Ann Joo offers more upside (part 2)

Publish date: Mon, 02 Oct 2017, 11:51 AM
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Malaysia steel bar price was on an uptrend in Q3 2017 since July 2017. The steel price was holding well up to end of Sept 2017, essentially locking in at high price for Q3 results. Looking back at the previous hike in steel price since 2016, there were 3 rounds in Q2’16, Q4'16 / Q1’17 and the recent Q3’17.

Whenever there is increase in steel price, Ann Joo appears to be able to reap the most gain. Ann Joo reported strong profit at RM92mil in Q2’16 and RM74mil in Q1’17. It should be interesting to see how much profit in Q3’17. RM100mil may be a wild guess, at least I am expecting an exceptional strong earnings in Q3’17.

Ann Joo has a target dividend policy with 60% payout as stated in their website, and typically paying out dividend in half-year (Q2) and year-end (Q4). Any dividend declared in Q3 on strong earnings would be a bonus.

Recent retreat in Ann Joo price may offer a good entry again, at least for me.

My early study on Ann Joo:

AnnJoo's cost leadership in steel industry

Ann Joo offers more upside (part 1)



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2017-10-02 11:59


Good show today!

2017-10-03 11:25

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