Posted by gankm > 2024-01-17 15:11 | Report Abuse

If we talk about the share price, LHI performance is the worst compare to others like CAB & CCK. What a shame calling yourself largest fully integrated producers of poultry.

Posted by xiaoeh > 2024-01-17 15:16 | Report Abuse

look like free fall to recently low 0.45-0.48 level to find support

Posted by xiaoeh > 2024-01-17 15:17 | Report Abuse

today many counters also down substantially
FDI pull out fund?

Posted by gankm > 2024-01-17 15:54 | Report Abuse

give you 1.2 cents. Want to take back 10 cents from you.

Posted by trader808 > 2024-01-17 19:46 | Report Abuse

1. The selling is continuing.
Clarinden has embarked on a wild odyssey and destructive voyage to navigate itself out of LHI. It is steadfastly holding onto its new policy and strategy since last year October of a bear rampage and self destruction. In the process, it has irresponsibly collapsed the share price from 73 sen to 52 sen and this endeavor is incurring huge losses and burning a big hole in its own portfolio.

2..Their decision by Clarinder to sell at this point in time when LHI has made enormous improvement in revenue and profit is surprisingly absurd. LHI recorded 220m profit in 9 month that surpass the 218m profit for the whole year of 2022

3. Being a corner stone investor and having subscribed to the IPO price of Rm1.10 hence, for every lot they sell a loss of -Rm580 is realized. Selling at this time and at such bashed down low price is uniquely peculiar of Clarinder.

4. The Clarinder's disposal is not only incomprehensible and illogical but also unwittingly reckless and unintelligent coming from the intelligent Island across the causeway.

5.Warren Buffet has once said 90% of Fund manager or portfolio executive lose money. Another 5% perform below the broader index. The Clarinden is a real case before us that reinforced and best fit Buffet's assertion.

6. On the other hand, there are also many big funds among the top 30 shareholders of LHI. Why they like LHI?

7. I think LHI is a big company operating with modernized technology in poultry farming and breeding and has a superb management serving a huge market that include Malaysia Indonesia Vietnam Singapore and more. Its turnover of 9b is bigger than Genm7.4B, Ecoworld 2.3B, Hapseng 4.7B GCB3.5B, and many many more counters in Bursa.

8. At 52sen it is trading at a 4 quarter running PE of 6x. Comparing to its peer such as QL,and CCK the PE is 36x and 8.6x respectively. Market is irrational.

9. LHI has a ROE of 14% which is considerably high and acceptable.

10. LHI has a dividend policy of 30% payout ratio. In 2022 it made a profit of 218m. So the payout is 0.3 x218 is Rm65.4m. Company has issued share capital 3650m, so the DPS is 1.8sen For 2023 it has announced a 9 month cumulative profit of 220m. If we annualized this number the year end profit would be 293m. Hence the DPS could increase to 2.4 sen

11. Chicken and eggs are sustainable business. It is consumed worldwide in all festival, culture and ethnicity. Incidentally, we are celebrating Thaipusam this month. Feb is CNY follow by Bulan puasa and Ramadan in March and April. Hence, the revenue and profit performance for LHI will be good in the next 2 quarters.

12. At the moment, the only bad news for LHI is the MYCC penalty Perhaps, this is the big reason why the fund is selling and the price is falling.

13.There is nothing wrong with LHI and If you have invested you should not have sleepless nights.

14. The falling price is a temporary sacrifice you have to patiently endure for the reward that is forthcoming.

16. This will happen when Clarinder has completely sold all its shares or at some point in time when it decides to stop selling.

17. Until then, the share price will fall continually. So go for a walk, or meet some friends to have coffee and keep your eyes away from the screen to avoid frustration while Clarinder resume its happy and jolly bear rampage and self inflict destruction and pain.

18. One must taste bitter to understand what is sweet.
Hang on to it if you can.

17/1/2024

Posted by CSOON 77 > 2024-01-17 21:33 | Report Abuse

Parking at 0.46

Posted by katara > 2024-01-17 22:39 | Report Abuse

solid company

Posted by Ravetidus > 2024-01-18 10:03 | Report Abuse

probably the cornerstone investor knows something that we all do not know, anyway Vietnam market is slowing down, would LHI be able to maintain the performance? The upside would be Vietnam authorities cracking down on illegal imports of chicken meat, but this is yet to be seen

Posted by gankm > 2024-01-18 10:39 | Report Abuse

Dont just focus in Malaysia. Dont forget that Indonesia is the biggest revenue contributor for LHI. If Indonesia is doing bad, it will pull down the the group performance.

Posted by Chipee > 2024-01-18 13:57 | Report Abuse

Bursa see red but LHI hold at 52 cents. This is the new support.

Posted by Chipee > 2024-01-18 14:04 | Report Abuse

Just bcoz they are cornerstone investor does not mean they have insider information. They are selling at a loss. I think it's they own internal issues of balancing their portfolio. They could had margin called in other investment so required cash to plug the hole. Chances are to do with China investments. For example CapitalLand, has to revalue their assets due to their exposure to their property investment in China.

