POLITEKNIK KOTA BAHRU

COMMERCE DEPARTMENT

SESSION: I: 2022/2023

DPB50153 : INVESTMENT MANAGEMENT

NAMA 1.NUR ASYIKIN BINTI SAMSUDI

& (04DPM20F2073)

NO.PENDAFTARAN

KELAS DPM4D

NAMA PENSYARAH ENCIK.SUHAIRI BIN YUNUS

 I. Briefy explain the companies background

Ajinomoto Malaysia Bhd produces and distributes monosodium glutamate (MSG). In 1962
the Company obtained approval for a factory site in Kuala Lumpur. Construction of the factory
was completed and production commenced in 1965. In 1973, subsidiary Ajinomoto (Singapore)
was established. In 1977 the 'Aji-Shio' range of products was approved for production. The
Company successfully diversified into organic fertilizer production in 1982. On 1 July 1987 a new
type of food screening 'Aji-Plus' was launched. Later in 1989, the company launched two new
products, AT-Seed Vegetable seeds and Pal Sweet low - calorie sweetener. The company
diversified further in 1990 with the production of 'Tencho', a natural origin mixed seasoning. The
Company's first consumer product with local flavour, the 'Seri-Aji' powdered seasoning for fried
rice was introduced in October 1996. Ajinomoto has been producing the 'Aji-no-moto' brand of
monosodium glutamate since 1965. Subsequent to its listing in 1970, Ajinomoto has successfully
diversified not only into the production of other flavour enhancers and condiments but also
seasoning mixes, low calorie sweetener (ie Pal Sweet & Slim Up), and organic fertilizer. The other
brand products include Tencho (a naturally derived food seasoning), Aji-Shio (flavoured salt and
pepper), Aji-Plus (a MSGbased seasoning for the food industry), Seri-Aji (fried rice powdered
seasoning), and Tumix (cooking base seasoning). In May 2005, the group launched its latest
product ''Vono'' soup in a cup. Ajinomoto Malaysia Bhd was incorporated in 1961 and is based in
Kuala Lumpur.

Ajinomoto Co., Inc. is a food company. The Company operates in four business segments.
Life Support segment’s main products include animal nutrition and chemical products. Healthcare
segment’s main products include amino acids for pharmaceuticals and foods. The Company also
conducts business such as contract manufacturing, fats and oils, material packaging, as well as
service providing, among others.
In addition, for more information about Ajinomoto, our journey of discovery began with a
bowl of boiled tofu in kombu dashi (a broth made from a kind of kelp.) While savouring the broth,
Dr. Ikeda became convinced that there was another basic taste altogether different from sweet,
salty, sour, and bitter. Intrigued by this thought, he began analyzing the composition of kombu
dashi. Around the same time, Hiizu Miyake, Japan’s first doctor of medicine, hypothesized that
good taste stimulates digestion. Encouraged by this idea, Dr. Ikeda redoubled his efforts. He
ultimately discovered what gave kombu its distinctive taste: It was glutamic acid, a type of amino
acid. He named the taste umami and developed a method to produce seasoning with glutamate as
its key component
 II. Record the daily price of the stock from 4 October until 24 November 2022
RAW DATA 1
Date Open High Low Price/Closing
24/11/2022 11.36 11.38 11.30 11.38
23/11/2022 11.30 11.30 11.28 11.28
22/11/2022 11.34 11.34 11.28 11.30
21/11/2022 11.22 11.30 11.22 11.28
17/11/2022 11.22 11.30 11.22 11.24
16/11/2022 11.24 11.24 11.24 11.24
15/11/2022 11.26 11.26 11.24 11.24
14/11/2022 11.30 11.30 11.24 11.26
11/11/2022 11.30 11.30 11.30 11.30
10/11/2022 11.30 11.30 11.28 11.28
9/11/2022 11.20 11.30 11.20 11.24
8/11/2022 11.20 11.20 11.20 11.20
7/11/2022 11.30 11.30 11.14 11.18
4/11/2022 11.30 11.30 11.24 11.24
3/11/2022 11.28 11.30 11.22 11.30
2/11/2022 11.22 11.22 11.22 11.22
1/11/2022 11.20 11.20 11.12 11.20
31/10/2022 11.28 11.30 11.28 11.28
28/10/2022 11.30 11.38 11.28 11.28
27/10/2022 11.48 11.48 11.32 11.32
26/10/2022 11.08 11.08 11.08 11.08
25/10/2022 11.06 11.08 11.06 11.08
21/20/2022 11.02 11.02 11.02 11.02
20/10/2022 11.04 11.06 11.04 11.06
19/10/2022 11.04 11.10 11.00 11.02
18/10/2022 11.00 11.16 11.00 11.02
17/10/2022 11.00 11.00 11.00 11.00
14/10/2022 10.92 11.00 10.92 11.02
13/10/2022 11.00 11.00 10..93 10.98
12/10/2022 11.04 11.16 11.00 11.00
11/10/2022 11.20 11.20 11.20 11.20
10/10/2022 11.22 11.22 11.18 11.20
9/10/2022 11.22 11.22 11.18 11.20
6/10/2022 11.28 11.28 11.26 11.22
5/10/2022 11.28 11.30 11.28 11.28
4/10/2022 11.32 11.32 11.28 11.28
RAW DATA SORTING ASCENDING
Date Open High Low Price/Close
10/4/2022 11.32 11.32 11.28 11.28
10/5/2022 11.28 11.30 11.28 11.28
10/6/2022 11.28 11.28 11.26 11.22
10/9/2022 11.22 11.22 11.18 11.20
10/10/2022 11.22 11.22 11.18 11.20
10/11/2022 11.20 11.20 11.20 11.20
10/12/2022 11.04 11.16 11.00 11.00
10/13/2022 11.00 11.00 10.92 10.98
10/14/2022 10.92 11.00 10.92 11.02
10/17/2022 11.00 11.00 11.00 11.00
10/18/2022 11.00 11.16 11.00 11.02
10/19/2022 11.04 11.10 11.00 11.02
10/20/2022 11.04 11.06 11.02 11.06
10/21/2022 11.02 11.02 11.02 11.02
10/25/2022 11.06 11.08 11.06 11.08
10/26/2022 11.08 11.08 11.08 11.08
10/27/2022 11.48 11.48 11.32 11.32
10/28/2022 11.30 11.38 11.28 11.28
10/31/2022 11.28 11.30 11.28 11.28
11/1/2022 11.20 11.20 11.12 11.20
11/2/2022 11.22 11.22 11.22 11.22
11/3/2022 11.28 11.30 11.22 11.30
11/4/2022 11.30 11.30 11.24 11.24
11/7/2022 11.30 11.30 11.14 11.18
11/8/2022 11.20 11.20 11.20 11.20
11/9/2022 11.20 11.30 11.20 11.24
11/10/2022 11.30 11.30 11.28 11.28
11/11/2022 11.30 11.30 11.30 11.30
11/14/2022 11.30 11.30 11.24 11.26
11/15/2022 11.26 11.26 11.24 11.24
11/16/2011 11.24 11.24 11.24 11.24
11/17/2022 11.22 11.30 11.22 11.24
11/21/2022 11.22 11.30 11.22 11.28
11/22/2022 11.34 11.34 11.28 11.30
11/23/2022 11.30 11.30 11.28 11.28
11/24/2022 11.36 11.38 11.30 11.38
III. Based on (ii), provide the :
a) Line Chart (daily closing movement)

