Samchem this QR is definately one of the excellent results among all the QR that released recently. Profit growth is superb and able to justify the share price increase (Not like most of the tech company that reported lower than expected profit growth qoq but share price increase substantially)

1. Yoy growth 160.9%, qoq growth 89.5%
2. Good result due to increase in selling price, margin expansion (net profit margin increase from range 1-2% to 3-6% recently) and finance cost reduction.
3. There is one off item of RM3.6m provision of doubtful debt. Samchem could report higher profit if this not happen
4. Declare 2 cents dividend
5. Low forward PE

This company is really in low profile and just focus on its business and will reward its shareholder in dividend. Earn more, pay out more to shareholders.

I also think that the good performance was partly due to weak USD bcz Samchem import from oversea. If USD weaken further, Samchem is likely to benefit. Also, most of the countries are starting to recover from covid and this will increase the demand for chemical slowly.

My 2 cents.

Looks like a lot of expert here.

They are saying:

1. If growth is 100%, share price will up, regardless how many % share price increase in the past.
2. If growth is 10%, dont worry, share price will up, regardless how many % share price increase in the past.
3. If growth is 1%, dont worry, share price will also up, regardless how many % share price increase in the past.
4.If no growth, dont worry, share price will also increase.

To them, as long as they hold the share, the price ahould increase forever bcz there is growth or eve no growth. No need to see price in the past.

Good quarter, but definately lower than expected profit.

Only 9.4% qoq growth vs almost 50% run up of share price since Nov2020 till today. Justifiable?

Look at IB estimated profit and compare the actual profit achieved. Its lower than expected.

But dont worry. Many will come out and shout at look at long term dont look at current bcz current is history. They try to defend the high PE. This is how ppl investing now.

But they never think of future is built based on current and current decide future. Haizzz.

IMwhatIM- I think your comments make sense only if you are a long term investor. (Not sure whether you are or not)

The report alrdy projected high growth in revenue from 2021 onwards to come out the tp.

I dont know how investor can see beyond fews year down the road as we cant even have the visibility in the coming year. Do you mind to share?

Thanks gemfinder for the report.

However, we must use our judgement to read the report.

The TP is based on 2022, and now we are just in Feb 2021. Market price now is RM6.22, meaning about 10% upside from now till 2022.

Do you think upside is greater than downside or downside is greater than upside within this 22 months?

Those want to chase now must consider baik baik the risk and reward.

So you are saying you are gambling instead of investing?
Gambling is "modern minded thinking"?

Pui fuk pui fuk..thanks for sharing.

Serba alrdy up 10% from 1 month ago till now. The results is good and price do not up so much yet so we call this undervalue. How about MI?

Thanks John for your reply. I think ppl only want to know how you get RM3, when will hit RM3 and what is the rationale to hit RM3. Other than that no one is interested to know all your others irrelevant thing. Pls share the RM3.

How you know prospect is good and how you measure the performance without qr? QR is the most important things.

Ya tech stock will grow, but not with this kind of high valuation.

RM3? How you get RM3? Just from your mouth? You can even use high PE of 1000 if you want. What else stock you own? Apply PE 1000 for all your stock then you will be very rich, in your dream.

Dartmaster- The truth is you cannot accept any negative comments on tech company bcz you are holding it. You only want to hear positive things bcz you are holding it.

newbie2y- Looks like QR is not important to you bcz you always look forward and prospect. You can even look forward 100 years ahead from now if you want. If a QR is good, you will say the company is very good and prospect is good.
If a QR is bad, you will say dont look at history result, look at the prospect. Then what is the purpose of QR.

Also, tech company surge was due to covid19 accelerate the rise of technology. Now covid19 is going to be controlled bcz of vaccine but you say it will still benefit tech company?

Pls la, dont be bias in investing. Dont try to defend something when its underperform.

Be realistic and pls come back to earth from Mars

I think yesterday surge in share price was due to ppl are using their unlimited imagination in their mind to force themselves in believing this counter is very very going to benefitted from MyDigital plan.

Really amazing.

Hey JollyAndy, we can see all these things you shared in the quarterly results, no need to paste it here again. Reporter is not needed. If you insist to share something here to justify this counter is good buy then pls share your view and some simple analysis maybe to support your view. Like this it will be more helpful than just copy and paste

HuatlaiOnglai- I hope you understand my question. You looks so understand about the business and its potential so you must be able to tell your implied value of this counter in maybe 1 year ahead, 3 year ahead or even 5 year..Pls share some simple analysis to support your statement about the potential to justify. If you dont know then your comment looks very unconvinced. My 2 cents as well.

