It's 16k, I should put on more. What 1.6k..

I have educated you guys to buy.. Even wrote a long article to explain....

Envy me ?? hahaha. have a good weekend guys....

I sold 400 lots of JCY-HA today

100.88% returns, hurray :)Bought at 4cents, 5 cents, sold at 9.5 & 10 cents.

Friends, consider to buy la, what is that 15% tiny profit means?

@ Howardback - Is it true? Give us more evidence please..

Panik.... Panik... Lost Control !!!!!!!!!!

Insya Allah..

Kossan Rubber Industries
Falling Latex Price Yet To Play Out
Good results. 2Q12 net profit of MYR24m (+8% QoQ, +13% YoY)
lifted 1H12 net profit to MYR46m (+4% YoY). Though 1H12 made up
45% of our full-year forecast and 42% of street’s estimates, this is
within expectations as we foresee a stronger 2H12 on lower input costs
and contribution from new capacity. We think the long-term soft latex
price story has yet to play out, given Kossan’s relatively flattish share
price performance and cheap forward PER of 8.8x. Maintain forecasts,
BUY rating and TP of MYR3.75 (10x 2013 PER).
Driven by higher sales volume, lower latex cost. Stronger net profit
of MYR24m (+8% QoQ, +13% YoY) was derived from: (i) higher sales
volume of 2.6b pcs (+5% QoQ, +27% YoY); (ii) slightly higher EBIT
margin of 11% (+0.2-ppt QoQ, +0.4-ppt YoY) on lower latex input cost
(-12% QoQ) and stronger USD:MYR (+3% QoQ); and (iii) clean-room
division remaining in a minor loss of MYR0.3m owing to development
cost. Sales volume product mix between latex:nitrile gloves is 53:47.
Expect stronger earnings in 2H on: (i) enhanced margins on lower
input costs. Both latex and NBR costs have dropped 15% QoQ and
23% QoQ respectively in 3Q12; and (ii) higher sales volume from new
capacities. The new 1.25b pcs nitrile capacity (+11% to existing total
capacity) is currently under trial run and full commercialization is
expected by Sep 2012. Additionally, Kossan also aims to commence
700m pcs surgical capacity by Nov 2012.
Softer latex price outlook. Despite the intervention scheme by the
Thai government since May 2012 (bought 80,000 tonnes rubber sheets
from farmers), latex price continued to slide to RM5.50/kg now (-36%
YoY). Going forward, the Thai government is looking to spend another
USD476m on buying rubber sheets from farmers, indicating 187,500
tonnes of rubber sheets (or c.2% of global production). We continue to
think that it is inefficient to fight market forces and believe latex price
will remain soft on weaker global demand and rising rubber output.

http://research.maybank-ib.com/pdf/document/Kossan_2Q12_20120824_MIB_1905.pdf

PETALING JAYA: Kossan Rubber Industries Bhd reported a 12.81% increase in net profit to RM23.62mil on the back of a 10.57% increase in revenue to RM304.75mil for the second quarter to June 30, 2012 due to lower raw material cost, higher sales volumes and better efficiency.

Earnings per share increased to 7.39 sen from 6.55 sen.

For the first half period, net profit was up 3.83% to RM45.58mil on the back of a 11.68% increase in revenue to RM594.19mil.

As of the period, the company had cash of RM34.83mil versus RM47.74mil in the same period of the previous year.

In notes to Bursa, Kossan said that the technical rubber products division was expected to grow steadily, with attention on infrastructure products and additional demands from overseas.

The management is confident profits from this division will be maintained in the second half of the year.

In the gloves division, management is confident the demand for all types of gloves will remain strong.

“The commissioned nine new single formers lines are capable of producing 1.25 billion pieces of nitrile glove, thereby increasing output from 38% to 44% in the second half of 2012.

“The new surgical gloves production is expected to come on stream in November 2012.

“With the strong demand and increased output, the management is confident profits are expected to grow in tandem in the second half of the year,” said Kossan.

Meanwhile, Kossan said that the clean-room division would continue to expand its maskS and wipes products and market aggressively into the electronic sector.

This division will also proceed strongly with the expansion of clean-room gloves.

TP
09/08/2012 3.12 3.75 +0.63 (20.19%) BUY MAYBANK
09/08/2012 3.12 3.69 +0.57 (18.27%) BUY CIMB
27/06/2012 3.15 3.64 +0.49 (15.56%) BUY KENANGA
19/06/2012 3.23 3.75 +0.52 (16.10%) BUY MAYBANK
28/05/2012 3.10 3.36 +0.26 (8.39%) HOLD KENANGA
25/05/2012 3.12 4.00 +0.88 (28.21%) BUY OSK
25/05/2012 3.12 3.00 -0.12 (3.85%) HOLD HWANGDBS
25/05/2012 3.12 4.02 +0.90 (28.85%) BUY ECMLIBRA
25/05/2012 3.12 3.66 +0.54 (17.31%) BUY CIMB
25/05/2012 3.12 4.31 +1.19 (38.14%) BUY AMMB
25/05/2012 3.12 4.70 +1.58 (50.64%) BUY ALLIANCE
28/03/2012 3.29 3.64 +0.35 (10.64%) BUY KENANGA
27/02/2012 3.28 3.96 +0.68 (20.73%) BUY MIDF
27/02/2012 3.28 3.50 +0.22 (6.71%) HOLD MAYBANK
27/02/2012 3.28 3.30 +0.02 (0.61%) HOLD HWANGDBS
27/02/2012 3.28 4.02 +0.74 (22.56%) BUY ECMLIBRA
27/02/2012 3.28 3.66 +0.38 (11.59%) BUY CIMB
27/02/2012 3.28 4.31 +1.03 (31.40%) BUY AMMB

