Posted by upsidedown119 > 2019-05-23 16:52 | Report Abuse

Yeah, down trend confirmed? If so, its the time of the trolls.

Posted by Veron_teo > 2019-05-23 18:03 | Report Abuse

tomorrow sure plunge below 1.2 tp 0.1. all China business close down

Posted by Ah Keong > 2019-05-24 02:13 | Report Abuse

tomorrow got big sale offer

Posted by upsidedown119 > 2019-05-24 09:17 | Report Abuse

Veron=kelvin. He is a hermaphrodite.

Posted by upsidedown119 > 2019-05-24 10:07 | Report Abuse

@Yu_and_Mee. Go by the chart not by the farts.

Posted by upsidedown119 > 2019-05-24 10:08 | Report Abuse

Let the trolls have their hour. Night come, so does the day.

Posted by upsidedown119 > 2019-05-24 10:13 | Report Abuse

TSMC is Taiwan-based. Even if TSMC cuts Huawei, it would delay but not stop Huawei. But that would be the end of TSMC since China is by far the world's largest consumer of chips.

Posted by upsidedown119 > 2019-05-24 10:27 | Report Abuse

Maybe.

Posted by lai81533 > 2019-05-24 13:38 | Report Abuse

going up. Hahaha

Posted by Zachs > 2019-05-24 15:16 | Report Abuse

is time for a rebound!!

Posted by upsidedown119 > 2019-05-24 15:39 | Report Abuse

Today's "dead cat bounce".

Posted by newages00 > 2019-05-24 15:47 | Report Abuse

everything may be solved and now all stock is bargain

Posted by newages00 > 2019-05-24 15:48 | Report Abuse

https://www.sinchew.com.my/content/content_2058357.html

Posted by Veron_teo > 2019-05-25 23:49 | Report Abuse

should go 0.8 next week. tsmc will lost order from huawei. tsmc bye Nye frontkn also bye bye

Posted by Dickyyou > 2019-05-27 04:30 | Report Abuse

Delisting soon bec Huawei news.

Posted by xyxy8 > 2019-05-27 04:46 | Report Abuse

From Presidentroticanai
-'KUALA LUMPUR (May 21): Frontken Corp Bhd is unaffected by sanctions from the US targeting tech giant Huawei, as a key supplier for the firm still requires the Malaysian company's services in producing Apple's A13 chip, said Maybank Investment Bank.

The investment bank said TSMC will continue to provide security updates for Huawei's Kirin 980 processor and supply Kirin 985 processors as its early evaluation shows that it meets export control regulations.

The tech giant is still reliant on TSMC for its processors as Huawei is only able to manufacture chips as small as 14nm, while TSMC is able to produce chips that are 7nm and smaller.

Moreover, TSMC is also is gearing up for volume production of the A13 chip, which will power new iPhones this year, which use the 7nm and 7nm processes.

The investment bank believes this will bode well for Frontken given its the precision-cleaning expertise.

Posted by freddiehero > 2019-05-27 08:36 | Report Abuse

money holding power need c investor lo..

Posted by kelvin > 2019-05-27 09:14 | Report Abuse

i think you all dont understand what is happening ... ARM ban huawei, huawei will not get the processor blue print from ARM and then give TSMC to manufacture ... so the report from maybank not valid anymore ...

Posted by freddiehero > 2019-05-27 09:42 | Report Abuse

lets break 1.0

Posted by freddiehero > 2019-05-27 09:42 | Report Abuse

lucky price 0.68

Posted by DickyMe > 2019-05-27 10:36 | Report Abuse

Already disposed this stock @1.40. Will wait until world politics and economy tussles calm down. Meanwhile, nothing great happening in market until the end of year. This stock will tempt investors but the decline will be fast. Up 1 down 3..pattern.

Posted by Veron_teo > 2019-05-27 10:54 | Report Abuse

please avoid. frontkn gonnna earn leas

Posted by Hanzo > 2019-05-27 11:29 | Report Abuse

From technology and regulation stand point there's no problem at all with Frontken.

TSMC still Huawei provider plus the gap left by Huawei in global market will be fill up with other brands which will use chip from TSMC.

Newer iPhone model also be a good factor for Frontken.

Maybank evaluation was not based on assumption alone, they did make research.

People panic on news and keep selling without actually take deep consideration.

Posted by Veron_teo > 2019-05-27 12:27 | Report Abuse

lol.. no company will order as much as huawei . don't be naive

Posted by abn10 > 2019-05-27 12:42 | Report Abuse

Tomorrow will fly to 10.00

Posted by kelvin > 2019-05-27 15:40 | Report Abuse

fly to 20.

Posted by abn10 > 2019-05-28 05:31 | Report Abuse

Taipei: Taiwan Semiconductor Manufacturing Company (TSMC) - the world's largest contract chipset maker - has officially announced the beginning of mass production of its second-generation 7nm process for Kirin 985 and or A13 chipsets.
The top-notch Kirin 985 chipset would likely feature in Huawei's flagship Mate 30, while A13 would come with Apple's 2019 iPhones.
"This is the first time the Taiwanese company is implementing EUV lithography, taking a step towards becoming the main competitor of Intel and Samsung," the GSMArena reported on Monday.
The announcement comes days after TSMC said it would continue delivering critical semiconductors to Huawei Technologies even as chip designer ARM has cut ties with the tech giant.
Other firms that will continue shipping products that do not violate US restrictions to Huawei, include Panasonic and Chinese computer maker Lenovo Group.
On May 15, US President Donald Trump effectively banned Huawei with a national security order.
The US publicly asked its allies to steer clear of using Huawei products over concerns that the equipment could be used by the Chinese government to obtain private information

Posted by Hanzo > 2019-05-28 16:00 | Report Abuse

7nm is going to be big, target price still 1.80

Posted by Veron_teo > 2019-05-28 17:55 | Report Abuse

who going to buy the 7NM ????

