Learning to invest in Thai Stocks

SET finished at 886.10

Profits are at 82,321

down 479 from best day

all and all not bad not complaining I actually was buying today, so my money in now is 265K

Set Finished at 900 today

Profits 84,950

2269 gain

Happy days

http://www.bangkokpost.com/breakingnews/193392/set-index-to-further-rise-next-week

SET likely to to rise next week

Yes. The SET seems to be very much on the rise. Bought some CM for dividends. It had less than the usual good quarterly report so it droped a bit and I bought in. Global is still lively and I am strongly considering increasing my investment there. Too many good choices to choose among. IMO the exchange rates are sufficient reason to move money to Thailand. The Keynesian fools in the U.S. are destroying the dollar.

Funny I'm now into my third book the other two continually referred to one book the Intelligent Investor, by Graham I reading that one now. The first two chapters are about the history of the market. Good thing I read the ones first. Had I no I would have sold out all my stocks and thrown the book away. By reading the other two first it gives me the courage to hold on and finish the book. Scary stuff, sometimes ignorance is bliss

I don't know about global check Q-2 data for 2010, makes me wonder if it might be overpriced now. I like the stock but, I'm going to wait awhile. I think a lot of movement we are getting is based on the value of the SET at this time. That is volatile adding more right now is going to bring average buy up, if that happens and we can get a rapid correction my guess is you will lose money. But, it's not money and I sure make enough of my own mistakes. So I could be dead wrong might go through the roof. I try to go with value investment I don't see it as that right now. It ever drops down a bit I'm going right back into it. It's great company.

What is CM ?


(Unit: M.Baht)
Period
as of Y/E '09
31/12/2009 Q2 '10
30/06/2010
Financial Data
Assets 4,580.69 5,361.32
Liabilities 2,175.22 2,863.54
Equity 2,405.47 2,497.78
Paid-up Capital 960.00 960.00
Revenue 4,462.87 2,988.08
Net Profit 358.98 217.11
EPS (Baht) 0.45 0.23
Financial Ratio
ROA(%) 11.27 10.02
ROE(%) 14.92 14.10
Net Profit Margin(%) 8.04 7.27
Statistics as of 30/12/2009 27/08/2010
P/E 85.00 31.41
P/BV 1.05 3.71
Book Value per share (Baht) 2.47 2.60
Dvd. Yield(%) N.A. 1.35
Last Price(Baht) 2.60 9.65
Market Cap. 2,496.00 9,264.00

I will enjoy discussing any SET stock that you guys might want to discuss. I can't talk about the Stocks that Thaistocks gives me, I pay for that information it belongs to Thaistocks and I don't have the right to divulge it. Guy has to pay his bills to

I didn't find global through Thaistocks it's just one I knew from personal experience. Competely under their radar as they didn't even know existed primarily in Issan. Their ROE is down as is the profit and revenue. That could be from building their Bangkok operation I don't know

CM does look interesting trading at 4.10 coming down to its average price. I put ti on my watch list you know mw I;ma cheap charlie. I don't have anything in the food class. Notice the financial goes back to 2006, they have been around for awhile. Since I don't know anything about this class what can you tell me about it?


CM : CHIANGMAI FROZEN FOODS PUBLIC COMPANY LIMITED
Company/Securities Search


Financial Statment

(Unit: M.Baht)
Period
as of Y/E '06
31/12/2006 Y/E '07
31/12/2007 Y/E '08
31/12/2008 Y/E '09
31/12/2009 Q2 '10
30/06/2010
Financial Data
Assets 1,204.36 1,232.62 1,270.16 1,305.48 1,341.78
Liabilities 67.76 74.84 74.02 97.42 110.73
Equity 1,136.60 1,157.77 1,196.13 1,208.07 1,231.05
Paid-up Capital 315.00 346.50 346.50 381.15 381.15
Revenue 1,348.23 1,073.31 1,292.07 1,336.25 759.46
Net Profit 105.74 99.92 142.31 211.17 118.27
EPS (Baht) 0.34 0.30 0.41 0.55 0.31
Financial Ratio
ROA(%) 7.32 8.20 11.43 16.55 12.39
ROE(%) 9.41 8.71 12.09 17.57 13.35
Net Profit Margin(%) 7.84 9.31 11.01 15.80 15.57
Statistics as of 29/12/2006 28/12/2007 30/12/2008 30/12/2009 27/08/2010
P/E 6.95 14.44 8.12 6.92 9.41
P/BV 0.91 0.88 0.81 1.38 1.27
Book Value per share (Baht) 3.71 3.35 3.39 3.19 3.23
Dvd. Yield(%) 7.40 7.68 8.21 6.20 6.65
Last Price(Baht) 3.38 2.96 2.74 4.40 4.10
Market Cap. 1,064.69 1,025.63 949.40 1,677.04 1,562.70
Remark

