Monday, April 30, 2007

Tenaga: Nobody's Child

lionfish said...


What do you think abt the recent price weakness on Tenaga? There are a lot of call warrants on this big blue chip... Earnings are growing but the stock is a big laggard vs the KLCI... I think at current levels, the mother is trading end-2006 while the KLCI has moved up 20% YTD already...


yes, tenaga is a weird animal... most brokers and foreign ones esp have tnb as a buy for the longest time, its not even matching the index gains ... so there is a disconnect here:
a) funds don't like tnb's story
b) glc revamp impact not so great at tnb, maybe they have fewer kinks to start with

The biggest disconnect has to be the way IPPs have given a viable alternative for investing vis-a-vis TNB. Hence TNB's policy, or rather the govt. policies are to be blamed for being "too nice" to IPPs to the detriment of TNB. That doesn't seem to be changing much, hence the under-performance can be expected to continue.

2 comments: said...

Missed the fracas between yourself and that braggart.

Any beggar on his day can pick the best performing stocks. I just ran thru his blog out of curiosity and I must say, its shallow to say the least.

For the informed investor, I must say that your blog is one of the best I have come across. You may not come out with winners(Guys, no one can even if you are Warren B) all the time but your reasoning is sound and concise even tho the rec may not perform as well.(hey big plus for some original humor as well!!)

I think myself and all the other faithfuls of your blog have admired your frankness and boldness. Nuff said, you have our attention and keep on blogging.. The force is strong in you, ...Cheers

peisheah said...

if TNB itself is saying that the business is hard to manage with such a high capex, i won't even bother to notice it beside that it's the highest cap company in bursa.