Leonfuat is the best steel stock.
RM1.00 coming.

I am really really fully loaded with TEXCHEM..
Very soon it will touch RM1.00

Accumulating MHB, something brewing.

Fishy, something is brewing.
When a deal look bad in front of everybody, there might be some hidden agenda behind.

positiontrader, you have raise a very good question.

To answer your question, we can think from few perspective:-

1) For any manufacturing business (especially those heavy asset industry), it is always more secure to operate in your own building, instead of rent from other people. Because your business operation cannot afford any risk of relocation. For steel manufacturer, all the plant & equipment, boiler, production line are installed for 10-20 years purpose. You cannot afford the losses to dismantle and reinstall.

2) I am not sure RM28mil is a proper market price or not. Let assume it is the market price, then the question is why want to buy instead of rent. Based on my understanding, in current market situation, many steel producer do not dare to do further expansion. When you business are making money, and you got no plan for expansion, the best way is to buy land.

3) If you are a businessman, I am pretty sure you understand the concept of use your business cash flow to buy land. Let give you an example, I knew a business man, he is involve in small manufacturing business. Over the past 20 years, the business got up got down, he has made RM3-4mil profit per year before, he also suffer Rm2-3mil losses per year before.

When he decide to let go his business, the business is making very minimal profit, around RM400k per year only. If you look at his factory and the machinery, all are old and outdate, maximum worth RM1-2mil only.
That mean, for the new buyer, if using PE Ratio to calculate the company value, maximum is 4 times PE x RM400k - RM1.6mil. If based on NTA, it is also RM1-2mil only.

That mean, for the past 20 years hardwork he has put in, the company is worth maximum RM2mil only. But fortunately, over the past 20 years, he has use his business cash flow to buy land, buy factory. He has total acquired 4 pieces of industrial land, and 1 factory over the past 20 years. Now this land and factory is worth RM25-30mil.

So back to your question, maybe after 10-20 year later, the balakong land can worth RM60-80mil, then you will understand why the company want to buy it instead of rent it.

I been investing in Leon Fuat many years...
Compare to KYY, I think he only invest in Leonfuat last week only...
My cost is 30-40sen, his cost is 70sen..
And this company really shows improvement every quarter, and share price gradually up. With or without KYY, the share price still around 60-70sen.
For me, steel counter will continue show good profit at least for next two quarter... Unless KYY push the price to RM1.00, if not then no point to sell now.

Regarding the CBP claimed that Top Glove is using Ex-convict labour, I want to emphasis that this is actually Malaysia Government initiative to encourage manufacturer to engaged Ex-convicts, Parolee...etc. You can google it around, LHDN is actually offering Double Deduction Tax Incentive for company who employed Ex-convicts and Parolee.

http://www.federalgazette.agc.gov.my/outputp/pua_20190611_PUA164_2019....

I have many friend work in manufacturing line, they also consistently approach by some agent from Jabatan Penjara, to ask them for hiring those ex-convicts and parolee worker. This is the initiative from the Government to ensure all these ex-convicts parolee can survive in the job market.

How come now this good initiative become a problem that restrict Top Glove from export its product to US market.

Wow, uncle KYY buy my favourite LeonFuat.
Let see how powerful this uncle KYY

The key problem is they appoint 中金 (CICC) as the Sole Sponsor for the HK listing. If they appoint Goldman Sachs or JP Morgan, then all problem will be solved.

Ben Tan, regarding the CBP claimed that Top Glove is using Ex-convict labour, I want to emphasis that this is actually Malaysia Government initiative to encourage manufacturer to engaged Ex-convicts, Parolee...etc. You can google it around, LHDN is actually offering Double Deduction Tax Incentive for company who employed Ex-convicts and Parolee.

http://www.federalgazette.agc.gov.my/outputp/pua_20190611_PUA164_2019.pdf

I have many friend work in manufacturing line, they also consistently approach by some agent from Jabatan Penjara, to ask them for hiring those ex-convicts and parolee worker. This is the initiative from the Government to ensure all these ex-convicts parolee can survive in the job market.

How come now this good initiative become a problem that restrict Top Glove from export its product to US market.

Ben Tan, I really appreciate all your article, it was so informative, and all quote was supported by the fact n figure, as well as the original source.

If one day you publish your own book or journal, please let me know, I will definitely support you.

