Thursday, November 26, 2009

Kinsteel stock

Kinsteel stock today has dropped to Rm0.895 per unit. I believe this stock is good for our investment as there is upside potential. It should hit to Rm1.10 in the next 3 month times as due to more insfrastructure project roll out by malaysia government such as LRT extension project etc.

When this happen, there will be high demand for steel ore.

Friday, November 20, 2009

Airasia share tracking

Airasia had continue to make a profit for 3 qaurter 2009. I believe airasia will make profit again on 4th quarter 2009 and share price will move higher to target price of RM2.00 due to rising passenger. Why? It is based on below factor:

1) Year end normally had more people go for holiday due to school holiday and also festival season like X'mas, New Year .

2) Working adult is force to clear their last year annual leave.

3) Most people will choose budget airline while traveling oversea for short holiday due to budget concern and uncertainty of economy outlook.

4) If you check on Airasia website, the ticket fare for now until year end 09 is quite high compare to 3rd quarter.

Feel free to comment.

Wednesday, October 21, 2009

Investment with 6 Cents Mind

Dear Reader,



I would like to share or gather feedback/your thought about the share investment in Bursa Malaysia.



First of all, the most important thing that people invest in share is to get profit that is higher than fix deposit rate or make quick money. I am definitely one of them especially i am working adult. How much I can earn with monthly pay that I can calculate using simple calculator even 13 years old kid also know how much I earn for the next few years.

For a start, since I am young and single. I am investing 60% of my monthly salary into share. Do you think, i should not invest that much of percentage? Well, my thought is that it is worth or reasonable to invest more than 50% of my earning to stock. Why? Let me tell you why. If you just invest 10% then your return will not be higher even the stock price has surge by 100%. Below is the sample calculation:

Salary: Rm2000
Type A: 60% of Salary: 1200 capital
If buying price is 1.00 per unit with 1200 capital, you can get 1200 share.
If stock price surge by 100% which mean share price now is 2.00 per unit. With 1200 share, you earn 1200 profit.

Type B: 10% of salary: 200 capital

If buying price is 1.00 per unit with 200 capital, you can get 200 share.
If stock price surge by 100% which mean share price now is 2.00 per unit. With 200 share, you earn 200 profit.

Can you imaging which one has a higher risk? I believe Type B got higher risk. Why? Because you need to earn 6 times profit from Type B of investment in order to get the same return of Type A.

Do you agree?