Top Glove Investment: Is the EPF trading or investing?- A Misconception


https://klse.i3investor.com/blogs/20200913StoryRM200Bil/2020-09-25-story-h1514324231-Top_Glove_Investment_Is_the_EPF_trading_or_investing_A_Misconception.jsp

@DickyMe

There is no stock value dilution in bonus issue.

Example:

Topglove has 1,000,000 shares @ RM3

Assuming after bonus issue, Topglove has 2,000,000 @ RM1.50

No much different in stock value except the movement of the share price.
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Posted by DickyMe > Sep 25, 2020 4:47 PM | Report Abuse

@Mkt_watcher

Calculation, need not be complex.

BONUS is FREE, yes given or alms for beggars holding the stock.
However, it increases # of shares, which dilutes the stock value.

Ever heard of DILUTION?
So the boss is busy SBB to repair the dent caused by BI.

It is simple.

Complex does not mean better because it's just to show off.

KWSP BOD

https://www.kwsp.gov.my/about-epf/corporate-profile/organisation-structure#boardMembers

Tan Sri Lim is there

Covid-19 able to spread anywhere. To be safe, everyone needs to be vaccinates. Similar to TB vaccination.

Coronavirus vaccine won’t bring about fairytale ending to pandemic

https://klse.i3investor.com/blogs/20200913StoryRM200Bil/2020-09-22-story-h1514243696-Coronavirus_vaccine_won_t_bring_about_fairytale_ending_to_pandemic.jsp

Coronavirus vaccine won’t bring about fairytale ending to pandemic

https://klse.i3investor.com/blogs/20200913StoryRM200Bil/2020-09-22-story-h1514243696-Coronavirus_vaccine_won_t_bring_about_fairytale_ending_to_pandemic.jsp

@ gnath_77

There's several indicator for a market to crash and not all indicators are flashing. So no market crashes in the next 6 months.
Beyond that, another set of indicators will apply accordingly.

Note: Referring to economic indicators and policy(fiscal/monetary) from central bankers.

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Posted by gnath_77 > Sep 22, 2020 1:57 PM | Report Abuse

that is what i have been saying from last week.... close all your portfolio and have CASH on hand... Cash is KING during market crash... now it is not a good sentiment in market... very severely dangerous awaiting to burst in NYSE... once the october moratorium news, Nov US election news, call warrant expiry, and South China Sea issue is monitored, keep all cash first...

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AudiQ7 gnath_77..based on current situation, which counter you feel benefit the most?seems like nobody can buy any stock now based on your said ‘facts’
22/09/2020 1:50 PM

Refer to last quarter press release(May2020) from Topglove.
Topglove is now world largest nitrile glove producer.

@ hahalolwtf

Based on your answer, you are a gambler, not an investor.

Some of us kept for many years. We are investors in the glove biz, the owners are the one working for us and accountable to us as shareholders.

I recalled a few people here kept since early 2000.

I believe they will be laughing at your comment.

Yeah.

AGreed on that.

If glove will be around for the next 20 years, it will definitely repeat its feat again, a multi bagger.

Tan Sri Lim is looking at USD40 billion revenue by 2040.

Based on a conservative 20% PAT, it would be USD8 billion in PAT in 2040.

Assuming no change in no of shares and exchange rate of RM3.80 to USD1, that will be a EPS=RM3.60.

If we use historical average PE=29 in the last 3 years, will be hoping it will be RM104 by 2040.

That is abt 1200% return in 20 years which is abt 60% return per annum.

Note: Calculations based on ZERO pandemic in next 20 years, zero dividend rate and zero bonus issue.

@ hahalolwtf


Before you speak and comment further in all the glove forums, have you thought that before you are conceived in your mother's womb:

- Glove industry had already done well that time
- When you are born into the world, I'm pretty confident, the doctor or nurse would be wearing a glove to bring you into the world.
- Compared it with the day you're born till today, is the glove industry struggling or growing exponentially?

Then you may speak with wisely.

Spot on.
I'm really hoping that the blog with reach their ears and wake UP!

Yes, you have a good point.

Time to Reflect on Glove investing

https://klse.i3investor.com/blogs/20200913StoryRM200Bil/2020-09-19-story-h1514207234-Time_to_Reflect_on_Glove_investing.jsp

Time to Reflect on Glove investing

https://klse.i3investor.com/blogs/20200913StoryRM200Bil/2020-09-19-story-h1514207234-Time_to_Reflect_on_Glove_investing.jsp

Time to Reflect on Glove investing

https://klse.i3investor.com/blogs/20200913StoryRM200Bil/2020-09-19-story-h1514207234-Time_to_Reflect_on_Glove_investing.jsp

Time to Reflect on Glove investing

https://klse.i3investor.com/blogs/20200913StoryRM200Bil/2020-09-19-story-h1514207234-Time_to_Reflect_on_Glove_investing.jsp

TOPGLOVE: IB & Brokerages Fear To Allocate PE>10 for 2021 Earnings

https://klse.i3investor.com/blogs/20200913StoryRM200Bil/2020-09-18-story-h1513558284-TOPGLOVE_IB_Brokerages_Fear_To_Allocate_PE_10_for_2021_Earnings.jsp

Covid-19: New fear grips Europe as cases top 30m worldwide

Surging coronavirus figures on the continent should serve as "a wake-up call", the World Health Organization's regional director has said.

