The companies I have selected for this assignment is Malaysia Steel Works (KL) Bhd (5098) and Kossan Rubber Industries Bhd. (7153), both of the company is from industrial products sector and its share is traded in main market.
Malaysia Steel Works (KL) Bhd
From Bursa Saham Malaysia , Malaysia Steel Works (KL) Berhad (Masteel) started its business in 1971 and it is one of the head steel maker in Malaysia. Masteel is engaged in manufacturing and marketing of high tensile steel bars, mild steel bars and also prime steel billets. This manufacturing company is based in Shah Alam and its factories are located at Petaling Jaya and Bukit Raja, Klang in the state of Selangor. It makes Masteel has a benefit on having a lower transportation costs compared to others competitors. Every year Masteel can produce 50 million tonnes of Billet mill and the production can increase up to 65 million tonnes in year 2016. This is because Masteel have invested RM100 million of capital expenditure to build a new factory which
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The joint venture company between Masteel and KUB and called Metropolitan Commuter Network Sdn. Bhd(MCN) with 60% is owned by Masteel and the remain is by KUBThis project began in January 2011 and the proposal got approved by Johor state government in April 2011.
The reason I select Masteel’ stock to analyse is because I have looked back the historical stock chart of Masteel from 2009 to 2015, it is a declining price movement. Masteel achived the highest RM1.5 price in 2011 but it reduced to RM0.4 price in 2015. This historical price of stock in Masteel made me curios on its current intrinsic value and are this stock is worth to invest now? Thus, I would like to analyse Masteel’s stock value through stock valuation in part B, to figure out whether Masteel is worth to invest now and expect the price will increase in future.
Kossan Rubber Industries
Earlier 2002, the stock price of Agnico-Eagle Mines sharply decreased by $1 finally closed at $13.89. This price has reached one of the lowest level, from the company's historical perspective. As a professional equity portfolio manager, who has a large number of AEM stocks on hand. Acker and his team are necessary to find a proper way to estimated the fair value of AEM as well as its equity. Discounted Cash Flow (DCF) has been chosen to do this job. The theory behind DCF valuation approach is that the firm's value can be estimated by using the expected future free cash flow discounted by an appropriate discounted rate (Koller etc 2005). However several assumptions need to be clearly examined within this approach. The following sections are showing the process of DCF step by step.
Valuation refers to the procedure of converting forecast into an estimation of company assets or equity value. The four available models have been used to for JB HI-FI are including the discounted dividends (DDM), discounted abnormal earnings (RIM), discounted abnormal operating earnings (ROIM) and discounted cash flow (DCF).
The second method we used to analyze the firm’s value was the Comparable Companies Method. We used the historical figures as of 1990 and Goldmans Sach’s Projections. With an average of 22.
The two companies that I will be comparing in this project are McDonalds and Wendys. Both of these companies are competitors in the same industry. I am using the information from their 2005 Financial Statements.
Team B's assignment this week was to select two different publicly traded companies in the same industry. The two companies will serve as the basis for subsequent team assignments. The two companies chosen for study are Wal-Mart and Target. This paper will provide an overview of each of the selected companies.
It provides data for inter-firm comparison. Ratios highlight the factors associated with successful and unsuccessful firm. They also reveal strong firms and weak firms, overvalued and undervalued firms.
Toyota Motor Manufacturing, U.S.A. (TMM) is deviating from the standard assembly line principle of jidoka in an attempt to avoid expenses incurred from stopping the production line for seat quality defects. This deviation has contributed to the inability to identify the root cause of the problem, which has led to decreased run ratios on the line and an excess of defective automobiles in the overflow lot for multiple days. If this problem isn’t fixed quickly, an increased amount of waste will continue to be incurred and customer value will be threatened.
Evaluating a company’s financial condition can be done by looking at its profitability or its ability to satisfy long-term commitments. These measures can be viewed through an analysis of a company’s financial statements, including the balance sheet and income statement. This paper will look at the status of Scholastic Company’s (Scholastic) ability to satisfy its long-term commitments and at the profitability of Daktronics, Inc. (Daktronics). This paper will include various financial ratio calculations and an analysis of the notable trends. It will also discuss the profitability and long-term borrowing positions of the firms discussed.
In the early part of this century was a time when industry was booming with growth around the installation of major railroads. With this growth came the transatlantic cable, the telegraph, and a whole lot of steel. Steel would be needed in the construction of these new transportation systems and communications were now possible between businesses and industries. (Wren, 2005)
BMW and Audi, two German automobile manufacturers, have a reputation for making some of the best cars in the industry. Not only are both companies superior in their production, but their financial statements also indicate stability and efficiency. Looking at financial ratios, we will compare both companies on a basis of management efficiency and debt status. As a bank analyst, we will make a recommendation as to which company would be better to approve a loan for. A recommendation will also be made regarding management effectiveness and which company would make a better investment.
Russel Y., Topper S., Akerman L., Oliveira J., Strydom Z.; 2013; Studying Business NSC Business Studies Grade 12; 2013 Edition; Paardekraal; Excom Publishers; 26/05/2014
It is among the largest engineering companies in Malaysia with a growth rate of over 20% for four consecutive years and is among the best managed companies in Asia. It is among the most transparent and therefore leads on the issue of corporate governance. It enjoys incredible growth in sales shareholder and has a base of nearly 1 million. L & T is the core of a group of companies involved in building complexes, worksheets, offices and service outlets at different locations all over Malaysia and abroad. L & T has an incredible reputation for capabilities for executing engineering related projects. This has been enhanced by it long business history which date back in 1938 to present. It provides real and logical synergy in terms of executing turnkey projects for construction, engineering, supplying machinery and suppliers credit. Further, by the use of Total Quality Management (TQM) principles e.g. customer focused, reducing costs and wastage, and adding value at all stages for maximising customer satisfaction and emphasis on 'customer delight '. The company therefore delivers more value than expected by customer. It has ability to synthesise, incorporate and complement its diverse world-class engineering, manufacturing, procurement, construction and fabrication skills around turnkey projects and people. L & T has a world class vendor base and quality technological alliances, excellent IT
Before beginning an analysis of a company it is necessary to have a complete set of financial statements, preferably for the pas few years so that historical trends can be obtained. Ratios are a way for anyone to get an idea of the financial performance of a company by using the information contained in the financial statements. Ratios are grouped into four basic categories, liquidity, activity, profitability, and financial leverage. This document will use a variety of these ratios to analyze the firm, Sample Company, as of December 31,2000.
The current price of Inuit was $45.900 with a P/E of 29.61. The stock’s fair value using its P/E Ratio was dismal at $24.58. From a fundamentalist view the stock should be sol...
Kuala Lumpur was built in 1857 at Kuala Sungai Gombak and Klang. In Malay, the name literally means "muddy estuary". The settlement began when a member of the Selangor royal family, Raja Abdullah, upon the Klang Valley for tin prospectors. 87 Chinese prospectors went up the river Klang and began prospecting in the Ampang area, which was then a wilderness. While 69 of them conked out because of the disease outbreak, growing tin mine was built. This attracted merchants who traded basic provisions to the miners to take some of the canister. Traders set up shop at the conflux of the Klang and Gombak rivers. Thus, a city born.