Interfin Bank Holdings share price should reflect ENG Capital claim Part 1 of 5
by Gilbert Muponda on Monday, October 25, 2010 at 11:29pm
Fundamental analysis of a business involves analyzing its financial statements and health, its management and competitive advantages, and its competitors and markets. Interfin Banking Corporation Zimbabwe misled Interfin Banking Corporation Zimbabwe's investors about the risks and credit quality of its shares by misleading their lawyer Mr Sternbford Moyo into issuing a legal opinion which totally ignored High Court Case HC-6244-04
Interfin Banking Corporation Zimbabwe is a product of a fraudulent merger between Century Bank and CFX Bank which was subsequently renamed Interfin Banking Corporation after another irregular merger between Century/CFX Bank and Interfin Bank Zimbabwe.
The misleading communications to investors related to the effect of the turmoil related to the $ 15.4 million claim for the 309 million Century shares which were fraudulently converted into Century/CFX Bank shares then into Interfin Bank shares. Investors are not being told the impact of High Court Case HC -6244-04 . The full founding affidavit for High Court Case HC-6244-04 is found here
http://www.facebook.com/album.php?aid=2059705&id=1393181020
All these "fake mergers" were designed with the intention of concealing the initial fraudulent transfer of 309 million Century shares illegally and irregularly transfered into Century/CFX Bank then Interfin Banking Corporation. This illegal transfer is being challenged through High court case HC-6244-04.
ENG Capital and myself are claiming US$ 15.4 million being the 309 million shares multiplied by the share price of $ 0.05 which give the claim total of US $ 15.4 million. Accordingly the share price and market value of Interfin Bank Holdings should be adjusted to take into account of this indisputable claim of $ 15.4 million which Interfin has to settle.
According to Wikipedia below are some of the factors which the share price and value of a company must factor into. One should consider Interfin Bank's Management poor judgement in "merging" with Century/CFX Bank which has litigation under High Court Case HC-6244-04
In economics and financial theory, analysts use random walk techniques to model behavior of asset prices, in particular shareprices on stock markets, currency exchange rates and commodity prices. This practice has its basis in the presumption that investors act rationally and without bias, and that at any moment they estimate the value of an asset based on future expectations. Under these conditions, all existing information affects the price, which changes only when new information comes out. By definition, new information appears randomly and influences the asset price randomly.
When viewed over long periods, the share price is directly related to the earnings and dividends of the firm. Over short periods, especially for younger or smaller firms, the relationship between share price and dividends can be quite unmatched"
Interfin Bank Holdings share price should reflect ENG Capital claim Part 2 of 5
by Gilbert Muponda on Monday, October 25, 2010 at 8:03pm
In Investment Banking and in Finance the rules of financial disclosure are simple -- if you choose to speak, speak in full and not in half-truths." Farai Rwodzi and Interfin Bank Zimbabwe have been providing half baked stories on the effect and impact of HC-6244-04 .The full founding affidavit for High Court Case HC-6244-04 is found here
http://www.facebook.com/album.php?aid=2059705&id=1393181020
Farai Rwodzi and Interfin Banking Corporation Zimbabwe improper disclosures came at a critical time when investors were clamoring for details about Interfin Banking Corporation Zimbabwes' ability to settle the $ 15.4 million claim by ENG Capital relating to the 309 million Century shares which were illegally and fraudulently converted into Interfin Banking Corporation.
Instead of providing clear and accurate information to the market, Interfin Banking Corporation Zimbabwe dropped the ball and made a bad situation worse by claiming that ENG Capital did not have a legitimate claim based on their legal opinion obtained from Mr Sternford Moyo after misleading him..
Interfin Banking Corporation Zimbabwe is a product of a fraudulent merger between Century Bank and CFX Bank which was subsequently renamed Interfin Banking Corporation after another irregular merger between Century/CFX Bank and Interfin Bank Zimbabwe.
In response to intense investor interest on the topic, Interfin Banking Corporation Zimbabwe repeatedly made misleading statements in earnings forecasts and public filings and regulatory filings to the Reserve Bank of Zimbabwe and to The Zimbabwe Stock Exchange about the extent of its holdings of assets which are under litigation which would most likely result in Interfin Banking Corporation Zimbabwe failing to meet the going concern rule.
All these "fake mergers" described above were designed with the intention of concealing the initial fraudulent transfer of 309 million Century shares illegally and irregularly transfered into Century/CFX Bank then Interfin Banking Corporation. This illegal transfer is being challenged through High court case HC-6244-04.
ENG Capital and myself are claiming US$ 15.4 million being the 309 million shares multiplied by the share price of $ 0.05 which give the claim total of US $ 15.4 million. Accordingly the share price and market value of Interfin Bank Holdings should be adjusted to take into account of this indisputable claim of $ 15.4 million which Interfin has to settle.
