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AITKEN SPENCE HOTEL HOLDINGS PLC
ANILANA HOTELS AND PROPERTIES PLC
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BLUE DIAMONDS JEWELLERY WORLDWIDE PLC
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CARGO BOAT DEVELOPMENT COMPANY PLC
CEYLON GRAIN ELEVATORS PLC Hot
COLOMBO FORT LAND & BUILDING PLC
COMMERCIAL CREDIT AND FINANCE PLC
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DIALOG AXIATA PLC
DISTILLERIES COMPANY OF SRI LANKA PLC
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HAYLEYS FABRIC PLC
HVA FOODS PLC
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JANASHAKTHI INSURANCE COMPANY PLC
JOHN KEELLS HOLDINGS PLC Hot
JOHN KEELLS HOTELS PLC
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LANKEM CEYLON PLC
LAUGFS GAS PLC
LUCKY LANKA MILK PROCESSING COMPANY PLC
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NATION LANKA FINANCE PLC
NESTLE LANKA PLC
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PEOPLE'S LEASING & FINANCE PLC
PIRAMAL GLASS CEYLON PLC
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RICHARD PIERIS AND COMPANY PLC
RICHARD PIERIS EXPORTS PLC Hot
ROYAL CERAMICS PLC
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SOFTLOGIC LIFE INSURANCE PLC
SRI LANKA TELECOM PLC
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TESS AGRO PLC
TOKYO CEMENT COMPANY (LANKA) PLC Hot
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VALLIBEL ONE PLC Hot
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judecroos likes this post
Exactly. Someone can say Market is not good due to other reasons such as high debt ratio, unstable Govt, Loss making SOE's, Small size etc and we can keep quiet.. But if they tell market is overvalued- that we have to contest... Its not... by any standard. Even at 7000. But market will not run up freely and may not even go past 6500 in 2020. Still that does not mean market is overvalued...@Promoney wrote:How can a market with a PER of 10.8 and PBV of 1.1 be an overvalued market. Well diversified companies with a EPS over 15% are trading at less than 60% of the net assest value. With a stable Gov in place, its only a matter of time till large foreign funds eye Sri Lanka.
@roshan1039 wrote:Don't trust these jokers they are from UNP@Promoney wrote:How can a market with a PER of 10.8 and PBV of 1.1 be an overvalued market. Well diversified companies with a EPS over 15% are trading at less than 60% of the net assest value. With a stable Gov in place, its only a matter of time till large foreign funds eye Sri Lanka.
At the moment market is very attractive
we can see within next 6 months where will this go
That time they will cry
In 2020 ASI will pass 7000
Don't trust these jokers they are from UNP@Promoney wrote:How can a market with a PER of 10.8 and PBV of 1.1 be an overvalued market. Well diversified companies with a EPS over 15% are trading at less than 60% of the net assest value. With a stable Gov in place, its only a matter of time till large foreign funds eye Sri Lanka.
THAT MEANS YOU HAVE LEFT THE MARKET.GL@kasun_gimhana wrote:@KavinduTM I think shares are overvalued and stay away from the market. I got my money and gave loan to someone with 4% interest per month with a land mortgage. it will give more than 48% annualised return. I listen to teller and sold stock holdings it is good but I listen to teller and did not buy debentures issued by soft logic capital, That was my mistake. then considerable amount put in 15% fixed deposit. Rest of the money plan to buy virtual gold or invest in NDB wealth fund. (I think there will be huge inflation, protect your net asset). I have a loan to finance so I need fixed return 90% my investments are financed by a loan.
@NANDANA2012 wrote:@Teller wrote:Dont do the valuation based on the Net asset value for a share. There is a formula along with cashfolw. Thats scientific formula says nearly 80% companies are over value in CSE
Yes, I dont use only Net Assets, but if a share price is below 10 times Price Earnings and also that multiplication is below its Net assets value, I consider that share is undervalued..(Actually many Other share marjets have a PE 15 or above, whereas ours is still at PE 11) there are many other futuristic scenarios also. BUT Net Assets combined with Earnings into 10 is the best, I guess.
Ok Kaish, What are the Banks yet to raise more capital? yes, banks need more deposits as more loans are in demand..Loan growth slowed down last few quarters, but with interest rate cut (Before New Govt came) Loan demand started growing again....@Kaish86 wrote:Banks mentioned here are yet to raise their minimum capital. Look at their balance sheet. More share issue means eps and share price will go down. The way bank raise rates and marketing for deposit indicates how bad they need deposit. But they cant raise rates on loans. Interst margins of banks will fall further. Their may be a temporary hike. But definitely its not the sustainable price
Banks 7% Tax (Debt Recovery Levy) on profit getting removed, more loans (More sales), less Non performing loans, then reversal of earlier loans provisioned (With better recoveries) will give Banks triple positive effect, while interest rate going down will be only a slight issue..@Kaish86 wrote:Dont go for banking shares. Their books doesn't reflect actual npa status. Expected low interest rate margins will shrink their profit. Govt asking banks to give moratarium on tourism and sme resulting in cash being trapped. To adhere minimum capital requirements they are mandatorily required to raise capital in 2020. They will show inflated share prices to raise capital. For me future outlook negative for bank shares
Almost all Banks raised more capital as required by BASEL111. Do they have to do it every year ???@Kaish86 wrote:Dont go for banking shares. Their books doesn't reflect actual npa status. Expected low interest rate margins will shrink their profit. Govt asking banks to give moratarium on tourism and sme resulting in cash being trapped. To adhere minimum capital requirements they are mandatorily required to raise capital in 2020. They will show inflated share prices to raise capital. For me future outlook negative for bank shares
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