Archive for June, 2015
Nuf with fb likings. Here’s the “how” of info gathering.
As ive said earlier, information is vital. You can subscribe to media updates (disclosures, news etc) of listed foreign partners (example otto for TA/TAPET) of our own local companies or the global names with local listings (LRI, HLCM, SLF, MFC) for information.
The LRI – HLCM merger for example have been timely disclosed prior to the opening bell of the PSE back then (due to time differential). Remember the TA meldown last Nov 2013? While some traders already reacted to the news and most notably the blacksam, new investors were asking then at various FB Groups as to what the heck just happened. And just a few months ago, TAPET suddenly woke up from its death bed and went parabolic. Thanks to the OTTO disclosure. And who do you think bought a lot?
Below are some of my subscribed media updates of those companies. Unfortunately nothing for besra (formerly olympus, abra’s foreign partner).
Information is vital. While other investors focused more on reading fb comments and liking them, some traders are busy refreshing the pse edge website and other infosites like twitter just to get ahead of information. Nothin wrong in having many fb groups, nothin… well it depends on how much time youve spent liking comments instead of watching the markets. i got a handful fb groups too, but i only “prioritized” the one i think suited for me, and i really really mean, SUITED for ME. If you dont know what kind of investor or a trader you are, then it is likely you dont know what group suits for you. Yo tend to “group” hopping in search of something you done even know. That takes time, and time is valuable. How many time you get angry when someone “bash” you long term stock? I mean YOUR LONG TERM STOCK. Kind of weird right? Nor funny. You get emotionally affected on what you read over some lousy post and yet you tell yourself you in for the long haul. And how many times you click “like” right away when someone posted some nice twee-tums of your IPIT stock. Without knowing it, you are soooo confused.
more later… trading time..
Due to time constraints, some post at http://www.spyfrat.org are “sometimes” not posted in here.
since i also maintain the http://www.stocksph.com blog (http://www.stocksph.com/blog/) i cant link the spyfrat wordpress coz its private.
First. SMC’s disclosure. Possible reason why SMC2A’s trading near face value of 75.
Clarification of News Report
We reply with respect to the news article entitled “SMC seeks refinancing of debt” published in the June 22, 2015 issue of The Standard. The article reported in part that:
“SAN Miguel Corp. and unit Petron Corp. are seeking to refinance debt exceeding $1 billion as interest rates linger near record lows. Their shares surged Friday.
San Miguel, the Philippines’ largest company, may raise funds to partly redeem more than P50 billion of preferred shares, president Ramon Ang said in a June 18 interview in Makati City, without giving a percentage.
. . . .
San Miguel may use its own cash to redeem the rest of its preferred shares, which will pay a higher interest rate in two years if not repaid this year, Ang said.”
We advise that the statements of Mr. Ramon S. Ang, President and Chief Operating Officer of the Company, relating to a possible redemption of the P50 billion preferred shares of the Company, as reported in the aforementioned article, is accurate. The same was previously disclosed by the Company in the Information Statement, dated May 5, 2015, filed with the Securities and Exchange Commission and the Exchange. An appropriate disclosure shall be made to the Exchange if such redemption is pursued by the Company.
Second. A little math.
SMC2B. Div per year = 5.72
SMC2C. Div per year = 6
Difference of 4.90 %
SMC2B price = 85
SMC2C price = 89
Difference of 4.71%
So? Where’s the play? – Wait. The above post is just a distraction.
Third. A simple math.
say u have 1k shares of SMC2C. Selling at 89 will yield 89k
u but then 1k shares of SMC2B at 85, for 85k pesos. Leaving you 4k cash.
1k shares of SMC2C will gives you 6,000 pesos div for a year.
1k shares of SMC2B – 5,720 pesos.
Or 280 pesos of lost dividend because you sold you SMC2C for SMC2B.
but wait, what’s that 4k doin in your pocket?
Here’s another trick.
your 84k proceed will give u 70 shares of Petron Pref Series A (PRF2A) at 1,055 or almost 74k worth.
Leaving you 10k pesos richer. PRF2A gives a 15.75 pesos per quarter pr 63 pesos cash dividend per year.
Your 70 shares, will yield 4,410 pesos per year.
But why change a P4,410 div to P6,000 div if i stick it out for SMC2C? That’s P1,590 additional dividend
Well right, but which is better?
A) having P10,000 right now or
b) waiting for 6 years to have 10,000? (10,000 / 1590 = 6.2 years)
well of-course, prices of preferred shares by then is another thing.
Previously we talked about Arbi Plays
Here’s the 2nd part…and later the 3rd part…if i have time #gigols
SMC2B.. dividend per quarter almost 1.43 pesos per share
that’s 5.72 pesos per year or 5.148 pesos net of tax
Price: 85, the lower the better (buy)
Paraburst Alert – GLO
Author: admin June 19, 2015 0 Comments
Paraburst Alert – GLO A weekly close below 2610 will send RSI weekly below the 70 level.
Parabolic and Emotional Spike Theoriesglo, parabolic, paraburst
Reference Chart – FNI
Author: admin June 19, 2015 0 Comments
Bearish transition materializing, 1.21-1.30 wedge suggested targets
ps: running on turtle net speed, thus cant upload charts