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Overview
Financial Highlight
HeadlinesBusiness Background Lotte Chemical Titan Holdings Bhd is a petrochemical producer. Its products include polyolefins, comprising of polyethylene and polypropylene and olefins comprising ethylene and propylene and other derivatives such as butadiene, TBA, benzene and toluene.
  newbie911 http://www.klsescreener.com/v2/news/view/470840 Lctitan got penalty by SC. 18/12/2018 19:22 RainT Habis ...another bad news for LCTITAN share price will drop again or stuck at range again 19/12/2018 00:07 alam Rafik today its Mood is not good to go up..ha ha ha..but still it will zooooom as..when already trade with previously as they suggest me wait for the right time. MLR (Money life Research) were rght .. 19/12/2018 01:20 RainT have bad news but share price no big drop .... good point is that LCTITAN number of shares is small, so not many people can throw only left those who really look into its fundamental is keeping now if other company that have high number of shares , the share price will water fall 19/12/2018 09:21  mamatede plus EY and Maybank investment should well understood the listing requirements and ethics. their role is to help a company list appropriately 19/12/2018 10:59 foreverchung Naptha down at the end of every 2 week = Collect. Oil down at every 1 month = collect. All they need is about 280m this quarter to beat previous FY. Div up! 07/01/2019 16:34 Slimy http://www.sinchew.com.my/node/1829277/%E5%85%A8%E7%90%83%E9%9C%80%E6%B1%82%E4%BB%8A%E5%B9%B4%E6%96%99%E5%A2%9E43%EF%BC%8E%E7%9F%B3%E5%8C%96%E9%A2%86%E5%9F%9F%E7%9F%AD%E6%9C%9F3%E9%A3%8E%E9%99%A9%E7%BC%A0%E8%BA%AB 15/01/2019 19:34  Icon8888 coming Q profit supposed to be good as naphtha raw material price has come down its business model different from petchem Petchem relies on natural gas, LCTitan uses naphtha something like that... I also don't know details... agak agak only 16/01/2019 09:59 Icon8888 LCT, a large consumer of naphtha at c.2-2.3m MTPA would be a significant beneficiary of depressed crude oil prices, in our view. We expect product spread to improve as naphtha and ethylene prices have dropped in tandem; this is positive for its profit margins as PU at its Indonesian ops is also ramping up. We estimate that for every US$10/mt drop in average naphtha price would rake in savings of c.US$23m in feedstock costs. We reiterate our BUY recommendation on the stock with an unchanged SOP-derived TP of RM7.25. We believe prolonged lower oil price is a key catalyst to the stock price. Key beneficiary of low crude prices The plunge in crude oil price has sent naphtha prices lower; naphtha price is now at c.US$500/mt, over 20% lower than 3Q18 average price of US$680/mt. We believe LCT is a key winner in the current low crude price scenario; its annual consumption of c.2-2.3m MTPA of naphtha (produced mainly from crude oil) as its main production feedstock accounts for c.50-70% of total operating cost. RM18m savings for each US$10/mt drop in naphtha Prior to 2018, LCT consumes 2m MTPA of naphtha, on average. With the new TE3 plant (began operation at end 2017), LCT now consumes c.2.3m MTPA (Table 1). We estimate that every US$10/mt drop in average naphtha price could net annual savings of US$23m (RM92m @ RM4/US$) in feedstock cost. Assuming it retains 20% of the savings (from being passed on to buyer), LCT’s could add c.RM18m in gross profits or +1.5%. Ethylene-PE spread widened The plunge in ethylene price has widened the ethylene-PE spread to c.US$300/mt (Chart 2). We expect the PU at LCT’s Indonesia plants to improve as management noted PU was kept low at c.70% during unfavourable ethylene-PE spread market. Maintaining utilisation rate Its 9M18 PU stood at 84% (9M17: 69%), slightly below the guidance of 85% for 2018. Management noted that the TE3 plant is currently under a 3-month general maintenance shutdown and would resume by Jan 2019. Still, management believes it is on track to achieve its target as other downstream plants will be running as normal. Reiterate BUY call, undemanding valuation Reiterate BUY with an unchanged SOP-derived TP of RM7.25. We note that the stock currently trades at undemanding multiple of 9.3x FY18 ex-cash P/E before easing to 8.1x in FY19. We believe prolonged lower oil price is a key catalyst to share price. Source: BIMB Securities Research - 27 Nov 2018 16/01/2019 10:05 Ricky Kiat bro icon888, my concern is petchem build a new plant at pengerang(2019),likely use naphtha as material. pls check. 16/01/2019 10:55 Icon8888 yes, same concern here but all these becomes non issue when you put on a long term investor cap why pick this for long term ? ask yourself what kind of company is this ? answer : a world class company. It has economy of scale, financial resources, expertise and proper governance to go very far I can see traces of moat in this group (anyway, I am not a big fan of moat, I am not obsessed with it. I believe it is a topic that need to be revisited and challenged, after Buffett promulgated it as the holy grail for long term portfolio success) buy now, put aside, hold for lets say, 10 years, ride the cycles, let it grow organically (yes, nowadays I have become very patient). Let your money works for you no guarantee it will work, but it is a rational bet that is my game plan Posted by Ricky Kiat > Jan 16, 2019 10:55 AM | Report Abuse bro icon888, my concern is petchem build a new plant at pengerang(2019),likely use naphtha as material. pls check. 16/01/2019 11:24 wilsonchan87 hold for long term. the rebounding of recent oil price still in weak, dont think oil able to climb up 80 end of this year 16/01/2019 17:19 Fabien Extraordinaire Long term la.. It's in my secondary core holdings (potential blue chips) along with HLIND, SAM, ORIENT etc... 16/01/2019 17:35 Fabien Extraordinaire Posted by Icon8888 > Jan 16, 2019 05:38 PM | Report Abuse wah our portfolio very similar woh Lctitan, hlind , oriental, sam Lol great mind think alike... those are my core holdings. i have exposure to 28 stocks. 16/01/2019 20:20 Icon8888 My portfolio 35 Malaysia stocks 2 foreign stocks : Taiwan semicon and Nvidia 16/01/2019 20:24 Fabien Extraordinaire wow Icon...u have more stocks than me I thought i'm one of the rare breeds who cant stop buying stocks. 16/01/2019 20:39  |
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