• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar

Dividend Magic

Saving and Investing towards Financial Independence in Malaysia

  • Facebook
  • Instagram
  • Twitter
  • YouTube
  • HomeMain Page
  • Start HereHow to Start Investing
    • Start Here – Read this First
    • Stock Investing Guide
    • REITs
    • Stock Brokers Comparison
    • US and International Stock Broker Comparison
    • Best Dividend Stocks
    • Dividend and Growth Investing
    • Start Investing
  • Investment PortfoliosThe Freedom Fund & more
    • Freedom Fund
    • US Portfolio
    • Crypto Portfolio
      • Luno Portfolio
      • Binance Portfolio
    • StashAway
    • P2P Lending -CapBay
    • Real Estate Portfolio
    • Dividend Magic’s Yearly Review
    • Dividend Income Updates
      • Dividend Income Update 2023
      • Dividend Income Update 2022
      • Dividend Income Update 2021
      • Dividend Income Update 2020
      • Dividend Income Update 2019
      • Dividend Income Update 2018
      • Dividend Income Update 2017
      • Dividend Income Update 2016
      • Dividend Income Update 2015
      • Dividend Income Update 2014
  • Personal FinanceFI/RE & Savings
    • FI/RE Guide
    • Is the First RM100K the Hardest?
    • My Portfolio is Built on Frugality
    • Passive Income
    • Emergency Fund Guide
    • The Seven Stages of Financial Independence
    • Basic Financial Plan for Malaysians
  • About MeMe, the Website and more
    • About Me
    • Dividend Magic Recommends
    • Hire Me

Nestle

Nestle (Malaysia) Berhad – Household Food Products in Malaysia

By Leigh
Updated December 5, 2018 Filed Under: Best Dividend Stocks in Malaysia, Companies in the News, Investment 1

Nestle's Product Portfolio

Here’s a company whose products you’d definitely find around your household as a Malaysian. Boasting a huge range of food products, NESTLE has its tentacles everywhere.

While NESTLE has had to deal with its fair share of criticisms (aka the Milo incident), it has bounced back from it with a range of new products. And new profits.

Nestle Malaysia 2017 Annual Report

This here analysis is based on NESTLE’s 2017 annual report which can be downloaded here: nestle_annual_report_2017

Being awarded the ‘Highest Return on Equity Over the Past Three Years’ is no small feat.

NESTLE AGM

Also, NESTLE had quite a turnout at this year’s AGM with a very supportive base of shareholders.

I’ve got videos of the fun-filled fare up on my instagram.

View this post on Instagram

A post shared by DIVIDEND MAGIC (@dividendmagic)

Understanding the Business and its Products

Nestle's Product Portfolio
Nestle’s Product Portfolio

You would’ve been living under a rock if you fail to recognise just one of these household names. The products shown here has crept into the lives of Malaysians since we were children.

Let me paint you a picture.

You’ve had Nestle Milk when you were young. You remember the Milo trucks parked at your school compound serving free cups of chocolate goodness. You somehow recall that annoying Mat Kool song cruising round your neighbourhood.

And as you got older, you went to college where you had to tighten your belt and save some money so you filled your stomach with Maggi for breakfast, lunch and dinner. You stayed up late at night studying, buzzed on Nescafe.

What’s next you say?

You get a new job at some high-flying company, what’s that coffee machine you find in your pantry? Nestle again. Your boss pays Nestle every month to keep the machines churning. You enjoyed late night outs with your friends and colleagues at the mamak. Guess what your resident Ah-ne uses in his food and drink? Nestle.

Hell, you even remember them ‘Take a Break, Take a Kit Kat’ ads! Your parents and grandparents are probably taking Nestum in the morning and Omega at night for their bones and stuff.

My point being, Nestle’s products are here to stay for the foreseeable future. And you my friend, have been lining the pockets of NESTLE shareholders since you were 5.

 

Facts and Figures

Nestle Malaysia Growth
Source: Yahoo Finance

Investor’s realized the value of NESTLE in 2018, in a huge way. The company’s stock price has almost doubled since 2017, despite their latest Milo Incident.

I do not foresee any big jumps in the share price in the near future. Neither do I see too big of a dip for the company. At the current price of RM147.90, NESTLE’s dividend yield is below 2% the mark. My dividend yield for the stock, because I bought it at an average price of RM66.88 is at 4.04%.

NESTLE has had a continuous increase in net profit since 2014. As a rule of thumb, companies offering food products like Nestle are able to keep up with inflation.

 

Dividend Growth Perspective

NESTLE has been paying dividends consistently. I’ve held the shares since 2014.

Dividend yield was at 4.56% (2015), 4.04% (2016) and 4.04% (2017). However, with the sudden surge in share price and company growth, we should see dividends increase over the coming years.

Investors shouldn’t expect this metric to go sky-high since growth in the industry is somewhat limited.

Valuation

With the recent price increase, NESTLE is trading at 53.71 P/E.

They’re currently overvalued in my opinion. With everything factored in, I would definitely wait on this stock. Dividend history isn’t there to back up a strong buy signal.

An added note, I’m sure I’ll get many comments and messages saying Nestle is ‘expensive’. Technically it is because to buy the minimum number of 100 shares, you’d have to pay RM147.90 * 100, which comes up to RM14,790 at the current price.

However, if you’re serious about investing, get serious about saving your money. NESTLE is a worthwhile investment and it has been an invaluable defensive stock in my portfolio.

