Posted by yanxuan8 > 2018-11-02 08:35 | Report Abuse

Two thinly traded counters.... don't be trapped!

Posted by enid888 > 2018-11-02 23:19 | Report Abuse

As expected, there are many incentives given to affordable housing ownership in this 2019 budget. The stamp duties of the first RM300k is waived for first time purchasers of residential houses below RM500k.

Posted by enid888 > 2018-11-02 23:26 | Report Abuse

@yanxuan8, MKH is a steady growth counter with good management. It has continuously making quarterly profits without fail since its listing in 1997, 21 years ago. Not a single quarterly loss was incurred.

Posted by trulyinvest > 2018-11-06 19:26 | Report Abuse

Mkh stil down after budget....

Posted by enid888 > 2018-11-06 21:49 | Report Abuse

@chlai87

i) You are right, the price of HRC fluctuates. As pipe manufacturing is in a very competitive market, the few manufacturers also will adjust their price according to the raw material price, sometimes weekly. So, normally the manufacturer like Engtex will get quite consistent profit margin.

ii) ERW is just another way to make pipes. Spiral welded pipes are manufactured with physical welding at the joint. ERW is just using electric heating to bond the joint. At the end, the end products are pipes that are quite identical.

Posted by enid888 > 2018-11-06 21:53 | Report Abuse

@trulyinvest, my recommendation is for short to medium term (1 to 3 years).

Posted by enid888 > 2018-11-07 00:23 | Report Abuse

ERW pipes is just normal mild steel pipes or normal steel pipes. They can last for about 25 to 30 years.
For underground water pipes, ductile iron pipes are used because they can last for more than 100 years in normal soil condition.

Posted by enid888 > 2018-11-18 19:35 | Report Abuse

As long as there is no sudden big fluctuations in hot rolled coil price, pipe manufacturers should be quite neutral in profit margin.