Its being manipulated. Other manufacturer that import raw material their share price also don't drop that much. Slowly push up and a big dive. Anyway its still very under-valued compare to others like SCGM, TOMYPAK, SLP
The raw material price i tracked for Q3 up by approximately 3.1% comparer to previous quarter. I think will have some minor impact to the gross profit margin. However, i also expect more contribution in term of volume from new blown lines plus 2nd unit of 33 layer nano machine with better margin in Q3.
All in, i think up coming result should not be bad..but will not be outstanding either.
For the third quarter ended 30 September 2017, the Group has continued its double digit growth trend in its sales. The group commissioned its second nano layer stretch film line and its 8th PVC food wrap line during the current quarter. With the additional capacity coming on stream in the final quarter of 2017, the Group is optimistic to continue its upward trend in sales volume and profitability. Barring any unforeseen circumstances, the Group is confident of its continuous growth and contributions from all its business units.
I believe Tguan should deserve a higher Price earnings ratio. TGuan has failed to convince the public/investors for better rating due to various reasons: 1. Family tightly controlled, including management and production and distribution. 2 Paid up capital is not more than 250 millions, 3. Foreigner fund managers are not keen to buy.
Most of the forumers' comments are not based on solid proofs. They are merely guess-work. Why not listen to Yistock whose report and research papers are worth while reading and put faith in them.
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....
lloydlim
3,980 posts
Posted by lloydlim > 2017-11-14 10:38 | Report Abuse
Worrying about increasing of raw material cost, same trend with geshen!