OM HOLDINGS LIMITED

KLSE (MYR): OMH (5298)

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Last Price

1.60

Today's Change

-0.03 (1.84%)

Day's Change

1.60 - 1.60

Trading Volume

41,100


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862 comment(s). Last comment by paperhand123 5 days ago

Damien88

225 posts

Posted by Damien88 > 2021-11-11 09:23 | Report Abuse

OMH has been super lagged and can easily drop 30% with small volume. The share price is now lower than 10 years ago. What has the shareholders benefited? Shareholders value is being eroded constantly.
What I am saying is a balance approach to expansion, taking care of shareholder values (through div, share buyback, active investor relation to bring higher PE and share price), rather than one sided approached to managing a public listed company. And it is true that Chairman incentive payout is geared towards profitability, but that has not translated into increasing shareholder values.

Damien88

225 posts

Posted by Damien88 > 2021-11-11 09:24 | Report Abuse

If Omh can achieve the a fraction of Pmetal market valuation, then I agree with you that there is no need for share buyback, just continue expansion.

kcwong98

91 posts

Posted by kcwong98 > 2021-11-13 15:31 | Report Abuse

Should not spend money on share buy back. Should expand more and more furnaces at this time to enhance long term profit growth.

I attended AGM 2 years ago. I trust the management is smarter than me to manage their business for few decades.

pang72

48,072 posts

Posted by pang72 > 2021-11-16 12:30 | Report Abuse

Ini pun habis goreng

Damien88

225 posts

Posted by Damien88 > 2021-11-22 09:46 | Report Abuse

If you want to know why some companies valuation is so high vs it’s peers, despite being in quite similar business segment, look no further at OMH mgt vs the high performing mgt of PMetal and Lynas. In this case, key founders/mgt attitude towards increasing collective shareholders value (or individual shareholder value) is crucial. This is the case of either the key decision holder is incapable or unwilling to advance collective shareholder value.

Damien88

225 posts

Posted by Damien88 > 2021-11-25 09:16 | Report Abuse

Key management/founders that is so disinterested in advancing shareholder values can never become the likes of PMetal and Lynas that many investors/shareholders look up to. This can only fall into the category of “could have been” as OMH is still operating very much with private SME mindset.

gemfinder

6,880 posts

Posted by gemfinder > 2021-12-03 23:28 |

Post removed.Why?

Damien88

225 posts

Posted by Damien88 > 2021-12-06 09:09 | Report Abuse

With just 10k shares, the stock drop 3%! This is “free for all” sell down.

Damien88

225 posts

Posted by Damien88 > 2021-12-06 09:12 | Report Abuse

When market goes up, this stock doesn’t move. When the market comes down 4-5%, this stock drop 40%! You just have to compare with PMetal. WhenPMetal moves, this stock stays, but when PMetl dropped only 10-15%, OMH drop 30-40%! With no liquidity

Damien88

225 posts

Posted by Damien88 > 2021-12-06 09:12 | Report Abuse

Yet fundamental for OMH is good…with alloy prices still high

Damien88

225 posts

Posted by Damien88 > 2021-12-06 09:16 | Report Abuse

As long as key management/shareholder does not priority shareholder values for all, this is what happen and like I said, it’s a “could have been stock”! What a pity when you have management who is unwilling or incapable to run a listed company with shareholder interest at its core

Damien88

225 posts

Posted by Damien88 > 2021-12-20 09:16 | Report Abuse

The stock price has bottomed at around 2.65-2.70

Damien88

225 posts

Posted by Damien88 > 2021-12-20 09:18 | Report Abuse

The potential upside should be RM4, that’s 40% upside as OMH will be announcing good sets of results for 2H2021 given the high alloy prices that they achieved in 4Q2021

Damien88

225 posts

Posted by Damien88 > 2021-12-20 09:19 | Report Abuse

The management will also ultimately have to be more shareholder/investor focused as this is in the best interest of all

Damien88

225 posts

Posted by Damien88 > 2021-12-20 09:22 | Report Abuse

At current prices, it only creates potential takeover opportunities for hungry growth companies at cheap prices. Even at 50-75% premium, OMH valuation is still cheap

Damien88

225 posts

Posted by Damien88 > 2021-12-20 09:23 | Report Abuse

If this happens, although all shareholders will
Immediately realised the upside gain, while the existing management will lose control of cash cow.