1.00 is predictable, is just matter of time. maybe 1 day, 3 months, 6 months when next quarter results released.

1. weakening outlook for the hard-disk drive manufacturing industry as PC sales slumped.

2.CIMB Equities Research advised investors to lock in profits as earnings have peaked in the near term and the share price is unlikely to outperform.

JCY falls to 5-month low on HDD outlook woes
By Joseph Chin

KUALA LUMPUR: Shares of JCY International Bhd fell to a five-month low of RM1.12 in late afternoon trade on Thursday on concerns about the weakening outlook for the hard-disk drive manufacturing industry as PC sales slumped.

At 3.10pm, it was down 22 sen to RM1.12 as trading volume surged to 39.64 million shares.

The FBM KLCI fell 1.3 points to 1,650.95. Turnover was 775.52 million shares valued at RM707.05mil. There were 255 gainers, 397 losers and 315 counters unchanged.

On Aug 16, CIMB Equities Research lowered its target price for JCY from RM2.22 to RM1.41 and advised investors to lock in profits as earnings have peaked in the near term and the share price is unlikely to outperform.

It had also said that JCY's nine-month net profit for the period ended June 30, 2012 at 59% of FY12 forecast and 82% of consensus, 9MFY9/12 net profit was 10% ahead of consensus but 43% below its.

"Factoring in lower sales and gross margins, we slash our forecasts and cut the stock from Trading Buy to Neutral as near-term earnings deceleration will cap upside. Our target price is still based on 6 times CY13 P/E, in line with its peers," it said.

CIMB Research said although JCY still expected to see significant on-year profit growth in 4QFY9/13, "we believe that it will see further sequential contraction as both WD and Seagate have guided flat on-quarter volume growth in the September quarter.

"We also understand from our industry contacts that current build plans for WD and Seagate point to low single-digit qoq growth in the traditionally busiest December quarter," it said.

Meanwhile, wire reports said Hewlett-Packard swung to a US$8.9bil quarterly loss as personal computer sales shrank again and it swallowed a huge write-down linked to its US$13.9bil purchase of Electronic Data Systems.

Dell Inc reported an 18% drop in profit during its fiscal second quarter as revenue fell 7.5% on a steep decline in sales of desktop and notebook computers, wire reports said.

Read the prospect of JCY in The Edge daily today,

http://www.theedgemalaysia.com/business-news/219067-jcy-shares-hit-again-after-3q-results-falls-19.html

One word gloomy, OSK seeing quicker erosion in next Quarter.

http://www.theedgemalaysia.com/business-news/219067-jcy-shares-hit-again-after-3q-results-falls-19.html

JCY-HA should worth more right now.

Wellcall will announce quarter result next Monday.

@ Mat Cendana. Thoughtful analysis again. It is also can use as hedge purpose for those who has exposure in mother shares. Steven Lee is right about the liquidity issue as well. Investors need to understand the mechanism before using this tool.

Mat Cendana. Thanks for your thoughtful analysis. I agree.

Analysis of JCY-HA ( Put Warrant)

http://www.bursamalaysia.com/market/listed-companies/structured-warrants/922748

Issuer : AmBank

Listing Date : 4 April 2012
Expiry : 28/2/2013
Conversion ratio : 2 JCY HA to 1 JCY
Last done Price : 0.06
Exercise Price : 1.22

1. Background : JCY is an outdated industry which mainly manufactures HDD hard drive. It is listed by the means of " offer of sales", means major shareholders selling shares and keep all the proceeds. This indicates owner himself is doubtful about the future in this company. It proves correct after the IPO where co falls into the red ink.

As for offer for sale of stock, the shares that investors subscribe to are from existing company owners. Therefore, the money raised from the new investors will be channelled to existing owners, which also means the existing owners will have cashed out a portion of their investments in those companies.

Even though this does not imply that Company A is not able to perform in future, investors need to understand that the remaining 75% of the shares or 1,534 million (0.75 x 2,045 million shares) owned by the existing owners are in effect “free” to them.

If Company A is fundamentally strong with good future prospects, then investors should not be too worried about the existing owners cashing out.

However, if the fundamentals of Company A start to deteriorate, investors need to be extra careful as the remaining 75% of the shares owned by the existing owners are now costless to them. Under such circumstances, every share the existing owners manage to sell into the market, regardless of the price, is extra gain for the owners.

http://biz.thestar.com.my/news/story.asp?file=/2010/5/5/business/6190058&sec=business

2. Rebound : Thailand flood is a lucky factor for JCY where HDD hard drive is under supply and push up the price at that exceptional period of time.

