Genting Malaysia

I like Genting Malaysia (Genm) a lot. It is a fundamentally sound company.

I notice that Genm was trading near its resistance at RM2.75, so without hesitate I buy Genm-cj on 8 Oct 2009 at RM0.155 and Genm-ck on 9 Oct 2009 at RM0.35.

I prefer Genm-ck (premium 6%, gearing 3.8) more than Genm-cj (premium 8.2%, gearing 3.2).

I think it is possible that Genm-ck and Genm-cj give me 50% profit in a month or two.

Genting and Genting Singapore are very hot lately and outperformed Genting Malaysia. In my humble opinion, Genting Malaysia is cheaper than Genting Bhd and Genting Singapore. Genting P/E is 48 and Genting Malaysia P/E is 26.24.

Nobody is 100% sure that Genting Singapore would make profit in future. Genting Singapore is scheduled to open this year end. At the same time, Genting Malaysia is already a proven very successful business but investors seem to like Genting Singapore more. Weird. I guess there are just too many speculators.

Ok, that's all from me for now.

Good luck.

GOon