LHI is still fundamentally good. It's a hold for me.

Posted by UncleFollower > 2024-01-18 17:21 | Report Abuse

Believers should be grateful for Clariden's selling. The earnings turnaround is quite remarkable, it's not a difficult bet, a little bit of patience should pay handsomely. Low risk low return la

Posted by katara > 2024-01-18 22:23 | Report Abuse

low risk high return :)

Posted by Ravetidus > 2024-01-19 05:40 | Report Abuse

I think we need to clarify some facts, the cornerstone investor already held shares prior to ipo...in fact they have already profited from the ipo exercise by letting go half of their shareholdings during the exercise..as to are they selling at a loss? nobody knows as their initial cost of investment could b very low, thus they could still b making profits selling at this price

Posted by Ravetidus > 2024-01-19 05:44 | Report Abuse

The real question to ask now is why the investors who have been with Lau from the beginning....or has been supporting LHI to grow until now, decided to gradually decrease their shareholding

Posted by Ravetidus > 2024-01-19 05:45 | Report Abuse

And if the price is dirt cheap now, why has none of the other founding shareholders increase their shareholdings?

Posted by curiousq > 2024-01-19 10:24 | Report Abuse

Clarinden stop selling already ?

Posted by nelsonlimpy > 2024-01-19 10:49 | Report Abuse

looks like selling is almost done

Posted by Chipee > 2024-01-19 16:59 | Report Abuse

It's possible. Affinity/Clarinden being a private equity institution could be holding the shares before IPO. LHI was privatized in 2012 and delisted. Affinity could be a partners then. So their cost could be lower.

Leong Hup is backed by prominent Asian private equity firm Affinity Equity Partners, which currently own stakes in Burger King Korea and China's Beijing Leader & Harvest Electric Technologies Co Ltd.

https://www.nst.com.my/business/2019/04/482904/leong-hups-ipo-secures-global-trader-louis-dreyfus-cornerstone-investor

Posted by Chipee > 2024-01-19 17:14 | Report Abuse

KUALA LUMPUR: The proposed disposal of Leong Hup Holdings Bhd to Emerging Glory Sdn Bhd for a total consideration of RM318.65 million. (This is the value to privatize it in 2012.)

Scenario A: RM318.65 million represents 100% of LHI value (market cap)
Compare to current outstanding shares. 3.650bill
RM318.65 million / 3.650bill = Rm0.0873

Scenario B: RM318.65 million represents 53.26% Emerging Glory DOES NOT OWN.
Making the TOTAL value of Rm598.29million
Compare to current outstanding shares. 3.650bill
Rm598.29million / 3.650bill = Rm0.164.

So now it depends whether Affinity was partner in the privatization in 2012 or Emerging sold some to Affinity AFTER privatization. Either way, the prices are lower than what Affinity is selling now.

https://theedgemalaysia.com/article/offer-price-leong-hup-seen-unfair-reasonable

Posted by Chipee > 2024-01-19 17:26 | Report Abuse

Giving them the benefit of the doubt (What else can we do right?)
From 2012 to 2024 = 12 year, they could have grown and invested in more production line, property, expanded sales etc ... So the value grown and valued at Rm1.10 (IPO price). Meaning every profit earned in that 12 years they reinvested hence increasing the value.

So when LHI IPO-ed, Affinity also sell part of their shares to the public. They already at least 5x their money.

Posted by Chipee > 2024-01-19 17:47 | Report Abuse

I still believe Affinity is rebalancing their portfolio. Private equity companies always searching to be venture capitalist or angel investors in new start ups or private holdings. Also, maybe their investment in China is forcing them to rebalance. I don't see any problem with LHI. Fundamental is good.

Posted by Jacky123 > 2024-01-19 22:38 | Report Abuse

LHI is buying more shares on Teoseng, so when Teoseng giving good dividends and QR, it will also improve LHI performance. This week Teoseng just giving 3sen dividends, benefited LHI too, so we can LHI and Teoseng not dropping much in this few days.

Posted by trader808 > 2024-01-20 10:41 | Report Abuse

1,Yes, The Clarinden was an early investor.They cash out during IPO 5 years ago. Now they are selling again and their action has collapsed the share price.

2.Surprising, they are selling at 50% of IPO price. Unfortunately,for as long as Clarinden is selling, the counter and share price are subject to downwards pressure. Many are already holding onto a loss position despite LHI producing a remarkable and commendable financial result.

3. It is hope that in the coming days, Clarinden has found the sense and solution to its portfolio overbalancing and halt its divestment to ease the falling share price.

4. Notwithstanding, the sell out and divestment, it is not a cause for concern. LHI is fundamentally sound, its business is well managed, profitable and sustainable.

