A Look At How Apollo Food Holdings Dabble In The Share Market

October 30th 2008, I wrote Apollo Food's'Investments' In The Share Market

• Today, I came across the following announcement from Apollo Food Holdings. Now I would applaud Apollo Food Holdings for being transparent.
  
  See APOLLO FOOD HOLDINGS BERHAD ("APOLLO" or "the Company") - Dealing in quoted shares (Do click on the excel file attached!!! )
  
  However, let me stress again, I am uneasy with Apollo Food's involvement in the share market.
  
  Excess money should be return to the shareholders and I do not think it's right that this company should be dabbling in the stock market.

Now here's an interesting exercise which I did.

I opened the excel file, did a sort, and calculated the average prices paid.

That was what I got. I added in the today's prices too. Maybank is tricky. For I do not know if Apollo Food subscribed to the rights issues or not. 3.88 is the price it went ex if I am not mistaken and 5.90 is the price today.

Anyhow, it would appear that Apollo is doing rather well ASSUMING if Apollo Food held on to the shares till now.

Let's now look at the quarterly earnings to get a rough idea what Apollo Food did for its portfolio of stocks.

Dec 2008. Quarterly rpt on consolidated results for the financial period ended 31/10/2008

Here's the snapshot of what Apollo Food reported.

It purchased more shares!

And at that moment of time... the shares were DEEPLY under water. :P

March 2009. Quarterly rpt on consolidated results for the financial period ended 31/1/2009

mmm... it purchased some more but Apollo Food sold quite a bit of shares!!!!!!!!!!!!!! Made some small change too. :P

Hehehe... yeah on hindsight NOW.. anyone can easily say bad luck, bad timing! Some might even be more critical and say poor decision!

Now Apollo Food reported its earnings today. It's for the quarter ending 30th April. That's about the start of the big rally in March 2009.

............ !!!!

Apollo sold more and bought more.

And made some small change too!!!

How?

What's the point of all this dabbling in the sharemarket isn't it?

Got excess money.. isn't it just better to return the excess money to the shareholders?