ASP for spmx may have peaked.

no surprise, this is expected... the issue is how fast or slow will ASP decline for each glovemaker.



harta (and kossan) may see peak only in 2022.
https://www.theedgemarkets.com/article/hart...22-says-analyst

Aiyoo... dun say until like this la

the 1.3 bil would have meant that its Q-Q profits are growing strongly...

now at 1.005 bil? That's a 5% decline... which is worst than Harta.

In the report they did mention their plants in meru were temporary closed due to covid thus affecting their productions

So that contributed to the slight decrease in profit

Do some simple stuff for you... and divert talk from gloves

https://www.malaysiastock.biz/Corporate-Inf...curityCode=0151

First thing...



From that website... the ttm pe is 38.

Not cheap but maybe if for a go-go tech stock with a booming growth... it could be considered cheap.

Scroll down the page..

look at the Key Financial Ratio... click on Annual...

biggest question... got annual growth or not?



Well... clearly no annual growth... and for a tech related stock, why should it be selling at 38x pe? (ie..current prices looks rather pricey)

scroll down quarterlies...



a) y-y shows decline .... (see black box)
b) last 2 Q ... the purple box ... it does show some little sign of improvement .....

so how?


is it any good?

and among all the tech related stocks, where some has really booming profits... do you reckon that this is a good stock to bet on?

Yes... but then .... that's like finding a reason why its underperformed....

Yea no doubt about that. Tomorrow high chance it's gonna be very ang

On a side note, I noticed kossan price also dropping despite them making X2 profits Vs last QR which is surprising

Are you serious? 1.8b? No way... LoL

Their capacity is just that much... How do you expect 1.8b? $160 ASP?

There's really simple way of calculating and predicting the outcome. Production capacity doesn't lie. It's open secret.

The glove capitulation will begun fast and fierce.

Packing my bag for the first train out tomorrow, trying to TP @ 6.50 for supermax is being too greedy haha.

Well win some lose some

Anyway it's getting harder, no more free money with sure win prediction haha. It was fun while it lasted.

That was in the context of what a blowout number is.... something that would make you go WOAH!!!
something which would have made me go "I am buying and I am keying in my buy order right now!"


edited... sounded misleading

This post has been edited by Boon3: May 5 2021, 06:45 PM

Unfortunate things like this will happen ... cause the market is gonna price Kossan to what the sector market leader is doing.

Hi there, I want to ask what stock screener u guys using for phone.

I figured that the price from klse screener not accurate for Dnex



The price from Google is 0.70.

Half a cent also want to complain?

Maybe he's a big time 100M roller.

This statement...

"The glove prices have since dropped by between 15% and 25%. Currently, the spot market prices are lower than the contracted prices," said the rubber glove maker in its quarterly results' announcement.

Link:

https://www.theedgemarkets.com/node/566687

Wow... Which more the less confirmed JPM statement.

Well... I think they deserve credit for pointing this issue out...


And more credit who called for the gal from Macquarie who called for the falling ASP many months ago.

This post has been edited by Boon3: May 5 2021, 08:03 PM

so today all bad news for gloves appear.

the sudden hype of gloves in the forum also disappear.

retailers who greedy chasing price in glove already on the way out or already went out?

IB have finish creating hype to sell their warrants?

EPF have make enough by selling those cheap tickets at high price to retailers?

will the hidden hands start shorting again?

time for me to look into glove again.

last few weeks I sold surplus TG and removed gloves from my watchlist.

patiently waiting this last push to be over.

the price come to me, not I chase the price.


P/S: those who get stucked at high floor for chasing price, pls make sure you grab the corrective wave B to escape.

Glove at this price is still attractive especially the big 3 that kept giving good dividends. That big S, then you're out of luck.

The moment has arrived for gloves, officially. Spmx showed slight decline in both revenue & profits while Harta has slowing growth, but still is growth.

Analysts have continued cutting target prices for gloves. I still have 2, but it will be a bitter pill to swallow for some time. My guess is that, the final nail in the coffin would be downgrading a "buy" to a "hold" in the coming months.

Of course the share price will fluctuate wildly like how fast it rose & how fast it dropped this week. But the downward bias is likely to be stronger. Perhaps only brave, tough or crazy ones dare enter glove share trading now.