Lousy QRs , but major technical indicators showing positively moving up !

Careful ....... another uptrend wave on the way  ???

On Monday, Rimbunan Sawit Bhd (RSAWIT:KLS) closed at 0.21, 82.61% above the 52 week low of 0.115 set on Mar 20, 2020.

Kajian Saham Picisan

Oil Plantation Company Comparision (Top 30)

Part I - Top 10

Part II - 11-20

Part III - 21 - 30

On Friday, Rimbunan Sawit Bhd (RSAWIT:KLS) closed at 0.295, -36.56% below its 52-week high of 0.465, set on Dec 31, 2019.

Kajian Saham Picisan

I am a fundamental investor that relies on historical information to analyse and value companies. Whenever I tell this to investors, they will often cite the well known disclaimer used by all financial advisers – past results does not equal future performance.

When I look at a company’s performance, I know that it is due to the “economic and other resources set-up (strategies, management, funding, etc).” that the company has. So if these result in a good performance in the past, there is a good chance that it will continue to do so in the near future.

Don’t think in terms of a continuation of the past numbers. Think in terms of  the continuation of the past set-up That is the reason why track record is important in my analysis. It gives me confidence that the company has the set-up in place to deliver good performance.

Take the example of Rimbunan Sawit which had negative ROE yearly for the past 8 years. In contrast, here are many plantation companies (eg KFIMA) that had delivered positive ROE yearly for the past 8 years. So it cannot just be an external problem. I would think that unless there is some major change in the setup, the past = the future.