Johotin just announced Rights Issue with free warrants on 1:3 basis.Look for this Gem to continue higher tomorrow.

SAB is a real hidden jewel waiting to be discovered.However, the shares not actively traded.Must have a lot of patience.

Guys,

Not sure what is driving this fellow up today but I'm not complaining.
Q2 results not due til end Aug but the market is probably anticipating a good set of numbers.

http://www.bursamalaysia.com/market/listed-companies/company-announcements/863697

Not sure if the above link works.If it doesn't, you can go to Bursa's website and search under Johoretin for announcement on 18 Aug 2011 re the proposed purchase of Able Dairies.

Purchase of Able Dairies completed end Oct 2011.It provided earnings for only 2 months for Q4 2011.This purchase of Able provided Johotin with a new F&B business, and by all accounts, so far it has proven to be an excellent investment.Remember, it came with a RM10 million profit guarantee.

I think the company is fairly conservative and really need to make their shares more liquid.Any corporate exercise to reward shareholders and/or to enlarge share base would take this counter up another notch.

Rebouncing back nicely to RM1.50 level.Q2 results should propel this stock to RM2

Seems like a regular pattern by the Operator.As though to tell you that if you have the holding power, come along for the ride.But if you play contra, be extra careful

Very strong surge with decent volume to RM1.22 yesterday but the manner in which it got sold down to RM1.14 was not pretty to see.

Think it will get stuck at these levels for a week or so, probably to flush out those that jumped in above RM1.20 yesterday.

Happy trading.

Richman,

For shares less than RM1, limit down is 30 sen.

Guan Chong is a large cocoa producer ( same theme: food).They are currently considering a secondary listing in SGX currently.

I think Robert Kuok owns Federal Flour if I am not mistaken.Speaking of MFlour, have you seen its share price over past 12 months.Again, food related.For that matter, see Dutch Lady, Nestle.

Kenlee,

After some consolidation between RM1.14 to 1.17 for a week or two, I think MBL should be heading higher again.
Proposal for rights warrants already submitted by their Investment Bankers to Bursa.Q1 numbers were very good (eps of 7 sen).If they can confirm that with another solid Q2 numbers, then MBL will go past RM1.50, IMHO

SK,
Spoken like a seasoned and astute campaigner.Historically, we usually to get post election blues for 3 to 6 months.

But, interesting times are upon us.Would be very interesting to see how the GLCs perform should BN fall.Probably more certain would be pro BN-linked counters will suffer immediately post elections.

As for Johotin, I think its in a sector (food related) that should be quite resilient.If you look at the charts, you would think its due for a pull back.But every time I look at Guan Chong's charts, I feel a little sick.It doesn't know the meaning of gravity .Never had enough courage to buy thinking it has gone up too much too quickly.And what does it do?...

Bro SK,

Q1 earnings was 5.16 sen/share , so your prediction of 20 sen/share for full year is very realistic.

Since the purchase of Able Dairies in Oct 2011, Johotin now has 2 divisions, their existing Tin Manufacturing Division and new Food & Beverage Division.

Based on the segmentalised full year earnings for 2011, the Tin Mfg Div made RM 8 million net profit.As the purchase of Able Dairies comes with a RM 10 million net profit guarantee for 2012, we can assume that combined earnings for 2012 will be at least RM 18 million.
This gives us a projected 25sen eps for 2012.

What PE multiple you use is really up to you, but a PE of 10,say, gives you RM2.50.But as you have used a PE of 12, then TP would be RM3.

But like anything, buying and keeping for the medium term is the answer.Contra will be too difficult , most of the time.

Looking better by the day.See u at 2

Bro sapurakencana,

Previous TP was RM1.70 by OSK.Hope your new TP of RM2 can be reached.
Any word from insiders?

MBL had a very good day yesterday.Hopefully more to come...

Bro Chong,

Possibly their consortium partners (or Main Con) have gotten some award from KVMRT.

Since they have won a few contracts with the S'pore MRT , wonder why there are not being considered for the Klang Valley MRT project.

Or could this strong run up indicate something is cooking with KVMRT?

Strong 1st qtr results.Eps 7 sen.Just proposed rights issue of warrants.

Volume also shot up.Already bought some .Looks good this one.