steel piping and steel bar no sst imposed

most of steel counter prepare for next rally..

Source : ThesStar 7-5-18

“Unlike Ann Joo, Choo Bee has been less volatile in terms of earnings cycle as demand and ASP for steel products has been relatively stable.

“We believe that the flat steel segment will not suffer the same oversupply issue as the long steel segment but the flat steel segment is dependent on the import exemption which has to be renewed on a yearly basis.”

LSteel is a company in category of flat steel segment

Hopefully this year they will pay out dividends, the last time they pay dividin is 2011

downtrend market all share price drop like no tomorrow

new plant at changkat start production at july, stat tuned

Production Of rebar at kuching, increase production for steel piping product range at kapar , sg bakap, and bukit minyak, dividend in the making, stay tune

@henly, no planning production rebar or already start production rebar?

Gong xi fa cai

Never incurred loss even in a single individual quarter over last ten year, really undervalued gem :)

Chanteckfai, u can read the mind of lsteel management. Yesterday u say Mgt bought 200k share, today they really bought that qty, your insider very chun or just guess

i check back the report from Star :
"The group’s revenue and bottomline for the financial year ending Dec 31, 2017 is expected to reach a record-breaking level, thus making the results the best for the past five years."
The crook datin did not mention that Q3 is the best, she say only financial Dec31 17 is the best, but how can we believe her again

u r right. onlyinvestment, the qr is really under expected

pls do not bend me if i am wrong

the loss is attributed to tax expenses of 1.854 million these quarter, may be foreseen good profit for the coming q4

Why profit jump double, from what sources

U believe it, u will get what u beleve

i copy from Chanteckfai link :)

The Malaysian steel sector is under appreciated due to sporadic industrial metal sector and indicies. We upgrade selective steel plates, steel rebar, HRC and CRC counters to add with higher target prices to reflect near term visibility in earnings. We understand most counters will announce 3rd quarter results by 29 November 2017. We expect counters under our universe to record resilient 3rd quarter earnings of which momentum will be carried forward to the 4th quarter and 2018.

We selectively upgrade counters that we like, due to management's safeguarding of minority shareholders interest, amongst others. We upgrade LSTEEL, ANNJOO and LIONIND to OUTPERFORM with a higher target price of RM1.09, RM5.00, RM2.20. We reiterate MARKET PERFORM on MASTEEL, SSTEEL and AYS with target price of RM1.6, RM2.7, RM0.65.

We believe LSTEEL will continue to outperform its peers in terms of share price percentile, owing to the Group's near term earnings prospects coupled with its low valuation. LSTEEL and MASTEEL continue to trade at the lowest 0.60 PB/value multiples amongst Malaysian steel companies. We gather that LSTEEL trade at undeservingly low multiples was potentially due to the consistent selling of LSTEEL shares by Amanah Saham Bumiputra (that has since fully disposed their stake in LSTEEL). We observe a similar instance in MASTEEL due to the proposed private placement and reselling of treasury shares. We do not see further observable downside risk for LSTEEL due to the full exit of Amanah Saham fund. We gather that the Group will record a higher earnings in third quarter and record a CAGR growth of 130% in 2018 and 15% in 2019, albeit of a mid range base in 2017.

Lsteel price has been violated the 13 year long term declining line, the reversal signal is very reliable and huge.

榮达股价已突破十三年的長期下跌趋勢线，这股转强的讯号是非常可靠和强大的

缺口已補回，在下跌的过程又兩次出现垂子线，隔兩天又出现更高低位线，出了个大阳线，從新啟动上潴趋势，后市向好

LSteel price has been running side way since break out from 0.53 sen level, on 20-6-17, a significant technical analysis has been formed which signal the bullish reversal candlestick pattern. A hammer is a price pattern in candlestick charting that occurs when a security trades significantly lower than its opening, but rallies later in the day to close either above or near its opening price. This pattern forms a hammer-shaped candlestick, in which the body is at least half the size of the tail.

A hammer occurs after Lsteel price has been declining trend, Hammers are most effective when they are preceded by at least three or more consecutive declining candles, possibly suggesting the market is attempting to determine a bottom and simply indicates that the bulls are strengthening. The true confirmation of the hammer candle can only be made when the very next proceeding candle closes with a higher low than the hammer candle.



