Regardless of what some analysts say about reduced ASP in the coming quarters, a glove counter or two is a must in my portfolio. Comfort especially is at a very attractive price based on the latest results.

Sentiment among investors for glove counters isn't favourable right now. But I believe this will change. After all what other industries are making this kind of profit right now?

For investors, one simply must have a glove counter or two in his portfolio. Although some analysts talk about ASP dropping, more players etc., these glove companies are in a very cosy position. And this will remain in the foreseeable future.

They have been turning in very impressive profits over the past few quarters. Kossan for instance had reported a monster first quarter last week, and this current second quarter should also be very good. And this company isn't too stingy when it comes to dividends.

Anyway, I've decided to just ignore the daily price action and not think too much about these `reduced ASP', short sellers and such. For as long as the environment remains positive for glove companies, I'm putting most of my investment capital into these counters.

Koon should just accept he had been wrong big time TWICE, and adapt accordingly. Instead of being such a sour grape; so sulky he had lost big with Supermax, and then failing to jump onto the gloves rebound.

"prices of gloves cheaper... more players in the market" etc. etc. - even if these are correct, for Bursa investors, speculators and especially traders, WHO CARES?!

Tell us, Koon, *what* is the one and only goal when we enter the stockmarket? Why, it's to MAKE A PROFIT, of course. Specifically, capital gains. If it's not clear enough yet, "To buy something and then sell at a higher price later on", and thereby making a profit.

It doesn't matter how much cheaper gloves are selling now and in the future. As long as the current price is higher than what we had bought a counter for, then all is well and fine.

If Koon hadn't been such a sour grape, he could have recovered some of his losses by jumping onto the rebound. Unfortunately his pride and ego were obstacles. And he is seething in resentment seeing the "gloves ship" leaving without him.

So unfortunate a former `Bursa Guru' has degenerated to this very low level!

Sorry to say this but this post, when read with previous ones, sounds so sour grapes. Koon has shown how erratic he has become since last year. Especially after the AT episode. Not to mention his about-turn regarding Supermax.

So how does this gel with his so-called "Golden Rule"? `More supply than demand' regarding gloves? Where did he get his data from? In reality glove makers are among businesses that are in very comfortable positions. Until this changes, it would be silly to not buy and keep glove counters. Just because there are now more companies entering the fray.

By the way, what is his comment on Kossan's monster Q1 2021 results announced yesterday? Are these signs of a glut in the gloves market?

This used to be one of the core counters in my portfolio, around 2012-14. It's usually among the Top 20, at least, in terms of daily volume. Quite good dividends too. One of the main attractions was its power business in India. Us investors/speculators would comfort ourselves with this hoped-for money-spinner. Often delayed but we were patient. "Soon".

If memory serves me right, the share price was RM3+ (?) I had sold due to needing the money for some project. Fortunately as it later turned out. Then it started the death of a thousand cuts. Drifted lower but slowly. It's been quite a few years since I followed it. Now it's below 30 sen! Should be a lesson that "Buy-and-Hold" isn't necessarily a good strategy.

This is very good work that should receive more attention by everyone.
THANK YOU for your efforts!

@Sslee 23/03/2021 7:42 AM
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Well-researched and exceptional effort by Sslee here. He "does something" constructive which helps small fry investors. Thank you.

"Such a re-rating, without any material news, can only mean that the analyst has been completely wrong in their work previously due to reasons solely related to their own capabilities."
...
Many investors at i3investor had been wary of these IB analysts' target price for gloves counters since a few months ago. So they stayed away from these counters - or at least didn't add - despite some supporters continuously harping on those TPs, arguing how `cheap' they are. The cautious investors managed to protect their capital during the bad period when gloves were pushed down by short sellers and many investors panicking.

Anyway, I feel counters like TopGlove offer good value now. Never mind if the IB analysts have reduced their TPs, and even with new supply from China and elsewhere. The fact remains that as a business, glove companies will still be in a comfortable position in the coming months. Therefore it's prudent to have a glove counter or two in our portfolio. For the sake of balance.