According to Wikipedia below are some of the factors which the share price and value of a company must factor into. One should consider Interfin Bank's Management poor judgement in "merging" with Century/CFX Bank which has litigation under High Court Case HC-6244-04
In addition to High Court Case HC-6244-04 Interfin Bank investor need to consider the following factors raised by Wikipedia when investing in Interfin Bank Zimbabwe shares
"Stocks have two types of valuations. One is a value created using some type of cash flow, sales or fundamental earnings analysis. The other value is dictated by how much an investor is willing to pay for a particular share of stock and by how much other investors are willing to sell a stock for (in other words, by supply and demand). Both of these values change over time as investors change the way they analyze stocks and as they become more or less confident in the future of stocks.
Earnings per share is generally considered to be the single most important variable in determining a share's price. It is also a major component used to calculate the price-to-earnings valuation ratio.
An important aspect of EPS that's often ignored is the capital that is required to generate the earnings (net income) in the calculation. Two companies could generate the same EPS number, but one could do so with less equity (investment) - that company would be more efficient at using its capital to generate income and, all other things being equal, would be a "better" company.
It is important not to rely on any one financial measure, but to use it in conjunction with statement analysis and other measures
In financial markets, stock valuation is the method of calculating theoretical values of companies and their stocks. The main use of these methods is to predict future market prices, or more generally potential market prices, and thus to profit from price movement - stocks that are judged undervalued (with respect to their theoretical value) are bought, while stocks that are judged overvalued are sold, in the expectation that undervalued stocks will, on the whole, rise in value, while overvalued stocks will, on the whole, fall.
In the view of fundamental analysis, stock valuation based on fundamentals aims to give an estimate of their intrinsic value of the stock, based on predictions of the future cash flows and profitability of the business."
Interfin Bank Holdings share price should reflect ENG Capital claim Part 3 of 5
by Gilbert Muponda on Sunday, October 24, 2010 at 7:16pm
Investors and shareholders buying Interfin Bank Holdings shares need to properly access the value of the share before sinking their money into a disputed asset.Such investors are advised to review contents of High court case HC-6244-04 which is seeking the reversal of the illegal seizure of 309 Million Century Bank shares which were converted into Century/CFX Bank then into Interfin Banking Corporation Zimbabwe.
The High court case HC-6244-04 is a must read for any and every investor or stakeholder in Interfin Banking Corporation which is in fact Century/CFX Bank in disguise.
Interfin Banking Corporation Zimbabwe is a product of a fraudulent merger between Century Bank and CFX Bank which was subsequently renamed Interfin Banking Corporation after another irregular merger between Century/CFX Bank and Interfin Bank Zimbabwe.
High Court Case HC-6244-04 has a direct bearing on Interfin Bank's ability to go on as a going concern. The full finding affidavit for High Court Case HC-6244-04 is found here
http://www.facebook.com/album.php?aid=2059705&id=1393181020
All these "fake mergers" were designed with the intention of concealing the initial fraudulent transfer of 309 million Century shares illegally and irregularly transfered into Century/CFX Bank then Interfin Banking Corporation. This illegal transfer is being challenged through High court case HC-6244-04.
ENG Capital and myself are claiming US$ 15.4 million being the 309 million shares multiplied by the share price of $ 0.05 which give the claim total of US $ 15.4 million. Accordingly the share price and market value of Interfin Bank Holdings should be adjusted to take into account of this indisputable claim of $ 15.4 million which Interfin has to settle.
According to Wikipedia below are some of the factors which the share price and value of a company must factor into. One should consider Interfin Bank's Management poor judgement in "merging" with Century/CFX Bank which has litigation under High Court Case HC-6244-04
According to Wikipedia "Earnings Per Share (EPS). EPS is the total net income of the company divided by the number of shares outstanding. They usually have a GAAP EPS number (which means that it is computed using all of mutually agreed upon accounting rules) and a Pro Forma EPS figure (which means that they have adjusted the income to exclude any one time items as well as some non-cash items like amortization of goodwill or stock option expenses).
The most important thing to look for in the EPS figure is the overall quality of earnings. Make sure the company is not trying to manipulate their EPS numbers to make it look like they are more profitable. Also, look at the growth in EPS over the past several quarters / years to understand how volatile their EPS is, and to see if they are an underachiever or an overachiever. In other words, have they consistently beaten expectations or are they constantly restating and lowering their forecasts?
The EPS number that most analysts use is the pro forma EPS. To compute this number, use the net income that excludes any one-time gains or losses and excludes any non-cash expenses like stock options or amortization of goodwill. Then divide this number by the number of fully diluted shares outstanding. You can easily find historical EPS figures and to see forecasts for the next 1-2 years by visiting free financial sites such as Yahoo Finance (enter the ticker and then click on "estimates").