Speaking in Copenhagen on Thursday, Hans Kluge said in the past two weeks the number of new cases had doubled in more than half of European member states.

https://www.bbc.com/news/world-54199825

France and Spain are now seeing more new cases every day than they did when the virus originally peaked in the spring. Israel on Friday entered a second nationwide lockdown, shuttering restaurants, hotels, gyms and more, amid soaring new cases and as the Jewish High Holiday season begins.

Intensive care units in hospitals in some parts of France are now nearing capacity, Van Kerkhove said Friday on CNN, adding that hospitalizations are doubling roughly every eight days in the United Kingdom.

“We haven’t even started to hit the flu season yet so we’re worried that these increasing numbers of hospitalization and ICU are really going to overburden an already burdened system,” she said on CNN.

https://www.cnbc.com/2020/09/18/pandemic-fatigue-leads-to-resurgence-of-coronavirus-in-europe-where-france-and-spain-hit-records.html

Looks like penta has stabilise between 4.4 - 4.80 for a few weeks.

World’s largest medical glove maker sees strong growth ahead as pandemic sparks global surge in demand

https://www.cnbc.com/2020/09/18/top-glove-sees-strong-growth-ahead-covid-19-sparks-global-demand-surge.html

6 answers on behalf on Topglove Boss as he announces over RM1b quarterly profit today.


https://klse.i3investor.com/blogs/20200913StoryRM200Bil/2020-09-17-story-h1513551838-6_answers_on_behalf_on_Topglove_Boss_as_he_announces_over_RM1b_quarterl.jsp

CDC director says face masks may provide more protection than coronavirus vaccine.

https://www.cnbc.com/2020/09/16/cdc-director-says-face-masks-may-provide-more-protection-than-coronavirus-vaccine-.html

CDC director says face masks may provide more protection than coronavirus vaccine

https://www.cnbc.com/2020/09/16/cdc-director-says-face-masks-may-provide-more-protection-than-coronavirus-vaccine-.html

https://klse.i3investor.com/blogs/20200913StoryRM200Bil/2020-09-16-story-h1513524771-TOPGLOVE_Fortune_500_Company_with_USD40billion_Revenue_by_2040.jsp

https://klse.i3investor.com/blogs/20200913StoryRM200Bil/2020-09-13-story-h1513469032-TOPGLOVE_Malaysia_first_RM_200_billion_company.jsp

Wow. That's a heavy selling pressure as the company buyback from 7.40 to 6.12.

Typical IB style, give low TP for price to drop, for them to collect lower.
Then release a higher TP when result is out.

IB may be intentionally releasing low TP so that the share price will be lower for them to collect. When the QR results is superb, they will write it as undervalue and assigning a high TP.

Why a PPE shortage still plagues America and what we need to do about it

Doctors and nurses are still reusing single use N-95s and experiencing shortages of face shields and gloves. How did this happen in a country ranked No. 1 in pandemic preparedness by the WHO, one which comprises 40% of total global pharma spending, and represents 24% of global economic output?

https://www.cnbc.com/2020/08/22/coronavirus-why-a-ppe-shortage-still-plagues-the-us.html

Why a PPE shortage still plagues America and what we need to do about it

https://www.cnbc.com/2020/08/22/coronavirus-why-a-ppe-shortage-still-plagues-the-us.html

@bkeong

You are implying that next 6 months, no more profit growth?

Do you know gloves are a necessity even when pandemic like Covid 19 stops?

I'm very confident that 30 years down the road in your elderly condition, the nurse attending to you will be wearing a pair of gloves.



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Posted by bkeong > Sep 6, 2020 11:23 PM | Report Abuse

Newbie, share price reflect future expectations ( say in six month) , glove counters current price up how many times since March already . The current price reflect current profit growth. What is the next six months ? every quarter profit growth 100% again ?

These days, quite difficult to find companies that can make a guaranteed good profit with guaranteed good profit margin consistently for next 12 mths.
I can only think of glove at this moment.
Don't really bother about the share price movement.
At the end of the day, the company that makes the best profits consistently should be reflected in the share price as well.

It doesn't matter glove in red zone for a few days.

Green color earnings and extreme profit growth % will lead to higher share price.

I never believe a company share price that register profit earnings growth 100% every quarter will be in the red forever.

Possible the Harta is looking to be the 1st glove company to hit RM100.

