(02-04-2015, 10:12 AM)xlandjy Wrote: [ -> ] (02-04-2015, 08:20 AM)Stephentoh Wrote: [ -> ] (02-04-2015, 06:54 AM)BlueKelah Wrote: [ -> ]ask them to show order book and increase dividend at AGM. Their response to that will show a lot. hahaha...
Valid concern, any other dying hard issues other buddies would want to raise in the AGM? I could consolidate and pass it to my younger friend who will be attending and will be able feedback to you guys on the outcome.
Since you FATHER IN LAW as an ID of the company, I would suggest that you ask him to advise the Management to do a management buy out.
I am not just shooting off my mouth. Look at the way that the company operates.. It does not behave like a normal listed company. It is afraid of the lime light and prefers to work undercover/total secrecy.
For the past few years, it has not actually invited any analyst to visit the company or has conducted any briefing for the investment community. It shares minimum information with its shareholders. It refused to declare a dividend policy and etc...
Under such circumstances... it would be better for the majority shareholders/management to do a management buy out. Offer me 0.25 I will throw all my holdings to them. Vested.
Hi xlandjy, i understand where you are coming from and the
'frustration' you have. However, there are some restrictions if I would to convey to my FIL, having connection is one separate issue which i believe that Penguin's management as a whole will value opinions different and have their own stand in every decision, 1 ID decision will not affect their current practices. If you are uncomfortable of all these factors that you listed, i will suggest that you raise all your concerns during the AGM as a shareholder or reduced your stake in joining penguin as a business so that you feel much less insecure. Your valuation of 25 cents also may not reflective of what is best for Penguin, it depends on individual valuation on how you see in Penguin in its current line of business. Personally i would fear if penguin is widely publicize and marketed as this might make penguins priced at dangerously overvalued level.
I agree that Penguin is not totally transparent in all issues and maybe not always appear to be perfect, but I believe that their growth story is still intact and is well managed to the interest of the company.
Since we all know Penguin is affected by the plunging oil prices, it should be of no surprise that its share price is taking a retreat. It does not make sense if one still expects the price to climb up instead. Nam Cheong is another example. Company is still doing well but its share price has also been punished accordingly.
For buddies that unable to bear the pain of share price erosion, likely you have to trim your position size to sleep better. Getting upset over day to day price fluctuations is definitely not worth it.
If we are real value investors, lets give Penguin management some credit and also some trust that they can overcome this temporary industry setback.
Vested
(02-04-2015, 01:50 PM)mslee888 Wrote: [ -> ]Since we all know Penguin is affected by the plunging oil prices, it should be of no surprise that its share price is taking a retreat. It does not make sense if one still expects the price to climb up instead. Nam Cheong is another example. Company is still doing well but its share price has also been punished accordingly.
For buddies that unable to bear the pain of share price erosion, likely you have to trim your position size to sleep better. Getting upset over day to day price fluctuations is definitely not worth it.
If we are real value investors, lets give Penguin management some credit and also some trust that they can overcome this temporary industry setback.
Vested
I observed that there are overwhelming numbers of shareholders here who spoke in defend of Penguin.
Perhaps, I just raise one more point... Penguin was among one of the last few companies who announced its results LAST during the last quarterly reporting season. Many companies, big and small, gave advance notice on the day of announcement. But, Penguin could not even do this. It did not let its shareholders know when it would announce its results.
I hope shareholders won't come and tell me that "bla bla ... I would rather that they focus their energy in running the company instead of such petty things...." ha ha.
Quote:Perhaps, I just raise one more point... Penguin was among one of the last few companies who announced its results LAST during the last quarterly reporting season. Many companies, big and small, gave advance notice on the day of announcement. But, Penguin could not even do this. It did not let its shareholders know when it would announce its results.
I hope shareholders won't come and tell me that "bla bla ... I would rather that they focus their energy in running the company instead of such petty things...." ha ha.
I think a lot of my counters behave in the same way as Penguins.
Many do not have dividend policies.
Many are not covered by analysts or give presentations to any community.
Many also do not have advance notice for the release of financial statements.
To me, it is just a normal company behaving about the same as many other companies.
Noticed the last few posts were about the culture of Penguin management.
I can understand the frustration of some SHs here, but IMO it's just the trade-offs every investor have to deal with in any counter.
Value investing/fundamental analysis should be holistic and consider even unquantifiable aspects such as this. Such management cultures, if deemed undesirable to investors, should warrant a certain premium to each of our comfortable MOS then.
(Happily vested)
(02-04-2015, 04:01 PM)yeokiwi Wrote: [ -> ]Quote:Perhaps, I just raise one more point... Penguin was among one of the last few companies who announced its results LAST during the last quarterly reporting season. Many companies, big and small, gave advance notice on the day of announcement. But, Penguin could not even do this. It did not let its shareholders know when it would announce its results.
I hope shareholders won't come and tell me that "bla bla ... I would rather that they focus their energy in running the company instead of such petty things...." ha ha.
I think a lot of my counters behave in the same way as Penguins.
Many do not have dividend policies.
Many are not covered by analysts or give presentations to any community.
Many also do not have advance notice for the release of financial statements.
To me, it is just a normal company behaving about the same as many other companies.
Same opinion as yeokiwi. Some of my counters I would have to guess when the result would come out - I only know the months.
As a small investor, sometimes I do not see the benefit for me when company, for example, give profit warning, halt before giving result whether good or bad, et cetera. They usually would not affect my opinion on the investment.
Sometimes these announcement do give me opportunity to speculate or do some trading when I think I could benefit from "overacting" of market. This is a value investment forum but I do trade on the counters that I know well; without touching the investment part.
Some of my best results achieved by purchasing "cold" stocks and selling/keeping them when they got "recognized" by analysts. The 15% Fisher 85% Graham suggest that unpopular boring stocks are usually better for investors with the same fundamental goodness.
i like penguin cos it's low-key, making $ quietly without announcing loud at popular forums...etc..
It's cyclical biz, so don't expect Qs after Qs of HUGH profits...
relax and enjoy the biz and conservative management!
I have written an article on the company, with similar theme. A theme of simplicity, with only common ratios, and common senses.
All comment are welcomed. Thanks
(vested)
Thanks for sharing the article. I fully agree with your assessment of the company. Best regards.
(08-04-2015, 12:59 PM)sykn Wrote: [ -> ]Thanks for sharing the article. I fully agree with your assessment of the company. Best regards.
Welcome, and thank for the feedback