Skip to main content

A Walk in the Park with Cypark Resources Berhad (5184)

Lately, I have been searching for a company which has good profit margins, a business model which is non-conventional (i.e., not manufacturing, banking, plantation, and trading in nature), and resilient to external market shocks. I hope I have found the right company!


This week I will be looking at Cypark Resources Berhad (5184). Cypark is a company that is involved with the provision of environmental solutions. It has 4 main business segments which are:
1. Environmental engineering: Provision of nature conservation and environmental improvement services.
2. Landscaping and infrastructure: Provision of landscape services, project management services, and infrastructure development.
3. Maintenance: Provision of specialist maintenance works on leachate treatment plants, landscape services for parks, and maintenance of public amenities.
4. Green technology & renewable energy: Solar panel, biogas, biomass, waste-to-energy, and other renewable energy projects.
The business segment with…

Trading Ideas: Century Logistics Holdings Bhd (14/11/201)

This week I wanted to take look at Century Logistics Holdings Bhd (7117) to see whether it has any potential investment value. I have never analysed this company in more detail as I had never allocated time to look at it; my loss though. Since rallying to a high of RM 1.40 in June 16, 2017, it retraced to RM 1.03 in September 2017. Ever since then, the company’s share price has been consolidating.

The company is involved with the logistics business, as described by its name – Century Logistics. This analysis is a litmus test to see whether this company warrants more attention. It was noted that on October 31, 2016, the founder and major shareholder, Datuk Richard Phua, had transacted to dispose off his 31.44% stake in Century Logistics to CJ Korea Express Asia Ltd for RM1.45 per share. Its new parent company CJ Logistics Corp is quite a large Korean logistics company with an annual turnover of over USD 4 billion.

Below is a chart of its share price performance for 1 year:

Chart 1: Century Logistics Holdings Bhd Share Price Chart


Below are the quarterly financial results of Century Logistics for the past 10 quarters. The purpose of the charts below are to determine whether were there any growth in the financial results of the company. 


Chart 2: Quarterly Revenue Trend


Chart 3: Quarterly Profit after Tax Trend


Chart 4: Earnings per Share


Based on the graphical view of its profit after tax and earnings per share trend, there has not been much growth. Its share price rallied to a high of RM 1.40 in June 16, 2017. After reporting lower profits in August 2017, its share price retraced to about RM 1. 20 in November 2017. Technically, if there are no improvement in its financials, prices should continue to consolidate.

Technical Analysis Review of its price action


From the price chart, it is noted that price action is quite bearish. The candle on November 14, 2017 closed below its 20-day exponential moving average. It tested its recent high of RM1.18 three times in August, September, and October; prices subsequently failed to rally and close above this price level. The MACD histogram which indicates momentum shows a loss of bullish momentum in the stock; note the bearish crossover of the 9-day signal line on November 13.

Key support and resistance levels:
Support: RM 1.03, RM 0.97
Resistance: RM 1.18, RM 1.30

Conclusion
In my opinion, I would think that investors should look out for more positive news which will materialize into actual profits before committing to this company. 


Market sentiment has been bearish lately, do check out my review of the FBMKLCI to get a feel of the market direction HERE.

If you like my posts and this blog please SUBSCRIBE in the link above or follow me on Google+ !!!    THANKS

Note: This is not a recommendation to buy or sell this stock. The writer does not own shares in this company. The writer intends to share his view point on this stock’s potential investment value, any decision to invest or sell shares in this company is entirely at the reader’s own risk.


Comments

Popular posts from this blog

Apollo Food Holdings Bhd (6432)

Is investing in Apollo Food Holdings Berhad (6432) a secure and risk-free investment? If you are not sure what Apollo Food Holdings does, you would at least have come across its products in your childhood. Do these snacks below ring a bell?

Who would have thought that this company is listed on the Malaysian Stock Exchange? Based on the BCG growth share matrix, Apollo Food is categorized as a “cash cow.” Milking cash from its day-to-day operations. There has not been much excitement in its share price; it has been in a trading range of RM4.50 – RM6.00 for over 2 years.