With KYY's Supermax episode - I don't think he's telling the whole truth. "Sold all 3 weeks ago"... but still talking up the counter after that. This isn't consistent with what the average person would do. Even if he has become erratic due to the onset of old age.

I think he had indeed sold some before this, especially if he had bought on margin. With the counter in an obvious downtrend, that's a prudent thing to do. To ensure one isn't overly burdened by the margin buy, and to have the resources to average the cost later on.

But whatever the whole truth is, Koon's reputation among the investors/speculators/traders here has taken another beating. After the AT episode late last year.

Previously many had hero-worshipped him as _the_ top Bursa Guru. The stature and deference shown by these acolytes over the years would surely have pleased him a lot. As it would have been for any one of us too.

Unfortunately the previous positive sentiment had gone the other way. In fact nowadays comments about Koon tend to be nasty...and his supporters no longer come to his defence. And he has himself to blame, no thanks to the posts and actions where he doesn't come out as honest and forthright. Instead, as someone with secret agendas and using his previous stature and influence for his benefit, first and foremost. And not as the 'wise and kindly uncle' he had taken years to cultivate.

Let this be a lesson for everyone, especially those fairly new to the stockmarket. Read and consider what people write here, especially those we feel "know stuff". But in the final analysis, each and every one of us make our own decisions. Nothing is forced onto us - if we were influenced by someone, it's because we had allowed ourselves to be so.

Learn from our mistakes and successes, and never blame others when it is we who had clicked on the Buy and Sell buttons. Only by being honest and continuous learning will we improve. Including in becoming better and more consistent investors.

@probability - Interesting comments and angle, especially the mental factor of KYY's age. Now that you had mentioned this, it got me thinking of my own experiences with those of the elderly age group. My father is among this. And don't forget the most famous of all - Tun Mahathir.

Not all are the same of course. But they do share a few characteristics. The most common is, they tend to be erratic. Not to mention forgetful, and very easy to take offence and sulk.

Thank you for the effort in coming up with this post. Ben Tan - this name has credibility due to the quality of posts, plus in the way he carries himself when discussing and debating. Cool-headed, mature and pleasant.

This is an encouraging day for Kossan considering how glove counters have gone into a spiral during this week especially. Have to admit that yesterday was a harrowing day, and I was having doubts about whether the support would hold today. Thankfully it did, plus ending the day on a positive note.

I had gone in too early (as usual) with this counter, and have been averaging the price since then. Normally I would have cut loss instead of buying at different lower price points. But I had decided that Kossan is one of the companies that will continue to do well for at least 2021, and that the downtrend will see an end sooner rather than later. When I'm reasonably sure of this, will be adding more.

At this price, I'm going to buy my first batch of TopGlove tomorrow. Might still go down some more but I'm going to risk it anyway. Vaccine or whatever.

This company had a few magnificent quarters, AND projected to achieve a few more in the foreseeable future. If not magnificent, at the very least "good". Logically institutions and retail traders would want to put their capital in a company like this. But "logic" doesn't seem to be the measure used by the big money right now, for whatever reason.

If one is overextended with his buys, using too much debt, then yes, the selling at lower prices (loss) is definitely normal.Forced selling by banks or creditors threatening to take legal action if they aren't paid NOW.

"Those with the knowledge would have bought glove counters and held on to it when Covid was announced in China. Many did not." <--- I'm one of those who failed to get onboard at the ground floor.

Gloves were such `an obvious play' that I missed it! It had felt `too obvious' and resulted in over-analysing.

This portfolio is going along nicely after a week.
Let's see how it goes after a month.

More investors are starting to realise this: despite the MCO *and also* Emergency, glove makers will continue to do well. Kossan included too, of course.

The decline in price over the past few weeks is very disappointing and painful. But I believe that if we buy at different times and average the price, we will be rewarded. Must have a bit of patience and not expect capital returns so fast as with a trader's mentality.

@CharlesT CPTeh... Haven't heard this name for so long.

I like United Plantations too. Based on its past results it looks very well managed. Still managed to be profitable despite the xMCO interruptions from March. Regular dividends too.