The IBs kept adjusting higher target price.
Why can't they estimate the fair value by anticipating the peak earnings.
Foe example, putting RM4 billion profit after tax per annum based on peak earnings for this pandemic. Thus, it will generate estimated eps=RM1.40, then assigning pe=20(lowest), which will provide a target price of RM28.

Then leave it alone till the pandemic hits peak.

Malaysia's glove makers struggle to meet booming demand


Malaysian manufacturer Top Glove, which describes itself as the world's biggest producer of rubber gloves, said it is seeing orders for 11-12 billion a month, compared with 4.5 billion prior to the pandemic.

As a result, customers must now wait nearly 600 days for their orders to be filled, compared with a normal delivery time of 30-40 days, said chief executive, Lim Wee Chai.

US-based Allied Market Research estimates that the global disposable gloves market amounted to US$6.8 billion in 2019, and is expected to nearly triple to US$18.8 billion by 2027.

https://www.nst.com.my/world/world/2020/09/622064/malaysias-glove-makers-struggle-meet-booming-demand

Malaysia's glove makers struggle to meet booming demand


Malaysian manufacturer Top Glove, which describes itself as the world's biggest producer of rubber gloves, said it is seeing orders for 11-12 billion a month, compared with 4.5 billion prior to the pandemic.

As a result, customers must now wait nearly 600 days for their orders to be filled, compared with a normal delivery time of 30-40 days, said chief executive, Lim Wee Chai.

US-based Allied Market Research estimates that the global disposable gloves market amounted to US$6.8 billion in 2019, and is expected to nearly triple to US$18.8 billion by 2027.

https://www.nst.com.my/world/world/2020/09/622064/malaysias-glove-makers-struggle-meet-booming-demand

Jakarta cemetery space running out as Covid-19 cases goes above 190,000 and death toll at 7,940


https://www.thestar.com.my/aseanplus/aseanplus-news/2020/09/05/jakarta-cemetery-space-running-out-covid-19-cases-goes-above-190000-and-death-toll-at-7940

WHO says widespread coronavirus vaccinations are not expected until mid-2021

The organization is stressing the importance of rigorous checks on their effectiveness and safety.

None of the candidate vaccines in advanced clinical trials so far has demonstrated a “clear signal” of efficacy at the level of at least 50% sought by the WHO, spokeswoman Margaret Harris said.

https://www.cnbc.com/2020/09/04/who-says-widespread-coronavirus-vaccinations-are-not-expected-until-mid-2021-.html

Widespread vaccinations against the coronavirus are not expected until mid-2021, a spokeswoman for the World Health Organization said, Reuters reported.

“We are not expecting to see widespread vaccination until the middle of next year,” spokeswoman Margaret Harris told reporters at a briefing in the United Nations agency’s Geneva headquarters, according to Reuters.

https://www.cnbc.com/2020/09/04/who-says-widespread-coronavirus-vaccinations-are-not-expected-until-mid-2021-.html

Trump’s vaccine chief says unlikely one is ready by November

Dr. Moncef Slaoui, the chief advisor for Operation Warp Speed, the White House’s vaccine program, said in an interview with NPR that a vaccine is unlikely to be ready and introduced into the population before November.

Slaoui’s comments come after the Centers for Disease Control and Prevention directed state health officials to be prepared to distribute a vaccine by Nov. 1. The move raised concerns that the date was tied to the approaching Nov. 3 presidential election. Slaoui said the date is for planning purposes and that “it’s the right thing to do to be prepared in case.”

https://www.cnbc.com/2020/09/04/coronavirus-live-updates.html

Good write up.
Pharma are not displaying ANY superior revenue & profit as compared to gloves.
Pharma are just hypes and there's so many of them unlike the major top5 for glove that commands 70% of market share for gloves.

Agreed.
Supermax will lead the rally as it can capitalise on ASP growth
Topglove will lead the 2nd leg of the rally having the largest capacity to spare for spot price.

Different company serves different location(50 states) as US market is huge with population of 328mil

Actually, Top Glove ban is good for others especially, Supermax and the rest will cover for Top Glove banned capacity. Besides, ASP for US is 5% higher than other countries.

Probably need some time for US Customs to verify the audit.
In this short term(3mths-6 mths), no impact to Top Glove as order backlogs can be fulfilled with US capacity.

BlackRock says it’s ‘underweight’ stocks in emerging markets due to the coronavirus

Emerging markets have reported some of the highest numbers of cumulative coronavirus cases globally, according to data compiled by Johns Hopkins University. Four of the five countries with the largest outbreaks — Brazil, India, Russia and Peru — are emerging markets, the data showed.


https://www.cnbc.com/2020/09/03/blackrock-is-underweight-emerging-market-stocks-due-to-coronavirus.html

Agreed.

Will still post good quarter results regardless of US ban.

But it will apply during this pandemic period only.

The fact is demand backlog is more than 9 mths.

US portion can be absorbed easily with europe and other asia countries.