Capitaland

The news of Las Vegas Sands getting the Marina IR bid really give a big blow to both Government Link Comapnies (GLCs), Capitaland and Keppel Land.

I shall only talk about Capitaland in this post.

Capitaland fell to $4.10 on Monday following the news of the IR bid that was release last Friday after the market closed. Based on this price, it was at a P/E ratio of only 14.5 and a discount of 19.6% compare to its high of $5.10 2 weeks ago. Does it deserve such a drop because of losing an IR resort?

Other than being short sighted and only seeing Capitaland's loss in the IR bid, these are some points you might want to consider.

1) It was at a P/E ratio of about 28 last year before the property boom this year. Valuation wise, it was half as cheap now.

2) It posted record profit last quarter.

3) Got into a Joint Venture (JV) with India's local shopping mall operator

4) Aggressively developing residential projects and acquiring shopping malls in China.

China property market is booming with 35% increase in residential property prices in Shenzhen and 15% in Beijing. However, there is a risk that China might revise its policy to curb the surge in property prices. For full details, you can look at today's Business Times.

This isn't enough for a research on the fundamentals of the company, but hope this will provide a guideline to what to research on (other than all the seemingly good points, you might also want to find out what is the risk involve in India and China market).

I will continue to post the fundamentals of Capitaland if time permits.

Welcome!!!

Welcome Yunyun and Jaedren!!! Welcome to the stock community.

Feel free to post. Would you like to introduce yourself?

Welcome

And yes, welcome Kangaroomae!!! Welcome to the stock community!

And dear members,

Although this stock community operates purely on a voluntary basis, I sincerely hope everyone can participate. Lets make it easy and fun to trade. For now, I would continue my "almost one-man posting" till you all share the same dreams I had for this stock community.

Cheers!

Great Singapore Sale

Yes its here, and this year's Great Singapore Sale is not only in Shopping Malls in Orchard Road!!! It is also happening in the SGX building in Shenton Way!!!

You can get 10-30% discount for most stocks (compare to the price before May 12 - the start of the big crash).

Some of the stocks that you might want to look at.

Capitaland - You have missed the great chance to purchase at its low of this week at $4.14 a 18.8% discount from its high of $5.10. But now there is still a discount of 12.2% discount at 4.48

ChinaMilk - Weird that despite its recent quarterly result release that announced a 26.8% increase in profit after tax, it went downhill with current price only at $1.07. I recall it was once $1.50+ at its peak. Of course, there was a lot of speculation then. However, removing the speculation factor aside, we should really think if this stock is a good buy now.

I would look at the fundamentals of the company soon, probably this weekend, cause this Great Singapore Sale have nop specific ending date and might just ends on Monday!!!!

Any stocks you wish to buy in the past but was just too high then? Now its a great time!!! If you have some stocks you think are great, please bring it to attention in this blog (wasn't thats suppose to be). Please share what you have research on the stocks as well, or if you dunno how, anyone here could give it a try, so just feel free to ask.

7 Habits of a Successful Trader

I just read this article and think that it is interesting. The 7 Habits apply to all type of traders, whether you are a day trader, momentum trader or value investor.

You can view the article here

In summary, the 7 Habits are:

1.Take complete responsibilty
2.Have a system that fits you
3.Plan a trade and trade a plan
4.Work hard at learning how to trade
5.Positive self-belief
6.View trading as a score in points and not in money
7.Keep trading as part of a balanced life

Getting Announcement

How to keep track of the recent happenings from the companies you are holding or those you want to buy?

Flipping the newspaper everyday scanning through all the news to source for news related to the companies you are interested in can be tedious and needs lots of discipline.

Alternatively, you can try looking at some "investor relation" sites such as www.listedcompany.com and subscribe to announcements of the companies you are interested in and they will send it to your mail whenever there is an announcement made. However, these sites do not cover all the listed companies and might not cover the companies you are interested in.