If TG wants to work with Saudi Aramco on a new JV on glove or butadiene or both , and if it wants to list in HKSE, and if it also wants to be bigger than DBS and much later to be a global Fortune 500 company..... TG needs to clean up the immigrant labour issue, once and for all.

In the future, the new world order for immigrant workers working in foreign countries should be subjected to similar procedures and recruitment fees whether the worker is IT/Finance expatriate worker or a factory worker...

TopGlov vs Supermx
Their latest qtr results revealed quite similar ASP for gloves as I see:-

If Revenue=glove prodn for qtr x ASP of glove, then
Supermx's revenue of RM 930M = 6 B.gloves x RM155/ 1k
Topglov's revenue of RM 3100M = 20 B.gloves x RM155/1k
Both glovemakers sell gloves at ave RM 155 or USD$36/1k. x forex 4.30
Both glovemakers' profit margins are similarly close at 42%-43%
So, the advantage is 1 month ahead for Supermx as results announced on 10 Aug as compared to Topglove on 17 Sep .... that's ODM ?
It's all about the way you run your business .... how ethical is your Big Boss ?

If you need to ensure your country gets sufficient PPE (like gloves & masks), you need to be a board member of the Healthcare company.
To be board member, you need to hold substantial shareholdings....
If you are Aramco, you need not hesitate on such investment or the price

First, Brenda Smith of CBP banned TG products, then FGV and next going to ban SDP...
Now Trump contracted the covid virus.... with the Elections around the corner.
We had a state elections and our Malaysia covid cases doubled up.... can you imagine what will happen when you hold a nationwide Presidential Elections ?

Is it karma or what?
Maybe Winter is Coming ..........

USA banned FGV products becos of allegations of forced labour, withholding travel docs, human rights violations, etc. Another possible ban by CBP on Sime Darby plantations on similar issues.
Next... all furniture exports from Malaysia will also be detained... all Malaysian food products using foreign labour will be detained too in the USA.

Just wondering.... are foreign maids in this category of issues of withholding travel docs, deduction of recruitment fees & levy? Maybe Malaysian students in US will also be detained as their parents have foreign workers or maids...?

A signal to buy.... when MACD blue line crosses the Signal red line...

For 300,000 shrs, an extra cash of RM 25,000 from 8.5 sen dividend

EPS buys more shrs of TG ... step by step.
Do not be alarmed when you read TG directors sell their shares. They do so to raise cash to redeem their ESOS. If you intend to redeem 300,000 ESOS shrs @RM 1.63, it's quite a large sum

EPF just joined the glove party as a majority shareholder (5%). Most likely, it has to raise its stake much higher.

Imagine, if EPF is not in TGlove - one of Malaysia's World's Class (together with Palm Oil Mgt, Michelle Yeoh, Musang King durians) ... it's an embarrassment to the nation !

You need to put your eggs in the right basket... and be confident at what we are good at....
not like the goons who are all the time depreciating glove makers, instead of appreciating it.

France's hospitals at tipping point ... short of beds, health workers and PPE....
EU is next big market for glove sector.....

https://www.telegraph.co.uk/news/2020/09/20/france-midst-second-wave-hospitals-tipping-point-warns-ae-union/

I went for a haircut at Willie's yesterday.
Willie changed a pair of nitrile gloves with each customer.
So, what do you think a health worker do each time that she takes a swab test?
For each swab test, she changed a pair of gloves.
Do you know Singapore conducted some 180,000 Covid-19 tests per million population?
Do you know that the global number of active or hospitalised cases increased by about 900,000 each month ?

The upcoming nitrile glove shortage could be way worse than the mask shortage.....

https://www.sfgate.com/shopping/article/what-do-do-about-upcoming-nitrile-glove-shortage-15557731.php

World Class products from Malaysia :-
1. Medical or rubber gloves
2. Palm oil plantations & mills
3. Musang King durians

All Malaysians must learn to appreciate them instead of trying to depreciate them ....

There will always be writers like Andy and Prem that have their own intentions to earn their living, whether it's ill or otherwise....

whatever it is ......... it is always about the Money!

