dalpiniacruger12345, based on old record, LBAlum managed to pass the cost to customers, you can refer back last uptrend cycle of aluminium was last benefited to LBALUM
cruger12345dalpinia. Dont kid yourself. You cant pass all the cost to the customer. Event hough you can pass the cost to the customer, it only means your margin will be lower and the cost of doing business is higher. Unless you can increase the price up to the point that can cover the incraese of cost to make higher profit. BUt with this \kind of market condition I dont it could increase the price as it likes. Also, LBAluminium most of the customers are domistic customers. BUt that doesnt meant the price of the stock wont go north. I wish you luck. Pmetal is a better bet but the price is high now
dalpiniacruger...nothing is impossible, don't kid yourself. Just like PohKong & Tomei, economy no good, but their latest result were bombastic record high. They are not producing gold, but they do keep many stocks for gold bars. It is same for LB which keep a lot of Aluminium bars that will make the QRs bombastic.
23/11/2020 1:33 PM
dalpiniaPA is another bombastic counter as it supply to First Solar which is also a explosive great future for solar industry as well as EV industry for Tesla and many EV producers.
23/11/2020 1:35 PM
Power Rangercruger12345, ya i know lbalum is not handling alum upstream activities which buy in alumina and produce aluminium ingot and billet. i knew it. so i find that now it is aluminium player plays.
23/11/2020 2:08 PM
Cakes MoonOldWiseMan100, is so accurate. Pmetal crashed, run for your life~
24/11/2020 3:08 PM
LongTermInvestor8Will budget 2021 pass? Tengku Razaleigh and a few BN MPs refuses to support the budget, if Budget fails, market will crash? Buy now or sell? How? If budget fails, parliament dissolve? market crash?
dalpiniaAluminum record high, PMetal also record high. Copper record high, JAG is a hidden GEM!!!
02/12/2020 4:00 PM
mrmeowARANK < Hidden aluminium counter that is yet to fly exponentially
03/12/2020 3:58 PM
Effendy TayWorld demand for aluminium is genuinely progressive for solar energy just as in China. Keep track your vision is right next coming in line is PA resources with Tan Sri Chan Kong Choy leading the board Man of integrity. Just be patient.
Mr.Sm Invest123TapDance) Low Risk High Return (10) – PMB Technology (PMBT) Author: tapdance Publish date: Mon, 7 Dec 2020, 10:15 AM Close
Summary
Today’s PMBT bears a striking resemblance to the 2016’s Press Metal (PM) – which has grown by +1,000% in 2 years’ time.
PMBT is banking on Silicon as an essential material for our future economy.
Silicon is the basic material for solar industry. Tesla intends to replace cobalt with silicon for its batteries. China alters global silicon supply demand balance as it pivots on environmental friendly policies. These factors drove silicon price to a fresh 3-year high.
Majority own and manage by the Koon family, PMBT and PM are of the same playbook. More importantly when PM started off with less resources and market recognition in the past, today’s PMBT – leverage on experience acquired and the market respect from PM – earning will ramp up swifter.
Eventually share price trajectory will follow suit.
Description
Press Metal (PM) – one of the most efficient and lowest cost aluminium producer globally is a majority shareholder of PMB Technology (PMBT). Both companies are mange by the Koon brothers. In late 2019, PMBT disposed its aluminium business (to PM) to stay focus as a silicon provider.
Silicon metal is an important element added to various grades of aluminum alloys used in performance applications such as automotive components and aerospace products.
Silicon metal also is a critical raw material in the production of silicone compounds used in numerous products including sealants, adhesives, rubber gaskets, caulking compounds, lubricants, food additives, coatings, polishes, and cosmetics, among others.
In addition, silicon metal is the base material in the production of polysilicon, a purified form of silicon used in solar cells and semi-conductors.
In summary, Silicon demand will be driven by solar and electronics in many years to come, whilst supported by its widely adopted application in various industries currently.
