Govrnment need to find new revenue

Windfall tax rumors came up again

https://www.thestar.com.my/business/business-news/2020/08/17/windfall-tax-risk-sees-gloves-under-some-pressure

Perhaps panic sell & mkt jittery due to rumors of windfall tax to impose on Top 4

https://www.thestar.com.my/business/business-news/2020/08/17/windfall-tax-risk-sees-gloves-under-some-pressure

Windfall tax

https://www.thestar.com.my/business/business-news/2020/08/17/windfall-tax-risk-sees-gloves-under-some-pressure

They are in for a long haul...we keep panic selling they wil scoop up all ..

Wt all the news out dont think they wil let it freefall

They wil.not let it drop further they got too much to.lose..wt the holding at hand....the more retailers sell they better off collecting at vr low price...For them game is not over yet...lets watch n see what happen next

@yttihs, do add me pls

Contra trade ban rumour sends rubber glove shares lower - The Edge Markets http://www.theedgemarkets.com/article/contra-trade-ban-rumour-sends-rubber-glove-shares-lower#.Xzc1k1_5ihw.whatsapp

Top 4 must turn green...

in line with the upsurge in demand of medical personal protection equipment including face shield for hospital and schools, hospital intubation and gloves, as well as upcoming covid-19 vaccine bottling across the globe due to the unprecedented global pandemic event.

“Covid-19 has created higher safety and hygiene awareness across all industries.

“As a result, the medical plastic industry is expected to undergo a structural step-up in demand with rising awareness on the importance of personal protection, hospital demand, and coming vaccination supplies markets.

“The acquisition will enable Nexgram to leverage on Arita’s existing products and services to further expand its clientele and business, providing a more robust bottom to Nexgram Biomedic, the medical division of the group,” he said.

Nexgram expects the acquisition to be completed in October 2020.

At 9.05am, Nexgram rose 7.69% or 0.5 sen to 7 sen, valuing it at RM165.28 million.

in line with the upsurge in demand of medical personal protection equipment including face shield for hospital and schools, hospital intubation and gloves, as well as upcoming covid-19 vaccine bottling across the globe due to the unprecedented global pandemic event.

“Covid-19 has created higher safety and hygiene awareness across all industries.

“As a result, the medical plastic industry is expected to undergo a structural step-up in demand with rising awareness on the importance of personal protection, hospital demand, and coming vaccination supplies markets.

“The acquisition will enable Nexgram to leverage on Arita’s existing products and services to further expand its clientele and business, providing a more robust bottom to Nexgram Biomedic, the medical division of the group,” he said.

Nexgram expects the acquisition to be completed in October 2020.

At 9.05am, Nexgram rose 7.69% or 0.5 sen to 7 sen, valuing it at RM165.28 million.

Top Glove could touch RM77.60 per share in bull scenario — Citi

By Ahmad Naqib Idris | theedgemarkets.com | 2020-08-13 14:00:50
KUALA LUMPUR (Aug 13): Top Glove Corp Bhd’s share price could reach RM77.60 in a bull scenario, according to Citi Research, as the group is poised to raise prices and capitalise on strong demand for gloves, given the group’s large manufacturing capacity.

In a note on Tuesday, the research house reiterated that Top Glove is “a clear winner” by virtue of it having the largest capacity, allowing the group to lead the pack in raising glove prices.

“Capacity-wise, the group also has the most near- to medium-term capacity coming to absorb pandemic-driven demand; our bull-case valuation of Top Glove is RM77.60,” said Citi, which has a target price (TP) of RM48.10 and "buy" rating for the glove manufacturer.

It said Top Glove’s inexpensive but effective products are benefiting from a surge in demand, putting it in a good position to absorb additional orders.

The demand-supply imbalance has enabled the group to aggressively raise its average selling prices (ASPs), which it said could drive “an unprecedented margin and earnings upcycle”.

On the other hand, the group’s share price could fall to RM16.50 in a bear scenario, with key risks including a sharper-than-expected decline in ASPs when Covid-19 de-escalates along with sharp volatility in raw material costs and the ringgit.

Oversupply is also a risk as industry players may decide to accelerate capacity roll-outs amid strong demand, followed by the entry of new players, said Citi.

The research house also maintained its "buy" calls for Hartalega Holdings Bhd (TP: RM26.70), Kossan Rubber Industries Bhd (TP: RM16.60) and Supermax Corp Bhd (TP: RM24.90).

It said Hartalega is a relative laggard in terms of share prices and that the consensus is still underappreciating its revised ASP guidance.

For Kossan, while its share price has doubled since July, Citi still sees further upside due to the company’s guidance for aggressive July and August ASPs as well as further price hikes as the group moves closer towards market levels.

Kossan also has two new plants to be built in the near term, which will allow it to capitalise on strong demand.