All this sanction is just to benefit their own US companies.
They donwan Topglove manufacturer their own brand product and export to US.
They want Topglove to OEM for Kimberly Clark at lower price, then Kimberly Clark export to US using its own company and make big profit.

So sad we Malaysian are not like China.

If this happen to China, I believe whole China will stand up to boycott
Apple product, Tesla Product, Nike Products....

But in Malaysia, we are just a small country, we have to accept everything even though we are being bully. US said seize our product, we let them seize... US seize our 1MDB fund, we let them seize... US ask us to pay for fine, we pay for the fine...

WTI and Brent Crude Oil rise.
Tomorrow Strait continue up.

https://impacttlimited.com/impactt-statement-on-top-glove-status/

If Kimberly Clark or Johnson & Johnson take over Top Glove, then sure US CBP will allowed all products can freely imported by US.

Oh No.. Oh No...
Good Luck all JAKS shareholder.

Cash flow is the blood of corporate.
I don't care how much you worth, how much you have made in the past, how potential is your future.. if your short term cash flow is not enough, your corporate is collapse.

They private placement money must come in ASAP, the more it can get, the longer it can survive. Otherwise, all the existing shareholder please get ready your fund for right issue. A 1:1 right issue at RM1.00 can help the company to raise RM3-4bil, so this can at least sustain the operation losses for 1 years till June 2022.

Next week if Texchem still price below RM0.85, I will topup 20,000 unit again.

I guess tomorrow morning could be drop 20sen - 30sen at least

If TOPGLOVE is the most profitable company in Year 2021, then AIRASIA will be the most losses company in Year 2021.

Becareful of PN17 and right issue.

NTA negative 37sen, this Tony really geng chow.

Suez Canal Authority said the ship problem unlikely can be solve within a week. Meaning, bunker oil will continue rise.

Target strait at least touch 30sen

So brave

Ron 90, don't laugh, the Straits share price will tell you the truth.

TDM Asset and Business is actually very good and very valuable.
But main problem is the management.
Can we change the management to some Bumiputra which is more good in business?
Such as Serbak Dynamic Dato Karim, KUB Dato Johari, Dato Kamaruddin...etc

Just added 20,000 unit this morning... no enough money d.

Hopefully the share price can go up from 47sen all the way to 67sen.
But frankly speaking, based on the high volume for the past 3 weeks, I worry that the share price could turn town at the end of the day.

Sorry to ask a silly question. Since ANNJOO posted a disappointed result, will HIAPTEK repeat the same thing?

Suez Canal stucked... Crude oil price surge up.
Tomorrow Strait will touch 26sen.

LeonFuat has more then 4000 hardware shop customers.

When OSK is 70 sen, I feel it underrated, I buy!
When OSK is 98 sen, I feel it overrated, I sell!

When Supermax is RM10, I feel it overrated, I sell!
When Supermax is RM4.20, I feel it underrated, I buy!

If Securities Commission continue let these group of people control and play around like these, very soon the entire bursa malaysia listed companies will belong to them.

They have been doing this from 1, 2,3,4..10....20...30...40 companies..
If continue like this, by 2025, at least 150-200 companies are controlled by these group of peoples.

Hopefully this week can break last week high.

Just now turn on the computer and check my portfolio, suddenly saw my portfolio performance drop 5 digits because of DANCO today performance... memang terkejut!

Haha... Mr Cheang sold his share to Dato Lau. It seems like now Dato lau family will takeover the entire management .

superlon, another fruitful value investing.

Accumulated again at 0.845.

CPO double up, but share price not much up.

Tell me why? why? why?

Reichwerden, why your information seems like outdated for 5 years?

QL oredi quit Layhong 5 years ago. How come you still mentioned the 29% share?

BOILERMECH EPS is 1.46sen, share price is RM1.44
UNIMECH EPS is 2.85sen, share price is RM1.54
DANCOMECH EPS is 1.40sen, share price is RM0.665

Please tell me, which is the most undervalue stock.
Which has the most potential to surge in future.
What happen if DANCO coming quarter EPS is above 2.0sen, do you think its price will stand above 90sen?

Coming quarter result will be excellence! Confirmed!
It will be record high result.

If management can announced Bonus Issue, then it would be best jackpot for all the LeonFuat die hard shareholders.

Lets pray hard.

Rubberex 2.5bil capacity is fully booked till Mar 2022.

Latest news from a Glove Allocator.

I have developed a new valuation method for Glove Stock.