A Gap occurs when Lsteel price breakout at 3/6/17. The gap is being filled on 20-6-17. A gap closing mean the continuation of previous uptrend pattern shall persist, this shall further stiffer the further upside of Lsteel price in near future.

We shall continue monitor the price movement for the next few days

榮达經过几次來回洗盤
终於在2/6/17突破長期阻力线53分
在5/6/17, 配合新高成交量
股价关在63分。
大涨之后，股价呈欲罷不能之勢
星期五9/6/17股价闭市在64分。
相信來週还有一番作为

1. 周线已连4红
2. 10日，10周线斜削向上
3. 周量也呈历史新高
4. 股价突破一年新高
5. 外圍也唱好钢铁业

By kenaga - LSTEEL had been forming an ‘Ascending Triangle’-like chart pattern over the past year, while it staged a technical breakout from its multi-year resistance-turned-support level of RM0.535 (S1) last Friday on strong trading volume. Yesterday, the stock formed a second white candlestick while performing a technical gap-up, closing 6.0 sen (10.62%) to close at RM0.625. In tandem with that, the bullish convergence of MACD and strong upticks displayed by RSI/Stochastic further lay a hand on the bullish-bias outlook ahead, albeit being in initial stages of being overbought. From here, LSTEEL could look to climb further up towards RM0.63 (R1) and possibly RM0.74 (R2). Support levels are tied at RM0.53 (S1)/RM0.43 (S2).

The stock with positive momentum was:

Leader Steel Holdings Bhd – up 6 sen at 62.5 sen

"+ve" (suggesting a rising price trend on volume)

this is the important points

Leader Steel, G Neptune, Careplus, K. Seng Seng, PWF, OKA, HIL Industries
TheEdgeMon, Jun 05, 2017

KUALA LUMPUR (June 5): theedgemarkets.com highlighted seven stocks with momentum at Bursa Malaysia’s afternoon market close today. It showed one with positive momentum and six with negative momentum.

The stock with positive momentum was:

Leader Steel Holdings Bhd – up 6 sen at 62.5 sen

Stocks with negative momentum were:

G Neptune Bhd – up 0.5 sen at 8 sen

Careplus Group Bhd – up 3 sen at 41 sen

K. Seng Seng Corporation Bhd – up 2.5 sen at 55.5 sen

PWF Consolidated Bhd – up 9 sen at RM1.06

OKA Corporation Bhd – down 1 sen at RM1.67

HIL Industries Bhd – up 3 sen at RM1.23

The list of stocks with momentum is generated using a proprietary mathematical algorithm highlighting stocks with a build-up in trading volume and price. The algorithm differentiates between stocks that exhibit positive (+ve) momentum and negative (-ve) momentum.

This list is not a buy or sell recommendation. It merely tells you which stocks are seeing higher than normal volume and price movements. The share price may move up or down from this point. But the "+ve" (suggesting a rising price trend on volume) and "-ve" (suggesting a falling price trend on volume) indicators should give readers a better idea of what the market is buying and when to sell. Note also that momentum generally only persists for a short period of time.

However, each stock has an accompanying fundamental score and valuation score to help readers evaluate the attractiveness of the stocks, if they want to ride the momentum.

http://klse.i3investor.com/blogs/reason4invest/124603.jsp

price breaking 52 weeks high is a very very bullish sign, continue strong buy

Asb become smart Liao, stop selling recently

洗盤wash plate

Masteel rise too much from 0.75, This conform to buy on rumour , sell once good news confirm

One of good results from last 5 financial year, cheer,. The best will come after start production of long bar , become the fifth company to produce long bar after 長钢四俠

KLSE Screener KLSE Screener
Leader Steel to make rebars
TheStar Mon, May 01, 2017


Leader steel plans to produce a better quality steel rebars at a much more competitive pricing, (File pic shows Wisma Leader Steel located at Kawasan Perusahaan Bukit Tengah in Seberang Perai Tengah, Penang.)
Leader steel plans to produce a better quality steel rebars at a much more competitive pricing, (File pic shows Wisma Leader Steel located at Kawasan Perusahaan Bukit Tengah in Seberang Perai Tengah, Penang.)

