Dear Investors/Traders of i3 Investor's Forum,
We are happy to bring you this Wonderful Story of Malaysia's Once A Century Super Bull Run in Medical Gloves
It began in Wuhan, China December 2019 when 1st case of Coronavirus was reported
From Covid 19 Wikipedia
The COVID-19 pandemic, also known as the coronavirus pandemic, is an ongoing global pandemic of coronavirus disease 2019 (COVID-19) caused by severe acute respiratory syndrome coronavirus 2 (SARS-CoV-2). The virus was first identified in December 2019 in Wuhan, China. The World Health Organization declared a Public Health Emergency of International Concern regarding COVID-19 on 30 January 2020, and later declared a pandemic on 11 March 2020
In January 2020 Supermax was traded at a low of Rm1.29
When Covid 19 was declared as a pandemic on March 11 2020 Supermax even fell to the low of Rm1.30 (March 17 2020)
On March 17th 2020 Malaysia announced it will close its borders with Singapore by mid night 2020 March 17th
That was my last day in Iskandar. When Donald Trump announced his closing of USA to European tourists the entire world market collapsed
Many lost more than 30% to 50% who invested in the Stock market then as all Prices fell like Tent pins
While everyone now in great panic I knew instinctively this is the time to buy when there is blood on the street (even seeing blood in my portfolio)
But buy what?
As I was musing I saw this article posted on April 11 2020
See
Koon Yew Yin 11 April 2020
Investors are rushing to buy glove companies’ shares because they believe the demand for gloves is more than supply due to the Covid 19 pandemic fear.
All the glove companies’ share prices are shooting up like rocket as shown on their price charts below. If you had bought glove companies’ shares about 3 months ago, you should be laughing to your bank.
Based on the latest audited accounts, Hatalega is selling at P/E 62, Top Glove is selling at P/E 45, Kossan is selling at P/E 30, Suppermax is selling at P/E 22, Rubberex is selling at P/E 18 and Comfort is selling at P/E 15.
P/E ratio is the share price divided by its earning per share. For example, Hatalega is selling at P/E 62 means that if Hatalega were to give all its earning to shareholders, an investor would take 62 years to recover all his capital, assuming its EPS is the same for 62 years. Of cause the company’s earnings will fluctuate up and down over the years.
My sole purpose of writing this piece is not to recommend you to buy or sell your glove companies’ shares. I just want you to understand the risk of buying shares with high P/E ratio.
That's it. But April 11 2020 was on a Saturday
So I did careful research
Looking at 3 Stocks
Supermax. This one I bought many rounds always from Rm1.50 then up 100% to Rm3.00 and split by one for one bonus
Supermax opened for trading on Monday 13th April 2020 & i promptly bought at Rm1.73
Comfort was 88.5 and I bought some.
Rubberex was 83 sen. This one I missed while still doubting its losses & partly it was not fully 100% into medical gloves.
Rubberex prices ran away upward while I hesitated. So missed it! Never mind. At least caught 2 fishes out of three (so to say)
Now I missed buying Supermax in march 2020 when it even dropped to Rm1.30 lowest. Of course there was no clarity then
So it is alright to pay Rm1.73 as the Supermax best days are yet ahead
Buy I had very low expectation then when I posted in i3 forum
I told all about Supermax history: history tells us Supermax goes up from Rm1.50 to Rm3.00 and then can expect bonus one for one and price will then split back to Rm1.50
So I thought i was quite clever to make the same deduction and told them to sell Supermax at Rm3.00
Their response was totally against me. Why? Everyone expected Supermax to shoot higher
It took weeks before Supermax finally near Rm3.00. So I told fellow forumers that I have raised the target price of Supermax to Rm4.00. Again I met with cold reception. It took only a short time for Supermax to rise and rise near Rm3.80 & I finally said Supermax target price should be raised to Rm5.00 or higher?
Only then every one was appeased. Of course they were doubters and mischievious fella like Mikecyc who came to "kacau"
Supermax people called him "Mickey Mouse" who appeared to "entertain"
Everyone was so bullish
Then one day in April 2020 SUPERMAX DID A SHARE BUY BACK AND GAVE THIS SIGNAL
See
Immediate Announcement on Shares Buy Back
| SUPERMAX CORPORATION BERHAD |
| Date of buy back | 30 Apr 2020 |
| Description of shares purchased | Ordinary Shares |
| Currency | Malaysian Ringgit (MYR) |
| Total number of shares purchased (units) | 2,888,000 |
| Minimum price paid for each share purchased ($$) | 2.420 |
| Maximum price paid for each share purchased ($$) | 2.480 |
| Total consideration paid ($$) | 7,093,885.47 |
| Number of shares purchased retained in treasury (units) | 2,888,000 |
| Number of shares purchased which are proposed to be cancelled (units) | 0 |
| Cumulative net outstanding treasury shares as at to-date (units) | 68,888,000 |
|
Adjusted issued capital after cancellation (no. of shares) (units) |
1,360,309,760 |
| Total number of shares purchased and/or held as treasury shares against total number of issued shares of the listed issuer (%) | 5.06414 |
| Remarks : |
Total number of issued shares is 1,360,309,760 ordinary shares. The Company had not cancelled any treasury shares. |
Announcement Info
| Company Name | SUPERMAX CORPORATION BERHAD |
| Stock Name | SUPERMX |
| Date Announced | 30 Apr 2020 |
| Category | Immediate Announcement on Shares Buy Back |
| Reference Number | SB1-30042020-00002 |
And on April 30th Supermax closing price opened at Rm2.38 and ended up 10 sen to close at Rm2.48
See
| Number of shares purchased retained in treasury (units) | 2,888,000 |
| Cumulative net outstanding treasury shares as at to-date (units) | 68,888,000 |
Ok let us go back in time to April 30th 2020 to see this actual posted comment below
Stock: [SUPERMX]: SUPERMAX CORP BHD
Apr 30, 2020 5:39 PM | Report Abuse
Wahaha
Secret code in message decoded
2888
2 in Chinese means easy
888 means triple prosperity
So just buy Supermax then
So easy to prosper
Got it?
