Extract from last qtr results:- The automotive industry in Malaysia recorded a strong performance during the first nine months of 2023. As reported by the Malaysian Automotive Association (MAA), the total industry volume ("TIV") for the first nine months of 2023 stands at 571,767 units, which is an increase of 11.1% or 57,318 units compared to the same period last year. Based on the trajectory, the TIV for 2023 is expected to achieve the forecast of 725,000 units set by the MAA in July 2023. The upward momentum in the TIV is mainly supported by, among others, high level of backorder bookings, improvement in the automotive industry supply chain environment and new model launches. The Group is maintaining a cautiously optimistic outlook and expects orders to remain strong due to backorder bookings as well as the launch of new models during the year.
APM is a price taker. Proton n Peradua etc offer APM very low margin. When RM drop (or other cost up), APM have to absorb cost n suffer loss. Subsequently, APM will get price adjustment upward.
APM have a few Foreign technology JV partners where their products fetch higher margin.
And so, anchovies shall follow APM share price trend cautiously.
Posted by SS13 > 8 hours ago | Report Abuse
Extract from last qtr results:- The automotive industry in Malaysia recorded a strong performance during the first nine months of 2023. As reported by the Malaysian Automotive Association (MAA), the total industry volume ("TIV") for the first nine months of 2023 stands at 571,767 units, which is an increase of 11.1% or 57,318 units compared to the same period last year. Based on the trajectory, the TIV for 2023 is expected to achieve the forecast of 725,000 units set by the MAA in July 2023. The upward momentum in the TIV is mainly supported by, among others, high level of backorder bookings, improvement in the automotive industry supply chain environment and new model launches. The Group is maintaining a cautiously optimistic outlook and expects orders to remain strong due to backorder bookings as well as the launch of new models during the year.
@speakup I am not sure about the limited growth statement. regardless, I see price now is undervalue even without any further growth potential, maintaining it's business profitability at it's max capacity already can make it's price worth at least it's NTA at above RM6, which the company market price has been many years ago. This is not even considered that the company is now at much much better financial state compare to when the share price at Rm6 above during 2014.
I am not saying that the company will revisit RM6 price (not imposible though but still hard), but only stating it's supposed intrinsic value if the company can remain profitability let's say average of at least 8 EPS per QR and slight improve in dividend to at least 6% above
@speakup I know, I am not query for validity of the statement, instead I am stating that it doesn't matter much whether the statement is true or not, kindly read my explanation above, thank you
APM is leader of component OEM. Highly automated. More car sales, more components required. Just read the profit trend to make sure you are not leaving behind.
next QR is important to prove it's ability to generate good profit when cars demand is high anything similar (if not better) than current QR is anticipated
for my understanding.. next QR will be not as good as this QR, because this QR some profit is came from recovery of tooling cost, it is one gain if not mistaken..
but i still hold this stock since 2.3 till now... plan to avg up before this QR release.. betting PB will back to normal and maybe a surprise special div will be given!
autoparts, regardless which part seems to have announced better QR so far due to improved automotive sector of our country. HIL & NOTION are few of the examples
Believe APM is going to release another set of sterling result in next few days. Traditionally more car sold prior to Chinese New Year, and this year is special, it covers Hari Raya as well.
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Posted by speakup > 2024-01-06 13:44 | Report Abuse
i was at Icap investor meeting last year, attended the talk by APM CEO. he said limited growth wor