TTJ Holdings

[dydx]

After the counter had gone 'XD' on 4Dec12 for the $0.008/share Final dividend (paid 21Dec12) for FY12 (ended 31Jul12), today (25Jan13) and this morning TTJ has hit a new high of $0.24. Nice!

[dydx]

After closing up $0.005 at $0.24 last Friday (25Jan13) with a high 1.07m shares transacted, TTJ has again advanced by another $0.015 so far today (28Jan13) and last done at $0.255.

I think this is the first instance that TTJ has beaten its archrival Yongnam (last done at $0.25) in share price. Nice!

[dydx]

TTJ has just hit a new high of $0.28 - up another $0.025! - this afternoon (29Jan13), and the 'buy' queue is so much longer than the short 'sell' queue. Great!

[zf87]

Now, if we look back at what was happening on 11-23-2012, about two months ago, it was not a mistake but a test of reaction of those invested.

[dydx]

This morning (14Feb13), TTJ has really pulled ahead of its archrival Yongnam and crossed the important $0.30 mark - presently TTJ being traded at $0.305/0.31, vs. Yongnam at $0.275/0.28. I guess TTJ as a stock is fast becoming a case of "business size doesn't really matter, but given time quality and good reputation would speak loud and clear".

[shn]

This one is a dark horse, which emerged one of the big winners over the last 1.5 months!

(Divested to re-invest in other stocks)

[dydx]

This one is a dark horse, which emerged one of the big winners over the last 1.5 months!

(Divested to re-invest in other stocks)

Indeed, TTJ's share price - which has risen approx. 45% since 1Jan13 to close at $0.325 last Friday (15Feb13) with only a reasonable volume transacted - has outperformed STI by approx. 40%, and against archrival Yongnam by approx. 35%, in the last 3 months alone. I guess the reasons for this to happen would include: (1) TTJ as a little gem and well-managed business was grossly underpriced before; and/or (2) some positive news or corporate actions could be coming.

Supported by a good jobs order backlog and still benefitting from active new job enquiries, and being managed by an experienced and prudent team, I believe TTJ is poised to deliver a higher EPS of $0.055 (vs. last FY12: $0.0475) in FY13 (ending 31Jul13) and a steady stream of good earnings and EPS in the next 3 years at least. This would substantially raise TTJ's NAV/share, which stood at $0.2501 (as at 31Jul12) - itself conservatively stated as its 5,300-bed "Terusan Lodge 1" dormitory asset located at Jalan Papan, Jurong, and its 2 existing leasehold factory assets located at Pioneer Road, Jurong, and in Pasir Gudang, Johore, are carried at low historical costs. And if we also attach additional value to TTJ's substantial net cash reserve - 31Jul12: approx. $21.0m, equivalent to $0.06/share - the intrinsic value for each TTJ share should be at a nice premium over its NAV/share.

TTJ is due to release its 1H (ended 31Jan13) results by 14Mar13.

[dydx]

I thought yesterday's (19Feb13) headline news on the unveiling of the 2 big mixed/integrated property projects - the $7.0b Marina One, targetted to be completed in 2017; and the $4.0b DUO - to be developed by M+S Pte Ltd, a 60:40 j-v owned by Malaysia's Khazanah Nasional and Singapore's Temasek Holdings, should be great news to TTJ as there will be sizeable structural steel work in them. More info these 2 projects....
http://www.asiaone.com/A1Business/News/S...03146.html
http://duo.beachroad.com.sg/

[chew]

I thought yesterday's (19Feb13) headline news on the unveiling of the 2 big mixed/integrated property projects - the $7.0b Marina One, targetted to be completed in 2017; and the $4.0b DUO - to be developed by M+S Pte Ltd, a 60:40 j-v owned by Malaysia's Khazanah Nasional and Singapore's Temasek Holdings, should be great news to TTJ as there will be sizeable structural steel work in them. More info these 2 projects....
http://www.asiaone.com/A1Business/News/S...03146.html
http://duo.beachroad.com.sg/

Hi dydx, I wonder if you can help briefly educate me on the business and investment merits of the various steel companies I see discussed throughout this forum such as TTJ, yongnam, nam lee, hupsteel. I am struggling to understand the business without the least engineering background

[dydx]

Hi dydx, I wonder if you can help briefly educate me on the business and investment merits of the various steel companies I see discussed throughout this forum such as TTJ, yongnam, nam lee, hupsteel. I am struggling to understand the business without the least engineering background

I don't think you need an engineering background to understand the business of the above companies. I guess the best way to start is to read/review their current/latest annual reports like a good story book, and visit/review their corporate websites.....
http://www.ttj.com.sg/ [TTJ]
http://www.yongnam.com.sg/ [Yongnam]
http://www.namlee.com.sg/ [Nam Lee]
http://www.hupsteel.com/ [HupSteel]
When you do your research, think economics, risks, the supply chain and value-adding process. I guess you will need to put in a lot of imagination too.