payout | Net income decreasing| Heavy increase in financing of cashflow )...

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How to be an Intelligent Investor (Benjamin Graham) – Part 2

Just buy and buy, everything will eventually go up Content shared here are learnt, Copied and paraphrase from the book Intelligent Investor by Benjamin Graham The power of Financial History “Financial History says clearly that the investor may expect satisfactory results, on the average, from secondary common stocks only if he buys them for less than their value to a private owner, that is, on a bargain basis” Note to self : “A great compnay is not a great investment if you pay too much for the stock” Thoughts about market timing “In the financial markets, hindsight is forever...

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How to be an Intelligent Investor (Benjamin Graham) – Part 1

Just buy and buy, everything will eventually go up Content shared here are learnt, copied and paraphrase from the book Intelligent Investor by Benjamin Graham  – So credits to Him! What is investing? According to Graham, Investing consists equally of three elements: You must thoroughly analyze a company, and the soundness of its underlying businesses,before you buy its stock; you must deliberately protect yourself against serious losses; you must aspire to “adequate,” not extraordinary, performance. Note to self (From his book) : “You must never delude yourself into thinking you’re investing when you’re speculating. Speculating becomes mortally dangerous the moment you...

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Cache Logistic Trust – What really matters in a REIT

Some numbers are not provided due to the lack of available informations Constituted in 11 February 2010 | Warehouse Properties | Singapore , China & Australia | Portofolio value at 1.3 billion IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED. Price to Book Ratio : 1.009 (overvalued by 0.9%) LEARN ABOUT THEIR NUMBERS Gearing : 66.93% ( Above average reliance on financing for growth) Wale : 4.4 Years Current Ratio : 0.685 ( Unable to pay off short-term debts and long term obligation if liquidated) Growth Rate : 7% (over 5 years) Cash Flow Per Share : -0.0122 Poor management ability ( Decreasing dividend payout...

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Fraser Centrepoint Limited Treasury – What really matters in a Bond

Like the Aspial Treasury I couldn’t find much financial info on the treasury company, I will using the group’s financial number Matures on 22 May 2020 | 3.65% | Semi – Annually coupon payment | Subsidiary of Fraser Centrepoint Limited | Started in 2011 | 1)  IDENTIFICATION OF BOND BELOW PAR VALUE Current market value : 1.008 ($8 above its par value) 2)  LEARN ABOUT THEIR NUMBERS Debt To Equity: 1.25 (Strong reliance on financing for growth) – But still better than Aspial Growth Performance : -16.94% Current Ratio : 1.84 ( Above average) – Genting is better Below average management ability (...

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Aspial Treasury- What really matters in a Bond

Due to the lack of financial information on this company I’ll be doing on the corporate company Matures 28 August 2020 (4 more years) | 5.25% | Semi-annually coupon payment | Subsidiary of Aspial Corporation | Founded in 2015 | Jewellery / Maxi Cash / World Class Island (Real estate) 1)  IDENTIFICATION OF BOND BELOW PAR VALUE Current market value : 0.915 ($85 below par value) 2)  LEARN ABOUT THEIR NUMBERS Debt To Equity: 485% ( super high reliance on financing – Not safe) Growth Performance : 6.65% Current Ratio : 2.49 ( Above average) – Genting is better Poor management ability ( Reducing...

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DBS Group – What really matters in a Stock

There must be a reason why the stock price is at 2013 level 280 branches across 18 markets | Safest bank in Asia (Is there even such thing as safest now???- hopefully) 1)  IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED. Price to book ratio : 0.918 (9.2% cheaper) Price to earning ratio :  9.012 (Under performing according to industry norm of 9.605) 2)  LEARN ABOUT THEIR NUMBERS Debt To Equity : 0.9156 ( High reliance on debt for growth) Growth Performance : 20.96 Current Ratio : 2.485 ( twice the ability to pay off its short-term debt and long term...

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How will patience get you rich??? – 3 examples

Sometimes the power of now can really kill you?? can it??? As discussed earlier on(Singtel)….let see how patience fare. You have saved up $2,900 to purchase Singtel stock.. How should I purchase? (Dividend calculation are not included to simplify calculation) “LIMPEI want to do something now” Scenario Notice Singtel price soaring and thinking about how much you would have made if you bought it during 2007 Decided to purchase it at 2008 at the price of $2.9 Went through the crazy emotional cycle when price drop to $1.4 at 2009 all the way to 2013 (5 years of emotional...

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Singtel – What really matters in a Stock

The more familiar the brand is… the more safe it would be?? Diversified Telecommunication Services | M1 & Starhub are industrialised as Wireless Telecom Services – HUH?!?!? | 6 Subsidiaries (Optus, NCS, InSing, Innov8, Amobee, TrustWave) | 1 Partner – Bridge Alliance 1)  IDENTIFICATION OF COMPANIES THAT ARE UNDERVALUED. Price to book ratio : 2.542 ( 1.5 times overvalued) Price to earning ratio :  16.687 ( Over performing – Due to it’s niche industry) 2)  LEARN ABOUT THEIR NUMBERS Debt To Equity : 36.289 % ( Low reliance on debt for growth) Growth Performance : 0.2332% (Low growth rate) Current Ratio :...

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