We r not gambler, kita tak main tikam. We r mid to long term investors into good fundamental company with guaranteed orders for years, confirmed future expansion plans n cash rich. Even big big tai gor keep accummulating ES shares aggressively. Kita tunggu apa lagi
Believe Dato Karim n his group value the niche technology, expertise n knowledge ES is having. Stil hv ample rooms for injecting other new businesses into ES since hand formers manufacturing is on track oledi. ES wil be diversifying into other manufacturing n businesses in near future, beside the core business hand formers.
Til now no one or new company wantedto invest in hand former manufacturing. It is simply because of the niche technology, expertise n knowledge that are not easily to imitate n duplicate
@Allenlee Correct .. Ah pig ah dog can build glove factory .. until now still nobody start a ceramic hand formers factory yet :)
Posted by Allenlee > Feb 21, 2021 1:06 PM | Report Abuse
Til now no one or new company wantedto invest in hand former manufacturing. It is simply because of the niche technology, expertise n knowledge that are not easily to imitate n duplicate
ESCERAM FAQ 1.if glove demand continue increasing Esceram earning will also go up 2.if glove ASP go down will it affect Esceram? The answer is NO, it will not affect Esceram earning 3.Glove material cost increase will it affect Esceram? The answer is NO, it will not affect Esceram earning 4.Glove factory close down due to covid will it affect Esceram? The answer NO 5. If glove oversupply in the future will it affect Esceram? The answer is NO 6. If more new glovemaker in the market how will it affect Esceram? Esceram earning will go up , now we have Mahsing,AT,Karex,Inix and many more companies diversifying into glove 7.Existing glove maker expanding more production line how will it affect Esceram? Esceram earning will go up 8. Glovemaker operation full 24hour shift how will it affect Esceram? Esceram earning will go up 9. Malaysia Ringgit strengthening against USD how will it affect Esceram? Esceram will not be affected
As you can see negative things that can have negative affect on glove does not affect Esceram earnings whereas positive thing that can have positive impact on glove will also give benefit to Esceram
Conclusion Esceram is a very good investment for long term as it will benefit from Glove supernormal profit but it the future 4-5 years later when ASP go down esceram wont have any negative impact as there would still be more glove factories opening or expanding in line with the normal market growth for glove
WILL GLOVE ASP go back to pre-covid level after ASP normalize?
Answer is NO. the depletion of the old stock piling will take years of massive buying to recover, more and more less advanced country like Brazil,India making glove usage mandatory in hospital, more demands from other sector for glove due to new normal compliances.
Previously glove maker has been struggling to make profit due to thin margin, now with ASP normalize at many times higher than pre-covid level, more companies will diversify and venture into glove thus making Esceram very very busy for many years to come
Now all glove maker are CASH RICH, even our neighbor Sri Trang order from Esceram to expand their glove production lines. What glove companies with their milions and billions of cash? Of course they will expand their line to be more competitive and achieve better economic of scales
All the superb cash rich glove makers are expanding production lines but . . . . . Why are they not investing in ceramic hand formers ? The answer is simple. Sendiri fikir
Now all glove maker are CASH RICH, even our neighbor Sri Trang order from Esceram to expand their glove production lines. What glove companies with their milions and billions of cash? Of course they will expand their line to be more competitive and achieve better economic of scales
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anzhsb
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Posted by anzhsb > 2021-02-21 00:28 | Report Abuse
I enter the market at 430 for the warrant !
I will not sell the warrant if a king cobra biting at me :)
see you all at 3.50 !