THE ONLY CONCERN IS THE PRODUCTION COST OF THE MSC going forward although the Tin price is high. need to look at there depreciation cost going forward.
No hold the stock msc talk ownself balls song song Let it be la
We hold msc see the price go up and down we long term holders see already also like that If going up we song song If going down it is just another day Cheers msc holders
There got explain tin smelting segment and tin mining one..pls note that they going to smelt tin intermediate in second half of this year..hehe..and the reason why tin smelting segment why have operational lost in last 2 quaters.. coming quaters will definitely better la..
This companies do not mine their iron ore. they need to buy at high price to produce their finished products. contract job get quoted at old price, now must buy at high price . how much profit can they make.
@chopstick this was already discussed awhile back. MSC mining of their own tin ore only accounts for ~10% of their total output. Management has said they are trying to find new tin via exploration etc to mine more but I assume this will be very limited. After >100 years of mining activity most places highly depleted (I could be totally wrong). Therefore, tin smelting division only brings marginal income. With limited tin mining (of total) of their own mines, it will also limit the profits due to higher tin prices.
Since the revenue contribution from tin products for Yunnan Tin Group fell recently, I decided to focus comparing MSC to PTTimah. PTTimah is a largely state-owned enterprise from Indonesia and they are more focused on upstream activities in contrast to MSC's focus on midstream and downstream activity. Despite higher interest rate in Indonesia than Malaysia, PTTimah is getting a more generous valuation on its multiples despite MSC having a stronger growth prospect currently due to all the effort in place. Assuming MSC gets the same EV / EBIT multiple PTTimah is getting, that represents a price of RM5.50. CFFO is used instead of FCFF to determine cash yield because of the volatility in capital expenditure for this industry as a whole. If we compare using the cash yield, MSC at PTTimah's valuation must be at least RM4.70.
Miners are returning more money to investors, analysts and executives say, after overspending on projects and acquisitions during that last run, which lasted for a decade. Investors then deserted the sector, some miners went bankrupt, and many chief executives lost their jobs.
“Investors remain very conscious the last bear cycle was driven by an overbuild of new capacity,” says Robert Crayfourd, who invests in miners at London-based fund CQS New City Investment Managers. “The point is here, that maybe they are being too cautious.”
Some miners admit there isn’t enough cash being spent on new projects.
Tin is expected to be on the downward trend going forward as more miners increase production in Europe, supported by strong demand for the metal and in line with the rally on the London Metal Exchange (LME), said a dealer. “The LME market has been on an upward momentum, breaching the US$30,000-per-tonne level this week,” he told Bernama. There’s another thing that’s become permanently associated with the commodity since the start of 2021: prices north of $20,000 a tonne. He said the metal’s price will likely hover around US$24,500 to USD$31,500 per tonne. The London Metal Exchange hit 10-year highs of almost $30,243 a tonne on May 6, after starting this year at $20,315. That has made it the outperformer of the LME base metals pack, with a gain of 48% on the year. Tin making a double top and a possible revisit to $22,000 over an extended period. The local tin price closed at US$30,850 per tonne yesterday, with buying support from Japan, Taiwan, Korea, Europe, Pakistan and Bangladesh. There is evidently a small steady supply of tin available in Asia thanks to a hub of producers in Malaysia, Thailand and Indonesia, but it is largely stuck there due to ongoing disruption in the container shipping market. China became a net exporter of tin in the last couple of months as it stepped up to supply the world’s .
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....
fruitcake
887 posts
Posted by fruitcake > 2021-05-17 10:26 | Report Abuse
tin kosong besar.