Lomas- Are you seriously comparing Revenue to Tesla. OMG..I have no further comments.

Is Revenue really that good until it can command such high premium valuation?

This quarter results is telling investors dont chase high on tech company anymore. I believe most of the coming results of tech company will not meet expectation. Once not meet, price will drop significantly for sure.

Let's assume revenue can continue report RM4m net profit in the next quarter, then 1 year is RM16m. Annual 1 year forward EPS is RM0.037. What kind of PE market willing to give Revenue? What kind and how high you are willing to pay?

PE30= RM1.10
PE40=RM1.47
PE50=RM1.84
PE60=RM2.21

TM34535- Maybe you are right. Market now is flooded with liquidity that is why a lot of stocks overvalued. But if just based on 'FA is good' and we can enjoy the ride regardless of the valuation, then why market will go through correction?

Go Lucky Happy- I dont really study on Genetech so cant comment. But I think investors are expecting the coming results will be good gua. If results below expectation it will still come down.

Longterminvestorr- I agree with you share is about future that is why I tried calculated the forward PE as per previous comment. That is 1 year forward PE. If you want you can also compute the PEG as well, which is PE/Growth, 83.23/45= 1.85. PEG more than 1 means overvalued.

Apple PE is only 36 if not mistaken. For Tesla, I think it's due to 名人效应. In Malaysia we dont have such level ppl.

I am not to create unfriendly environment ya just to express my opinion.

TM34535- Greatech is definately good. Problem now is Market Expectation vs Actual Results. To me, market alrdy too overly value this counter. I will only buy when the price become more attractive.

Nonetheless, market is always right. Let's see tomorrow on how market to react on this.

Pls open your eye big big..There are 3 reversal amounting to RM5.2m in this quarter. Take off this RM5.2m the actual core net profit is only RM23.4m, which is flat qoq growth. Not to mention the non recurring revenue from new customer in EV. If we know the amount, the PAT will even lower than RM23.4m.

If we look forward, even if I take the whole order book amount RM351.2m (report says its till 1st half of 2022) as 2021 revenue and aggressively apply highest historical PAT margin of 37.5%, the estimated 2021 PAT is RM131.7m. Forward PE is hence 57.6, which is significantly overvalued. How you get forward PE 30? Dont mislead ppl la woi...

I think someone in market alrdy started discover Samchem and start accumulate quitely now.

Stock price shoot up so many times but flat qoq growth...tomorrow you will see how market react to this results that substantially lower than expected. Same will apply to whole tech sector or tech company which cannot deliver high growth

怎样上来就怎样下去

Recovery is expected to be next the market theme. Cheers

Some countries are already seeing downtrend of covid19 cases after vaccinated. Hopefully we can see improvement around the world gradually.

Airport is definately a recovery stock.

Samchem:

1. Stable business model and stable growth
2. Growth comes from recently appointed central region distribution for Shell Lubricants on top of existing eastern and northern region distribution.
3. Dividend: Look at the dividend payout by Samchem. Earn more, pay out more.
4. Will benefit from USD depreciation as Samchem import from oversea
5. Low valuation

Most of the ppl here is just gambling..this is a goreng stock.

Everyone here is so excited. Keep an eye of the results of others O&G company to be announced soon. It will affect the price performance, either up or down.

Previously EPF was selling aggressively and cap the price..hopefully now the price can perform after a good result

This quarter is an indication of further weakening profit in the coming quarter. Strengthening of RM is definitely not in favor of FPI. RM is expected to appreciate this year. So watch out guys.

Don't think so..caustic soda price dropped a lot yoy and qoq..based on this i would think 4q results will weak.

Is someone manipulating the price? Couldn't understand why the price will keep on increasing given the gloomy outlook in near term.

Today's slump of glove counter's share price is most probably because of the concerns on glove oversupply. This make me worry on whether CCM's polymer business will be affected moving forward.

According to research report, CCM has direct exposure to glove sector due to its polymer is used in glove manufacturing process. To note, polymer segment account for c.23% of group’s revenues and c.30% of PBT.

I think the financial performance of the company will be affected by the falling caustic soda price. It will take time for the price to rebound to previous high level. Hence, CCM will probably deliver a weaker qoq results for Q4. Also, if you look at 1Q2018, the results was good due to high caustic soda price in 1Q2018. Moving to 1Q2019, there will be a high base comparison.It will be challenging for the company to surpass the 1Q2018 if caustic soda price is not rebounding.
Please be aware of this.

KPJ business is recession proof and resilient. I think it will be a good chance now to accumulate due to share price weakness.