The Group recorded an improved pre-tax profit of app RM16.5m on the back of higher revenue of RM343.1m for he current period. The pre-tax profit is 273% changes compared to the preceding year corresponding period.
Mplus analysts- With the reported earnings coming above our expectations, we raised our net profit forecast by 36.6% and 15.5% to RM19.1 mln and RM22.4 mln for 2018 and 2019 respectively, reflecting the rebound in the ASP of chicken eggs. Consequently, we maintain our BUY recommendation Teo Seng with a higher target price of RM1.05 (from RM0.90). We ascribed a target PER of 14.0x (unchanged) to its revised 2019 EPS of 7.4 sen. The ascribed target PER remains at a 25.0% discount to its peer average of 18.7x, due to its smaller market capitalisation.
In the strong downtrend and unable to break the uptrend channel as of now. If today cant closes at above the channel then we might see another round of retracement in near term.
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Expecting egg prices to remain strong till Feb which will take two quarters to fully reflect. Valuation is at trough level and price just crossed 200 SMA.
Fantastic result ! Congratulation. The insiders have been buying since early Feb and its stock price has gone up ~30% within less than one month. Will its stock price surge further tomorrow ? Let's see.
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....
Melvin Yeong Sen Ong
2 posts
Posted by Melvin Yeong Sen Ong > 2018-10-31 16:45 | Report Abuse
Seems like very less people trade for teoseng