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…

Technical Analysis Review: FBMKLCI Review (21/4/2018)

It has been some time since I last blogged about the markets. So far, I have been accurate about the markets. Do check out my previous review of the FBMKLCI

The index staged a breakout on April 19, 2018, to close on a high of 1,895.18; its highest since July 2014 when it closed around 1,890 points. Note that it has been about 4 years since it last closed above 1,890 points. 

What are the probable possibilities?
In my opinion, there are three possibilities: 
1. The market stages a false breakout and then moves lower to 1,810 points.
2. This is a genuine breakout, prices hold above 1,880 points, and continues moving higher.
3. Prices retrace below 1,880 to around 1,860 or 1,835 points; prices then consolidate for some time. 

It should be noted that market momentum was bullish for the past 3 weeks from 8 to April 19 as prices rallied continuously. 

Chart 1: FBMKLCI Chart as of April 20, 2018





Bullish momentum to carry on?
I cannot deny what I see as the chart tells me that bullish momentum can still carry on. Other than that, another bullish sentiment factor is the upcoming General Elections on May 9, 2018. 

Despite the bearish business atmosphere due to global political risks -- Syrian war and the possibilities of a trade war between China and US, the FBMKLCI has been surprisingly bullish.  

Key Support Levels:
S1: 1,880 
S2: 1,860
S3: 1,835
S4: 1,810

Final thoughts
Having an overall picture of the charts gives us an idea of the FBMKLCI's sentiment: Bullish in a bearish environment. 

If prices close below 1,880, investors should be cautious as the possibility of a correction happening is likely. Investors are advised to tread with caution. 

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

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…

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…

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 …

Dufu Technology Corp Bhd (7233)

Dufu Technology Corp Bhd (7233) (Dufu) is a listed company on the FBMKLCI. It was established about 30 years ago on October 1987. The 3 main principal activities of this company according to its website, are:
1. Development and manufacture of precision machining components for the Hard Disk Drive industry, safety and sensor industry, telecommunications industry, and consumer electronics industry
2. Design and manufacture of precision steel moulds and stamping of parts and components
3. Provision of support services

If you are like me, a person who wants to know the split of revenue and profits in terms of business segments, you will be disappointed. This company does not disclose this information in such detail. It only discloses its revenue split in terms of geographical location as shown below in Chart 1:

Chart 1: Revenue of Dufu based on geographical location

The Hard Disk Drive Industry and its Competitors It is no secret that the global shipments for Hard Disk Driv…

Trading Ideas: Sasbadi Holdings Berhad (5252)

Sasbadi is one of the companies that I came across numerous times back when I was a student. I was a loyal supporter of Sasbadi reference books as I found their books well organized, contained relevant information, and had a good range of exercise questions. If you were born after the 80’s I am sure you would have heard of Sasbadi. In fact, my decent examination results were partially due to purchasing their good quality reference books. 


Today I’d like to take a look at Sasbadi Holdings and see whether it has any investment merit.
Below is a chart of Sasbadi’s share price:
Chart 1: Sasbadi Historical Share Price
Based on the chart above, prices have retraced near to its initial IPO price of about 45 cents. Despite appreciating to a high of RM1.06, prices started to turned south in 2017. 
Chart 2: A detailed look at Sasbadi's share price 
Noticed the long-term bearish Head-And-Shoulders formation which formed in November 2016 to August 2017. This followed with a break of the "n…