Ever since the Covid 19 pandemic began about 2 years ago, almost all the listed companies have been affected. Due to MCO lockdown, workers could not go to work. As a result, there is less construction activities and the requirement of building materials especially steel.

As shown on the above 2 graphs, 80% of our populations are fully vaccinated with 2 doses and the 7-day average of new cases is only 3,222. As a result, there are no more MCO lockdown. Currently there are more building construction activities as you can see more construction tower cranes movements in every town and city. 

The President Dato Foo Chek Lee and Secretary General Mr Denis Tan of the Master Builders Association just told me there are more construction activities than before the MCO lockdown. All the construction workers are free to go to work and the requirement of building materials especially steel has increased. 

By the way, I am proud to mention that all the   infrastructures and buildings in Malaysia are constructed by Members of the Master Builder Association.

I was the Secretary General for 9 years between 1972-1980 when Tan Sri Low Keng Huat and Tan Sri Yeoh Tiong Lay were the Presidents.

My aim for writing this article is to point out that there is no more MCO lockdown. People especially workers are free to go to work. As a result, there are more construction activities in every town and city and the requirement of building materials especially steel has increased. This information is useful for investors of   building materials especially AYS.

My target price for AYS

Its 2^nd quarter ending Sept EPS was 6.51 sen and its 1st quarter ending June EPS was 8.5 sen, totalling 15 sen for 1^st half year.  All these profits were achieved during the Covid 19 pandemic MCO lockdown. Currently there is no more MCO lockdown and AYS should be able to make better profit in its 2^nd half year than its 1^st half year.

Assuming its 2^nd half year performance is the same as its 1^st half year, its annual profit EPS will be 30 sen per share.

Based on PE 3, AYS should be 90 sen.

Based on PE 4, AYS should be Rm 1.20.

Based on PE 5, AYS should be Rm 1.50.

The last traded price was 66 sen.