optimus9199, RM4.08 / 1.25 = RM3.264. From 28/8/2017 until now, the lowest price is RM3.30 & there were no dividend paid during the 3 months period. Could you enlighten me how you earn that 25%?
Should attract institution investors' attention for their year-end portfolio reshuffle after getting coverage from major financial news portal i.e TheEdge on 5 Dec 2017
Tong Herr: - par value - rm 1.00 - share capital = rm 157.4 mil - retained earnings = rm 240mil - cash = rm 143mil - borrowings = rm 136.7 mil - no. of shares = 157.4mil ----> company can afford a bonus issue of 1:1 or split ( without incurring any costs)
it will be last quarter of FY17, it will declare dividend, jt the matter of how many and it need shareholder to approve in AGM for final dividend. special dividend or bonus issue will be good for shareholder. :)
Tongher BoD always has this prudence habit (but confusing in term of timing) of announcing final dividend in Q1 next FY i.e. end Apr from record of prior years.
I noticed in Q3FY17 Tongher recorded -ve RM74.5mil of changes in working capital mainly due of higher inventories (from RM225 mil in Q2 to RM290 mil in Q3). In the back drop of growing sales, unlikely this was due to unsold goods. My guess is Tongher stock up input raw materials in anticipating of rising commodity price. If this was right, the bulk purchase of raw material timing was indeed executed so well and once again prove the strong business acumen of Tongher management team. With current nickel and aluminum price hitting multi-year high, Tongher will stand to gain higher profit margin in coming quarters.
Biker2b's comment is very correct and Tongher 's share price has spiked up probably insiders are busy buying before the release of its 4QR. I also believe coming QR will be good, and we may get good dividend as well.
Previous mediocre financial results were caused by loss making Vietnam JV. Tongher management should reward its shareholders (in the form of share buyback or special dividend) with proceeds recovered from disposing this JV to compensate lackluster share performance for the last few years.
Unlikely to see panic selling in this company. Speculators and opportunists jumped ship long before Tongher bounced from multi-year low. Those still aboard are long term investors and fundamentalist that understand true value. Expect valuation revision and upgrade when Tongher reports its full year financial performance by end of this month.
Full year revenue ending Dec 31, 2017 still 21%higher than a year ago and net profit rose 27% YoY. External revenue expanded across geographic regions with strongest growth from Malaysia, Japan, US.
It comes a little surprise that the strengthening of ringgit has hurt their bottom-line despite the fact that imported stainless steel raw material could be cheaper owing to higher ringgit vis-à-vis dollar. Will other investment turn out to the game changer in the foreseeable future?
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....
Biker2b
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Posted by Biker2b > 2017-11-27 21:59 | Report Abuse
3,2,1 lift off...