Date Price/Close
10/4/2022 11.28
10/5/2022 11.28
10/6/2022 11.22
10/9/2022 11.20
10/10/2022 11.20
10/11/2022 11.20
10/12/2022 11.00
10/13/2022 10.98
10/14/2022 11.02
10/17/2022 11.00
10/18/2022 11.02
10/19/2022 11.02
10/20/2022 11.06
10/21/2022 11.02
10/25/2022 11.08
10/26/2022 11.08
10/27/2022 11.32
10/28/2022 11.28
10/31/2022 11.28
11/1/2022 11.20
11/2/2022 11.22
11/3/2022 11.30
11/4/2022 11.24
11/7/2022 11.18
11/8/2022 11.20
11/9/2022 11.24
11/10/2022 11.28
11/11/2022 11.30
11/14/2022 11.26
11/15/2022 11.24
11/16/2011 11.24
 11/17/2022 11.24
11/21/2022 11.28
11/22/2022 11.30
11/23/2022 11.28
11/24/2022 11.38

IV. Candle- stick Chart

Date Open High Low Price/Close

10/4/2022 11.32 11.32 11.28 11.28
10/5/2022 11.28 11.30 11.28 11.28
10/6/2022 11.28 11.28 11.26 11.22
10/9/2022 11.22 11.22 11.18 11.20
10/10/2022 11.22 11.22 11.18 11.20
10/11/2022 11.20 11.20 11.20 11.20
10/12/2022 11.04 11.16 11.00 11.00
10/13/2022 11.00 11.00 10.92 10.98
10/14/2022 10.92 11.00 10.92 11.02
10/17/2022 11.00 11.00 11.00 11.00
10/18/2022 11.00 11.16 11.00 11.02
10/19/2022 11.04 11.10 11.00 11.02
10/20/2022 11.04 11.06 11.02 11.06
10/21/2022 11.02 11.02 11.02 11.02
10/25/2022 11.06 11.08 11.06 11.08
10/26/2022 11.08 11.08 11.08 11.08
10/27/2022 11.48 11.48 11.32 11.32
10/28/2022 11.30 11.38 11.28 11.28
10/31/2022 11.28 11.30 11.28 11.28
11/1/2022 11.20 11.20 11.12 11.20
11/2/2022 11.22 11.22 11.22 11.22
11/3/2022 11.28 11.30 11.22 11.30
11/4/2022 11.30 11.30 11.24 11.24
11/7/2022 11.30 11.30 11.14 11.18
11/8/2022 11.20 11.20 11.20 11.20
11/9/2022 11.20 11.30 11.20 11.24
11/10/2022 11.30 11.30 11.28 11.28
11/11/2022 11.30 11.30 11.30 11.30
11/14/2022 11.30 11.30 11.24 11.26
11/15/2022 11.26 11.26 11.24 11.24
11/16/2011 11.24 11.24 11.24 11.24
11/17/2022 11.22 11.30 11.22 11.24
11/21/2022 11.22 11.30 11.22 11.28
11/22/2022 11.34 11.34 11.28 11.30
11/23/2022 11.30 11.30 11.28 11.28
11/24/2022 11.36 11.38 11.30 11.38
V. Simple Moving Averange (5-days & 10-days SMA)