STGT (Sri Trang Glove Thailand) 2nd qtr profit up 486% yoy.... this is not surprising!

“Despite a fluctuation in share price movement, rubber gloves are still growing on the demand side in case a vaccine for the coronavirus is successfully developed in the future, the analyst said.

"The company's profit is expected to grow by 100% until at least 2022 as the pre-order for rubber gloves will last until the second quarter of that year," the Phillip Securities analyst said.
...... this is interesting!

The rubber glove business and hopes for a vaccine are among the core equity investment strategies in the second half, thanks to surging demand and the domestic tourism stimulus package, say analysts..... this is working together!

When analysts are unable to think (a few work in Ambank Invest), they will recommend “Neutral”

AMbank analyst said ASPs of gloves will peak by 1Q21....no clear thinking here.
Prices can only peak when supply meets demand.... which one is growing faster?
The number of total active cases (hospitalised) of covid infection or the capacity growth of glove factories?
By end of 2020, the total Covid cases will be 50 M and the number of hospitalised cases at 16 M. The current hospitalised cases number is now 6.5 M and already demand exceeds supply by 2x.

In short, you do not have to sell your shrs in Topglov or Supermx ...

WHO said coronavirus pandemic could be over in the next 2 years...
WHO did not declare it as a pandemic until it affected 110 countries....
They didn't know 'when' to declare a pandemic, so how would they know 'when' it's going to stop?
WHO are they kidding?

South Korea was a success covid control story in March 2020...
Six months later, it now warns of a 'massive' coronavirus risk with cases rising in 17 cities and provinces across the nation...

So, WHO has the 'right answers' or the 'quick fixes' to the coronavirus pandemic ?


https://www.businessinsider.com/coronavirus-pandemic-could-be-over-within-two-years-who-director-2020-8?op=1

https://www.bloomberg.com/news/articles/2020-08-23/jump-in-seoul-s-covid-19-cases-sparks-fear-of-nationwide-spread?srnd=premium-asia

Careplus buys hotel for workers. Now every room has aircon n attached bathroom.
Foreign workers living standard upgraded from culvert stay to hotel stay , so why Al-Jeera complaining? No hand soap n shampoo?

These drug counters was up past 2 days of July 21-22 on news of vaccine..... See what happens if no visibility of earnings growth.....
Pharmaniaga, DuoPharma, Apex Health

Careplus house their workers in a hotel in Senawang ... and when I stay in Senawang I stay in Airbnb. Yet, al-Jeeera says we don't look after our foreign workers .....

Maybe Topglov, Comfort, Supermx et al can up the ante on housing their workers in hotels too .... several range of old Hilton hotels are now on sale. This can certainly turn around the image of how Malaysia treats its foreign workers .... many millionaires are working in glove companies, now can you show us the money!

https://www.theedgemarkets.com/article/polish-gloves-maker-mercator-medical-sa-sees-3277-stock-rally

Even the poles can do it...

Whatever it is .... KYY still like the gLOVE STORY... no need to fret

I'm quite sure KYY has a lot more Comfort that he does not intend to sell yet otherwise his old story of buy&keep until RM 6-8 will fall flat and he may lose all credibility with all his followers.....
21/07/2020 4:27 PM

KYY just sold some of his Comfort and probably got some more left. Only sold RM 10 M value Comfort and RM 20M Supermx. He likes the triplets that Topglov is handing out. TG has been giving twins to shareholders every 3 yrs. All of them TG, Supermx, Kossan & Harta have given twins in 2019 but Comfort have not .... just wait

Dato Lau last sale transaction in June about RM 3.00
Dato Lau latest buy transaction in July about RM 3.67
Why does Dato know that we don't?
Covid, more glove demand, higher ASPs ? Everybody knows that.
You can guess as much as you can about the ASPs, but only Directors know the exact ASP for every month from July to December.....

Geary's comments are relevant.... "Clearly, it is not the kind of market for retailers. It’s only for those who are really experienced in trading and understand the dynamics of jumping in and out without getting hurt".