Growth factors
Management and efficient Hydro power supply The competitive advantage of the PM series of companies lies in its lean production cost. On top of the very capable management strength, the ultra-competitive position is because of its power procurement contract with Sarawak Energy i.e. Bakun Hydropower.
Aluminium and Silicon production requires substantial amount of power. Energy cost as a single cost component weights more than 40% of the total production cost. The availability of an efficient energy sources alone determines the survival rate of the business.
By securing the ultra-competitive Bakun hydropower supply contract – which is one of the lowest in the world, PM has and PMBT will emerge as one of the lowest cost producer in the world.
Meanwhile PMBT is already position at the middle to lower quartile of the global cost curve despite starting out as a green field player only in 2019. Further improvement is on sight.
Below snapshot from the PMBT’s website confirms and mentions about its advantages:
China supply outlook – Silicon and Aluminium price on a tear
11/12/2020 11:16 PM
Mr.Sm Invest123Silicon prices rose for two consecutive months and prices continued to rise last week , with price of non-Oxygenated #553 silicon in east China at 13,000 yuan/mt and those of Oxygenated # 553 silicon at 14,200 yuan / mt . More good news to come for PmbTech .
11/12/2020 11:20 PM
tkl88Next week is the windows dressing, will be the super bull market for KLSE !
Mr.Sm Invest123This is based on the aluminium price up-cycle which is premised on a supply-demand dynamic mismatching, the research house told clients in a report.
PETALING JAYA: Although aluminium producer Press Metal Aluminium Holdings Bhd had an impressive run last year and was the best performer for a non-glove index stock, there is still upside, said Kenanga Research.
This is based on the aluminium price up-cycle which is premised on a supply-demand dynamic mismatching, the research house told clients in a report.
This in turn is attributable to a commodity rally which is happening as economies reopen and pent-up demand continues to unfold.
“In addition, FY2021 will be a record year with its 42% new capacity, boosting earnings.
“We reaffirm our outperform rating with a higher target price of RM9.75, “ Kenanga said.
The stock rose to a high of RM8.52 yesterday valuing the company at over RM34bil.
Even so, the stock was not spared from the meltdown in mid-Mar 2020 where its share price plunged 48% from the beginning of the year to RM2.74 but it has since rebounded strongly by 205% from that low.
In 2020, the Press Metal stock had risen 80% making it the best non-glove performer for an index-stock.
Meanwhile, according to Kenanga, aluminium prices are at a three-year high.
Notably, the solid price movement is in line with the rally of other commodities.
In terms of the supply of aluminium, this is not expected to match robust demand, especially in China where the authorities have directed old environment-unfriendly plants to shut down, worsening supply-demand dynamics.
“As such, this could be the early stage of an price up-cycle; furthermore the current price is only about 4% above its 10-year mean of US$1897 per tonne.”
The research house also said although alumina prices have risen in tandem with rising aluminium prices in 4Q of 2020, raw material prices did not increase as much, at only 8% as compared to aluminium prices at 12%.
“As such, the cost of alumina only made up 15.4% to aluminium prices as opposed to 16% in 3Q 2020.
“This implies that Press Metal’s upcoming results are likely to be stronger with improved margins.
“Going forth, with rising prices and a lower cost structure coupled with the 42% new capacity, FY2021 will likely be a record-breaking year.“
07/01/2021 10:57 PM
Mr.Sm Invest123HLIB Research starts coverage of Press Metal, with target price at RM10 - http://www.theedgemarkets.com/article/hlib-research-starts-coverage-press-metal-target-price-rm10 (Share from StockHunter)
EXPORT.THEME.PLAY for 2021 is building up today ... Values r increasing. In 1-2 months time, I expect most of these stocks will be very HIGH.
i. D&O, UNISEM, MPI, GREATEC, UWC, INARI, JFTECH ii. PIE, FPI, VS, SKPRES, ATAIMS iii. PMETAL, PMBTECH iv. 7 GLOVES v. MUDA, SCIENTX
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18/01/2021 3:13 AM
Mr.Sm Invest123Wow Pmbtech finally over RM5.00. Next TP after CNY is RM6.00