3. Before exercise date, we still have 2 earnings announcement to await which can further push down the price of JCY.

December for Q4 2012
Feb for Q1 2013

4. Buy buying 2 warrants @ 6 cents now ( cost is 12 cents. We are in the money when JCY drops below 1.10 ( 1.22 minus cost of 12 cents).

5. In theory, JCY HA should cost :-

0.10, when JCY is 1.00
0.20, when JCY is 0.90
0.30, when JCY is 0.80

6. Please bear in mind that below Thailand flood, JCY is traded between 0.40 to 0.70 for the period of Feb - Nov 11.

7. Our maximum loss is limited, while maximum gain is unlimited, if JCY falls back to the original level.

http://www.bursamalaysia.com/market/listed-companies/structured-warrants/922748

Issuer : AmBank

Listing Date : 4 April 2012
Expiry : 28/2/2013
Conversion ratio : 2 JCY HA to 1 JCY
Last done Price : 0.06
Exercise Price : 1.22

1. Background : JCY is an outdated industry which mainly manufactures HDD hard drive. It is listed by the means of " offer of sales", means major shareholders selling shares and keep all the proceeds. This indicates owner himself is doubtful about the future in this company. It proves correct after the IPO where co falls into the red ink.

As for offer for sale of stock, the shares that investors subscribe to are from existing company owners. Therefore, the money raised from the new investors will be channelled to existing owners, which also means the existing owners will have cashed out a portion of their investments in those companies.

Even though this does not imply that Company A is not able to perform in future, investors need to understand that the remaining 75% of the shares or 1,534 million (0.75 x 2,045 million shares) owned by the existing owners are in effect “free” to them.

If Company A is fundamentally strong with good future prospects, then investors should not be too worried about the existing owners cashing out.

However, if the fundamentals of Company A start to deteriorate, investors need to be extra careful as the remaining 75% of the shares owned by the existing owners are now costless to them. Under such circumstances, every share the existing owners manage to sell into the market, regardless of the price, is extra gain for the owners.

http://biz.thestar.com.my/news/story.asp?file=/2010/5/5/business/6190058&sec=business

2. Rebound : Thailand flood is a lucky factor for JCY where HDD hard drive is under supply and push up the price at that exceptional period of time.

3. Before exercise date, we still have 2 earnings announcement to await which can further push down the price of JCY.

December for Q4 2012
Feb for Q1 2013

4. Buy buying 2 warrants @ 6 cents now ( cost is 12 cents. We are in the money when JCY drops below 1.10 ( 1.22 minus cost of 12 cents).

5. In theory, JCY HA should cost :-

0.10, when JCY is 1.00
0.20, when JCY is 0.90
0.30, when JCY is 0.80

6. Please bear in mind that below Thailand flood, JCY is traded between 0.40 to 0.70 for the period of Feb - Nov 11.

7. Our maximum loss is limited, while maximum gain is unlimited, if JCY falls back to the original level.

JCY-HA for downside prospect for lousy JCY

JCY is a fundamental weak, outdated industry " HDD Drive". Investors should short rather than long.

@ Steven Lee. How considering buying the put warrants?

CIMB Upgraded Wellcall a strong buy, Target Price RM 3.50 on expansion plan.

http://www.theedgemalaysia.com/business-news/218974-wellcall-believes-expansion-is-timely.html

Intrinsic wise this is a good company to hold for long, Lowest P/E among major glove players.

Supermax is fairly valued. Look at Topglove, harta, they have all moved. Kossan will announce latest result next week, insider news says it is fairly better yoy.

Congratulations :)

Friends, what do you think?

Kossan Rubber Industries: Maintain Buy - Major Glove Laggard
Date: 09/08/2012

Source : MAYBANK
Stock : KOSSAN Price Target : 3.75 | Price Call : BUY
Last Price : 3.29 | Upside/Downside : +0.46 (13.98%)

Back

Kossan Rubber Industries: Major Glove Laggard

Maintain BUY. We expect 2Q12 net profit of around MYR24m (+10% QoQ, +15% YoY), inline with our expectation, lifting 1H12 net profit to MYR46m (+5% YoY).

Similar to its peers, Kossan is a beneficiary of latex/NBR input costs and stronger USD:MYR, but its share price has substantially underperformed its peers by 27% in the last three months.
We continue to think that Kossan is a laggard and share price may gain traction upon the release of its positive 2Q12 results. Maintain forecasts, BUY and TP of MYR3.75 (10x 2013 PER).

KLSE : KOSSAN KOSSAN RUBBER INDUSTRIES BHD
Last Price Avg Target Price Upside/Downside Price Call
3.29 3.75 +0.46 (13.98%)

JCY dropped 9 cents to 1.31. Only 12 cents for HA to in the money at 1.22. Rationale investors should short on this company. Industry and one off effect from Thailand Flood.

Friend, better alternative to JCY mother share?