DATO' LAU (a substantial shareholder & ex-Strategic Biz Director of Leong Hup) acquired 460,000 shares on 17-Jul-2020. We know that.
He sells some at RM3.50 in June and now he buys some back at RM3.50 in July. He didn't get hurt jumping out and jumping in.

I know some of you didn't get hurt too jumping in 'n out. So, why do it ?
Hoping to be SuperTrader 'n SuperSpreader ?

US Customs detention of gloves is solely a TG issue, not a Malaysia issue. If human rights violation of immigrant labour is widespread nationally, then all Malaysia factories will close shop.

The big void of glove orders left by TG will likely spillover to the other players in Malaysia n Thailand.

On May 13, 2020 Supermax share price was higher than than Comfort by RM1.40.
Today, Supermax share price is higher than Comfort by RM13.00.
What has changed? A disposal glove is a disposal glove.
Nowadays, all can make gloves without pin holes.
Where is the differentiation of product use ?

My thoughts is that if a company increases its ASP so dramatically, whats stopping countries from sourcing cheaper glove from other companies.

In USA, you may have FDA regulations to comply, but for other countries, they just find the more affordable glove company.

Florida is so short of PPE and hospital beds.... do you think they care whether it's a Supermx glove or Comfort glove

There is little differentiation of products such nitrile medical gloves sold in the market.
My niece at Costco New Jeysey said she buys Kirkland Signature nitrile gloves (Made in Thailand) because it's cheaper and just as good. After all, they are disposal gloves.
So do not kid yourself that a pair of SuperMx or TopGlove nitriles are better than Comfort. All about the same, price matters. Thai or Malaysian gloves .... all can prevent contact infection.

It's about whose horse can catch up and run as well ...

If Polish glove factory can do it, Malaysia pun boleh !

Comfort only up 300% since Mar 13.... a long way to go to follow its peers.

Look at Mercator Medical SA, a Polish glove company with its glove factory in Thailand....
it's up 1000% from 10 to 119 PLN (Poland Zloty)
https://www.marketwatch.com/investing/stock/mrc?countrycode=pl

So,the next phase is "the privatisation of glove factories" in Malaysia as a strategic move...

If Malaysia glove manufacturers keep increasing their glove prices every month, I would also buy over the factories if I have a lot of USD

US buys nearly all stocks of coronavirus drug remdesivir...
https://www.aljazeera.com/news/2020/07/buys-stocks-coronavirus-drug-remdesivir-200701064641383.html

Is there a possibility that Amazon.com will bid to buy all 583 M.shares of Comfort at USD $1 or RM 4.28 per shr. A small sum for Amazon at USD 583M. Then all Comfort gloves can be Class III as required by FDA. Buying Comfort Bhd has so much savings than from buying Supermax or TopGlov gloves. ... only less than USD 40 per K gloves.

Note that Semperit AG will not sell Latexx Partners to Toplov or MQtech becos of its national responsibility to the Austrian Gov't. Eventually US or EU need to own some glove factories in Malaysia for such strategic purpose against virus warfare.

After selling Comfort factories,CEO has another 39 acres to build more modern and automated factories for speciality gloves. With the experience and new tech, Malaysia Boleh !

There is a young lady from Public Invest... 
Whose mind is so bent and said it is not sustainable...
She thinks she know what's and when is best... 
Not one or WHO can say whether it's in waves or immunity is attainable...

Many has written on windfall tax on gloves like it has happened for palm oil. Palm oil is a commodity or an undifferentiated product. Introduction of local taxes do not increase its CPO price internationally.
If Malaysia introduces a windfall tax on gloves, the manufacturers will just pass it on to the consumers by increasing its price. Then Malaysian gloves become more expensive and less competitive than that of the Thai or China gloves... and this will kill the golden goose!
This is more dumb than Trump introducing tariffs on China becos you are introducing tariffs on your own country's products to make it less competitive.....

