Posted by Armada An Quantum Leap Stock In 2019/2020 > 2019-12-17 13:25 | Report Abuse

Good !
Macro is improving toward
Momentum regain for comfort.

0.770 buy & forget.

Posted by ks5S > 2019-12-17 14:36 | Report Abuse

Comfort Gloves Bhd - Still Going Strong

Author: MalaccaSecurities | Publish date: Tue, 17 Dec 2019, 11:36 AM
Results Review

Comfort Gloves Bhd‘s 3QFY20 net profit rose 4.9% Y.o.Y to RM7.4 mln, from RM7.1 mln a year ago, in-line with higher sales revenue, which grew 5.9% Y.o.Y to RM134.5 mln, from RM127.0 mln last year.

Subsequently, cumulative 9MFY20 also jumped 23.9% Y.o.Y to RM22.9 mln compared to RM18.5 mln earlier, while revenue increased 8.4% Y.o.Y to RM372.1 mln, from RM343.3 mln in 9MFY19.

The latest earnings were broadly in-line with our estimated net profit, although revenue outperformed our expectations and accounted for 81.2% of our previous estimated revenue of RM458.4 mln, mainly due to higher-than-expected ASPs.

Moving forward, we revised our FY20-FY21 revenue upwards by 10.5% and 12.1% to RM506.4 mln and RM538.1 mln respectively, on the back of stronger ASPs, while net profit estimates remains unchanged after some minor housekeeping in our margins, depreciation and net interest assumptions.

Prospects

Meanwhile, we expect Thailand’s largest gloves maker Sri Trang Gloves (STG) to continue its expansion activities, on the heels of its IPO debut on the Stock Exchange of Thailand by 3Q2020. We believe the group will expand its production capacity by about 20% to 30.0 bln gloves next year, from 25.0 bln in 2019. Although, the new capacity influx from STG could weigh on pricing dynamics, we think that increased competition could be limited to the latex segment for now as majority of STG’s sales are contributed from latex gloves (about 67% of total sales). To recap, CGB derived close to 85% of its revenue from synthetic premium specialty gloves in FY18, thus we also see limited negative impact to CGB from the aforementioned issue. On the upside, we expect increased market share from the U.S. markets after Washington’s tariffs hit China-made medical rubber gloves from 1st September, 2019. Increased sales, however, could be slightly capped by stronger price competition in Europe on potential trade diversion. Moving forward, CGB’s earnings growth is expected to be driven by higher sales volumes, improved margins and cost efficiency.
Valuation and Recommendation

We maintain our BUY recommendation on CGB with an unchanged target price of RM0.95 by ascribing to a target PER of 17.0x to CGB’s FY20 EPS of 5.6 sen, as we continue to believe in its solid revenue growth and earnings recovery prospects, after overcoming the FDA issue last year. The ascribed target PER remains at a discount to the PER of industry bellwethers like Hartalega Holdings Bhd and Top Glove Corporation Bhd due to CGB’s smaller market capitalisation and capacity. Potential downside risks to our call include labour abuse allegations, unexpected fluctuations in latex prices and forex movements.

Source: Mplus Research - 17 Dec 2019

Posted by Ncm88 > 2019-12-17 16:58 | Report Abuse

Sad lo this useless stock

Posted by Ncm88 > 2019-12-17 18:22 | Report Abuse

Useless piece of stock by KS55

Posted by ks5S > 2019-12-18 08:01 | Report Abuse

this ncm is hyperactive guy. Always looking for short-term spike excitement.
this comfort is a long-term growing stock based on good fundamental. Not the type for excitement like ncm,

Posted by ks5S > 2019-12-18 09:11 | Report Abuse

ncm... I need some motivation speech from u

Posted by ks5S > 2019-12-18 09:11 | Report Abuse

pls shout useless so that comfort can go up

Posted by ks5S > 2019-12-18 09:11 | Report Abuse

Mr useless ncm

Posted by ks5S > 2019-12-18 10:30 | Report Abuse

this comfort very useless one.

Posted by Ncm88 > 2019-12-18 11:27 | Report Abuse

Aiyo who ask u keep step Ecoworld lo. That 1 is ks55 , u ks5s, i see ks55 or ks5s sama sama shoot

Posted by Armada An Quantum Leap Stock In 2019/2020 > 2019-12-18 12:00 | Report Abuse

I'm happi if comfort up by $0.01 everyday :)

Posted by Armada An Quantum Leap Stock In 2019/2020 > 2019-12-18 12:00 | Report Abuse

Gradually vol. Is better than highly excessive one.

Posted by ks5S > 2019-12-18 14:05 | Report Abuse

anytime can cross 0.80 .

