EQUITYOPPORTUNITY

Friday, January 10, 2025

Live Miraculous Streak : 36-time Scorer YTL Corp takes the reins of the marathon as scalp #4 ! {10th Jan '25}

   After nearly two months' absence, YTL Corp returns in 2025 to complete a hat3rick of consecutive years of gain, this time as #4[#7 in 2024 & #67 in 2023], incredibly delivering 18X in both of the past 2 years!


 This time, a modest 50 shares are unloaded in the odd lot market for a 56% appreciation over the adjusted cost of my sold & re-purchased shares in the conglomerate, reaching 1,105 days consecutively in the marathon!




    In Tokyo, Toyobo is added to the dividend-paying portfolio after being stalked for more than eighteen months, with a missed chance at just over ¥1,000 redeemed with a maiden purchase at ¥948, the third time's the charm subsequent to 2 unsuccessful attempts to buy at the same price on Wednesday & Thursday! This is the lowest price since 2011-2012 & before that, 1976-1978. In the early '80s, it traded at a 36% premium to its then book value of  ¥883 and dipped briefly below its improved NTA of  ¥1,310 in 2000  where it double-bottomed at ¥1,280 in 1998/2002 before soaring to ¥4,140 in 2006. Since then it has seen low beta with a high of  ¥2,249 in 2018 & a low of ¥885 during last August's sell-off & now trades at a 57% discount to book despite revenue being 67% higher than in 2000. However, EPS is about 30% below 2000 levels & 85% below its record year of 2007 & the sole dividend during the year is 20% lower than those years.

  Unbelievably, the stock price is lower now than during the whole of the 1950s when it fluctuated between ¥1,044 in 1954 & ¥2,572 in 1953 during the first major bull market after WWII. During the year it first came on the market in 1949, it actually rose as high as ¥7,077, a price exceeded only about four decades later in 1988!  ¥10,400 was its Bubble-Era peak & its lows were  ¥448 in 1962, ¥480 in 1969 & ¥800 in 2012 when the Nikkei index was about a fifth of its current level. Thus I acquired it just 7% above its 1-decade nadir last year. Will it see another high watermark 40 years after its last 5-figure quotation in '89, which was in turn 4 decades after its frenzied speculative peak?

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