moneyontheway

how come diesel up can have so much impact on the share price??
i thought brent oil also up by USD2.42 and WTI crude oil also up by USD2.65 yesterday.

3 days ago

James_Bond

Haha! Serve you right for not listening to take profit in PetD!

3 days ago

hcthey

Within 2 days of trading, this company share price has dropped nearly RM2.00. I do not know what is the main reasons. I understand that EPF a substantial shareholder has kept on selling. I try my luck to buy some shares from the open market and hold it for sometimes. I belief and confident that I will re-bounce later.

3 days ago

James_Bond

Don’t understand why you all not listening… pity you all!

3 days ago

James_Bond

Bravo HC!

3 days ago

James_Bond

Every retail outlet should hv one time inventory gain from the hike of diesel fuel price. Let’s see the coming QR if this is true or not. Cheers!

3 days ago

James_Bond

I m with you, HC! May the force be with us all!

3 days ago

moneyontheway

@hcthey, i read your forum and noticed you have bought a lot of other shares as well. you must have made a lot of profits. in millions?? how many shares do you have in this counter? still holding British American Tobacco??

3 days ago

hcthey

@moneyontheway, when blue chip stocks or active counters dropped heavily, then I consider to buy some for investment, stockholding not much, for big stocks I just bought five to ten thousand stocks, lower priced counters may buy a bit more thats all. Like Rapid counter plunged down from 30 dollars to the lowest of 75 cts and YNHPROP came down from 5 dollars to 48 cts,, for these counters their NTA is much higher than its trading prices, then I considered these counters to be cheap and they are valued counters, why should be afraid to buy a bit for investment. anyway, I made small gain only, not as what you said millions hahaha. I have let go part of my investment today.

3 days ago

Needluck

maybe not because of the removal of diesel subsidy, if yes, why petronm not affected?

3 days ago

sten_still

downstream of petronas dagangan doing pretty decent this period, then this must be a discount on the share price. once in a ten years chance coming

3 days ago

moneyontheway

@needluck, so what can you think of to be the reason for the downtrends these days? may be can share.

3 days ago

moneyontheway

@hcthey, ten thousand shares of PETDAG already RM180K at RM18 a share. gaining a lot in dividends!!

3 days ago

hcthey

@moneyontheway, I bought this counter after the Dividend EX date. Get cheaper share price much better. I bought this counter yesterday.

3 days ago

moneyontheway

do you mean you just started in this counter? had you bought today, you would have gained more but nobody knows when its lowest will be.

3 days ago

hcthey

I went in the counter started yesterday, Today I also bought, bit by bit, the lowest I bought is 17.38. I don't care the price which I bought is the lowest or not, as long as the price I bought is cheaper than other buyers shall be satisfied. Buy and hold until I make profit than I sell it.

3 days ago

moneyontheway

@hcthey, wah! you are really a rich man, doing business kah? normally you hold until you make a lot of profit or just some profit? as for me, i hold only 1 lot in this counter and one bonus issue for over 25 years but did not sell though it hit RM30 years ago.
i just do not know when to sell???

3 days ago

hcthey

Wah! you really a very patient investor who can hold this counter for 25 years without selling even it has already hit the highest of 30 dollars. I can't understand you buy shares for what, not for money or just for fun, hahaha..........

3 days ago

hcthey

@Moneyontheway, according to the historic chart, it has not hit the highest of 30 dollars so far, the highest point was around 25 dollars only.

3 days ago

hcthey

For Rapid counter yes, it has hit 30 dollars in December 2023. but not for Petdag.

3 days ago

moneyontheway

@hcthey, i checked the historical chart and was confirmed that the highest share price for PETDAG was RM30.70 on 7/3/2014. i was hoping it would go higher and also to keep for dividend distribution. howcome you are using dollars?

2 days ago

Needluck

all i can think is few index counters like petdag, klk, simeplt etc, all epf game, left hand throw to right hand.

2 days ago

moneyontheway

@needluck, what can be the reason for sharp decline in the share prices of this counter. do you mean EPF buy and throw?

2 days ago

Needluck

this might be why no announcement for the block of over 3 million shares bought at 19.88 on 31/5/2024

2 days ago

Needluck

ya, a few counters always goreng up a period, and will fall again, for them to goreng up again. this is how local funds make money, this is all my own opinion.

2 days ago

moneyontheway

so when it goes up a bit , do you sell and buy when it drops again? as for me, i just watch the fluctuation of the share price.

2 days ago

Needluck

if some parties of profit drop, why eat up from the price of 19.22 to 19.80 about 3.26 million shares? who have the ability to buy so many shares, retailers?

2 days ago

CharlieM

Two possible reasons why the price drop.
1. Net profit down 25% last QR
2. Possibility of Aramco (Saudi) entering the market via Shell acquisition. This will elevate market share competition with newcomer promotion, reward campaigns.

2 days ago

James_Bond

Saudi Aramco is working hand in hand with Petronas Malaysia in the refinery fuel business in Johor. It is difficult to penetrate the local market which dominated by Petronas. Many fuel operators such as Shell etc giving up the Malaysia markets due to low profitability and gov regulations, thus, could not win against Petronas.

2 days ago

James_Bond

Believe gov would intervene if any fuel operators hurting Petronas business… therefore, buy and hold PetD with peace of mind…

2 days ago

James_Bond

Current share price of 17.70 is a sort of market value during Covid pandemic! Not now!

2 days ago

James_Bond

Value investors do the maths and should appreciate this golden opportunity to buy and hold!

