Vibrant Group Ltd (Formerly: Freight Links Express Holdings)

[Bubbachuck]

A company that's worth a deeper look.

http://www.sharesinv.com/articles/2014/1...-argument/

[etan]

I have great faith in the senior Khua HS. From what I know he is a very humble man and he does the abacus faster than the calculator.

[greengiraffe]

Good to have faith but if you don't have scale and keep being a follower, can't go too far...

Anyway, good try...

Odd Lots Vested
GG

[etan]

hehe, U know me too well! Buy and keep type of investor.
I take it as an encouragement and will work towards it, thanks!

Good to have faith but if you don't have scale and keep being a follower, can't go too far...

Anyway, good try...

Odd Lots Vested
GG

[valuebuddies]

I thought vibrant has some fishy relationship with Figtree concerning its IPO which yet to be clarified?

[wahkao]

i didnt buy this
its diversifying into unrelated activities
diversification adds no value to me as a shareholder!!!

[funman168]

I had took profit on vibrant @ ard $0.13, current price too high, nt worth a pun

[crow123]

I had took profit on vibrant @ ard $0.13, current price too high, nt worth a pun

current price looks low, gonna hit 52 weeks low soon..

[Bubbachuck]

Looks very attractive now. But no bullets currently.

[Raks]

I first bought Freight Links years back at price approximately 0.055. The final buying decision was because the Khuas do not look like blood suckers. Senior Khua was the permanent honorary president of public free clinic society, vp of the singapore buddhist lodge etc... Kind of reminds me of the old Chinese Merchants 儒商。 The Khua family took over when Freight links has horrible debt-to-equity ratio, did a sell and lease back of their properties and invest into many (diworsified for many) places. I thought Sabanna Reits was relevant and selling the real property was an act of unlocking value. Like wise, they invest in LTH, one of the chemical storage that I thought was interesting. I kind of believe that sale-and lease back is not wrong on its own, just what are they going to do with the money?

For a few years, the metrics looks to be improving; although I kept reminding myself that the rental will kick in and become a drag on the profit margin for the logistic division.

Opted for scrip since day one and then sold half of my shares when it hit my target at ca. 1.07 - Whatever I'm holding I take it as free gift as the price moved up 1x. (This is not the right way to decide buy or sell but knowing myself well enough, I can now hold on to vibrant fearlessly even back to 0.05. After all the hard work, I gave into fear of loss and "cut" losses during GFC. )

EPS wise, now Vibrant, does looks like it's improving all the time. However, the cash flow from operation is getting worse. Cash from finance... Taking loan, repaying loan, and getting interest... The debt-equity looks too scary to me for brick and mortar. Vibrant issue notes at rather high interest and loan it out for higher interest.

I am not capable of analyzing financial stocks (bulk of vibrant's EPS comes from finance). Trending EPS, div yield etc is not fundamental enough to me. I remember vaguely that liability for bank is the money they have (need to pay interest) while asset is what they loan out (could make money by interest and fees etc). Then hedge against losses due to various factors.... This is where I can't see what Vibrant is doing. Big boys like Citibank, Bank of America write of millions here and there; fine millions here and there. Vibrant has a market cap of 200-300M. Some buddies mentioned Vibrant is doing something beyond their depth. Some one mentioned they took the opportunity. CHC can get money with minimal cost... I could neither agree nor disagree. With money, it's possible that they could have hired the right person and have done their due diligence.

Liability is the money they have and asest is money loan out to CHC etc, a higher debt-equity could simply means even more EPS for Vibrant share holders .... Should I analyse Vibrant as a pure logistic player? Majority of revenue still from non-finance biz ??? So... I keep half... And hope that they can be Berkshire one day. I will get excited if they do sale and lease-back again and buy an insurance company (Please dont take it too seriously about the Vibrant-->Berkshire)

(Vested, with odd lots.)