Monday, February 3, 2014

Stock Favorite: SM Prime Holdings (SMPH) in Philippine Stock Market

As investors, we ensure that we know where we put our money so we do a little research on the background and business of the company we will be investing in.

In our Stock Favorite today, we will feature one of the companies I am investing in. It is one of the companies that is very much familiar for Filipinos. Adding to our list is the very famous SM Prime Holdings (SMPH).

Taken from
SM Prime Holdings, Inc.

SM Prime is the holding company of the SM Group in the property business. It is among the largest integrated property developers in the region with offerings spanning across diverse sectors of mall, office, residential, hotel and leisure development. (

It has malls operating in Philippines and China. To date, SM Megamall has become the largest mall in the Philippines with the addition of the Mega Fashion Hall.

In 1994, SMPH is publicly listed in the Philippines Stock Exchange.

Subsidiaries and Affiliates

Taken from SMPH's profile in COL Financial's site, its subsidiaries are First Asia Realty Development Corporation, Premier Central,Inc., Consolidated Prime Dev. Corp., Premiere Southern Corp., San Lazaro HoldingsCorporation, First Leisure Ventures Group, Inc., Southernpoint Properties Corp., MegaMake Enterprises Limited, Affluent Capital Enterprises Limited, SM Land (China) Limited,and Springfield Global Enterprises Limited.

Stock Market Details

1. Stock Code: SMPH

    To buy shares of SM Prime Holdings, just look for the stock code SMPH.

2. Main Board Lot: 100 shares

    Board Lot identifies the minimum number of shares that can be bought. It also indicates the increment of share amount that is allowed. This means that an investor is only allowed to post a buy order for a minimum of 100 shares. If the investor has more funds, he or she can buy more than 100 shares with an increment of 100 shares as well. So this will be 200, 300, 400, and so on. The system will not allow the investor to put in 150 shares or 220 shares in the buy or sell order in the main board lot.

3. Fluctuation: 0.0200 Php

    Fluctuation indicates the buying or selling price to be in multiples of 0.02 pesos. The investor can post 6.5000, 6.5200 but not 6.5100.

4. Floor Price: 7.76 Php

    The floor price dictates the minimum amount that the buyer can put as a buying price or the seller in the selling price. The system does not allow the user to put amount lower than 7.76 Php.

5. Ceiling Price: 23.25 Php

  The ceiling price dictates the maximum amount that the buyer can put as a buying price or the seller in the selling price. The system does not allow the user to put amount higher than 23.25 Php.

6. Open to Foreigners: YES

  Foreign investors are allowed to purchase shares of SMPH.

7. Action: BUY

  With the current price of SMPH, it is still cheaper than the fair value. As a long time investor, this stock is still flagged to have a BUY rating.

Almost 4 years back, it was just around 10 pesos. Now it has a value of 15.50 Php. This means that if you bought shares 4 years back, you have gained 50% already when you sell your shares today. If you sold your shares around May 2013, you might have enjoyed a 100% gain or more because the share price went up to around 21 Php. So invest, invest, invest! :)

For more guidance on what stocks to buy and when to buy or sell them, you can seek for assistance through Truly Rich Club. Know more about Truly Rich Club here >>> TRULY RICH CLUB.

May Success be to you,