 

End.

NESTLE

Bought Price – RM66.88

Current Price – RM147.90

Capital Gain – 121.14%

Total 2018 Dividends – RM410 (so far)

Dividend Yield – 3.07%

Disclosure: I hold 200 units of NESTLE shares in my Freedom Fund portfolio. At its current trading price of RM147.90, I’m up 121% on the stock.

I will continue to hold onto my Nestle stocks for now, without adding any to the portfolio.

As always, my opinions and strategies are never intended to be a buy/sell recommendation. The strategy used has worked for me and it is for you to decide if it can be implemented into your own financial plan. Always do your own research and due diligence before investing.

A list of good dividend stocks in Malaysia can be found hERE.

 

 

 

Share this:

  • Click to share on Facebook (Opens in new window)
  • Click to share on Twitter (Opens in new window)
  • Click to share on Reddit (Opens in new window)
  • Click to email a link to a friend (Opens in new window)
  • Click to share on WhatsApp (Opens in new window)
  • Click to share on LinkedIn (Opens in new window)

Nestle Malaysia AGM – Door gift / Goody Bag (April 2018)

By Leigh
Updated May 14, 2019 Filed Under: Annual General Meetings (AGM), Doorgift / Goody Bag 2

Nestle Malaysia Berhad AGM 2018 AGM Goody Bag

Nestle Bhd 2018 AGM

Nestle Malaysia’s Annual General Meetings have been consistently held in April since I’ve started investing in the company. This year it was held on a Thursday (again), 26 April 2018.

The previous year, I kept everyone up to date with the proceedings via Facebook posts. This year, I tried Instagram. For more AGM videos and pictures in the future, follow me @dividendmagic.

 

The Annual General Meeting (AGM)

Nestle Malaysia Berhad 2018 AGM Goody Bag
The Deets

From Neslte’s notice (pic above), the AGM itself was due to commence at 10am. However, the goody bags themselves, as well as breakfast, will be available from 8am.

Unlike last year, I was adamant on arriving early this time lest they run out of goody bags again. I set my alarm for 7.30am and took the LRT to KL Sentral.

 

Arrival, Registration and Collection of the Goody Bag

Nestle Malaysia Berhad 2018 AGM Goody Bag
Time of Arrival – 8.49 am
Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
Nestle Shareholders
Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
Registration
Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
Mountains of Goodies

The AGM was held at the same place – Hilton KL and in the same ballroom. Registration took all but 5 minutes and I went ahead to the goody bag collection area right after.

I was afraid they’d run out again like last year, but as you can see, they came prepared this time around.

 

Refreshments and Breakfast

Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
Milo – The booth was unusually quiet this year
Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
Mango Nestum – Yuck!
Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
Nescafe Booth
Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
Red Rice?

Lugging around my heavy box of goody bag (I should have redeemed it after eating on hindsight), I went around visiting Nestle’s array of booths.

Milo was surprisingly unpopular, I think due to the recent controversy regarding its sugar content. I had about 5 cups throughout the day though. =)

I had some weird Mango Peach flavoured Nestum. And they were even selling Red Rice there.

Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
The Hospitality Room
Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
Hilton’s Packed Breakfast
Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
Breakfast!

It was my first time having breakfast at Nestle’s AGM as I was late last year. They only serve the breakfast packs for shareholders who arrive by 9.30 am.

A Hospitality Room was prepared for us to have breakfast there.

 

The Goodies – What was in Nestle’s 2018 Goody Bag

Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
A recycled bag instead of their usual box
Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
Nestle Goodies
Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
New Kit Kat – Matcha RED BEANs
Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
Milo KOSONG – aka no sugar

The goodies received this year was less compared to last year’s. I see it as less cost for the company but some shareholders were unhappy about it.

To my dismay, they also gave the horrible Mango Peach flavored Nestum.

The green tea – red bean Kit Kat was nice. And I guess Nestle succumbed to pressure from the public and ramped up production for Milo kosong.

 

Before Nestle Berhad’s 2018 AGM

Nestle’s 2018 AGM was to be held at 10 am and I had about 30 minutes to kill after breakfast. Walked around some more and eventually waited beside the Milo booth.

Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
Fellow Shareholders with their Goody Bags
Nestle Malaysia Berhad AGM 2018 AGM Goody Bag
The Crowd

 

End.

This will be all for now. I’ll be splitting this post up into 2 parts. I wanted to get this out as soon as possible for everyone who has been wondering about the content of Nestle’s goody bag this year.

Part 2 will consist of the content from Nestle’s actual AGM. Spoiler alert: We had good market share increase and profits.

For more AGMs, head over hERE for a long list of Malaysian companies and their door gifts.

Share this:

  • Click to share on Facebook (Opens in new window)
  • Click to share on Twitter (Opens in new window)
  • Click to share on Reddit (Opens in new window)
  • Click to email a link to a friend (Opens in new window)
  • Click to share on WhatsApp (Opens in new window)
  • Click to share on LinkedIn (Opens in new window)

Primary Sidebar

Learn Investing

Join my mailing list to get a FREE basic financial plan, as well as notifications of new posts when they are published.

Learn Investing

Join my mailing list to get a FREE basic financial plan, as well as notifications of new posts when they are published.

  • Advertise & Hire Me
  • Disclosure & Privacy Policy
  • Disclaimer

Copyright © 2023 Dividend Magic

 

Loading Comments...