Latest news with #longterm
Yahoo
a day ago
- Business
- Yahoo
Hor Kew's (SGX:BBP) five-year earnings growth trails the 45% YoY shareholder returns
We think all investors should try to buy and hold high quality multi-year winners. While the best companies are hard to find, but they can generate massive returns over long periods. To wit, the Hor Kew Corporation Limited (SGX:BBP) share price has soared 515% over five years. And this is just one example of the epic gains achieved by some long term investors. It's also good to see the share price up 87% over the last quarter. We love happy stories like this one. The company should be really proud of that performance! After a strong gain in the past week, it's worth seeing if longer term returns have been driven by improving fundamentals. This technology could replace computers: discover the 20 stocks are working to make quantum computing a reality. There is no denying that markets are sometimes efficient, but prices do not always reflect underlying business performance. By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. Over half a decade, Hor Kew managed to grow its earnings per share at 72% a year. The EPS growth is more impressive than the yearly share price gain of 44% over the same period. Therefore, it seems the market has become relatively pessimistic about the company. This cautious sentiment is reflected in its (fairly low) P/E ratio of 4.78. You can see below how EPS has changed over time (discover the exact values by clicking on the image). Dive deeper into Hor Kew's key metrics by checking this interactive graph of Hor Kew's earnings, revenue and cash flow. What About Dividends? As well as measuring the share price return, investors should also consider the total shareholder return (TSR). Whereas the share price return only reflects the change in the share price, the TSR includes the value of dividends (assuming they were reinvested) and the benefit of any discounted capital raising or spin-off. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. As it happens, Hor Kew's TSR for the last 5 years was 542%, which exceeds the share price return mentioned earlier. This is largely a result of its dividend payments! A Different Perspective It's nice to see that Hor Kew shareholders have received a total shareholder return of 168% over the last year. And that does include the dividend. That's better than the annualised return of 45% over half a decade, implying that the company is doing better recently. Someone with an optimistic perspective could view the recent improvement in TSR as indicating that the business itself is getting better with time. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. Even so, be aware that Hor Kew is showing 1 warning sign in our investment analysis , you should know about... Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of companies we expect will grow earnings. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on Singaporean exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
4 days ago
- Business
- Yahoo
EG Industries Berhad's (KLSE:EG) investors will be pleased with their fantastic 441% return over the last five years
Long term investing can be life changing when you buy and hold the truly great businesses. While the best companies are hard to find, but they can generate massive returns over long periods. Don't believe it? Then look at the EG Industries Berhad (KLSE:EG) share price. It's 438% higher than it was five years ago. If that doesn't get you thinking about long term investing, we don't know what will. Unfortunately, though, the stock has dropped 4.2% over a week. So let's investigate and see if the longer term performance of the company has been in line with the underlying business' progress. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. By comparing earnings per share (EPS) and share price changes over time, we can get a feel for how investor attitudes to a company have morphed over time. Over half a decade, EG Industries Berhad managed to grow its earnings per share at 91% a year. This EPS growth is higher than the 40% average annual increase in the share price. So it seems the market isn't so enthusiastic about the stock these days. You can see below how EPS has changed over time (discover the exact values by clicking on the image). It might be well worthwhile taking a look at our free report on EG Industries Berhad's earnings, revenue and cash flow. What About Dividends? As well as measuring the share price return, investors should also consider the total shareholder return (TSR). The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. In the case of EG Industries Berhad, it has a TSR of 441% for the last 5 years. That exceeds its share price return that we previously mentioned. And there's no prize for guessing that the dividend payments largely explain the divergence! A Different Perspective It's good to see that EG Industries Berhad has rewarded shareholders with a total shareholder return of 5.7% in the last twelve months. Of course, that includes the dividend. However, the TSR over five years, coming in at 40% per year, is even more impressive. The pessimistic view would be that be that the stock has its best days behind it, but on the other hand the price might simply be moderating while the business itself continues to execute. While it is well worth considering the different impacts that market conditions can have on the share price, there are other factors that are even more important. Consider risks, for instance. Every company has them, and we've spotted 1 warning sign for EG Industries Berhad you should know about. If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of companies that have proven they can grow earnings. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on Malaysian exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Sign in to access your portfolio
Yahoo
19-07-2025
- Business
- Yahoo
Warren Buffett Used These 4 Simple Rules to Acquire 76 Businesses Worth Over $173 Billion
