As everybody known, Genting Malaysia is a profitable company. I also believe that Genting Malaysia is a fantastic cash flow generator. However, we as an investor need to identify company background such as the capability of generating fantastic cash flow, reinvesting the cash flow to high return venture and returning the cash flow to shareholder. Genting Malaysia did it very well !
Here, i want to relate Genting Malaysia to Genting Singapore and Genting Hong Kong Limited. It’s no doubt that Genting SP (Genting Singapore) will expecting to have higher profit margin as the gambling tax imposed by Singapore Government is 20%, which is 10% lower than Macau and Malaysia.
Besides that, the pulling factor of Genting SP is the strategic location which is at Sentosa and near Universal Studios theme park.
So, it’ll be happening same to Genting Hong Kong Limited which formerly known as Star Cruises Limited. Basically, it comprises of Star Cruises in Asia, Norwegian Cruise Line (NCL) in the US, and Resorts World Manila (RWM) in the Philippines. If you’re looking at the Genting HK chart recently, you will found that for the past few trading days, the share price was increasing. And, if you’re thinking for long term, it’s really worth for investment.
Below is my 1,000 shares of Genting HongKong traded @ USD 0.47500 on 15 Nov 2010.