The only problem is it has less liquidity i.e. low volume. Buyers and sellers aren't rushing for anything. But since it's a counter to be held on a longer term, this isn't too big of an issue. It's definitely on my list too.

Investing (not "trading") for the medium term covering 2021 should also have a plantation counter or two in one's portfolio. Just like having a glove maker too. TAANN is my first plantation buy due to it paying regular-enough dividends. Will decide whether to add more, or have another plantation counter as backup, after the long weekend.

Calvin tends to write articles that are interesting to read. This is another one. It actually makes me interested to investigate WTK :)

Calvin may or may not be right. But that's secondary. Have to appreciate the fact that he puts in the effort, and not write something based on pure speculation.

Phew, what a relief!
It's been several harrowing trading days from last week. With Kossan, I had gotten in too early as usual. Had to suffer the pain of seeing it suffer drops every day. Especially when that JPMorgan report came out.

But I decided to just stick to the plan and average by buying at the lower prices. Despite the thump in the chest when clicking the "Buy" button. Because, share price notwithstanding, gloves are a great business to be in right now. An investor simply must have a glove counter or two in his portfolio. The only questions are "When" and "At what price". Have to do some guessing work here.

I'm still at -8% of the capital invested though. Will decide when to buy some more. Probably when the price goes down a bit.

Getting whacked by my purchase of Kossan. As usual, I had bought too early and it's no fun seeing one's counter going lower and lower.

Fortunately I had stuck to my strategy of buying in stages and not "all in". Since the business fundamentals remain the same with glove companies I certainly won't be cutting loss. Instead will be buying another batch later at below 5.50 and thereby averaging the price. And then just wait.

@hng33 use all margin, bought all kossan at 6.00
08/12/2020 2:55 PM
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This is very encouraging. Trader hng33 has been around at i3investor from since several years ago. Always open with his buys and sells - sticking his neck out by stating in public his entry and exit points. Unlike wannabes who'd gloat of `making big profits' only after the fact. And keeping quiet about their losses. Anyway hng33 is more often right than wrong with his short-term trades. I'm hoping he's right with this one.

But even if he's wrong, I'm sticking with Kossan for at least a while. Adding more should there be significant drops. Because this is a great business to be in during times like this.

I'm also considering one probability based on a report I had read somewhere (sorry, can't remember where exactly) - of something sweet for shareholders. Specifically for the controlling shareholders, but which we the ikan bilis will benefit too since are also shareholders.

The #1 shareholder is Kossan Sdn Bhd. Then those other investment vehicles listed among the Top 10 comprising Tan Sri, his family, relatives and close friends. They might not want to sell their shares (and then buy what with the proceeds?) including with the bonus units. But they'd want "spending money" for whatever activities they may have in mind. One way to fulfil this, i.e. "Having your cake and eating it too" - a special dividend. This way everyone gets some money while still having his units.

This is just speculation of course. But with Kossan churning in exceptional income this year, a special dividend is definitely possible.

When compared to Supermax and TopGlove, Kossan tends to be `slow, lethargic'. Its shares don't get chased like those two whenever there's a rebound. Investors will have to live with this characteristic. But who's to say it won't become like PETRONM in the coming weeks. This one too tends to be slow... and then suddenly becomes a rocket.

@Donator LiimInvest , u forgot to eat medicine..go eat now...fast
08/12/2020 10:10 AM
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LOL! This is the Laugh of the Morning.

@Mabel 07/12/2020 9:36 PM What do u think of glove demand? Reduce or increase?
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For next year at least, I believe the worst-case is that the demand plateaus. With these gloves companies, their orders are stacked until the end of 2021. That's a very comfortable position to be in. Which is why an investor must have at least one gloves counter in his portfolio. And the price correction yesterday had provided a good opportunity to buy or add.

Among the more immediate concerns now are the price of raw materials, labour and the nagging possibility of a windfall tax. But the first two aren't unique problems in business and something which these companies have been handling for years. As compared to most others, glove companies are in a very comfortable position.

