Wow.... if dividend is 25 sen, yield is more than 10% at this price

Last day for 18sen dividend

If bad news, they push up the price, good news push down....

Tomorrow is the listing of new shares arising from dividend reinvestment.

Based on KPS announcement today, 2nd year profit guarantee for purchase of Toyoplas amounting to RM42.3m will be deferred to FY2021. Toyoplas only contributed RM11m for FY2020 i.e. shortfall of 31.3m. Hence, results for FY2021 from Toyoplas only will be RM42.3m which is more than the entire FY2020 profit of RM34.8m. KPS is seriously undervalued. Given the profit guarantee, KPS price should see significant upside.

Q3 Outlook for LC Titan (as per Lotte Chemical Korea Q2 Results Presentation)

Robust profitability forecasted as oil prices expected to remain low

‐Commodity PE/PP demand increase for food packaging, etc.
‐Countries across the world continued to lift covid 19
lockdown measure

BTS, thanks for sharing your views on the cimb report. Appreciate it.

Thanks to all the sifus for their sharing. I decided to read the CIMB report on Lctitan to understand their basis for a target price of RM1.62.

I note that CIMB has excluded RM3.8 billion cash set aside for the Integrated Petrochemical Project in Indonesia from their valuation of Lctitan, this alone works out to be RM1.69 per Lctitan share.

"Our valuation for LCT excludes the cash that LCT has set aside for its Integrated
Petrochemical Facility (IPF) project in Indonesia, which is slated to be
commissioned in 2023F, although the company has hinted that the project’s
commissioning date may be delayed as a result of the current global oversupply
situation."

I do not agree with CIMB's valuation, this cash set aside must be included in the valuation as this cash although not utilised belongs to the shareholders. If this cash of RM3.8 billion is included in the valuation, Lctitan should be valued at RM3.31 per share.

Given the current price of RM1.95, each share is backed by cash of RM2.03 per share which doesn't include the existing business valuation. This is a great investment opportunity. Not suprised if Lctitan shoots up on Monday morning.

Appreciate views on the above.