Scenario 1 - If the PBT increased more than 30% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 4 PE

Scenario 2 - If the PBT increased more than 20% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 5 PE

Scenario 3 - If the PBT increased more than 10% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 6 PE

Scenario 4 - If the PBT remain same (+/- 5%) QnQ
Fair Price = Current Quarter EPS x 4 quarter x 7 PE

Scenario 5 - If the PBT decreased less than 10% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 8 PE

Scenario 6 - If the PBT decreased more than 20% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 9 PE

Scenario 7 - If the PBT decreased more than 30% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 10 PE

Scenario 8 - If the PBT decreased more than 40% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 11 PE

Scenario 9 - If the PBT decreased more than 50% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 12 PE

Scenario 10 - If the PBT decreased more than 60% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 13 PE

I have developed a new valuation method for Glove Stock.

Scenario 1 - If the PBT increased more than 30% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 4 PE

Scenario 2 - If the PBT increased more than 20% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 5 PE

Scenario 3 - If the PBT increased more than 10% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 6 PE

Scenario 4 - If the PBT remain same (+/- 5%) QnQ
Fair Price = Current Quarter EPS x 4 quarter x 7 PE

Scenario 5 - If the PBT decreased less than 10% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 8 PE

Scenario 6 - If the PBT decreased more than 20% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 9 PE

Scenario 7 - If the PBT decreased more than 30% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 10 PE

Scenario 8 - If the PBT decreased more than 40% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 11 PE

Scenario 9 - If the PBT decreased more than 50% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 12 PE

Scenario 10 - If the PBT decreased more than 60% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 13 PE

I have developed a new valuation method for Glove Stock.

Scenario 1 - If the PBT increased more than 30% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 4 PE

Scenario 2 - If the PBT increased more than 20% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 5 PE

Scenario 3 - If the PBT increased more than 10% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 6 PE

Scenario 4 - If the PBT remain same (+/- 5%) QnQ
Fair Price = Current Quarter EPS x 4 quarter x 7 PE

Scenario 5 - If the PBT decreased less than 10% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 8 PE

Scenario 6 - If the PBT decreased more than 20% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 9 PE

Scenario 7 - If the PBT decreased more than 30% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 10 PE

Scenario 8 - If the PBT decreased more than 40% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 11 PE

Scenario 9 - If the PBT decreased more than 50% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 12 PE

Scenario 10 - If the PBT decreased more than 60% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 13 PE

I have developed a new valuation method for Glove Stock.

Scenario 1 - If the PBT increased more than 30% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 4 PE

Scenario 2 - If the PBT increased more than 20% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 5 PE

Scenario 3 - If the PBT increased more than 10% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 6 PE

Scenario 4 - If the PBT remain same (+/- 5%) QnQ
Fair Price = Current Quarter EPS x 4 quarter x 7 PE

Scenario 5 - If the PBT decreased less than 10% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 8 PE

Scenario 6 - If the PBT decreased more than 20% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 9 PE

Scenario 7 - If the PBT decreased more than 30% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 10 PE

Scenario 8 - If the PBT decreased more than 40% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 11 PE

Scenario 9 - If the PBT decreased more than 50% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 12 PE

Scenario 10 - If the PBT decreased more than 60% QnQ
Fair Price = Current Quarter EPS x 4 quarter x 13 PE

still leng cai.

Yup, value investing is the best.
I always stick to value investing.

Value Investing = Undervalue counter + Money + Time

The more money you have, the more time you can wait, sure you will make a big gain from the deep undervalue stock. But most important is, you need to choose a right counter.

Frankly speaking, this company only earn 4mil per quarter, no matter how fast it grow, how potential its future, maximum earn 20-25mil per year only.

It current market value 1164mil! Too over-value d.

If you apply this concept to property, it is like you are buying a shoplot RM1.16mil, but yearly rental is RM20k-25k, 1 month rental about Rm2k.

BOILERMECH EPS is 1.46sen, share price is RM1.30
UNIMECH EPS is 2.85sen, share price is RM1.50
DANCOMECH EPS is 1.40sen, share price is RM0.68

If you use Boilermech as benchmark, Danco should worth RM1.25.
If you use Unimech as benchmark, Danco should worth RM0.74.

For me, I think both DANCO and UNIMECH are undervalue.
The fair price for DANCO should be at least RM0.85, while for UNIMECH is RM1.70.