1. Top glove revenue rose 37% due to higher sales volume (+25%) and ASP (+5%). Correspondingly, PBT margin improved by a massive 14.4ppt to 25% compared to 10.6% in 2QFY20 due to higher ASP which theoretically flow straight down to bottom-line. Top glove latest financial ending May only manage to record 5% hike in ASP, already can record more than double profit.
More boom profit will record in next Q result after record current ASP hike 20%, more than triple increase in EPS in next Q result as all increase in ASP direct go to increase net profit margin.
2. Comfort financial year ending April still yet to record impact on ASP which only took effect begin May. But, just through increase sale volume, productivity already can record double profit. Next Q result will record full impact ASP on profit. But, as small OEM, the ASP could be 10%, therefore, next Q result EPS 5 sen
3. Supermax financial ending Mar, only manage to record least impact of surge in sale demand, but able to capture small ASP due to it have own distribution division. The full impact on ASP in OEM factory price hike 20% + OBM distributors 100-150% hike will only able to record in next Q result. As ASP hike direct go to bottom line, Expect Superman to deliver quadruple EPS 20sen in next Q result.
Northcape, an Australia-headquartered asset manager that has been investing in the shares of glove makers for more than a decade, bought more glove-makers’ shares early this year “when signs emerged that Covid-19 would become a global pandemic,” Cameron said.
According to his calculations, Top Glove will generate average earnings growth of more than 100% for each of the next two years while Hartalega will also deliver “exceptionally strong” earnings growth as personal protective equipment purchases increase globally.
Some glove makers have “an order backlog all the way out to June 2021,” compared with one month before the pandemic, he said. The discovery of a vaccine to prevent Covid-19 disease will also help keep demand elevated because “glove companies and some experts have noted that the ”widespread administering of a vaccine will actually result in a further spike in glove demand, he added.
Important Remark: widespread administering of a vaccine will actually result in a further spike in glove demand,
You did a very good homework and a very good analysis and comparison among the big 2 and a younger and beautiful comfort which most iinvestment bankers have not done it but may be pushing down the share for the past 5 days so that they can buy cheaper shares. EPS growth and PE are the most crucial to value a company and definitely this young boy is undervalued compared to the big 2 men which all the investment bankers have made very good comments.
Good write up. One of the reason becoz tg is 2.5 mths in to covid period,comfort 1.5 mth and supermax onky 2 wks into covid period.somemore is at lockdown period during march. And supermax 2wks in to covid period while lock down still can get 2x profit margin increase 9 to15.
Other members also buying valuable stocks but not behave like this iddiot spammer
We all feel ridiculous nonstop posting nonstop promoting
As I said earlier, if you so confidence to wait and if you so confidence what you invest why everyday need to promote, why everyday put up so many blog, why everyday go different stocks forum keep on promoting your palm oil stocks?
This is very obvious you want to cash out your share bought and treat other members as waterfish.
In the real world, no free lunch to people unless you want to take advantage from others
I don't know why 3iii administrator didn't take any action to suspend this iddiot account to avoid further keep on spamming everyday and every way
I pegging administrator need to take proper action against this spammer
New IPO: The onshore and offshore support services provider for the O&G industry, Steel Hawk Bhd aims to list on the Ace Market!
MQ Trader 3154 views | 3 d ago
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New IPO: The largest mini-market player and a leading groceries retailer in Malaysia, 99 Speed Mart Retail Holdings Bhd aims to list on the Main Market!
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
sensonic
690 posts
Posted by sensonic > 2020-06-12 23:08 | Report Abuse
SIFU CALVIN, GOOD ANALYSIS. RESPECT