@everest when it hit 3800, we think its all time high, then it climbs further to 4300, also all time high, then 5000. I think whether its all time high or not is not important, what justify is the valuation, which takes into consideration of company financials and overall market condition.
If you are short term trading it, looking at the technical could be accurate, but so far the promoter is having a long term view analysis which requires patience. if you build a house recently for rm1million, will you sell it for 500k just becoz your neighbour do so which he built his for 300k 20 years ago.
If all time high is a problem, its unlikely you hold on to Amazon, Google, Facebook, Apple, Tesla.
Personal view: Jtiasa though sitting on a giant treasure, main issue is with the management (recent AGM is disastrous). its like Malaysia, have good resources, but lousy government.
what's this > Write-off of £4.6m (approx. RM26.2 million) planning costs incurred mainly due to a decision to not proceed with the acquisition of the Gurnell project under the EcoWorld London portfolio;
Current marketcap is 2.4b. estimate normalize free cash flow around 150mm, thats still more than 15X. In view China consumer spending contraction. Looking forward for it to drop to around 1.5b market cap for more buffer before enter.
ataims current asset-liability is around 337mm, per share is around 0.28 per share. operating expenses is 50mm Rough estimate: assume coming two qtr until dyson contracts ends will cost them 100mm, left with 2/3, hence its 0.18 per share.
1. more wheat rice product will be consumed over vege/meats as its more stomach filling. And one of the most economical way to add taste to such is deep fried > Palm oil usage
2. More will substitute butter with magerine > Palm oil usage
3. More dairies will be consumed as they are high in calory and value for taste due to scale of manufacturing > Palm oil usage
4. Mass will need to work harder, and have less time for meal preparation or a proper meal, hence resort to take away. Deep fried Stir fried is a large category in takeaway, besides taste its also easier to consumed compare to soup based. > Palm oil usage
Is the spike in edible oil price since pandemic due to supply issue? or change of lifestyle? should be a mix, supply issue at the beginning, and follow by change of lifestyle and spike in cost of supple chain (especially transportation) .
revenue steadily climbing for 2 consecutive qtrs. positive free cash flow for 2 consecutive qtrs around 70mm per qtr (after paying borrowing interest) net debt decrease from 1b in Q1 to 853mm in Q3. Metrod is a capital intensive business, their net debt is on par with working capital required, which points to management is pretty good in capital management.
if Metrod could keep churning out FCF of 200mm a year from now on, within 4 years they would be able to pay off their debt(althour unlikely as better to borrow and grow) and operates the largest mill of the region.
total shares issued is mere 120mm, FCF200mm means that's RM1.60 FCF per share, way more than their current share price...
If the FCF could sustain, METROD will worth ~RM10 based on 6X FCF.
With short of labor and record low harvest, they generate 47mm free cash flow. finance cost of 8mm, net would be 39mm if maintained for 4 qtrs, thats 160mm free cash flow (on the back of mere 656mm debt)
Let's see if production ramp up in coming months with labour inflow.