Warren Buffett, chairman and CEO of Berkshire Hathaway (BRK.B) (BRK.A) has long been celebrated for his clear and methodical approach to investing. In his 1977 shareholder letter, Buffett articulated the four key qualities he seeks in any business: 'We want the business to be (1) one that we can understand, (2) with favorable long-term prospects, (3) operated by honest and competent people, and (4) available at a very attractive price.' This simple yet rigorous framework has become a touchstone for investors worldwide, and remains highly relevant in today's dynamic markets. Buffett's insistence on understanding a business stems from his belief that clarity is essential for sound decision-making. He has often avoided industries or companies that are too complex or outside his circle of competence, preferring instead to focus on sectors where he can confidently assess risks and opportunities. This principle has helped Berkshire Hathaway avoid many speculative bubbles and costly missteps that have ensnared others. More News from Barchart Is Palantir Stock a Buy Above $150? Coinbase Stock Just Hit a New 52-Week High. How Much Higher Can Crypto Week Take COIN? This Bullish Catalyst for Nvidia Stock Is Coming in September Stop Missing Market Moves: Get the FREE Barchart Brief – your midday dose of stock movers, trending sectors, and actionable trade ideas, delivered right to your inbox. Sign Up Now! The second criterion, favorable long-term prospects, reflects Buffett's preference for businesses with durable competitive advantages — what he and his late, longtime business partner Charlie Munger called 'economic moats.' These are companies with strong brands, loyal customers, and high barriers to entry, enabling them to generate consistent profits over time. By focusing on long-term sustainability rather than short-term gains, Buffett has built a portfolio that can weather market volatility and changing economic cycles. Buffett's third requirement — honest and competent management — shows his respect for integrity and skill in leadership. He has repeatedly credited the success of Berkshire Hathaway's investments to the quality of the people running its subsidiaries. Buffett's willingness to invest in companies where he is not directly involved in daily operations is rooted in his confidence in the character and capability of their management teams. Finally, the demand for an attractive price is a hallmark of Buffett's value investing philosophy. He seeks to buy shares when they are undervalued relative to their intrinsic worth, providing a margin of safety against unforeseen risks. This discipline has allowed Berkshire Hathaway to achieve strong returns over decades, even as market conditions shift. $173 Billion in Acquisitions This philosophy has helped Buffett acquire an unreal number of businesses over the years. Berkshire Hathaway has completed over 72 major acquisitions and several more minor acquisitions over the years. With Buffett at the helm, Berkshire has expended over $173 billion in capital acquiring these businesses, ultimately creating over a trillion dollars in value for shareholders. While not all of Buffett's acquisitions have been successful, very few other investors even come close to his track record. While few investors will ever acquire a business outright, many will invest in businesses via the stock market, and can use this methodology when looking to acquire companies in their equity portfolios. Buffett's 1977 letter and its guiding principles continue to influence investors, fund managers, and corporate leaders. As markets evolve with new technologies and global challenges, his focus on simplicity, quality, and value remains a steady compass. The enduring relevance of these criteria is evident in the continued success of Berkshire Hathaway and the widespread adoption of Buffett's methods by investors seeking long-term, sustainable growth. In an era where complexity and speculation often dominate investing headlines, Buffett's timeless approach serves as a reminder that the fundamentals—integrity, prospects, and price—are as important now as they were nearly half a century ago. On the date of publication, Caleb Naysmith did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. This article was originally published on
Yahoo
19-07-2025
- Business
- Yahoo
2 Canadian Stocks to Buy and Hold for Life
Written by Sneha Nahata at The Motley Fool Canada If you're looking to build a resilient, long-term portfolio, focus on high-quality Canadian stocks that offer solid growth and can outperform the broader market. Diversification plays a crucial role here as it spreads your risk across sectors and companies, making your holdings more stable over time. Furthermore, pairing this strategy with a Tax-Free Savings Account (TFSA) can amplify your real returns. Since capital gains and dividend income earned within a TFSA are not taxed, this account structure allows your investments to grow unhindered by the usual drag of taxation, which is an especially powerful advantage when compounded over years or even decades. Against this background, here are two Canadian stocks to buy and hold for life. They have solid fundamentals and significant long-term tailwinds. Brookfield Asset Management Brookfield Asset Management (TSX:BAM) is a compelling Canadian stock to buy and hold for life. The alternative asset management company's cash flows are supported by fee-related earnings. Moreover, approximately 95% of its fee-related revenues are derived from long-term or perpetual capital, providing a reliable stream of income that supports consistent distributable earnings. Its investment portfolio includes infrastructure, real estate, power generation, and critical service businesses. These sectors are essential to everyday economic activity and are largely shielded from global trade volatility. Because these assets tend to serve local demand, they are less vulnerable to geopolitical shocks such as tariffs or supply chain disruptions. Many of these assets also benefit from inflation-linked revenue streams, enabling Brookfield to pass rising costs through to end users, preserving margins even in inflationary environments. Brookfield's early investments in sectors now experiencing massive tailwinds, such as renewable energy, data centres, semiconductor manufacturing, and nuclear power, provide a solid base for future earnings growth. These industries are seeing rapid capital inflows, which will drive Brookfield's fee-related earnings and its share price. It continues to deliver solid financials with Q1 fee-bearing capital climbing to $549 billion, representing a 20% year-over-year increase. This expansion drove a 26% increase in fee-related earnings and boosted distributable earnings by 20%. Looking ahead, Brookfield aims to double its business in the medium term and