5. The falling share price is a temporarily pain one has to endure for the reward that is forthcoming.
6. Happy trading.

20/1/2024

Posted by lazzo88 > 2024-01-22 15:34 | Report Abuse

Still maintain at 53 cents there even though continuous disposal from substantial shareholders. That's strong

Posted by katara > 2024-01-23 08:23 | Report Abuse

No more announcement of disposal from Clarinden

Posted by katara > 2024-01-23 11:21 | Report Abuse

short term tp 0.60

Posted by gankm > 2024-01-24 16:53 | Report Abuse

today (24/1/2024) buy rate is around 87%. Almost 3.9 million shares done at $0.555. What happened? Funds is buying again? Good Q4 result on the way?

Posted by katara > 2024-01-26 08:35 | Report Abuse

no more selling from Clar fund

Posted by warchest > 2024-01-26 17:53 | Report Abuse

it is a dirt cheap to buy when the government decided to let the price free float. We can see the financials would get better every quarter.

Posted by speakup > 2024-01-26 18:06 | Report Abuse

Clarinden realize their mistake already

Posted by lazzo88 > 2024-01-26 18:06 | Report Abuse

No more selling from the sub shareholder? then it's time for Leong Hup to move up

Posted by trader808 > 2024-01-26 22:41 | Report Abuse

1.News and information influence and impact share price. Good news elevates share price and bad news reduces share price. Now, how bad is a penalty and specifically the MYCC penalty of 157m imposed on LHI.

2. The penalty has been in existence since the end of 2022. Following the filling and announcement with bursa, the share price of LHI has declined from a high of 73sen to a low of 52sen and on 26th Jan 2024 LHI closed at 55 sen.

3. The penalty and bad news has wiped out about 3650m x 21 sen of RM766m of market capital.

4.Is this necessary or has the sell off been excessive and over done?.

5. If you look at LHI as a business the penalty is a straight forward case in which the fine and the extent of damage is known and certain.

6.It does not affect the production and the day to day business operation of LHI. It does not result in any loss of business revenue or market share or future profit from operation.

7. Hence, the penalty is indeed just a temporary disruptive force that damage short term share price that has not negative impact on the sustainability of the business. The penalty does not affect and has no adverse impact on LHI as a going concern. The company is financially stable enough with a healthy cash flow to meet all its obligations and continue its business in the foreseeable future.

8.In my opinion, the market has over reacted, the sell down and falling share price is unwarranted and unjustified.
9.One should not be deterred and in fact the bashed down low price has indeed opened up an opportunity for you to enter cheap in a big way.

10. That does not mean if you buy LHI and expand your portfolio, you will sure to make money and profit. On the contrary, it means the down side risk is limited and you potential losses are insignificant.

11. LHI has a 4-quarter running EPS of 8.52 sen. At 55 sen it is trading at a price earnings multiple of merely 6.4 x. Its 9 months accumulated profit of 220m for 2023 has surpassed the whole year earnings of 218m in 2022.

12. Therefore, it is worth the risk. Think about it.

12. This is my personal perception and layman opinion of the counter. It is not a recommendation to buy or sell and not intended to influence your investment strategy and plan.
13. Happy trading
26/1/2024

Posted by warchest > 2024-01-29 11:54 | Report Abuse

it is going to test 60 cents level very soon

Posted by warchest > 2024-01-29 13:44 | Report Abuse

all the stocks related to the national food security will go up. MSM already already a multibagger. LHI easily can go up 50% from this level

Posted by katara > 2024-01-31 10:40 | Report Abuse

buy

Posted by warchest > 2 months ago | Report Abuse

slowly inching up to 60. 70 cents should be an interesting level

Posted by bose00 > 2 months ago | Report Abuse

something's brewing ?

Posted by bose00 > 2 months ago | Report Abuse

Smart money in LHI

Posted by Lukesharewalker > 2 months ago | Report Abuse

Times are better. Look at TeoSeng. Lhi owns 26% of TS to begin with...

Posted by Jacky123 > 2 months ago | Report Abuse

Yes, their stake is 55.7% now.

Posted by hhhiii123 > 2 months ago | Report Abuse

cny surge,hehe

Posted by speakup > 2 months ago | Report Abuse

Q buy 50sen tak dapat
but got a bit at high price

Posted by xiaoeh > 2 months ago | Report Abuse

ai ya...
i also miss the boat...
something is very wrong with my expectations

Posted by Lukesharewalker > 2 months ago | Report Abuse

It would be good if the QR matches the last QR...eps 3.4 potential looks good given the Christmas season

Posted by xiaoeh > 2 months ago | Report Abuse

ok lah
wait at 0.540 level

Posted by Lukesharewalker > 2 months ago | Report Abuse

Don't think it's revesing
It's histrorical

Posted by Lukesharewalker > 2 months ago | Report Abuse

Can you imagine if it steadied at 3 eps per quarter that's 12 eps at even pe 10 that's 1.20 potentially 100% upside

Posted by bose00 > 2 months ago | Report Abuse

Not to forget the penalties 150mil~ a significant impact to the financial

Posted by UncleFollower > 2 months ago | Report Abuse

Take Ang Pow and come back another time. Okla 13% in 3 weeks huat