@ Jay yea so true :) ppl got excited especially those looking for short term gain, but those have already hold it for years one are happy too, but not that excited as some ppl
I had mentioned wrongly 2.22 for Ron95 with a rise of 9 cents earlier using 2.13. I should have mentioned 2.25 with a rise of 9 cents on 2.16.
I think the basis i had used is correct...it should be pretty easy to predict the fuel price now going forward..
All Petron has to do now is purchase their feed stock (both crude and externally sourced refined oil) in weekly batches as per the weekly pricing of MOPS....
This way their gross profit margin will approach the theoretical steady state gross profit margin.
I cant see a company with such a 'certainty on the gross profit margin' going forward and selling this cheap.
Patron Corp is trading with PE 15 currently , where the company pay less dividend & having higher debts compare to Petron Malaysia. Both organisations are running exactly the same form of business, except Petron Corp in bigger scale & with more advance refinery facility. It is matter of time Petron Malaysia get the re-rating once the income is stable down.
infact i also forgot...this means consumers will get numbed by the price fluctuation...and they cant be bothered to consider these info for selecting the petrol station to fill up.
looks like a very successful strategy by the government.
Personally I think the prices will remain the same for Ron 95 & Ron 97, whereas Diesel might drop couple of cents (lower refinery margin for Diesel lately).
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....
LowProfile
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Posted by LowProfile > 2017-04-12 14:59 | Report Abuse
@ Jay yea so true :) ppl got excited especially those looking for short term gain, but those have already hold it for years one are happy too, but not that excited as some ppl