expand the fee-bearing capital to $1 trillion. Furthermore, its business remains capital-light, and the company targets a dividend payout ratio of 90% or higher. In short, Brookfield offers solid long-term growth and income potential. Loblaw Loblaw (TSX:L) is another solid stock to buy and hold for life. Canada's leading food and pharmacy retailer offers stability, solid growth, and income. Despite economic uncertainty, Loblaw has continued to deliver, with its stock already up approximately 16% year-to-date. Over the past five years, Loblaw stock grew at a compound annual growth rate (CAGR) of more than 27%, translating to an impressive total capital gain of about 237%. These gains are driven by its high-quality, defensive business model, which thrives across various market conditions. Loblaw focuses on value, convenience, and an improved customer experience, which drives traffic regardless of economic situations. Its discount banners, No Frills and Maxi, are rapidly expanding and resonating well with budget-conscious shoppers across Canada. As the company expands its national footprint in 2025, its top-line growth is expected to remain solid. Further, its strong push into private-label products, competitive pricing, and a broad product selection all contribute to its growing base of loyal shoppers. The company is also investing in modernizing its supply chain and implementing automation to boost efficiency and lower costs. These moves will support stronger margins over time. Meanwhile, its omnichannel strategy and popular loyalty program give it an edge in capturing consumer data and driving smarter, more effective promotions. Its reliable earnings, expanding store network, and consistent performance in any economic environment make Loblaw one of the most compelling long-term investments. The post 2 Canadian Stocks to Buy and Hold for Life appeared first on The Motley Fool Canada. More reading 10 Stocks Every Canadian Should Own in 2025 [PREMIUM PICKS] Market Volatility Toolkit A Commonsense Cash Back Credit Card We Love Fool contributor Sneha Nahata has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. 2025
BBC News
18-07-2025
- Sport
- BBC News
New boss Frank 'in it for the long term' at Spurs
Being Tottenham Hotspur manager has not recently aligned with job security, but new boss Thomas Frank is undaunted by recent history and says he is in it "for the long term".Speaking in his first news conference since joining in June, Frank joked that, having never been sacked, he took the Spurs job to "get a little bit more risk in his daily life".While Frank's tone was light-hearted, there is no doubting the demands of the role have proved difficult in the past four have had four managers since June 2021, with Nuno Espirito Santo lasting just four months, Antonio Conte 16 months and Ange Postecoglou - despite ending the club's 17-year wait for a major trophy by winning the Europa League - two years."Coming to a big club, there are pressures," said the Dane. "I like the ambitions and everything I do - every decision I've made - is for the long term. It's not about surviving 18 months, it's for the long run."The 51-year-old said it was "extremely positive" for the club to have lifted the Europa League last season and, while he wants to bring more trophies, his main ambition is to ensure Spurs are able to compete on all fronts."[Winning the Europa League] gave them that fantastic trophy that this club deserved and needed," he said. "My aim is to add to that. The first aim is that we need to be able to compete in all four tournaments and do it consistently."Frank was speaking before Tottenham's first pre-season game against League One side Reading at 15:00 BST on Saturday. Leaving Brentford 'very difficult' but right decision Frank had been the Premier League's second longest-serving manager, leaving Brentford in June having managed them in the top flight since winning promotion in said it was a tough decision to leave the west London side, but managing Tottenham was an opportunity he could not refuse."In a way it was very difficult and in a way it was very easy," said Frank. "It was very difficult because I'm a person that goes 'all in' in every relationship: work, friends, marriage, whatever it is. When you go all in and work at a football club, you get attached. I really loved my time there."I also felt maybe it was time to challenge myself and get another opportunity. When a club of Tottenham's magnitude are knocking on your door, I couldn't turn it down." Son and Romero 'very important' Two immediate questions for Frank to address at Spurs are the futures of captain Son Heung-min - who has interest from Saudi Arabia - and Cristian Romero, who has been linked with a move this however, would not be drawn into a comment on what lies ahead for the pair and merely said Son and Romero are both "very important" for the club."Two top players, Sonny has been here 10 years and finally got his well-deserved trophy in the summer. So important for the team and the club," he said. "Romero, World Cup winner, Europa League winner, Copa America winner, very important for us as well. Both have trained well and both will play on Saturday. I'm very happy."Frank was also tight-lipped over Tottenham's approach for Morgan Gibbs-White, that has led to Nottingham Forest considering legal action over whether a confidentiality agreement in the £60m release clause in his contract had been said he will "not speak about players who are not mine". 'No definitive answer on Son and Romero' - analysis It was more a case of what Frank didn't say when it came to the futures of skipper Son and vice-captain Romero than what he did players were heroes of Spurs' euphoric Europa League win last season, but their futures are unclear heading into the new who has a year left on his deal, has been heavily linked with a move to Saudi Arabia, while BBC Sport has learned a number of MLS sides have registered an interest in the South Korea forward with a view to a potential January has been a long-term target for Atletico Madrid and his now seemingly annual flirtation with the Spanish side is again in full look likely to leave before the club's pre-season tour of south-east Asia - particularly Son, who will be central to the club's commercial operations given his high profile status in the asked whether he was banking on the duo for next season, Frank fell short of providing a definitive answer.