BUKIT TENGAH: Leader Steel Holdings Bhd plans to start production of steel concrete reinforcing bars for the local construction industry soon.

Group managing director Datin Tan Pak Say told StarBiz this was the right time to start production of such reinforcing bars, known also as steel rebars, for the local market.

“The recent imposition of the 13.42% safeguard duty on imported steel concrete bars from 40 countries, which include China, has made it expensive for local hardware companies to buy from overseas.

“With this safeguard duty in place, the imported steel rebars will find it hard to compete with us.

“Leveraging on our existing production facilities, we can produce better quality steel rebars at a much more competitive pricing,” she said.

Tan added that the group had yet to decide which of its facilities in the country would be used to produce the steel concrete reinforcing bars.

Leader Steel presently has plants in Bukit Minyak, Sungai Bakap, Kuching and Klang.

“We are now preparing to start production.

“We can expect this segment of the business to start contributing positively in 2018,” she added.

On the first quarter ended March 31, 2017, Tan said the group expected performance to improve by a double-digit percentage over the same period a year ago.

“The performance would be boosted by the rise in steel pipe prices and the lower prices of essential raw materials such as cold-rolled and hot-rolled coils.

“This first quarter would be one of the top-performing quarters in the past three years,” she said.

Moving on, Tan said the group expected steel prices to remain stable this year.

Currently, the price of locally sourced cold-rolled coils is about RM3,000 per tonne, while the price of imported hot-rolled coils, which is not available in the local market, is hovering around RM2,500 per tonne.

She said steel-pipe prices had been on the rise since the second quarter of 2016 due to the stringent conditions regulating the entry of imported steel products.

“Since late 2013, imported steel products need to have product certificate licensing and a certificate of approval to sell in the country.

“As a result, there is less competition from low-quality steel products from overseas.

“The anti-dumping duties introduced in early 2015 for hot-rolled and cold-rolled coils from China are also beginning to produce results,” she added.

For the 2016 financial year ended Dec 31, the group posted RM6.75mil in net profit on the back of a RM167.3mil turnover.

In the star paper thru above link

http://www.klsescreener.com/v2/news/view/226823/leader-steel-to-make-rebars

長钢老大安裕，带头反彈了

I think the 'Chong' 庄家like the most if Amanah still dispose

The MD has disclosed that the first quarter results is the top peformance among the last few years. Amanah selling may be due to too long for Lsteel not shown good profit and dividen. Amanah should have read the Annual Report before selling the share.

The selling shall help liquidity of share

To me, they are selling too early before LSteel announcing good news is venturing in long bar business

http://www.klsescreener.com/v2/news/view/226823/leader-steel-to-make-rebars

HEAVY RESISTANCE @ 0.54

SUPPORT TURNED RESISTANCE @ 0.46

BUYING SUPPORT @ 0.405

RSI NEUTRAL 50%

TRADING WITHIN MACD 20 & 50

trading opportunities if volume increase. Steel play amist a very catious market.

Looking to retest 0.46 level after heavy profit taking.

trading range between 0.405 and 0.46

be patient, still in washing plate stage

rebound just in time..

Moving forward, the group expects the trend to maintain in 2017. “The prices of steel should maintain also. We can expect a strong double-digit percentage growth for the group in 2017.

“We plan to increase our production capacity by about 20% for 2017 to produce more variety of steel products in different sizes,” she added.


Extracted from star coverage, we foreseen profit shall maintain in 2017, EPs for 2016 of 5.3sen is a good start indeed .

SHARES in Leader Steel Holdings Bhd (fundamental: 0.3/3, valuation: 0.9/3) triggered our momentum algorithm yesterday for the first time this year.

The stock closed up 11.49% or five sen higher at 48.5 sen with 1.37 million shares traded, versus the counter’s 200-day average of 429,395 shares.

The company is engaged in the trading and processing of minerals such as iron ore, manganese, mill scales and slags. It also manufactures a range of steel products, including steel bars, pipes and tubes, and hollow sections.

In its third quarter ended Sept 30, 2016, Leader Steel made a net profit of RM2.41 million compared to its net loss of RM1.92 million a year ago, due to a higher profit margin from higher selling prices in the manufacturing segment. Quarterly revenue was up 7% at RM40.66 million compared with RM37.97 million a year ago.

