which is why my selection criteria includes PE<10 and yield 4-8% and increasing dividends over the past decade.
So that even if really value not unlocked, I would expect capital gains plus dividend gain if vested over mid-long term plus option of compounding dividends
StewardLittle wrote: By focusing too much on P/B or RNAV, one can fall into a value trap and have his capital stuck in for a long long time.
Steward: I know what you are saying. Value traps indeed are a pain, but they are only apparent on hindsight. I may pick a stock that is undervalued but I would not know if it's a value trap until significant time has passed. Therefore, it's difficult to say that if buying a stock on discount to RNAV is buying into a potential value trap. Buying such a stock could also turn out to be a significant boost to one's capital gain. It's all crystal clear after the fact. But it's never clear when you look ahead .
KSH Holdings is looking fine to me. The Gaobeidan Township that KSH is building in China is a massive project. Look out for how things unfold as this would be a very proiftable stream for many years.
by the way, Friend's friend attended the AGM at Furama yesterday and complained about the food -- carrot cake tastes bland, the fried mee is cheaper quality than what you can get at hawker centre! The property developer who got standard is Hiap Hoe. After AGM (in 2012), "everyone, you are invited to the hotel's buffet!" That's how well they treat shareholders.
DEUTSCHE BANK JULY 25 2013: "There appears to be growing investor interest in ST Engineering for its stable operations (about 40% defence and 20-30% government related contracts), positive cashflows, robust balance sheet (net cash), record high order book, healthy returns (>30% ROEs) and attractive
dividends (90% payout)."
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