Monday, October 18, 2010

BIG PROJECTS, SMALL CAP

Investor always make a mistake, they look at share price, but never try to compute the market cap.

A stock price at 0.20 is not necessary is a small cap company if their share base is big.
A stock price at 0.50 may be a small cap company if their share base is small , let say 300 mil shares. ie the market cap is only 150 mil (0.50 x 300 mil shares.)

Now I am convince that The Najib Govt is spending BIG in Infra Projects.
All 'NEM', 'ETP' is just a slogan, the actual intention is to give out more & more SUPER MEGA PROJECTS.

A small retail investor like me, no need to follow the Fund Manager to go into BIG CAP company.

We can make better returns by go into small cap counter take will benefited from the BIG Projects.

The returns can be easily 50%- 100%.

This is indeed the ADVANTAGE of being small.

My bet: ZELAN, IJM-WC, MALTON, KBUNAI, AZRB

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