Supermax is seen to be one of the biggest beneficiaries, given its own brand manufacturing (OBM)-centric and manufacturing-cum-distribution business models.

“Being closer to end-markets via its seven distribution centres globally has and will continue to allow the group to capture the bulk of significant ASP increases at both the manufacturing and distribution levels, resulting in a faster and more aggressive ASP trend,” said the research house.

At 12.30pm, Top Glove had risen 26 sen or 1.06% to RM24.76, giving it a market capitalisation of RM67.04 billion.

Hartalega rose 38 sen

KUALA LUMPUR (Aug 13): Top Glove Corp Bhd’s share price could reach RM77.60 in a bull scenario, according to Citi Research, as the group is poised to raise prices and capitalise on strong demand for gloves, given the group’s large manufacturing capacity.

In a note on Tuesday, the research house reiterated that Top Glove is “a clear winner” by virtue of it having the largest capacity, allowing the group to lead the pack in raising glove prices.

“Capacity-wise, the group also has the most near- to medium-term capacity coming to absorb pandemic-driven demand; our bull-case valuation of Top Glove is RM77.60,” said Citi, which has a target price (TP) of RM48.10 and "buy" rating for the glove manufacturer.

Glove bulls jolted as downside risk exposed

By Chee Gee Ren and Wong Ee Lin | theedgemarkets.com | 2020-08-13 09:00:00
KUALA LUMPUR (Aug 13): Glove bulls were jolted by newsflow showing commercial production of COVID-19 vaccine is not that far-fetched and it could be a reality in a matter of months.

On Tuesday, Russia revealed that it has granted regulatory approval on a COVID-19 vaccine.

The news was then followed by Indonesia President Joko Widodo’s announcement on Wednesday that the country began the third phase of a COVID-19 vaccine trial made by China’s Sinovac Biotech Ltd with a target to begin commercial production in six months.

As many as 1,620 volunteers are participating in the trial that began on Tuesday and supervised by the faculty of medicine at Padjadjaran University in Bandung in West Java. Once the vaccine clears the trials successfully, State-owned PT Bio Farma may begin production from January, according to Jokowi.

The news seemed to have exposed the downside of the glove counters that had rocketed to an all-time high with hefty premium on valuations. The concerns are that the anticipated strong growth on rubber glove consumptions might not materialise as the COVID-19 pandemic is contained once the vaccine is available.

Glove stocks, which have rallied over the past five months, were hammered with intra-day losses of more than 10% on Wednesday.

All seven glove counters were “gap down” at the opening bell, indicating the absence of buyers at the high price level. They managed to rebound from intra-day lows, still all ended the day with big losses (see chart).

The heavy selldown on Wednesday erased a total of RM23.1 billion worth of market capitalisation from the seven glove counters, of which RM21.83 billion was wiped out among the big four glove counters, namely Top Glove Corp Bhd, Hartalega Holdings Bhd, Supermax Corp Bhd and Kossan Rubber Industries Bhd.

Some quarters commented that the selling was compounded by the lack of fresh catalysts to sustain the rally as share prices appeared to have factored in the most positive news.

Nevertheless, the double-digit fall in share prices was indeed negligible in comparison with the handsome gains that the glove stocks have made year to date.

The astonishing rally in Asian glove-maker stocks will extend further, as the coronavirus-led boom in demand shows no sign of abating, Citigroup Inc was quoted by Bloomberg as saying.

“Even with a vaccine, a structural step-up in glove usage is on the cards as the pandemic may well accelerate the narrowing of the gap between emerging-market and developed-market glove consumption,” Citigroup analyst Megat Fais wrote in a note on Tuesday.

Top Glove and Kossan Rubber can each climb by about 75% over the next 12 months as the pandemic drives unprecedented growth in sales and profits for the sector, the analyst wrote.

Citi’s Fais isn’t concerned by such blips, noting that the lead time on orders to Asian glove makers have lengthened to about 12 months from pre-COVID levels of one to two months, Bloomber

Kossan, Supermax to be added as MSCI Global Standard Indexes constituents, IJM Corp dropped

https://www.theedgemarkets.com/article/kossan-supermax-be-added-msci-global-standard-indexes-constituents-ijm-corp-dropped?type=malaysia

Supermaxx has rm1.18b cash at hand n in bank...&
RM800k prepayment fr customers ...meaning supermaxx customer alrdy paid deposit upfront...which i truly believed is Non Refundable....So on that alone we should be more bulllish and buy more supernaxx...Next qtr result wil be massive....Buy on down trend...

When come to KLSE good earning n good fundamental is secondary...Goreng is primary...

SUPERMAX
TWO(2) quarter before EPS is just 2.31 sen (official)
ONE(1) quarter before EPS is just 5.42 sen (official)
The current quarter EPS is just 30.58 sen (official)   
Next quarter EPS is just 36.69 sen (forecast; assume ASP increase 20% ONLY!)
 