Date Price/Close SMA5 SMA10

days days
10/4/2022 11.28
10/5/2022 11.28
10/6/2022 11.22
10/9/2022 11.20
10/10/2022 11.20
10/11/2022 11.20 11.24
10/12/2022 11.00 11.22
10/13/2022 10.98 11.16
10/14/2022 11.02 11.12
10/17/2022 11.00 11.08
10/18/2022 11.02 11.04 11.14
10/19/2022 11.02 11.00 11.11
10/20/2022 11.06 11.01 11.09
10/21/2022 11.02 11.02 11.07
10/25/2022 11.08 11.02 11.05
10/26/2022 11.08 11.04 11.04
10/27/2022 11.32 11.05 11.03
10/28/2022 11.28 11.11 11.06
10/31/2022 11.28 11.16 11.09
11/1/2022 11.20 11.21 11.12
11/2/2022 11.22 11.23 11.14
11/3/2022 11.30 11.26 11.16
11/4/2022 11.24 11.26 11.18
11/7/2022 11.18 11.25 11.20
11/8/2022 11.20 11.23 11.22
11/9/2022 11.24 11.23 11.23
11/10/2022 11.28 11.23 11.25
11/11/2022 11.30 11.23 11.24
11/14/2022 11.26 11.24 11.24
11/15/2022 11.24 11.26 11.24
11/16/2011 11.24 11.26 11.25
11/17/2022 11.24 11.26 11.25
11/21/2022 11.28 11.25 11.25
11/22/2022 11.30 11.26 11.26
11/23/2022 11.28 11.27 11.27
11/24/2022 11.38 11.30 11.28
VI. Based on your analysis, what are the major factors affect the price movement of those
stocks? Explain.

Inflation

Inflation is a huge driver from a technical perspective as well. Historically, low

inflation has had a strong inverse correlation with valuations (low inflation drives high
multiples and high inflation drives low multiples). Ajinomoto also won’t be able to
increase their sales if they didn’t lower their product price during that time because of
people lack money to buy their product.

Economic Strength of Market and Peers

Company stocks tend to track with the market and with their sector or industry peers.
Some prominent investment firms argue that the combination of overall market and
sector movements as opposed to a company's individual performance determines a
majority of a stock's movement. For example, a suddenly negative outlook for one retail
stock often hurts other retail stocks as "guilt by association" drags down demand for
the whole sector.

Trends

Often a stock simply moves according to a short-term trend. On the one hand, a stock
that is moving up can gather momentum, as "success breeds success" and popularity
buoys the stock higher. On the other hand, a stock sometimes behaves the opposite way
in a trend and does what is called reverting to the mean.

- Investor Sentiment

Next is about the investor sentiment. Investor sentiment can easily affect the movement
of the price stocks. It depends on the investor during that situation. It can be either bull
market or bear market.

Bull market is when the market become strong and stock prices are rising. This makes
the investor’s confidence growing. This usually happen because of the economic
recovery or an economic boom, as well as investor optimism.

Bear market is about the market becoming weak and it makes stock prices fall and
causing the investor’s confidence starting to fade. This situation happens because of
 some big problems such as economy is in recession and the unemployment rate is
higher, with also rising of the prices.
The next factors with be in economic factors:
Interest Rates

Every bank can raise or lower their interest rates towards company just to stabilize or
stimulate the economy. This can be known as monetary policy. For example Ajinomoto
company that borrows money from the bank to increase their Ajinomoto stocks to sell
so that they can increase their profit but they also need to pay the debt to the bank. It
might be worst if their profit is not much but they also have to keep paying the high
interest rates to the bank.

Economic Outlook

In this situation is when people think or expect the economy in the future is going to
expand which the stock prices may rise. This will make the investors may buy more
stocks and think about their profits in the future and stock prices are going to rise. In
the other way, if the economic outlook is looking uncertain, investors may reduce their
expenses or will starting to sell things.

VII. Would you recommend these stocks or shares for investment?

For Ajinomoto, we chose stock in investment. Ajinomoto (Malaysia) Bhd is (Ajinomoto)

is amongst the earliest Japanese companies to set up its operations in Malaysia. It started off as a
distributor of monosodium glutamate (MSG) under the Ajinomoto brand. Ajinomoto as a well-
known MSG company over all countries for many years. It is safe for all investor to choose stock
as investment as the company is very stable in the market for many years or even more than 10
years. Ajinomoto daily share is also in a stable state and safe to invest, so i recommend to invest
in ajinomoto.