Petronas is producing Butadiene (The main material for nitrile glove), not spend money to build factory and competing with the big 4

Kossan announced 130m profit. Seems like within most analysts estimate.

Yeah.. it was great shaking legs

Chart of the day.....





How and why do you wanna trade a stock like this?

Triangles are nice.....

Maybank, Public Bank, CIMB, HL, RHB takes up almost a whopping 25 - 30% of KLCI index weightage

no matter how government also will support geh

Chart of the day....

USD to MYR ....

loans in USD 
sales in USD 

For me, I have no idea how the market would react to the news....

But .... there's nothing new really in that article really......

this forced labor issue was actually highlighted on the Guardian in 2018....

mixed feelings on it...

1. such labor practice is what it is.... these so called employment agents made unscrupulous lots of money. It's really terrible....

2. It exist everywhere la....other countries too.

3. the amount involved it's really staggering. Harta recently said it paid (reimburse) these agents up to 40 million in recruitment fees!! (googleable these news)

TG on the other hand, clearly could have done better. Once the report was made in an international news, the Guardian, in 2018, TG should have wise up and clean up shop. It's now 2020.... why dilly dally?

So here's the issue.

If TG reports for the coming quarter a profit of 1 billion, which is really very, very good (imo) and certainly is deemed as a robust profit under the boss eyes, but this number, I tell you, is simply a meh.

It's as expected.

... and this is the problem.

8tv? So drastic? Lol.
Sorry ah. I do not trust bosses and definitely not this one.

If profits were so good, they should not done the buyback and instead focus on dividends.

Just doing some catch up reading. Saw the Macquaire report posted on the Edge.

1. Look and compare the 'trend' of the profit between M and Cimb....

FY2020. M has it at 1.75 Billion. Cimb has it at 1.589 B.
FY2021 M has it at 10.3 Billion. Cimb has it at 5.313 B.
FY2022 M has it at 2.02 billion. Cimb has it at 1,905 B.

Both saying the same exact thing. Big profits for 2021 (which we all know) and Huge DECLINE in profit in 2022.

Both saying the same thing ....

very unique yes? But M has said as it is... it did not sugar coat anything...
and because the market prices forward ( Question now for you is do you want to price it on 21 numbers or 22 numbers?) and based on 22 numbers, well TG is not gonna be priced so highly.

Is there anything wrong with that statement from M?
Nope.

The only difference is CIMB has the same exact profit trend and CIMB fy22 numbers are even lower but CIMB chose not to value TG based on fy22 numbers.

Well this is the crux of it, yes?

M downgrades TG based on fy22 numbers... numbers which CIMB has it even lower....

2. I am not here to convince you what to do with your trades. I am only sharing what I think from I see..... okay?

3. Friend... I really, really, really do not want to read any articles from i3. Serious hor... so do excuse me if I don't attempt to read that link at all. And I have refrain from the Stock Discussion thread as it was horribly the same as i3....so I have not read that thread for few days already.

As it is... at this moment... both CIMB and M recognizes the huge DECLINE in profits come 2022. M took action and highlighted it. CIMB chose to remain silent on it.


okay? This for me is what's interesting.... for me lor...... 

Cimb target price is based on fy 21.

Macquarie target price is based on fy 22.

But the important thing is both of them agree that such extraordinary profit cannot be sustainable. And once it declines, the profit decline will be massive.

ChAOoz what's your opinion?

the thing is ... we now have 2 of them giving fy22 profits to be around 1.9 to 2 bil ,,,, that's about 24+ eps based on 8.1 billion shares...

and very soon... new reports will have to be based on fy22 numbers and not fy21 numbers....
ehm... get the 'risk'?

  ... yup ... anything can happen in 6 months..... 
anyway... I have written this event M event down...

just amazing...
two brokerage having almost the same set of estimates...
one got 'blamed' for telling it as it is.... whilst the other just kept quiet as if it isn't there....

yup... market bull and the bears....   

Question for CIMB and Kenanga...

6 months down the road .... your target price will be based on fy 21 or fy 22 numbers ah?
Get this issue/problem/risk?

If they base on fy 22 numbers ..... won't the TP price forced to be much lower?

So how many research houses are saying the same earnings trend for fy22? (which is just 5 quarters away?)

M, CIMB and Kenanga?

And M is the only one calling it as it is based on fy22 estimates?

If I have came out with those earnings estimates, the right thing to do is call it.....

And as you can see.. it's the same story... Fy22 earnings declines as ASP normalises...

Well... like it or not... That's one of the main risk now.

Boeing to cut thousands of additional jobs through 2021 as it prepares for long air travel slump
https://www.cnbc.com/2020/10/28/boeing-ba-e...gs-q3-2020.html

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