So, total 4 quarter EPS is 2.31 + 5.42 + 30.58 + 36.69 = 75.00
 
My personal opinion on PE for rubber glove company especially the big rubber glove company is around PE 40 to PE 70 during this Covid-19 period.
EPS x PE= Price
75.00 x 40= RM30.00
75.00 x 50= RM37.50
75.00 x 60= RM45.00
75.00 x 70= RM52.50
Based on the observation on the PE recently, the Top 4 glove companies namely Topglove, Supermax, Hartalega and Kossan achieve P/E 100 and more. It is safe to give a P/E 40 to 70. So, the price shall be at least RM30.00 to RM RM52.50

Yes

90cts now

Ancom dropped Alcom fly

Everywhere u go Sifu s name bn mentioned frequently...lol

In 2020 the no of ppl registered as student for trading classes hv increased tremedously...likewise the no of ppl bn elevated to SIFU level also increased

KUALA LUMPUR: Shares in Supermax Corp Bhd rose more than 8% in early trade Tuesday, making it the top gainer on Bursa Malaysia after its fourth quarter earnings beat analyst estimates.

The glovemaker rose 8.11%, or RM1.72 to RM22.92 with over 14 million shares done.


Supermax’s net profit for its fourth quarter ended June 30 surged more than 26-fold to RM399.62mil from RM15.06mil a year ago, its best-ever quarterly financial performance since its incorporation.

The better earnings are mainly due to an exponential rise in demand for medical gloves and other personal protective equipment (PPE) on the back of the Covid-19 pandemic.

Its revenue surged 147.1% to RM929.12mil compared with RM375.96mil in the corresponding quarter a year ago.

For the full year, Supermax’s net profit quadrupled to RM525.59mil from RM123.11mil, while revenue jumped 39% to RM2.13bil from RM1.54bil.

MIDF Research has upgraded Supermax to buy with a revised target price of RM24.19.

“Supermax’s FY20 core net earnings of RM525.6mil came in above our and consensus expectations, making up 136% and 131% of our and consensus full year estimates respectively,” it said, adding that the positive deviation can be attributed to the stronger than expected average selling price (ASP) of gloves and better than expected margin.

The company has announced a share dividend of one treasury share for every 45 shares held pursuant to the proposed bonus issue.

Kenanga Research said Supermax’s FY20 core net profit of RM526mil beat expectations by 35%/31% of the house/consensus full-year forecasts.

“The positive variance compared to our forecast was due to higher-than-expected ASP and margin.

“We raise our FY21E/FY22E net profit by 57%/58% taking into account higher ASP and margin. Target price is raised from RM17.10 to RM25.45 based on 20.8x CY21E EPS. Reiterate outperform,” Kenanga said.

In this crazy mkt expect the unexpected...supermaxx limit up or gap up rm5
11/08/2020 8:58 AM

QR 2molo...

Everyone waiting for supermaxx to turn green...uplift the whole glove related n klse sentiment

In fact scare the hell out of all those holding glove related counters

Wont be surprise wil turn green today

Scare tactic to flush out those fainted heart succumbing to sell at super low price...

Alot of extraordinary feats achieved this past few mths, at KLSE, highest volumn traded highest value, the unthinkable rise of share price of so many counters..One could hv mistaken we r in an economy up cycle where in fact we r still in a pandemic mkt...In this extraordinary circumstances any thing can happened...The surprises wil keep coming ...perhaps...who knows SUPERMAXX wil deliver a super duper surprise for all come mon or mayb tues....We could see Supermaxx LIMIT UP if QR is abv mkt expectation ...Too far fetch....but in current Crazy Trading pattern....Anything can happened...Mayb gap up RM5 per trading day or even surpass TG price for a few trading hours...Lesser sellers better chance to Gap Up...Hold Tight n Dare to Believe ...Then we wil witness another EXTRAORDINARY FEAT...

Counters that fly up til mother n father cant recognise most owner involve also

Need effort also fr owner want or dont want to push up the price

Ya ...hopefully dont drop 2molo

support vr strong at 60-62cts

1 of the co which many think stand a chance is amcom logistic

Niis ...National intregated immigration system govnt about to offer to a few cos thru tender...this mth shud know who got it

support at 60-62cts but no sure whether they dumping or waiting to push up again

Niss tender result announcing this mth...but rto status stil unclear...
most recent news just appointed TA Securities aa Principal Advisor

At 60cts they throwing bk to buyers

The past weeks the lowest sharks collected at 40cts today s high 68.5 ....nobody knows whether there is more gap up movement ....hopefully the rto is progressing well

or could it be a 15mins show only..lol

Hope it gap up again

Sthing brewimg

Limit up all the way