By doing your fundamental investment research you'll be able to arrive at your own EPS forecasts, which you can then apply to the other valuation techniques below.
Price to Earnings (P/E). Now that you have several EPS figures (historical and forecasts), you'll be able to look at the most common valuation technique used by analysts, the price to earnings ratio, or P/E. To compute this figure, take the stock price and divide it by the annual EPS figure. For example, if the stock is trading at $10 and the EPS is $0.50, the P/E is 20 times. To get a good feeling of what P/E multiple a stock trades at, be sure to look at the historical and forward ratios.
Historical P/Es are computed by taking the current price divided by the sum of the EPS for the last four quarters, or for the previous year. You should also look at the historical trends of the P/E by viewing a chart of its historical P/E over the last several years (you can find on most finance sites like Yahoo Finance). Specifically you want to find out what range the P/E has traded in so that you can determine if the current P/E is high or low versus its historical average.
Forward P/Es are probably the single most important valuation method because they reflect the future growth of the company into the figure. And remember, all stocks are priced based on their future earnings, not on their past earnings. However, past earnings are sometimes a good indicator for future earnings. Forward P/Es are computed by taking the current stock price divided by the sum of the EPS estimates for the next four quarters, or for the EPS estimate for next calendar of fiscal year or two.
I always use the Forward P/E for the next two calendar years to compute my forward P/Es. That way I can easily compare the P/E of one company to that of its competitors and to that of the market. For example, Cisco's fiscal year ends in July, so to compute the P/E for that calendar year, I would add together the quarterly EPS estimates (or actuals in some cases) for its quarters ended April, July, October and the next January. Use the current price divided by this number to arrive at the P/E.
Also, it is important to remember that P/Es change constantly. If there is a large price change in a stock you are watching, or if the earnings (EPS) estimates change, be sure to recompute the ratio.
Growth Rate. Valuations rely very heavily on the expected growth rate of a company. For starters, you can look at the historical growth rate of both sales and income to get a feeling for what type of future growth that you can expect. However, companies are constantly changing, as well as the economy, so don't rely on historical growth rates to predict the future, but instead use them as a guideline for what future growth could look like if similar circumstances are encountered by the company. To calculate your future growth rate, you'll need to do your own investment research.
The easiest way to arrive at this forecast is to listen to the company's quarterly conference call, or if it has already happened, then read a press release or other company article that discusses the company's growth guidance. However, remember that although company's are in the best position to forecast their own growth, they are not very accurate, and things change rapidly in the economy and in their industry. So before you forecast a growth rate, try to take all of these factors into account."
Adopted from Wikipedia to illustrate other factors which Interfin Bank Investors and shareholders should consider when trading in Interfin Bank Holdings shares.
Interfin Bank Holdings share price should reflect ENG Capital claim Part 4 of 5
by Gilbert Muponda on Sunday, October 24, 2010 at 5:00pm
ENG Capital and myself are claiming US$ 15.4 million being the 309 million shares multiplied by the share price of $ 0.05 which give the claim total of US $ 15.4 million. Accordingly the share price and market value of Interfin Bank Holdings should be adjusted to take into account of this indisputable claim of $ 15.4 million which Interfin has to settle.
Interfin Banking Corporation Zimbabwe is a product of a fraudulent merger between Century Bank and CFX Bank which was subsequently renamed Interfin Banking Corporation after another irregular merger between Century/CFX Bank and Interfin Bank Zimbabwe.
All these "fake mergers" were designed with the intention of concealing the initial fraudulent transfer of 309 million Century shares illegally and irregularly transfered into Century/CFX Bank then Interfin Banking Corporation. This illegal transfer is being challenged through High court case HC-6244-04.
According to Wikipedia below are some of the factors which the share price and value of a company must factor into. One should consider Interfin Bank's Management poor judgement in "merging" with Century/CFX Bank which has litigation under High Court Case HC-6244-04
Wikipedia states that "Return on Invested Capital (ROIC). This valuation technique measures how much money the company makes each year per dollar of invested capital. Invested Capital is the amount of money invested in the company by both stockholders and debtors. The ratio is expressed as a percent and you should look for a percent that approximates the level of growth that you expect. In its simplest definition, this ratio measures the investment return that management is able to get for its capital. The higher the number, the better the return.
To compute the ratio, take the pro forma net income (same one used in the EPS figure mentioned above) and divide it by the invested capital. Invested capital can be estimated by adding together the stockholders equity, the total long and short term debt and accounts payable, and then subtracting accounts receivable and cash (all of these numbers can be found on the company's latest quarterly balance sheet). This ratio is much more useful when you compare it to other companies that you are valuing.
