With absent of RM 80m one of impairement loss incur in previous Q2, the next upcoming Q3 should deliver additional 1sen on top of Q2 EPS. In additional, USD profit is strengthen further by another 5% in Q3 if compared to Q2. Therefore, next Q3 should deliever up to EPS = 4.5sen
KUALA LUMPUR: The FBM KLCI jumped 1.6% while volume across Bursa Malaysia exceeded 2.7 billion shares amid certainty on Malaysia's 15th general election (GE15) timing.
The Election Commission announced earlier that GE15's polling date will be on Nov 19, with early voting set for Nov 15 while the nomination date is on Nov 5.
At 5pm, the market barometer jumped 22.62 points, or 1.6% to 1,437.72, its intraday high.
In the broader market, gainers outnumbered laggards 493-to-365. Activities were encouraging with 2.7 billion shares worth RM2.6bil changed hands.
Dealers said the local bourse is moving ahead strongly as GE15’s date is now certain.
Among the gainers on Bursa Malaysia, Hextar Technologies jumped RM2 to RM9.10, Nestle rose RM1.30 to RM134, Heineken added 78 sen to RM23.68 and Carlsberg gained 64 sen to RM22.84.
Malaysian Pacific Industries tumbled RM1.08 to RM25.16, Dutch Lady shed 74 sen to RM30.56, British American Tobacco lost 28 sen to RM10 and Ayer declined 25 sen to RM5.95.
From the middle of June until the end of last month, crude was in a sustained downward trend that saw WTI futures drop 38% from a June 14th high of 123.68 to a September 26th low of 76.25. That move was not in a straight line, of course, and contained at least half a dozen retracements that looked promising at times, but ultimately turned out to be bear market rallies, consolidation-type moves that set up for more selling quite quickly. I have stayed bearish during that time, but over the last few days, my long-term base case has shifted. When CL started to bounce off that September low, most were suspicious, given how many false dawns we had already witnessed. Now, however, a month after that low was hit, this is starting to look like a sustainable rally, both on the chart and in terms of the fundamentals.
From a chart perspective, this looks more like a reversal than just another retracement. After climbing off the low, CL did retrace a little, but over the last few days has bounced back again. That would indicate that an actual low has been formed and if we continue higher and break above 93.64, we will be in the third wave of a bullish Elliott pattern. There is still some way to go to get there, but it looks more likely now than a drop back to $76, not least because the economic outlook had changed.
The change is actually quite subtle, but it improves the outlook for oil demand considerably.
As Q3 earnings have come in, a pattern is emerging. Most of the bad earnings reports, with top and bottom-line misses and lowered guidance, have come in the areas of tech, and business-to-business companies. The disastrous META earnings this morning would be a case in point. Meanwhile, consumer-oriented and manufacturing businesses have actually faired quite well. Companies like Coca-Cola (KO) and GM (GM) did relatively well in Q3 and in many cases have actually raised their Q4 outlooks. That indicates that businesses have been cutting back in anticipation of a recession, but that recession hasn’t really come because consumers are still spending.
That is a good sign for oil, demand for which is far more sensitive to consumer activity than it is to software or online ad sales, but it also increases the chances of a “soft landing” for at least the US, and maybe even for the global economy. US GDP rose 2.6% last quarter after two consecutive quarters of declines. That might be seen as increasing the risk of even more drastic tightening by the Fed, but there have also been recent signs that price increases are moderating. That would increase the chances of them easing up a bit and maybe pausing hikes until the impact of the hikes so far is known. Over the last week or so, the bond market has begun to see that as a distinct possibility, with yields coming off their highs and the inverted yield curve flattening out somewhat.
So, it is possible, likely even according to the data, that the economy will not crash before the Fed stops squeezing, and that there will be only a quite small slowdown with what weakness there is concentrated in areas of the economy that are not important in terms of oil demand. Given that the drop has really been about demand, that is a huge change in fundamental conditions, which is why, over the last few days, I have swung from bear to bull.