2 days ago

James_Bond

It is a not a pride, but shame as Malaysians, looking at such poor share price performance by Petronas Dagangan!

2 days ago

James_Bond

Worse still, share price is selling cheap than companies producing alcoholic beverages!

2 days ago

moneyontheway

@james, do you tink it will rise to RM30? like in 2014

2 days ago

James_Bond

Furthermore, Petronas Dagangan could drag KLSE index down! Goodness! It is time to proof that you r better and help the index up above 1800+!

2 days ago

James_Bond

Tenaga is doing really hard to help KLSE index up! It is your time to perform, Petronas Dagangan!

2 days ago

CharlieM

Petronas Dagangan faces twin share de-rating threats — CGS
https://theedgemalaysia.com/node/710733

KUALA LUMPUR (May 8): Petronas Dagangan Bhd (KL:PETDAG) faces a threat from Saudi Aramco’s possible entry into Malaysia’s fuel retailing market, on top of the impending withdrawal of fuel subsidies, CGS International warned.

Aramco is reportedly negotiating to acquire Shell’s 950 retail fuel stations in Malaysia, which if a deal materialises, could heighten competition in the country, CGS said. Aramco will rebrand the stations and will offer promotions to retain existing customers and attract new ones, it said.

That “could be a potential de-rating catalyst” for Petronas Dagangan, CGS said. While Petronas Dagangan has more than 1,000 retail fuel stations in Malaysia, Shell’s 950 stations probably register higher sales due to first-mover advantage and multiple strategic locations in high-traffic areas, it said.

Reuters reported on Monday (May 6) that Aramco has been in talks with Shell since late 2023 for the deal that could be worth up to US$1 billion (RM4.74 billion).

In 2012, Petron Corp of the Philippines acquired ExxonMobil’s Esso stations in Malaysia and went on to expand its network from 550 stations to 770 stations at present day. Its Malaysian venture company Petron Malaysia Refining & Marketing Bhd also rebranded the stations, and launched multiple promotional campaigns with loyalty points and prizes, CGS noted.

The result was that Petronas Dagangan’s retail fuel sales fell 2% in 2014 and 9% in 2015, while incurring higher advertising and promotional costs in order to keep up with Petron, CGS said. “Aramco could pursue a similar strategy as Petron,” it cautioned and maintained its “reduce” call on Petronas Dagangan.

In the nearer term, Petronas Dagangan is expected to report a decline in core net profit in the first three months of its financial year 2024 (1QFY2024), from RM302 million in the same quarter a year earlier (1QFY2023), due to suspension of flights by MYAirline and high commercial operating profits a year earlier, according to CGS.

On a quarter-on-quarter basis, CGS forecasts an increase in core net profit in 1QFY2024, from RM184 million in the final quarter of 2023 (4QFY2023), as a result of inventory gains and “wide” margin from the sale of jet fuel.

Further out, Petronas Dagangan will have to contend with a “high likelihood” of lower total volume of fuel subsidies by the Malaysian government from mid-2024, CGS said.

“We think that higher pump prices could encourage carpooling and disincentivise the unlawful moving of subsidised fuel to foreign countries,” which may ultimately reduce Petronas Dagangan’s sales volume, the research house said.
Petronas Dagangan’s retail sales volume probably grew 3% in 2023 and will see “zero growth” in 2024-2025, once retail diesel prices are no longer subsidised at the pump, “which may turn out to be optimistic,” CGS added.

2 days ago

James_Bond

Guess CharlieM sold PetD and wanna grab even lower price, way lower than Covid pandemic period! Sorry, PetD will never be yours forever!

2 days ago

James_Bond

CharlieM, Please go and spread this news to PetronM group!

1 day ago

James_Bond

May I ask CharlieM two basic questions?

Q1: Petronas/ shell / PetronM refilling MAS airplane fuel?

Q2: Petronas/ shell / PetronM refilling fuel for government cars, for instance: police car, ambulance, fire engines etc.

Would this be affected?
— smart investors would definitely know, Q1Q2 undoubtedly goes to Petronas Dagangan!

1 day ago

James_Bond

Last Question to CharlieM.

Would current PetD customers shift to ? Aramco with no track record of fuel selling in Malaysia before?

— answer is clearly NO! PetD would retain mostly old customers and new as well due to mesra customer loyalty and the spirit of Pro-Malaysian products and companies!

— it wil kill PetronM for sure!

1 day ago

CharlieM

That article is from TheEdge, analysis from CGS, not me. I’m just sharing because a lot of people here asking why PetDag falling..

1 day ago

moneyontheway

@James, so do you think PDB will rebound and possibily hit RM30 again like in 2014?

1 day ago

James_Bond

Do you think PDB worth RM30? If yes, then you hold! If no, you take profit at the price that you comfortable with!

1 day ago

James_Bond

I will hold till at least above 25!

1 day ago

James_Bond

Once in the lifetime that you get the chance to join the business at such comfortable price range!

1 day ago

hcthey

I opine that to reach RM30.00 again is unlikely to happen, to achieve RM21.00 to RM23.00 is more optimistic.

1 day ago

yeinemesis

I think foreign funds shifting to a new generation of energy supplier-TENAGA. EVs, Data Centres, AI Industries-Microsoft, EVs, etc constantly increasing demanding for electrical energy. Whereas, Petroleum could be outshined. Local Institutional funds may be trying to support the stock which is the main revenue of the country.

1 day ago

CharlieM

You have to anticipate reduce in the next QR profit. The sales from diesel smugglers have ceased.

3 hours ago