Damien88

225 posts

Posted by Damien88 > 2021-12-21 10:54 | Report Abuse

FeSi prices in Europe is still very high at EUR 2,900 / ton (US$3,300/ton). OMH cost of production is only US$1,000/ton. That’s GPM of US$2,000/ton or 200%!

Damien88

225 posts

Posted by Damien88 > 2021-12-23 10:16 | Report Abuse

I think the stock has bottom! It should be able to
Move back to RM4 on the back of the FYE 2021 result as it is expected to be strong on the back of strong alloy prices

Damien88

225 posts

Posted by Damien88 > 2021-12-23 10:17 | Report Abuse

What this stock lacks is a good IR/PR effort which can be easily achieved if the management decides to put in some effort

Damien88

225 posts

Posted by Damien88 > 2021-12-23 10:21 | Report Abuse

The current depressed only serves to attract hostile bidders who can see a value in omh. Esp when aggressive hedge fund moves in to scoop up this stock and change the management. Just by putting in place whole IR/PR machinery, the hostile party will easily make billions out of this stock and move its valuation to the likes of PMetal/Lynas. Since the founding shareholders only hold 18%, a hostile bidding will add fuel to the lagging share price.

Damien88

225 posts

Posted by Damien88 > 2021-12-23 10:23 | Report Abuse

Downside risk at current price is really limited now, but huge upside potential. Esp so when a hostile bidder jumps in

Posted by value_seeker > 2021-12-23 10:26 | Report Abuse

The interest has waned. I think will go sideway for a period of time. This stock is related to steel production. With low price of steel, OMH will not be having major increase of price.

Damien88

225 posts

Posted by Damien88 > 2021-12-23 11:52 | Report Abuse

Agreed.

Damien88

225 posts

Posted by Damien88 > 2021-12-23 11:53 | Report Abuse

However, this stock has history of doubling its share price in 1 months. In fact many instances over the past 5 years.

Damien88

225 posts

Posted by Damien88 > 2021-12-24 09:58 | Report Abuse

This stock has bottom. It should move up after New Year. The catalyst should be its FyE 2021 results. And going forward, it’s financials should reflect the bouyant alloy prices. Current GPM > 100-200%

Damien88

225 posts

Posted by Damien88 > 2021-12-27 11:08 | Report Abuse

It’s time to get back in as the stock has bottomed and get ready for the ride up after new year.

Damien88

225 posts

Posted by Damien88 > 2021-12-27 11:10 | Report Abuse

The stock has corrected way beyond reasonable valuation. It has dropped 30-40%, while PMetal only drops 10%

Damien88

225 posts

Posted by Damien88 > 2021-12-27 11:54 | Report Abuse

On hindsight, all thanks to the recent sell down that we can get such cheap price ie below rm3

Damien88

225 posts

Posted by Damien88 > 2021-12-28 09:20 | Report Abuse

The stock has started to move back to RM4. cheap share price is not going to be here for long.

Damien88

225 posts

Posted by Damien88 > 2021-12-28 09:21 | Report Abuse

We should see more buying momentum going into the new year and surge after new year towards its Feb reporting period.

Damien88

225 posts

Posted by Damien88 > 2021-12-29 10:34 | Report Abuse

The edge markets 27 Dec:
- FeSi hit unprecedented high of US$4,150 end Sep
- FeSi now trades US$2,000-3,000 range. Remember OMH cost is below US$1,000. Still sees GPM > 100%-150%
- New norm pricing due to increased cost of smelting in China, due to changes in power costs and new rules/regulations
- Should support OMH fundamental

Damien88

225 posts

Posted by Damien88 > 2021-12-29 10:36 | Report Abuse

The last recorded historical high was US$1,500-1800 back between 2017-2018.
Current FeSi price is way above that

Damien88

225 posts

Posted by Damien88 > 2021-12-30 12:52 | Report Abuse

It always starts with low volume before the surge in volume. No sellers. The big push should come after new year.

