2016 has been a great year for stocks in the U.S., but not much in Malaysia except for some companies if evaluated via value investing methods.
Expect another volatile but seemingly positive year ahead, barring any unforeseen events. Trump’s possible future business friendly policies should help businesses as mentioned in previous posts.
We maintain all previous outlooks, hence, hope everyone had a Merry Christmas and have a great New Year ahead.
Stocks In View
Tune Protect Group Berhad (5230)
Good future business prospects however seen with setbacks due to loss of 2 top level executive employees.
British American Tobacco (Malaysia) Berhad (4162)
Stock is down at its more than 5 year lows. However, high duty tax remains the usual skimmer of company profits.
Steel companies in Malaysia
The Store Corporation Berhad (5711)
The offered buyout price appears too little considering the company’s asset value. All shareholders are advised to not sell at a bargain.
[ Note: Shareholders own shares/stocks that are pieces of a business that you own, wherein the business took money from the first shareholder in exchange for ownership to grow. Hence, any buyouts should be at a price a business owner would sell his business e.g. How much would you sell a restaurant or a franchised outlet that you bought at $100,000, now worth $400,000 but offered lower say $250,000? ]
Until next time, happy investing.
[DISCLOSURE: The writer currently does not own any minority stake among the mentioned stocks as of 31/12/2016 under his personal account. JR Capital LLP has no minority interest in mentioned stock as of mentioned date.]
[DISCLAIMER: Everything stated in this blog is purely the opinion of the writer and any decision taken should be based on sound judgement with risks fully born by the decision maker. The writer shall bear no responsibility for any losses due to adherence of advices blogged by the writer or any commenters. Informational discrepancies are possible and will be corrected if any.]