Posted by ks5S > 2019-12-18 16:24 | Report Abuse

useless piece of stock by ks5s..... hahahah

Posted by ks5S > 2019-12-18 16:25 | Report Abuse

who is useless now ? hahahha

Posted by joyvest > 2019-12-18 16:30 | Report Abuse

are we comfortable to use gloves ?

Posted by joyvest > 2019-12-18 16:35 | Report Abuse

all the way up

Posted by ks5S > 2019-12-18 16:35 | Report Abuse

next target 90 cents

Posted by ks5S > 2019-12-18 16:36 | Report Abuse

comfort awakening

Posted by Ncm88 > 2019-12-18 17:08 | Report Abuse

Acually that day i bought 0.755 ahahahhaha if not i wont show up here also

Posted by joyvest > 2019-12-18 17:13 | Report Abuse

show up whatever sticks out ...........its xmas time

Posted by laofuzi123 > 2019-12-18 17:25 | Report Abuse

+1 joined the party haha

Posted by joyvest > 2019-12-18 17:27 | Report Abuse

we wear gloves as xmas hats in our heads in the party

Posted by cooldownguy86 > 2019-12-18 17:38 | Report Abuse

Wait for me baby don't fly so fast

Posted by Ncm88 > 2019-12-18 18:08 | Report Abuse

Lets go, first resis 0.835 to break first. Then 0.9 we go

Posted by ks5S > 2019-12-19 11:45 | Report Abuse

no risk no gain. buy big gain big. sleep still sleep. no worry.

Posted by ks5S > 2019-12-19 11:53 | Report Abuse

now comfort still small
wait for bonus issue and epf come in

Posted by ks5S > 2019-12-19 11:54 | Report Abuse

then the price will make a huge jump

Posted by ks5S > 2019-12-19 11:55 | Report Abuse

the 35 acres land will give them a huge jump in profit

Posted by ks5S > 2019-12-19 11:56 | Report Abuse

this will create additional 24 mil profit per quarter

Posted by ks5S > 2019-12-19 11:57 | Report Abuse

mean total profit is 32 mil per quarter or 120 mil profit per year

Posted by joyvest > 2019-12-19 12:01 | Report Abuse

what the hell is going on ??

Posted by joyvest > 2019-12-19 12:03 | Report Abuse

comfort is not comfortable now ................

Posted by Armada An Quantum Leap Stock In 2019/2020 > 2019-12-19 12:16 | Report Abuse

Awaiting for Comfort s 2nd battalion to crack the wall of 0.830

Posted by Armada An Quantum Leap Stock In 2019/2020 > 2019-12-19 12:16 | Report Abuse

0.780 serve as the defence line.

Posted by joyvest > 2019-12-19 14:00 | Report Abuse

when it is fully developed , its going to past 5 xmas ........we have yet to past the 1st xmas

Posted by joyvest > 2019-12-23 14:18 | Report Abuse

what is the hell is going on ??

Posted by joyvest > 2019-12-26 11:42 | Report Abuse

RHB stands for Red Hot Babe

Posted by joyvest > 2019-12-26 16:09 | Report Abuse

down under ??

Posted by Zz7687 > 2019-12-26 16:58 | Report Abuse

down, must down. Else how to collect ...

Posted by joyvest > 2019-12-27 10:30 | Report Abuse

what the helll is going on ?

Posted by ks5S > 2019-12-27 10:50 | Report Abuse

drop a bit; sudah pengsan
hahaha... small fish always small fish

Posted by ks5S > 2019-12-27 11:41 | Report Abuse

later I call my fund manager to buy up

Posted by ks5S > 2019-12-28 13:32 | Report Abuse

https://www.youtube.com/watch?v=Q-g1i4A3EDk

comfort factory. Quite big, one of the building has solar roof. Really save energy cost.

Posted by ks5S > 2019-12-28 13:36 | Report Abuse

already started on-line packing process. Really save manpower cost.
really advance.

Posted by joyvest > 2019-12-30 14:33 | Report Abuse

why drop? any particular reason for the drop?

Posted by ks5S > 2020-01-01 13:03 | Report Abuse

HAPPY COMFORT YEAR

Posted by ks5S > 2020-01-05 20:03 | Report Abuse

China pneumonia outbreak getting serious.
glove sector start getting hot

Posted by ks5S > 2020-01-05 21:27 | Report Abuse

https://says.com/my/news/recent-outbreak-of-mysterious-respiratory-illness-in-china-puts-asia-on-high-alert

Posted by joyvest > 2020-01-06 11:03 | Report Abuse

are we comfortable with comfort ?? no comfort at all but pain since acquisition