I have discussed those counters which are CASH RICH in bursa, as in this link : http://mybursatop10.blogspot.sg/. However, is cash rich is sufficient ?
Assume you are a girl and you have 2 admirers. The first admirer is Billionaire but who is rather timid. Even he own billion of assets, but he not willing to buy you even a simple luxurious cafe when you are in dating. He not willing to spend $$$$$ on you. However, another guy who is normal professional who is willing to spend considerable amount of money on you as long as you are happy.Thus, who you will marry with ?
A CASH RICH stock who is not willing to give any dividend is MEANINGLESS. The money they own can only read in FINANCIAL Report but not able to touch or to be used. However, a CASH RICH Stock with Generous Dividend is really can be considered as good buy.
Let us study the table below : -
| Cash on Hand (Million) |
Liability ( Million) |
Net Cash (Million) |
Outstanding Shares (Million) |
Net Cash per share ( RM) |
Price at 24 June (RM) |
Price / Net Cash Per Share Ratio |
Dividen Yield % 2014 | Dividen Yield % 2013 | Dividen Yield % 2012 | Average 3 Years | ||
| 1 | FACBIND | 148.45 | 0.00 | 148.45 | 83.00 | 1.79 | 1.06 | 0.59 | 1.80 | 0.00 | 0.00 | 0.60 |
| 2 | Farlim | 86.00 | 0.00 | 86.00 | 140.00 | 0.61 | 0.64 | 1.03 | 0.00 | 0.00 | 0.00 | 0.00 |
| 4 | HIL | 128.5 | 0 | 128.50 | 276 | 0.47 | 0.815 | 1.75 | 0.00 | 0.00 | 0.00 | 0.00 |
| 7 | EKSONS | 158.00 | 39 | 119.00 | 161.00 | 0.74 | 1.42 | 1.92 | 0.00 | 0.00 | 0.00 | 0.00 |
| 9 | LCTH | 85.00 | 0.00 | 85.00 | 360.00 | 0.24 | 0.53 | 2.22 | 0.00 | 0.00 | 0.00 | 0.00 |
| 17 | Weida | 176.00 | 101.4 | 74.60 | 127.00 | 0.59 | 1.57 | 2.67 | 0.00 | 0.00 | 0.00 | 0.00 |
| 22 | Solutn | 17.00 | 0.00 | 17.00 | 196.00 | 0.09 | 0.33 | 3.75 | 0.00 | 0.00 | 0.00 | 0.00 |
| 20 | SAM | 103.60 | 0 | 103.60 | 84 | 1.23 | 5.05 | 4.09 | 0.00 | 0.00 | 0.00 | 0.00 |
| 23 | Sanichi | 24.00 | 3.00 | 21.00 | 1144.00 | 0.02 | 0.08 | 4.36 | 0.00 | 0.00 | 0.00 | 0.00 |
| 34 | Penta Master | 9.90 | 0 | 9.90 | 133.24 | 0.07 | 0.75 | 10.09 | 0.00 | 0.00 | 0.00 | 0.00 |
| 36 | Prlexus | 34.00 | 10.409 | 23.59 | 134.24 | 0.18 | 2.14 | 12.18 | 0.00 | 0.00 | 0.00 | 0.00 |
| 40 | Kawan | 38.00 | 6.60 | 31.40 | 185.00 | 0.17 | 2.50 | 14.73 | 0 | 0.00 | 0.00 | 0.00 |
All the stocks above are CASH RICH Stocks. However, their dividen are sucks. Almost zero dividend paid out over the past 3 years and average dividend yield is zero or close to zero. Can you shows me where is the money ?
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