IMO the significant aspect of CM is that it consistantly puts out a healthy dividend. Last year 2009 it distributed 0.50 bahts in dividends, two 6-month dividends of 0.25 baht. You've probably checked the SET profile and googled CM and have the general information that it produces food and beverages and seen their financial record.

I first bought CM stock more than 10 years ago on Paul's advice. I suspect he monitors it and may offer comment in the forum. It is a small cap and not liquid so the speculators aren't fooling with it.

The recent dip in profits appears to be mostly a foreign exchange affect as sales volume rose. There has to be some variation of crop prices since farming has its ups and downs. But I think it is the export trade that is the important variable. Could have been the strengthening of the Yen. The recent news item that they bought some land for future expansion and paid cash was the type news item I expect from CM. No unpleasant surprises.

That recent lower quarter of profits caused CM stock price to drop from 4.26 to under 4 baht which was enough to induce me to choose to put CM back into my stock group. IMO it may be be bid below 4 baht with the next downturn of the SET. But generally CM stock price doesn't shift with the movements of the SET.

IMO the speculators are eyeballing GLOBAL. It is hard to set a target for the stock of this good business with the high volume stock movements caused by speculation.

Outstanding comment TJ you have no idea how much I appreciate it, I hate flying alone.

Paul has never mentioned food stocks, I think his mind is elsewhere at the moment

That bit of information makes it a value stock to me. But, I agree wait a bit and see if we can get a better price on bids.

I think you Global nailed this morning, I really regret taking my profits st this point. But, it allowed me to do other things that were more pressing without going into my bank account.

It's 0920 now the markets around us have all opened up. Koon Korn was interviewed on CNBC this morning, his believe is we will see a slow down in the second half. So some patience ( very hard for me) may just payoff well in the end.

Just finished the first six chapters of the Intelligent Investor ( Graham), it said it will get to the the positive in the next chapters , but my eyes were tired and hopefully I will see some positive yet. Most of theses book have information you can use in Thialand. But, they are geared to America. In those chapters he recommended owning Bonds as a part of a balance portfolio .

However he is thinking in terms of 20 years at 63 I ain't betting on that. Do you also hold bonds?

When you look at the company financials what are the first things you check?

Now I'm starting to enjoy this with getting input back. The idea in the thread was to see how a know nothing can fair in the Thai market, with honest reports even saying exactly what I invested and my returns good or bad.

Thanks TJ this really meant a lot to me.

P.S. Guys don't do what I do even if I post it. I make mistakes like global and there have been many others as well.

Interesting comment from a chartist on CNBC he believes the market is over extended, if it goes up ride with it.

Goes down to 885 get out. That would not be a bad point to take profits and wait, for the buys.

Kinf of like playing slot machines wins mean very little whats important is what you leave with.

bumper wrote:Interesting comment from a chartist on CNBC he believes the market is over extended, if it goes up ride with it.

Goes down to 885 get out. That would not be a bad point to take profits and wait, for the buys.

Kinf of like playing slot machines wins mean very little whats important is what you leave with.

Ray ,is easy to short sell the stocks,or can you only buy them?

There are few that I'm holding now that a may take some profit on. But keep a position as well. All the devidends will be earned by Sett. 1 so I will till then.

I look forward to the buy cycle as much as the profit cycle

Man what a day SEt closed at 909.65

Profit is now 92,532

Well Paul did his reports on the company visits came up with two new companies, so I will be selling off some lagards. I have qualified for the dividends already and that money will come next month.

I will also accumulate on two others that were recommended

Selling the lagard's will get me 80K to work with so no money out of my pocket.

Boy, what a close call today, the stock exchanges all around us including China dropped at opening today except for the KLCI

I sold out of the ones that I believed to have done the best they would for a while.

Accumulated those stocks that rode out the drop last time the best. Bought into the stocks recommended yesterday by Thaistocks

Managed to keep 25 K in the buy fund. I have one more to sale tomorrow. I can't sale it today as I will lose some nice dividends if I do.