tag:blogger.com,1999:blog-29462482.post2303309115210295138..comments2023-10-17T15:46:53.662+08:00Comments on nexttrade: GASMSIA- trading at a high PE multipleAlex Luhttp://www.blogger.com/profile/08920196030603399063noreply@blogger.comBlogger3125tag:blogger.com,1999:blog-29462482.post-33427377245201433272012-06-27T09:50:56.465+08:002012-06-27T09:50:56.465+08:00Hi Jollybee
I did not read the "News to do...Hi Jollybee <br /><br /><br />I did not read the "News to double the retail gas price starting 2013 in West Malaysia was released on 16th June by the CEO".<br /><br />The increase in selling price would not benefit GASMSIA. Its earning is based strictly on agreed margin (between Petgas & GASMSIA) and sales volume.Alex Luhttps://www.blogger.com/profile/08920196030603399063noreply@blogger.comtag:blogger.com,1999:blog-29462482.post-13921186313650080832012-06-26T20:09:08.549+08:002012-06-26T20:09:08.549+08:00This is a case like MFlour. A shrinking in profit...This is a case like MFlour. A shrinking in profit margin arised from higher operating cost.<br /><br />News to double the retail gas price starting 2013 in West Malaysia was released on 16th June by the CEO.<br /><br />I wonder if there is any adjustment made to your spreadsheet projectiong and calculation.Jollybeehttps://www.blogger.com/profile/15158721638769386082noreply@blogger.comtag:blogger.com,1999:blog-29462482.post-29175036939481380432012-06-20T11:40:07.967+08:002012-06-20T11:40:07.967+08:00There's a certain aura in its name - not just ...There's a certain aura in its name - not just "Gas" but also "Malaysia". And the fact that it is a utility stock makes it more attractive, not to mention the dividend that it intends to pay for 2010 (100% of profits, if I'm not mistaken).<br /><br />I'm really tempted to buy for the reasons mentioned above. However, I think I will refrain for now based on your analysis. As you said, based on its PE, Gas Malaysia can't be considered as cheap. I think many investors share the same view - it hasn't gone too far above the IPO price and isn't seeing any spike even on days when the market is generally doing well. <br /><br />There are other counters that look more promising so I think I'll just keep watch on GM but not buy...yet.Mat Cendanahttps://www.blogger.com/profile/14912016111197047017noreply@blogger.com