This price correction will level off sooner rather than later. I believe institutional buyers would want to have a certain percentage of their investment portfolio in companies that not only can weather the Covid-19 environment but in fact are doing well. Gloves are clearly in this category. And December is the "window dressing period" when prices of dividend counters tend to go up.

The current trend may not be favourable for glove makers but I'm buying some units of Kossan anyway. This is one of the industries that are making big profits, and expected to continue doing so in the next few quarters at least. Therefore it's only prudent to have a glove counter or two in one's investment portfolio.

The only issue here is to try get the best price - something that one will only know what this "best" is after the fact. That is, have to wait for things to happen in the coming weeks and months. And since we can't possibly know right now, the best strategy may be to average, i.e. to buy at different times and price points.

Quality write-up here. Reasonable-minded and considers different angles.

I feel we often tend to focus too much on the business aspects. No doubt there will still be strong demand for gloves despite the vaccines being available. And Supermax will continue to benefit from this.

However, we must also give attention to things like investors selling to lock in profits. After the excellent run price-wise where records were created, there is bound to be consolidation. Despite gloves counters arguably being the best business to be in during times like this, upside potential has now become limited.Many investors don't just look for dividends and bonuses but also capital gains, and they want to free up some capital for other opportunities. Whatever these may be. And so they liquidate a chunk of their Supermax shares, bringing the price down.

Was this (how many hundred million units?) Private Placement made known to ordinary investors/ speculators/ traders earlier, or is this only known a day or two ago?

Would be interesting to see what the price is - if it's higher than now, maybe people wouldn't be too sore. But what if it's way lower. It might look like they had been maliciously swayed into buying by influencers.

No doubt that TopGlove and the other glove makers will report extremely good profits in this quarter and also the next few, at least. Vaccine or not the demand for gloves will continue to remain strong. At the same time, one must also take into account "capital gain/loss" and not just on the potential dividends, bonuses.

Each of us will have to balance things. A lot of the time there's no clearcut `right' or `wrong' when we buy some counter or another. But with TG, right now should also consider the fact that big investors could be taking profits and rotating into other sectors. The potential for better capital gains could lie "elsewhere".

@DreamCommander Landslide win coming in US election
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I sure hope so. But I've become cautious and not be too hopeful. After the last time. The polls had Hillary Clinton `clearly in the lead' too. And what a shocker after that.

I'm going to make a speculative buy, based on what some of the people here say. In case they turn out to be right. 0.135 --> 0.20 is decent enough.

#1 - Yes! All the other investment banks' structured warrants are mostly stacked against the speculator/punter. Premium percentage is so high and would require big movements before we even get into the money. CIMB's SWs are often worth exploring and considering.

Thanks for your effort in coming up with this post. Really appreciate it.

@kens88 "I think small cap glove counter may have lost its luster."
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Yeah, this is something to consider. No question about the exceptional profits of glove companies in the next few quarters. And for any investor, he should have a glove counter or two in his portfolio. This is a no-brainer.

But this "lost its luster" - investors might be getting more selective and no longer so hyped up as to chase at any price like previously. Can still make profits trading. But I think the price range will likely be tighter.

@xuxu 11/09/2020 11:24 AM
True, true... Always a relief and satisfying when a counter in one's portfolio isn't bleeding but actually gone positive :-)

Going to speculate on this, with first buy at 3.67. With my kind of luck, I'm likely too early in bottom-fishing. Which is why I've split the intended capital and put in only one-quarter for now. The next quarter - see how it goes tomorrow and next Monday.

Averaging and waiting have worked well enough for me with various counters in the past. Not with each and every counter, of course. There will be times and counters where it's better to take loss and utilise the capital elsewhere instead of waiting. Let's see how it goes with Comfort.

This selection of stocks by RHB have done very well.

Can buy as pure speculation, but using only a small percentage of one's capital. No need to `sakit kepala' scrutinising its business, balance sheet etc. Just treat like one of those structured warrants but with no expiry. Worst case, lose some money. But should it suddenly spike again for whatever reason, just sell and use the profits as money to `joli'.

@skybursa > Apr 21, 2020 12:03 PM
"US loved to abused China. China rise is a threat to them."
...

