Down In A Gulp: KLSE Stock Picks - TA, METACOR, DOLMITE

Down In A Gulp

Saturday, February 24, 2007

KLSE Stock Picks - TA, METACOR, DOLMITE

TA
As for TA I think it is one of the best fundamental stock picks. They should be posting more earnings in the next quarter largely due to Securities firm. Also, CitiGroup has re evaluated their assets and it is said to be worth 2.60 right now. So it is still undervalued at this point. There has been rumors about CIMB buying over TA but not too sure when would that take place. This rumor has been around 2 years ago but at that time, TA was too undervalued to be sold. Most likely the owners of TA would be pushing it up more before it is being devoured by T-Rex-CIMB.

METACOR

Another counter that I have bought a year ago when it was at 0.25. Recently there was some activity and picked it up again at 0.33. Part of the reason is because it has a 19% stake in ACPI. ACPI is a government linked company that produces concrete slabs for the construction of the entire Putra LRT line beams. Recently they have a book order worth 2 bil for the construction of the Penang 2nd link. Since ACPI have moved , it will only be a matter of time that METACORP will move. Since most of the construction stocks, GAMUDA, MUHIBBAH have already moved, I guess METACORP's time will come soon. Asset value of 0.70 , I am willing to place my bet on them.

DOLOMITE

Another construction company that is undervalued at the moment. Sure it is a bleeding company but does the account statement really mean anything? You know, all those dubioius figures. Shall not elaborate more on that. Anywayz, DOLOMITE does granite and also a little property here and there. Bad thing is that they are in debt with a total of 100 mill. Good thing is they have bad debts also worth about 100 mill and another good thing JKR actually owes them 60% of their bad debts. So it's up to you to weigh the risk. Would JKR go bankrupt and fail to pay off their debts? Ahahha, they will damn sure to rake more income tax from us! Steel is up, Timber has also gone up, why not Granite? You need stones to build just about anything. Right now DOLOMITE is worth 0.30. So no harm really to take a risk at 0.30.

Labels: Stocks

posted by DaphStar* @ 1:06 AM

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