If you buy petron and think can make lots of quick profits overnight, then this counter is not for you. This is a good stock for long term investment. Rm20 is possible in a superbull market and when there are institutions buying it up. It's a stock worth "investing" in. If you want traders overnight profits then go play those cheh kgai stocks like Jags, dayang, talam etc...haha. Kikiki
There are two kinds of government price controlled industries in Malaysia.
One, is like chicken, egg, sugar, mutton, beef, pork, small red onions, flour etc
Second is like retail petrol price, power plants (especially solar), water concession, highway concession etc
What is the difference in economic reality between these industries?
I really said too much d. This is more than enough if you're very curious.
======== I can't answer your question properly, as i like this company at this price very much for myself and my investors.
Its not in my interest to potentially increase my purchase cost by explaining to others on a public forum. Its already up 5% this year, and it had just cost me an additional few thousand this year when i buy more.
However, i wrote something on the economics of refinery business.
I believe the above two articles, as well as a brief study on husky energy and other petrol retailing or refinery companies around the world, will provide you an answer.
Email me once you've finished your research. We can talk further then.
===== johnbrooks Choivo, why do you say the refinery margin is not important? Shouldn't it be the most important thing for the company's profit? I mean the refinery margin is what determine the gross profit margin right?
The way u say it, u think that the profit won't be affected even if the refinery margins go down. I'm not saying the retail business is not important but the biggest weight to the company profit should still be the refinery profit. 13/01/2019 15:11 14/01/2019 11:19
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RainT so what is the main money maker for PETRONM?
some very good counters in my portfolio also loss 20-40% since last year...i accumulate petronM last few weeks to add in my portfolio...n now feels good:)
Please do .... I think the last point is going to be quite important as I don’t see much catalyst for further growth in the economy nowadays. Debt is at an all time high across household in both the US and China
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....
chshzhd
1,908 posts
Posted by chshzhd > 2019-02-13 17:53 | Report Abuse
ofcourse refining n marketing..