There's truth to this. Among other things, it's also to do with the `dengki' factor. From a country looked down upon for decades as "communists, peasants, country bumkins" to becoming a major economic force in the world.

It's not just the US but also westerners. Especially the entitled right-wing types who resent they aren't automatically treated with respect and deference by the previously `inferior' Asians. It used to be like that - if you are White, you are treated like royalty. Well, not anymore, and they hate losing this white privilege. So, China becomes a target where anything negative is magnified.

Don't know whether EPF is done with its selling. And yeah, these are troubled times for media companies. But at 0.27... I can't stand it anymore. Going to buy a few lots and keep, based on this very simple strategy - "Hope for the best" :)

To comfort myself should the price go down - at least I had bought cheaper than the institution investors :) Hopefully they will buy some more to average their portfolios. Right now investors are fearful and holding on to cash. But eventually they will have to come out of their shells and invest their funds again.

By the way, have to respect the former CEO, Datuk Rohana Rozhan for having a personal stake which is quite significant. Don't know what the latest is, but based on the last annual report, she had 6 million shares. So unlike many CEO/MD and directors of various listed companies who only take. But don't dare to risk their own money on the companies they lead and manage.

Negative developments that include (1) Sharp drop in share price from a month ago, although has rebounded from the lows; (2) CEO resigns.

Have to know more about #2. But even more important, on the projects the company is undertaking.

I've started to add Astro to my portfolio. Although it's true that consumers now have more entertainment choices, Astro hasn't done too bad over the past few years. The current price level is very attractive. If foreign funds return to Bursa Malaysia, I believe this is one of the counters that would buy.

I had read @wilsonliew's post, and also followed the links. This counter sounds interesting and worth putting a bit of money on. Especially to diversify my portfolio and include a technology counter a or two. Unfortunately the price has gone up today. Will try to get at 0.14.

---> @Philip ( what you can learn from RJ MITTE ) > Apr 8, 2020 8:00 AM <---
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One of the best posts (in the form of comment) this week. Conservative approach which requires doing research on the investor's (NOT trader's) part. This one is especially important, and which I'd stick to with financial markets:

---> But never put everything into the stock immediately. Buy a substantial amount that you can afford to lose, then build your position every quarter after the results are out and only if the performance is still within your expectations. <---

There will be times when one feels very confident of some company. However, it's prudent to buy in batches, at different times. I've managed to avoid getting into big trouble by sticking to this method.

"But what if the counter goes up after we buy the first batch?" Hey, that's a GOOD thing! That first batch is in the plus. Make a second buy to average the price.

By the way, don't forget to sell when a counter has reached a certain price! Many people become too attached, so proud of their successful pick, and refuse to sell to lock in the profit. Only to later regret after the price spiralled down to a level where the profit is significantly reduced.

@Sslee 05/04/2020 6:01 PM
---> Don’t be someone who turns people off
The big takeaway here is that if you want to be the person who is successful, who everyone wants to hire, you need to build habits of integrity.<---
+++

Not limited to just being hired (although that's something critical too) but in all other aspects of life too. Without being of "the right character", which definitely includes integrity, one will face various friction and negative events in his life. Relationships - personal and professional - are built, developed and sustained over this.

And the great thing is, it's something all of us can always improve upon. This is through all the seemingly `small and routine' situations and events each day. Including at this website. But this requires some courage for we need to honestly look at ourselves first, and acknowledge our unattractive characteristics. Only then can we start doing something about these.

@moneySIFU > Apr 3, 2020 12:44 AM
Can't beat them, also can't join them, so I avoid them by leaving away.<---
++++
That's what I tend to do too although it's not easy to just ignore instead of dishing out some nastiness also :-) But I'd try to keep to my own goals i.e. in trying to learn things and benefit from these. Which means to just read and think about the opinions given by those who consistently display their experience and intelligence. And to brush off the jerks with their useless comments and provocations instead of wasting time and energy.

This is one of the most interesting posts here which deserves at least more views. Regardless of whether one agrees with the content, the writer had put in a lot of effort here. Thumbs up for adding quality to this website.