JAKS (4723) - Why JAKS is shooting up?
The current issue of Focus Malaysia carries a full page article on page 18 about Serba Dinamik to encourage readers to buy the shares. My purpose of writing this article is to show readers the comparison of Serba Dinamik with JAKS so that they can make a better informed decision. You can see the comparison as follows:
Total issued shares: Serba Dinamik 1,334 million comparing JAKS 484 million
Current price : Rm 1.65 Rm 1.64
Market Capitalization: Rm 2,201 million Rm 794 million
Owns 9.8 MW in East Kalimantan owns 40% of 1,200 MW in Vietnam
Plans to construct 3 hydropower plant in Sabah
with a total 29.1 MW
JAKS’ market cap is about one third of Serba Dinamik but it owns a few hundred times more MW of power.
That is why JAKS shot up 16 sen today with 10.2 million shares traded.
Many people have asked me to explain what is MW of electricity and how much of coal is required to produce 1 Mega Watt of electricity.
1 mega watt = 1,000 kilo watt and the current price for 1 kilo watt hour in Malaysia is about 50 sen. For example to light a florescence tube of 40 watt for 10 hour the cost of electricity will be 400/1000 X 50 sen = 20 sen.
Jaks’s 1,200 MW can produce 1,200 X 1,000 = 1,200,000 kilo watt X 50 sen = Rm 600,000 per hour. Assuming 50% efficiency the power plant can still produce Rm 300,000 worth of electricity per hour.
One ton of coal costing about US$ 50 can produce about 2 MW hour of electricity.
Can you imagine JAKS’ power plant will produce electricity to sell for 25 years?
After reading the above, do you still want to buy Serba Dinamik?
I am obliged to tell you that my wife Tan Kit Pheng and I are the controlling shareholders of JAKS. My sole purpose for writing this article is to prevent you from losing money. My wife has 39 million and I have 88 million shares. Please bear in mind that we do not need you to buy to support the share price. But if you decide to buy, you are buying at your own risk.
JAKS (4723) - Why JAKS is shooting up?
http://koonyewyin.com/2017/04/03/why-jaks-is-shooting-up/
