In theory 0.80shoukd be possible assuming 25 to 30 milions ringgit in net profit after tax per quarter shows (27.5x4×1 000 000)×8/1 120 000 000 = TP RM0.785. Using PE 8.
“The likelihood of retaliation by their biggest single market, China, elevates this from an irritant to potentially disastrous, if not catastrophic,” said Richard Aboulafia, vice president of analysis at Teal Group Corporation, a consulting firm in Fairfax, Va. “A trade war is the simplest way to cut off this fantastic growth they have enjoyed.”
This wasn't the case last year when first hy dropped from 19 to 16 in a day, huaan still in green position with +0.35 I remember very clearly. 2018 Jan is a different game at all.
Jan to 14 March 2018 coking coal price is between rmb1300 to rmb1400, with last price at rmb1301. (In fact March is cheaper than Feb and Jan) - this contributes to cost of sales of Huaan. Read the quarterly report.
Jan to 14 March 2018 metallurgical coke price is fairly stable at rmb2220, with last price at rmb2220. - this contributes to Sales numbers.
I don't see how Huaan will not be reporting another strong quarter. The raw material price has not increased significantly while the selling price for metallurgical coke has not come down at all. There is no impact whatsoever from Trump tariffs. Purely panic selling on Huaan. Because steel price drop? No correlation to Huaan business at all. Decide yourself whether you want to lose your money by panicking.
Speak with facts rahsia pelabur, fahmi, hohong, etc
Now I felt what Betta68 said all this while is true. Think Betta68 will be multi millionaire soon for holding on to Huaan and getting cheap sale from panic sellers.
During this quarter under review, the average coke price was approximately RMB2,019 per tonne and the total cumulative sales volume stood at approximately 215,000 tonnes. Contribution from the by-products was accounted for approximately 15% of the total revenue of the Group during the quarter under review. The Group has recorded a cost of sales amounting to approximately RM246.7 million during the current quarter under review with the average coal price recorded at approximately RMB1,317 per tonne. Following therefrom, the Group recorded a gross profit of approximately RM30.0 million in the current quarter under review.
AVERAGE COKE PRICE IN MARCH 2018 - RMB2220
AVERAGE COAL PRICE IN MARCH 2018 - RMB1,301
IN FACT, EVEN BETTER MARGINS IN THE COMING QUARTER THAN PREVIOUS QUARTER.
Ignore Dow, as it related to USA CPI index, focus on Huaan fundamental and make your decision. I still recommend a strong buy at this level. Share is undervalue. Huaan quarter should be excelent again. In 2017, China total steel cut was about 80 milion tons, Huaan Met coke and by product production has actualy increased instead. This year more steel is required fir China defence budget that has increased by 8.1% comparing to last year. Buy Huaan and keep.
Every day, Opperator dumping every morning about 5000 lot at cheap, hopping to trap weak investors to sell, then opperator collect 150000 lot at low and sell back the first 5000 with 1c higher during the same day, and use the profit for next day dumping, like this he get your share cheap, make some money, and collect more and more..got it. How more panic he creat how more collection he got. Opperator have the upperhand here, as he is aiming to collect at least 400 milion shares,, he is almost there,,,keep watching...this is how i think it happening..
Facts & figures tell you to buy early when it is low and keep until the value unlocks. The trust always only comes when the real numbers are out. When the trust comes, it's time to sell to them who come and buy late.
Huaan business is simple, he produce met coke and by product, his business is transparent and could be evaluated based on current or future raw material cost and sale product price..steel demand in China remain solid and therefor Huaan business should be solid..i have faith in Huaan. Top up.
And yes.. betta said it right on the operators 'dumping' so that people start to panic and sell to them. U just wait and see..keep dumping... no use talking how good huaan is. Facts & figures don't lie.
Average Coke Price (contributes to Sales) Jan 2018 RMB1,997 to RMB2,293 Feb 2018 RMB2,079 Mar 2018 (up to 14th) RMB2,200
Average Coal Price (contributes to Cost of Sales) - raw materials Jan 2018 RMB1,300 to RMB1,511 Feb 2018 RMB1,301 to RMB1,400 Mar 2018 (up to 14th) RMB1,301
How to go down more? Do u think the selling down is justified? Do u think any relation with Dow index?
How not to have excellent results for coming quarter? Sell for what? Give angpow to operators?
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....
wks8732
242 posts
Posted by wks8732 > 2018-03-14 19:38 | Report Abuse
Tomorrow HUAAN counters sure in green colour lol... Huat ah........