during lockdown eggs is in huge demand.. u see many buying eggs ... and also teoseng continue to operate during lockdown as its essential services.. so go for these company where there is no impact , and in fact more demand for their products..
M+ research has a buy recommendation on Teo Seng with an unchanged higher target price of RM1.65. Base on target PER of 8.0x to its 2020 EPS of 20.6 sen.
Many people continue to buy and consumer eggs before and after the MCO..you can see in tesco, giant or other hypermarket the eggs are sometimes fully bought from the shelves..
Eggs is a good and cheap source of protein and now since ppl make their own breakfast at home more eggs will be consumed.
eggs demands also traditional increase during festival like hari raya etc...
the good thing is company continue as usual during MCO and so their business is not much affected as compare to some other industry...
The price stable and break 1.125, now see whether can break 1.25. If break 1.25, then expect for 1.425. And the quarter report going to out this month end. For covid 19 egg always out of stock. Steady for the boom :)
guys run before too late. Previously i also look good on eggs seller as it is essential goods, however the result already proved that the covid-19 really hurt the demand of egg this time, reason being closure of a lot restaurants and director also said that financial performance for the remaining 9 months is still challenging due to the uncertainty in the market. Mark my word it will go back to 0.700 price level soon. Run...
Teoseng poultry farming and is one of the largest egg producers in Malaysia and export more than 60% of eggs to HK and SG,.. and Malaysia is one of the WORLD top 5 fresh eggs exporter. http://www.worldstopexports.com/fresh-eggs-exporters-by-country/ . estimate produce about 3 to 5 millions eggs per day. if per egg nett earn RM 0.10 . nett profit per quarter 25m to 30m + FX gain from foreign currency is just the matter of time. Egg is one of cheapest source of protein.. i think is worth to invest, it's just the matter of time maybe next 2 quarter NP back 25m to 30m.
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Hush77
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Posted by Hush77 > 2020-05-05 14:48 | Report Abuse
during lockdown eggs is in huge demand..
u see many buying eggs ...
and also teoseng continue to operate during lockdown as its essential services..
so go for these company where there is no impact , and in fact more demand for their products..