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Wednesday, April 30, 2014

Raffles Medical

Despite its property expansion plans, Raffles Medical still have the ability to grow its net profit and at the same time, finance its growth plans.

Its 2014 1st Quarter saw an increase of 8% in net profit after tax with a healthy cash position of $98 million. Its healthcare sector grew by 14.3% and its main revenue stream from hospital services grew by 4.8%.

This results in turn translates to Raffles Medical's ability to perform consistently, giving value investors a very positive signal for this stock.

I am in favour of the management's ability to grow the company in present and future.

Saturday, April 12, 2014

Good mid-cap stocks have appreciated in value

Stocks like Centurion, Swissco Holdings, Nam Cheong, Penguin International, Pan United and MTQ Corp have risen in value over the past few months due to their strong balance sheet and strong fundamentals.

Penny stocks in particular have gained much popularity due 1000 shares per lot restriction imposed by SGX, making expensive blue chip stocks much less affordable by the public. Profit margins for penny to mid-cap stocks are higher as compared to expensive blue chips. Their price movements could be upwards but very slow like a turtle.

Although there are still good mid-cap stocks, but they are harder to find nowadays or rather have not appreciate in value until analyst reports about them are released.