Leader Steel is currently trading at 0.48 times its net book value.

Looking for good results as well as dividen from lsteel

if the quarter result is good, the price will start flying again

closing at 0.485 , hopping over 0.44 decisively, downtrend is reverse to uptrend

http://www.thestar.com.my/business/business-news/2016/12/19/leader-steel-sees-improved-revenue-profit/



By refering to the coverage of the STAR as above link, why I like Lsteel 9881 are outlined as following:-

1. According to the STAR paper , the demand of steel pipe and related product is promising, the management spend another 2 million capital expenditure to increase the production line at Sungai Bakap new branch. The new plant has been purchased from Eonmetall initially planning for production of Steel Billets.Outlook market for steel pipe is positive according to MISIF. The new production line shall contribute positively in the coming forth quarter results.

2. The coming 4th quarter results shall be getting better and better, due to supply of steel product from China is getting less and less due to safeguard tax. The steel pipe price already surging 30% from it low price now. The management has guarantee the double digit growth in the coming quarter result.

3. The management is controlling almost 75% of it share by direct or indirectly. Due to liquidity of share in the open market is less, the price can be easily push up and down.

4. Megasteel is shut down. Lioncorp is delisted .The safeguard of HRC also rejected. The company can sourcing the HRC from the international market freely. It is easily saving of RM450 per tone by compulsory sourcing the HRC from megasteel.

5. Emetall is producing CRC. LSteel and Emetall have same founder . LSteel can source CRC from its own internal company to ensure the cheaper and continuity supply of raw material for steel bar for furniture steel usage.

6. Lsteel have 3 factorys ie in Penang, Klang and Sarawak which scatter strategically all over east and west Malaysia. The network for it product it mainly hardware shop and also scattering all over Malaysia. By obtaining SIRIM recently in Sarawak, it is a synergy effect in increasing the sale and popularity of LSTEEL in Eastern Malaysia. Considering a lot of new projects such as Pan Borneo Highway etc just taking off.

7. The Theme for market investment for 2016 -2017 will be Steel and its related product. It is mainly due to China cut production and Iron ore price increase and Steel industries being compress and incur losses for so long, the cyclical season is finally back. The China has strong determination in cut production especially in Steel Insdustries considering the air pollution in the country is get worst screnario.

8. The NTA for LSTEEL is RM1.0, now it is trading 0.4 x of NTA. More potential upside. By complying to KYY golden rule in selection of share, ie current quarter results is getting better than previous results, the share price explosion is getting near.

9. The current climbing USD has boosted the export company such as furniture company. The demand for furniture steel is increasing, this will certainly help to boost the company coming quarter results for sure.

10. LSTEEL is a very low profile share company. But nowadays, newspaper , Kenanga , The Edge to start to do the coverage for LSTEEL to discover this undervalue GEM. When it is explode, the price will go sky high.

11. The management keep on buy back his own share up to 1.5% of total share. The management is very confidence of its business and know the market trend very well especially the Founder, they can smell better than a lot of retailers.

12. The really good news for LSTEEL still not yet emerge, but the price of LSTEEL has been rebound from its low of RM0.15. From budget 2017, government plan to help all small and medium size company by buying the equity. This will help to boost the liquidity and publicity of the company. One of the investing arm -Amanahraya Trustee of PNB have owned LSteel for 14%.



Potential of Share Price Explosion if the following occur :

13. Malaysian Iron and Steel Industry Federation (MISIF) sees recovery in the iron and steel industry, and better outlook in 2017 amid the current challenging economic condition. The current steel demand in ASEAN has been positive, adding that its demand growth is between 5% and 6% annually. Steel prices will stay normalised in the fourth quarter of this year and have an upward trend in 2017.

14. Last 3 years, I notice that there is a huge volume of LSTEEL share traded off market. According to the Bursa record, it is about 15% of total share. This meaning the dealer is starting buying the share during at its all time low. The LSTEEL share and volume and together with the good theme, it is easily for the dealer and investor to push the share price into rocket high.

15. One of the secret weapon for LSTEEL is trading of iron ore and manganese. The increase and stable price of iron ore will lead LSTEEL to more profitable results in coming quarters. Its contribute nearly 20% of group revenue .The price of iron ore is around USD75 at month of November/December 2016 from it low of USD38.