29-06-2023, 07:38 AM
The Malaysian steel sector is a tough one as illustrated by the following chart on the Bursa Malaysia steel sector ROE taken from my article A tough 12 years for Bursa Malaysia steel companies
You can see that there were many years with negative ROE. Over the past 14 years, the mean ROE averaged a negative 1%.
So when you are a fundamental investor and you come across a company like MASTEEL with an average ROE of positive 2% over the same period, you should be having this company in your shortlist for further investigation.
You can see that there were many years with negative ROE. Over the past 14 years, the mean ROE averaged a negative 1%.
So when you are a fundamental investor and you come across a company like MASTEEL with an average ROE of positive 2% over the same period, you should be having this company in your shortlist for further investigation.