Return on Assets (ROA). Similar to ROIC, ROA, expressed as a percent, measures the company's ability to make money from its assets. To measure the ROA, take the pro forma net income divided by the total assets. However, because of very common irregularities in balance sheets (due to things like Goodwill, write-offs, discontinuations, etc.) this ratio is not always a good indicator of the company's potential. If the ratio is higher or lower than you expected, be sure to look closely at the assets to see what could be over or understating the figure.
Price to Sales (P/S). This figure is useful because it compares the current stock price to the annual sales. In other words, it tells you how much the stock costs per dollar of sales earned. To compute it, take the current stock price divided by the annual sales per share.
The annual sales per share should be calculated by taking the net sales for the last four quarters divided by the fully diluted shares outstanding (both of these figures can be found by looking at the press releases or quarterly reports).
The price to sales ratio is useful, but it does not take into account any debt the company has. For example, if a company is heavily financed by debt instead of equity, then the sales per share will seem high (the P/S will be lower). All things equal, a lower P/S ratio is better. However, this ratio is best looked at when comparing more than one company.
Market Cap. Market Cap, which is short for Market Capitalization, is the value of all of the company's stock. To measure it, multiply the current stock price by the fully diluted shares outstanding. Remember, the market cap is only the value of the stock. To get a more complete picture, you'll want to look at the Enterprise Value.
Enterprise Value (EV). Enterprise Value is equal to the total value of the company, as it is trading for on the stock market. To compute it, add the market cap (see above) and the total net debt of the company.
The total net debt is equal to total long and short term debt plus accounts payable, minus accounts receivable, minus cash. The Enterprise Value is the best approximation of what a company is worth at any point in time because it takes into account the actual stock price instead of balance sheet prices" according to Wikepedia
Adopted from Wikipedia to illustrate how and why the Interfin Banking Corporation share price and market value should be adjusted to reflect the ENG Capital indisputable claim of US $ 15.4 million being the stolen 309 million shares multiplied by the share value of $ 0.05 per share givng the total claim total of $ 15.4 million which Interfin Bank owes to me and my Company ENG Capital - Relentless Innovation.
Interfin Bank Holdings share price should reflect ENG Capital claim Part 5 of 5
by Gilbert Muponda on Sunday, October 24, 2010 at 4:26pm
Interfin Banking Corporation Zimbabwe is a product of a fraudulent merger between Century Bank and CFX Bank which was subsequently renamed Interfin Banking Corporation after another irregular merger between Century/CFX Bank and Interfin Bank Zimbabwe.
All these "fake mergers" were designed with the intention of concealing the initial fraudulent transfer of 309 million Century shares illegally and irregularly transfered into Century/CFX Bank then Interfin Banking Corporation. This illegal transfer is being challenged through High court case HC-6244-04.
ENG Capital and myself are claiming US$ 15.4 million being the 309 million shares multiplied by the share price of $ 0.05 which give the claim total of US $ 15.4 million. Accordingly the share price and market value of Interfin Bank Holdings should be adjusted to take into account of this indisputable claim of $ 15.4 million which Interfin has to settle.
According to Wikipedia below are some of the factors which the share price and value of a company must factor into. One should consider Interfin Bank's Management poor judgement in "merging" with Century/CFX Bank which has litigation under High Court Case HC-6244-04
"Management issues
Management issues: This involves examining perceptions about management and perceptions by management. It includes various qualitative judgments regarding the competence of current and prospective company management, as well as issues related to insider buying, future strategies to increase operations and market share. Most large companies compensate executives through a combination of cash, restricted stock and options. It is a positive sign when members of management are also shareholders.
When management makes large purchases of their own stock with private funds, it may indicate that management insiders feel the company is undervalued, or that a favorable company event will occur soon.
Another way to get a feel for management capability is to examine how executives performed at other companies in the past. Warren Buffett has several recommendations for investors who want to evaluate a company's management as a precursor to possible investment in that company's stock. For example, he advises that one way to determine if management is doing a good job is to evaluate the company's return on equity, instead of their earnings per share (the portion of a company's profit allocated to each outstanding share of common stock).
"The primary test of managerial economic performance is achievement of a high earnings rate on equity capital employed (without undue leverage, accounting gimmickry, etc.) and not the achievement of consistent gains in earnings per share."
Buffett notes that because companies usually retain a portion of their earnings, the assets a profitable company owns, should increase annually. This additional cash allows the company to report increased earnings per share even if their performance is deteriorating.
He also emphasizes investing in companies with a management team that is committed to controlling costs. Cost-control is reflected by a profit margin exceeding those of competitors. Superior managers "attack costs as vigorously when profits are at record levels as when they are under pressure".
Therefore, be wary of companies that have opulent corporate offices, unusually large corporate staffs and other signs of bloat. Additionally, Buffett suggests investing in companies with honest and candid management, and avoiding companies that have a history of using accounting gimmicks to inflate profits or have mislead investors in the past"
Adopted from Wikipedia
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