Stock Market Enthusiast

APOLLO - 3 lessons learnt after price hit 7-year high (KingKKK)

Publish date: Tue, 19 Dec 2023, 02:12 PM

The Edge reported that Apollo share price hits seven-year high after Baskin-Robbins' franchisee acquires controlling stake.

What are the lessons learnt here?

1. Buy stocks when nobody is looking at it

My first article on Apollo was published on 4-April-2023 when the price was RM4.08. At that time, almost nobody cares about Apollo. But I saw the opportunity as inflation seems to have peaked and commodity price has started to come down since April. Apollo sales remains steady as kids are back to school. The article is here if you want to have another read.

2. But make sure it is fundamentally STRONG

Apollo fits the category of fundamentally STRONG company. It has been around for more than 30 years. Sales and margin are steady overall. The company is super conservative and has no debt. Its cash flow is strongly tied to net income, a sign of no financial creativity involved.

3. It is hard to find good company, I will keep it for more upside

After the emergence of new shareholder, I think there will be more excitement on the stock. Let's wait 3-6 months on how this company will be transformed. When they offer RM5.80 to buy, that means they must see value of at least RM7 for Apollo Food, if not why do so much due diligence and go thorough the whole acquisition? New ice cream creation? Desserts and toppings with chocolate wafer? Or business diversification using best in class management skills from Baskin-Robbins?

I still think Apollo is worth RM6.75

What other companies am I looking at?

1. PBA (Pretty much very little people know about this company, which is good for upside)

2. Spritzer (Already gaining some traction, some local investment banks already write about this stock, there is still upside)

PBA article

PBA: 6 reasons why PBA could DOUBLED to RM2.50 | I3investor

SPRITZER article

Spritzer - Target RM2.20 - Still Growing Strong | I3investor

What else am I watching?

1. Property - Super WINNER in 2023?

Property Sector - Super WINNER in 2023? Discussion about UEMS, SPSETIA, SUNWAY, IOIPG, MAHSING and ECOWLD | I3investor

2. Gloves - Which Share Price up the MOST?

Gloves Sector - Which Share Price UP THE MOST? Discussion about , KOSSAN, HARTA, TOPGLOV and SUPERMX | I3investor

3. Utilities Sector Multibagger

Utilities Sector - Who's The Heavenly KING? Discussion about YTLPOWR, YTL, RANHILL, PBA and TENAGA | I3investor

4. PBA (100% upside)

PBA: 6 reasons why PBA could DOUBLE to RM2.50 | I3investor

5. SPRITZER (25%-30% upside)

Spritzer - Target RM2.20 - Still Growing Strong | I3investor


APOLLO: 3 Reasons Why This Stock Will Surge up to 67% | I3investor

Be the first to like this. Showing 0 of 0 comments

Post a Comment