Indeed. It was a timely morale booster to all. And from Rm2.48 Supermax gradually climbed and climbed to Rm6.00
Then more signs of Bullish moves by Insiders of Supermax
See how they buy
| Stock | [SUPERMX]: SUPERMAX CORP BHD |
| Announcement Date | 27-May-2020 |
Director's Particular:
| Name | MISS CECILE JACLYN THAI |
Details of Changes:
| Currency | - |
| Date of Change | Type | Number of Shares | |
|---|---|---|---|
| 27-May-2020 | Acquired | 100,000 | |
| Registered Name | Cecile Jaclyn Thai | ||
| Nature of Interest |
Direct Interest |
||
| MR TAN CHEE KEONG | 21-May-2020 | Acquired | 40,000 |
| DATO’ TING HENG PENG | 31-May-2010 | Acquired | 2,210 | 6.510 |
Three Supermax Directors/Insiders were buying from Rm6.00 to Rm7.75
THAT GIVES US ANOTHER IMPETUS
INSIDERS BUYING ARE GOOD SIGNS BECAUSE ONLY THEY ARE ABLE TO SEE AHEAD
AND TRUE ENOUGH
Now all this while I have been wondering the "Usual Bonus" Issues
So we posted this
SUPERMAX BONUS ISSUES HISTORY TELL US THAT MORE FREE BONUS ISSUES COMING FOR ALL HAPPY HOLDERS OF SUPERMAX SHARES!!!
Author: calvintaneng 
| Publish date:
[SUPERMX] Bonus Issue on 30-Jul-2003
| Stock | [SUPERMX]: SUPERMAX CORP BHD |
| Announcement Date | 30-Jul-2003 |
| Financial Year | |
| Subject | Bonus Issue |
| Type | Bonus Issue |
| Description | BONUS ISSUE OF 13,333,333 NEW ORDINARY SHARES OF RM1.00 EACH ("BONUS SHARES") IN THE COMPANY ON THE BASIS OF ONE(1) BONUS SHARE FOR EVERY THREE(3) EXISTING ORDINARY SHARES OF RM1.00 EACH HELD ("BONUS ISSUE") |
| Amount | 1 : 3 |
| Ex Date | 14-Aug-2003 |
| Entitlement Date | 18-Aug-2003 |
[SUPERMX] Bonus Issue on 12-Jan-2012
| Stock | [SUPERMX]: SUPERMAX CORP BHD |
| Announcement Date | 12-Jan-2012 |
| Financial Year | |
| Subject | Bonus Issue |
| Type | Bonus Issue |
| Description | Bonus issue of 340,077,440 new ordinary shares of RM0.50 each in Supermax Corporation Berhad ("Supermax") ("Supermax Share(s)") ("Bonus Share(s)") to be credited as fully paid-up on the basis of one (1) Bonus Share for every one (1) existing Supermax Share held at 5.00 p.m. on 30 January 2012 ("Bonus Issue") |
| Amount | 1 : 1 |
| Ex Date | 26-Jan-2012 |
| Entitlement Date | 30-Jan-2012 |
AND WE HIT BULLS EYE
After posting this On July 2nd 2020
One month later Supermax Announced Bonus Issue below
[SUPERMX] Bonus Issue on 18-Aug-2020
| Stock | [SUPERMX]: SUPERMAX CORP BHD |
| Announcement Date | 18-Aug-2020 |
| Financial Year | 30-Jun-2021 |
| Subject | Bonus Issue |
| Type | Bonus Issue |
| Description | Bonus issue of up to 1,360,309,760 new ordinary shares in Supermax Corporation Berhad ("Supermax") ("Supermax Share(s)") ("Bonus Share(s)") on the basis of 1 Bonus Share for every 1 existing Supermax Share |
| Amount | 1.0000 : 1.0000 |
| Ex Date | 04-Sep-2020 |
| Entitlement Date | 07-Sep-2020 |
| Payment Date |
FROM THEN SUPERMAX TURNED SUPER SONIC AND POWERED UP TO RM24.44
Of course we stayed the course until prices hit the roof & then retraced
SOLD ALL SUPERMAX AT RM18.00 AFTER BONUS (TOTAL IS RM9.00 x 2)
From Rm1.73 to Rm18.00 is 1,000% Upside
Thank you for reading
BEST AND WARMEST REGARDS
Calvin Tan
Coming up next article
WHY GLOVES WILL FACE HUGE COMING GLUT THAT WILL DEVASTATE YOU IF YOU DON'T RUN
Stay tuned...
NOTE:
LIKE A FERRIS WHEEL GOING UP AND DOWN IN CYCLE
SUPERMAX HAS GONE UPCYCLE FROM RM1.73 TO RM24.44 & NOW IN DOWN CYCLE
WHILE TSH RESOURCES IS JUST STARTING IN ITS UPCYCLE JOURNEY
calvintaneng
Commentary on the prospects of Tsh Resources as reported in its latest results
https://klse.i3investor.com/blogs/www.eaglevisioninvest.com/2021-08-24-story-h1570542978-Commentary_on_the_prospects_of_Tsh_Resources_as_reported_in_its_latest_.jsp
https://www.bursamalaysia.com/market_information/announcements/company_announcement/announcement_details?ann_id=3185902
2021-08-24 19:54