I believe SAMCHEM's share price has over-corrected at 0.905 now and presents a good opportunity for longer term investors. With a rolling 4 quarter EPS of 12.65, it is currently valued at a P/E of 7.19 compared to the industry median P/E of 14.5.

Furthermore, the management has repeatedly attributed the recent q-o-q drop in earnings to the COVID restrictions in key regions-Malaysia and Vietnam which have since been lifted.

Moving forward, I do see the improving macroeconomic environments favoring the operations of SAMCHEM. The rise in industrial output buoys the demand in capital goods such as industrial and specialty chemicals, providing sustainable tailwinds for SAMCHEM.

Not to mention, SAMCHEM's forecasted dividend per share at approx 4.1sens and 4.7sens for FY21 and FY22 respectively reflects an attractive dividend yield of 4.5% and 5.16%. It's high ROE of 30.12 also depicts that the management is highly capable of utilising shareholder's equity in creating value.

All in all, I do see this short term retracement as an attractive opportunity for longer term investors. Thank you and please do your own due diligence as well.

https://www.tradingview.com/x/NmdlbrUh/

@bizfuneng, the current one by rakuten is at RM1.25. Which I believe is quite conservative. There has yet to be any tp revisions done by official analysts.

However, some common fair value metrics are as below (I got these from iSaham):
Relative valuation (pe15) = RM1.85
Graham Number = RM1.96
DCF (10%) = RM1.53

Please do your own due diligence and take these numbers with a pinch of salt. Thank you.

I believe we will see upwards revisions in SAMCHEM's target price as the business continues to grow above expectations

SAMCHEM will be attempting to break its All Time High (ATH) very soon. The common term that follows the breaking of an ATH is "Sky is the limit"

any minor pullback presents a strong buy opportunity

SAMCHEM which distributes industrial and specialty chemicals will be the main beneficiary from any industrial activity recovery. Its diversified client base allows it to enjoy steady growth with low std.error through time as proven during the lockdowns.

The main upcoming theme will most likely be revolved around the recovery of industrial output, and likewise, the companies along the value chain will benefit. Now that the industry theme is identified, we can proceed with investing in the company that is best positioned to capitalise on this overall industrial output recovery. I'm choosing to put my money in SAMCHEM. Thank you.

There's no telling how high SAMCHEM would go after breaking its immediate resistances and consequently, its ATH. However, based on the company's continued pursuit of organic growth in the SEA region, I wish to see at least RM 1.58 based on the industry average 12x PE on SAMCHEM's FY21(F) earnings.

Note that this is quite a conservative estimate, I assumed the following 2 quarters left of FY21 sees no growth in earnings at all (which is quite unlikely given the current economic recovery and pent-up demand for industrial chemicals seen across its operating region will boost earnings).

Also, the Graham Number of SAMCHEM estimates a fair value of RM 1.96. Thank you.

As i mentioned in the chart link sent above, the current TA of SAMCHEM looks promising, the probability for it to break the ATH is verh high. Its latest weekly candle is also a green hammer which depicts the bulls grew much stronger than the bears towards the end of the week, this momentum should carry forward to this coming week and help it challenge the ATH. Exciting times are ahead!

glad to see a bigger crowd start to build in the forum, more people are turning their heads towards this gem

in Vietnam*

The increase in demand for chemicals provided by samchem will not only occur in Malaysia, but in all of its operating regions including vietnam, indonesia and singapore.

SAMCHEMS most recent quarter saw a record breaking revenue and PAT despite the lockdown in malaysia (its largest revenue contributor in FY20).

Now that the malaysian economy is recovering, it will begin contributing to the company's earnings again, bumping up the earnings even higher.

Moreover, in its most recent quarter, SAMCHEM saw its revenue from the Vietnam operating region jump by 120% yoy. Proving the immense growth SAMCHEM is seeing in the international market.

I am confident in the growth of SAMCHEM as a leading industrial and specialty chemicals distributor in the SEA region, atrributing this confidence to its strong consistent growth in Malaysia, and its recent explosive growth in Vietnam.

Dear SAMCHEM investors, here I share with you my technical analysis on the chart of SAMCHEM.

https://www.tradingview.com/chart/SAMCHEM/kgxsZDyn-MULTI-MONTH-UPTREND-JUST-BEGINNING-SAMCHEM/

In my opinion SAMCHEM is at its beginning of a multi month bullrun.

Please remember that the final decision to buy or sell is yours. Thankyou.

SAMCHEM's growth prospect is just too good to ignore, and yet many are still unaware.

scooped another batch of SAMCHEM today. it is better to buy when the market is not paying attention to it yet ;)

rakutens tp of rm 1.25 is quite a conservative estimate. I foresee an upwards revision when the upcoming earnings surprise is reported good luck all :)

I urge investors here to study deeper into SAMCHEM. only once you truly understand the business and its upcoming prospects, will you be peacefully holding for the longer term. a potential multibagger in the making

we*

don't worry about fifo. long term growth prospects are intact. the only reason people are still selling is because they do not know what ee know

please do not spread misinformation. SAMCHEM distributes industrial and specialty chemicals used in various industries, it is not a so called glove chemical player. SAMCHEM will benefit from the overall revival of the economy.

congratulations on your profit chyeoh1972. to me the price action is still very bullish and the potential margin for trade is not worth the risk of missing the boat completely

SAMCHEM is a gem that is still unnoticed by the general public and IBs have not initiated coverage on this gem. It is truly undervalued

SAMCHEM is attempting to break its resistance at 0.81 right now

SAMCHEM is a growth company and a potential multibagger in the making. I believe the market will appreciate its value very soon

@dragon328 great explanation on SAMCHEM's short term borrowings. I agree on that take as SAMCHEM has consistently managed to acquire chemicals in shortages and sell at a higher premium too.

to be presented this opportunity

yes. the growth potential has yet to be recognized by the broader market. how lucky of us

yes, samchem's earnings should continue to do well as it is well diversified geographically too. once the TA turns bullish, more investors will flock in

hi all, I wish to share my recent posting on SAMCHEM here. cheers. https://www.tradingview.com/chart/SAMCHEM/Q8rLBHyc-is-SAMCHEM-providing-the-GOLDEN-opportunity-for-investors/