So, if we go back to the chart, where would we be headed in a bull market? The first target would be a break above the October 10th high of $93.64. As I said that would confirm this move up as the third wave in an Elliott pattern and if that happens, then Elliott theory says we would go up above $100 before retracing again in wave four, then push back up above the third wave high in wave five. All of that looks far more likely now than it did just a few days ago, so I for one will be trading with a long-term long bias until things change again.
I have been with this counter for a few years. I learnt 2 things...
1. It never fails to disappoint, and all upswings inevitable fizzle, dropping below fair value 2. It is pointless to try to convince investors that Armada is NOT related to oil price. If investors believe it is, then so should it be.
Let's hope for a surprise though. Russia is on our side. They paid for the ships, employed the construction vessels, and now they attack oil price ceilings. Let us hope they succeed.
top up more at 0.410 to average down...we are hardcore Fans.. We believe Armada is going to soar soon, just like Hibiscus. add more into this counter. Showhand.
How could we have missed it ... it is MAJOR NEWS !!! Shapoorji Pallonji’s FPSO Armada Sterling-V Achieves Sail-Away Readiness By Saur News Bureau/ Update... India’s sole specialist in Floating Production Storage and Offloading Units (FPSOs), Shapoorji Pallo...
Full text here so that web crawlers and bots can catch the news ... nice.
Shapoorji Pallonji Oil & Gas Pvt Ltd (SP O&G), a specialist in Floating Production Storage and Offloading Units (FPSOs) has achieved a significant milestone of sail-away readiness for its FPSO Armada Sterling V at Sembcorp Shipyard in Singapore. The FPSO is owned by SP O&G’s 70:30 joint venture with Malaysia’s Bumi Armada group. This is Shapoorji Pallonji’s fourth FPSO and its third FPSO for Indian waters.
FPSO Armada Sterling V will be deployed in Cluster 2 of ONGC’s KG 98/2 block in the east coast of India, which is ONGC’s first deep-water development. ONGC is investing over US $5 billion on this development, which includes an FPSO, a process platform and other facilities. The overall production of Cluster 2 is expected to peak at ~16.5 million standard cubic metres per day of gas and 78,000 barrels per day of crude oil, with the potential to reduce India’s annual import bill by $4.5 billion. At this crucial time, ONGC’s committed efforts to the project’s success will ensure India’s energy security. The project has provided valuable deep-water experience to ONGC and will give it enormous confidence to pursue challenging ultra-deepwater developments in India’s east coast.
Ravi Shankar, CEO & Director of SP O&G, said, “In the next decade, the world will need an additional 40 FPSOs, at least 20 Floating Storage and Regasification Units (FSRUs), and 10 Floating Liquified Natural Gas units (FLNGs). We are well-positioned to deliver large projects efficiently with state-of-the-art in-house engineering, project management teams and operations & maintenance capabilities. We have the advantage of India’s high-quality talent pool for the offshore industry. The capabilities we have developed will gradually enable Indian shipyards and fabrication entities to transition from conventional shipbuilding to handling technologically advanced vessels.”
The FPSO features 13 modules and central pipe racks weighing over 20,000 tonnes, with a processing capacity of ~60,000 of barrels per day of liquids and 3 million standard cubic metres per day of gas. It will be the largest ‘floater’ in Indian waters, measuring 321 metres in length and 60 metres in width, with a storage capacity of over 800,000 barrels.
Armada Sterling V is designed for continuous operations up to maximum wave heights of over 27 metres. It is engineered and delivered by a team of Indian engineers and project personnel. It is equipped with state-of-the-art technologies, including artificial intelligence and machine learning aspects, radar-controlled oil slick monitoring technologies and remote monitoring.
Ankit Garg, President – Projects of SP O&G, said, “We are working towards leveraging the enormous potential of Artificial Intelligence. We equip our FPSOs with AI solutions that allow us to better plan maintenance, thereby ensuring continuous oil and gas production.”
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....
Heungheungloveyou
41 posts
Posted by Heungheungloveyou > 2022-10-19 15:10 | Report Abuse
a typical old man stock, only down no up, not a stock for investment