Saturday 20 March 2021

Tecfast: A Fishy Big Contract?

Recently there are quite a few of small companies getting big contracts worth hundreds of millions to billions of ringgit.

What I know are ARB, Ageson, Anzo, Bioalpha, Vivocom, Kanger, Techfast etc.

Are they for real? While it certainly smell a bit fishy but I'm not going to comment about them since I don't study them in detail.

Readers can check the share price charts and the latest financial results of those companies to decide whether to believe in those companies or not. 

On 15th Mac 2021, Techfast announced that it has entered into a marine fuel oil supply agreement with Wise Marine Pte Ltd.

The value of this 3-year contract is estimated to be a whopping RM2.22 billion, and Tecfast is an ACE-listed company with a market cap of only RM100mil.

Nevertheless, Tecfast is still a profit-making company with zero borrowings.

Friday 12 March 2021

Low Interest Rate Environment: Buy Buy Buy?

The chart above shows Overnight Policy Rate (OPR) of Malaysia since it was set in year 2004.

Current OPR of 1.75% is at its historical low.

As Malaysia's economy is expected to recover from this year onwards, Bank Negara has decided against lowering the OPR further last week.

I'm not an economy expert but I think 1.75% will be the lowest we can get from this pandemic-induced global recession.

I'll be very happy if the OPR can drop to 1.5% though.

What happened when Malaysia's interest rate dropped in such fashion last time?

Wednesday 3 March 2021

My Portfolio Feb21

 Summary For February 2021

Stock Portfolio @ End of Feb21

Feb21 breaks my record of most transactions done in a month since 2013. I made a total of 10 buy/sell transactions.

Nevertheless, my portfolio lost 1% in this month.

Most of the stocks in my portfolio perform well in Feb21, but 3 stocks with big losses (Supermax, SCIB, Rhonema) are adequate to drag the whole portfolio into red, especially SCIB.

SCIB's share price dropped 18.6% this month, which is kind of expected after staging big rally in Jan21. I have sold ~30% of SCIB in early Feb21 to lock in profit while the rest I planned to wait for its FY20Q4 result.

I was a bit disappointed with its FY20Q4 result to be honest, in which its revenue and core net profit do not meet my own expectation.

This is due to slower than expected revenue recognition and I'd expect better revenue for the next quarter.