This stock will ultimately disappoint investors who are seeking growth companies with quick capital appreciation. However, those who are seeking a safe haven for their capital, or intend to protect their capital may consider this stock in their portfolio.

To invest in Apollo, an investor ought to look at a longer time horizon. Hence, I will be looking at a time frame of 5 years.

Chart 1: Key Financial and Investment Stati…

Johore Tin Berhad (7167)

Johore Tin Berhad (7167) or Johore Tin has 2 main business segments:
1. Tin manufacturing – the manufacture of tin cans, containers and tin plates
2. Food and beverage (F&B) – the production of infant dairy products, milk powder, condensed and evaporated milk, and other dairy beverages

One would assume based on its name – Johore Tin – its main business is tin can manufacturing. Surprisingly, it has shifted its focus over the years from a tin manufacturer to a food and beverage company. This happened back in 2012 when its management decided to invest into the food and beverage business. To be frank, I have never noticed its products in the shopping complex as most of the milk products on display are dominated by popular brands from Nestle, Dutch Lady and Fonterra. I was looking out for Able Dairies’ products on the shelves of Tesco, but I was unable to recognise any of its products on display. Below is a breakdown of revenue based on its business segment.

Chart 1: Split …

Bison Charging Ahead !

Bison Consolidated Berhad (5275) is a dynamic convenience store company listed on the Kuala Lumpur Stock Exchange (KLSE). It has grown many folds since it first opened its myNEWS.com store in 1996. 11 years later, it has opened about 300 stores in Malaysia. In 2012, Bison entered into a joint venture with WH Smith Travel Limited to operate WH Smith news, books, travel and convenience stores in Malaysia. My first impression about the convenience store business was that this is a saturated market – apparently NOT. The thought of many convenience stores come to mind – 7 Eleven, 99 Speed Mart, KK Super Mart, NZ Magazine Centre, Family Mart, K Mart and etc.. All of the stores aforementioned compete within the convenience retail segment.

Picture 1: myNEWS.com in Bangsar LRT Station


Picture 2: myNEWS.com in Masjid Jamek LRT Station

Since its listing on the KLSE, the share price has surged almost 100% from RM1.10 to RM2.38 in one and a half years. The surge was mainly driven by the growth story…

A Walk in the Park with Cypark Resources Berhad (5184)

Lately, I have been searching for a company which has good profit margins, a business model which is non-conventional (i.e., not manufacturing, banking, plantation, and trading in nature), and resilient to external market shocks. I hope I have found the right company!


This week I will be looking at Cypark Resources Berhad (5184). Cypark is a company that is involved with the provision of environmental solutions. It has 4 main business segments which are:
1. Environmental engineering: Provision of nature conservation and environmental improvement services.
2. Landscaping and infrastructure: Provision of landscape services, project management services, and infrastructure development.
3. Maintenance: Provision of specialist maintenance works on leachate treatment plants, landscape services for parks, and maintenance of public amenities.
4. Green technology & renewable energy: Solar panel, biogas, biomass, waste-to-energy, and other renewable energy projects.
The business segment with…

Technical Review of Econpile Holdings Bhd (5253, 16/6/2018)

The markets have not been exciting lately, but I have an interesting stock to share. For investors who are looking for a stock to trade, I recommend Econpile Holdings Bhd (5253).  Its share price seems to be oversold and is ready for a bullish rebound.   

Based on its technical price chart, its share price started to dip at the beginning of 2018. The 30-day exponential moving average (EMA) has been its overhead resistance since early February 2018 until now. In this article, I will explore the likelihood of it breaking above its 30-day EMA overhead resistance. The 30-day exponential moving average overhead resistance could mean that this stock is in a downtrend as well. 
Pakatan Harapan, Malaysia's newly elected political party's victory in the General Elections in May 2018 had an adverse effect on its share price. Upon the opening bell of the Malaysian market on May 14, 2018, its share price gaped down 8 cents, and closed at RM .788, a decline of 22.7 cents or 22% of its…