Damien88

225 posts

Posted by Damien88 > 2021-12-30 15:09 | Report Abuse

Buying is slowly building up, albeit slow…but I believe the big surge is near…the day of limit up could be near also

Damien88

225 posts

Posted by Damien88 > 2022-01-03 10:23 | Report Abuse

New year, new hope! I believe the stock has bottomed and will start to move from here.

wkc5657

284 posts

Posted by wkc5657 > 2022-01-03 16:49 | Report Abuse

if got good news, then possibility will have movements closer to their next financial announcement.

likely will still remain muted throughout january

Damien88

225 posts

Posted by Damien88 > 2022-01-04 11:55 | Report Abuse

Buying has started to trickle in…it’s time to get back in when the price is low, not when the price has moved back to rm4

Damien88

225 posts

Posted by Damien88 > 2022-01-04 12:12 | Report Abuse

Smart investors always buy when the stock has corrected 30-40%, while the fundamental is unchanged. For OMH case, the fundamental is in fact stronger as the alloy prices is still high by all standards with GPM > 100% -150%

Posted by BursaSentinel20 > 2022-01-04 12:58 | Report Abuse

Ferrosilicon and SiliconManganese are highly power intensive materials, much like aluminum. The price surge for these materials should be sustainable and the prices will be higher vs recent years. As the world focus on decarbonization, energy and power prices should be sustainably higher going forward due to underinvestment in fossil fuels whilst renewables are still playing catch up. Power intensive materials are akin to liquefied form of energy should see soaring prices. OMH and Press Metal which have locked in power purchase agreement for 20 years on the back of very low prices back then should benefit.

Damien88

225 posts

Posted by Damien88 > 2022-01-04 16:15 | Report Abuse

Yes, I agree fully with you. OMH could easily achieve A$100m (Rm300m) profit on current production level and current alloy prices. Yet the market cap is only A$650m / RM 2.1b. PE only 6x, way below market

Damien88

225 posts

Posted by Damien88 > 2022-01-04 16:16 | Report Abuse

Press Metal PE is 50x and Lynas is 60x

Damien88

225 posts

Posted by Damien88 > 2022-01-04 16:18 | Report Abuse

OMH share price is too low now, time to jump in…

Damien88

225 posts

Posted by Damien88 > 2022-01-05 09:56 | Report Abuse

The price is holding well in the morning…it usually runs up in the afternoon session. Good to see sustainable momentum of 2-3% up everyday

Damien88

225 posts

Posted by Damien88 > 2022-01-05 09:57 | Report Abuse

On 20 Dec, I predicted (more like I see the pattern of trading from experience) the stock bottomed around 2.65-2.70. Now it’s up 10%

Posted by BursaSentinel20 > 2022-01-05 11:06 | Report Abuse

Oh wow A$100m net profit? They only made A$17m in 1H 2021.

jakeT

111 posts

Posted by jakeT > 2022-01-05 11:41 | Report Abuse

I agree their coming quarter should be significantly higher. Previous commodities pricing were at peak level and should be reflected in this coming q result

Damien88

225 posts

Posted by Damien88 > 2022-01-05 14:51 | Report Abuse

For 1H2021 profit, the average FeSi price is US$1,500
Prices shot up to US$4,150 by end Sep. now the prices is US$2,000-3000.

Damien88

225 posts

Posted by Damien88 > 2022-01-05 14:51 | Report Abuse

Also, there was 1 month plant shutdown in June.

Posted by BursaSentinel20 > 2022-01-05 15:45 | Report Abuse

OMH shares in Australia seems to be 2-3% cheaper vs Malaysia. Think investors with access to Aussie market should buy there and transfer to Malaysia. Can make some profit that way

Damien88

225 posts

Posted by Damien88 > 2022-01-07 10:04 | Report Abuse

Vol for Bursa has been picking up lately. Not great but a good sign

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