Why worry so much about China's rubber products?
Do you see many users of China's tyres on the road anywhere except China? When it comes to safety level & wear n tear use, China scores very low compared to Malaysia or Thailand.
So, ask yourself, would you buy China medical gloves or condoms or any China's rubber products?

topglove moving up now... results leak?

https://research.sginvestors.io/2020/06/malaysia-gloves-sector-maybank-kim-eng-research-2020-06-09.html

Cars & properties are cheaper now ... no sales tax, no stamp duty, no gains tax.
Gloves getting more and more pricey .......

Are you changing cars and upgrading your house ?

Some people think the 'Glove' market is over-priced .....

When you want to order medical gloves, they tell you to pay upfront, pay extra for price increase 30% and maybe get your gloves next year.

Same here, you want to buy glove shares, they ask you pay upfront to trading account, glove share price now costs more and maybe you can double your money next year.

So, which one is overheated and overvalued?

Investors are chasing high PE stocks in recent times, pushing stock prices higher, thanks to one 'think' only ----------> growth visibility

In a covid-destructive market, do the exact opposite: “If you buy stocks based on valuation, short low P/E stocks and buy high P/E ones,”. Steel, cement and infrastructure space are value traps.

Market disruptions in the economy have created conditions for the Glove bizness to grow bigger and bigger.........as airlines, tourism, leisure, malls, REITs, F&B biznesses struggle to adjust or just become smaller.

Some times majority shareholder sell shares for personal reason ....

Lau sells some Comfort shares...

https://www.bursamalaysia.com/market_information/announcements/company_announcement/announcement_details?ann_id=3055603


Lau buys some Leong Hup International share....
https://www.bursamalaysia.com/market_information/announcements/company_announcement/announcement_details?ann_id=3056010

He needs to take care of own family chicken business too ........ after 5 yrs as a partner together with CEO restructured and turnaround Integrated Rubber Corp (a PN17 company in 2015) to become COMFORT... that is now fighting-fit and can compete with the Big Four.

Ruberex n Careplus just came out from the ventilator room with new shareholders & fresh funds, so may take a year or two or three to join the team. Anyway, Malaysia Boleh .... World Best in Rubber Gloves n Covid Care

All Glove makers will earn more in the next several qtrs.
Yesterday I called Topglov to buy a container of nitrile gloves.
TPG Sales Mgr asked me to call next year

TOPGLOV recent qtr results:
Financial Qtr EPS
29 Feb 2020 4.52
30 Nov 2019 4.36
31 Aug 2019 3.13
31 May 2019 2.92
28 Feb 2019 4.14
30 Nov 2018 4.31

TOPGLOV qtr results (H1N1 flu season):
Financial Qtr EPS
31 May 2010 21.31
28 Feb 2010 23.54
30 Nov 2009 21.94
31 Aug 2009 19.18

https://www.malaysiastock.biz/Corporate-Infomation.aspx?securityCode=7113

No need to think so much....
If H1N1 Swine Flu can increase EPS by 5X, just wonder what Covid can do ...
Just buy and go to the beach ......

Not to worry about any decline in demand for gloves,
as IMF has approved US $1.4 B. for Pakistan to buy PPE ...

https://www.imf.org/en/News/Articles/2020/04/16/pr20167-pakistan-imf-executive-board-approves-disbursement-to-address-covid-19

Since year 2018, Supermax, Topglov, Kossan and Harta have split shares 1:1, but Comfort has not done it yet.

Keep n Wait until Comfort splits its shares.... this is a long term play of more than 12 mths

Pakistan new cases of Covid has doubled from 2000 to 4000 in 1 week (June 3, 2020).
India has increased its new covid cases by 50% over past 2 weeks to 9600 cases/day (June 3, 2020)

https://www.aa.com.tr/en/asia-pacific/pakistan-doctors-on-hunger-strike-over-lack-of-ppe/1820374

Some people think that this 'goreng pisang' bizness is just 'goreng' only, but it is actually about the 'pisang'. There is an actual shortage of good Malaysian pisang ( China ones everthing's vinyl n fake).The demand is real, the product very good and the factories are super-efficient with proper accreditation

Just change the players, the game is still the same