Posted by Hanzo > 2019-05-29 09:46 | Report Abuse

AMD, APPLE, NVIDIA, MEDIATEK

Posted by Veron_teo > 2019-05-29 12:49 | Report Abuse

they won't buy so much compare huawei

Posted by newbie8080 > 2019-05-29 14:32 | Report Abuse

Not much impact from Huawei. China's local demand should be able to cover the shortfall as some of those patriotic users will switch from Samsung and Apple to Huawei.

However, overall number of new phones sales for all brands will still drop as customers extend their new phone purchase from 2 years to 3 years.

Thus, will have minor drop in cleaning services from Frontken as jobs from TSMC would drop would also reduced accordingly.
Unlike what Maybank IB mentioned about whether utilisation of 40% or 90% cleaning would still be required.

That may be misleading as TSMC would likely be utilising less equipments for manufacturing chip processors. For example, 50 units equipment to produce 1,000,000 chips at utilisation capacity of 40%, TSMC would use 22 units of equipment to produce the same number of chip processors at 100% utilisation.

Posted by abn10 > 2019-05-29 18:43 | Report Abuse

Exactly newbie8080. Just collect more the price is undervalued. Or maybe when rsi is oversold. Its normal that market has its own emotion, like the knee jerk decision. Its just because the fear looming around the tech war, but once market realize it doesnt impact significantly, price will start to rise again. Why not collect when low? Why want to buy when high? Frontkn has broght prospect, when its low it means discount. Unless fronken is on the verge of bankruptcy or something really bad happens to them internally. My opinion so far it was just the market uncertainties and this definitely means temporary

Posted by kelvin > 2019-05-30 08:24 | Report Abuse

abn10, you got read all what newbie said ? hahahahahaha

Posted by WhiteWolf > 2019-05-30 11:15 | Report Abuse

Anyone there at the AGM today? Can share later what was said? TQ

Posted by kelvin > 2019-05-30 11:41 | Report Abuse

see the share price can know good or bad ... lol. now green means no bad news

Posted by ruby20 > 2019-05-30 16:47 |

Post removed.Why?

Posted by ruby20 > 2019-05-30 16:47 | Report Abuse

From trade war / tech war to cash usage to competitive advantage to 2019 outlook.

Posted by csliew007 > 2019-05-30 20:51 | Report Abuse

The AGM went straight to the Q&A session. Will bundle them in 10 specific points. Please note that this is a sharing from my own perspective, there might be error on my part.

1. Trade War
Few shareholders asked about tradewar, techwar, delay in the rollout of 5G - they're concerned about the fact that around half of Frontken customer are Taiwan based companies, and that recently there's a downturn in semiconductor companies in Taiwan as well as globally.

CEO answered that so far, they havent seen any impact from trade war just yet, but the future is uncertain. He mentions that Frontken is well diversified with 100 customers, and that their customers are still getting orders from giants such as AMD, Nvidia, IBM. He also doesnt think that this trade / tech war effects long term and is confident that Frontken have a very promising outlook.

2. Cyclical trend
CEO mentions that Frontken is dependant on customer cycle and that their clients tend to have stronger 2nd half which peaks in Q4 as normally new tech products are designed and start manufacturing then. In 2019, 1st half of the year is abit slow from their client. When asked if he sees a stronger cycle this year as compared to last year, He stressed that Frontken is at the FAB level and they haven't seen any slowdown in production.

3. Competitive Advantage
From the Q&A, there's a clear emphasis that Frontken have an edge over their innovation and technology over their peers, and this is down to their R&D team. Next year, Frontken is ready to handle 5nm production, and going to start that commercially in 2020. They're also doing R&D for cleaning for 3nm chips but that's not until 2021 at the earliest. He also emphasize that the market is big enough and is not worried about competition. Lastly there's competitive advantage in their economies of scale, in the sense that they're becoming more efficient and effective from their production than ever before

4. China
When asked about expanding to China, CEO mentions that there's already an indirect exposure to that country via their clients from Taiwan but there's very few direct clients from China. He also mentions that they believe they're superior cleaner than peers in china and that it's a concious decision not to be in China. Geographically it's a challenge to be in China and delivering there. It's a volume game and since their focus is to make money, they might not set up base in China

5. Oil & Gas
Frontken is bullish on the developments in oil & gas sector and its contribution to bottom line. It expects oil and gas industry to contribute about 25% to total revenue in 2019. It highlights that business done in this sector is starting to profit. It was loss making in 2017 but in q1 2019 alone, profit made from this segment make the whole entire profit in 2018.

6. Cash
Frontken has alot of cash and they're consistently on the lookout for M&A to expand tech base. CEO mentions that he's very picky on M&A. Furthermore, he stresses that Frontken been paying out dividend increasingly. There's also no plan to spend big on capex

7. Secret Sauce
Shareholder harry teo asked how issit that they can grow revenue by 20% but only grow cost by 1% - CEO's says he cannot share the answer, indicating there's a "secret sauce" but mentions that costs is contained as there's more efficient processes which yields same result.

8. Focus
This was quite hilarious. When asked what's the goal and focus area in 2019, CEO answers "to make more money"

9. My personal query - earnings growth and Average Selling Price
I asked that the market currently is re-rating the valuation higher for Frontken (trading at 20x PE) and that is relatively high vs peers (TW peers trading around 10-15x) and historically high. With this, there comes a certain expectation - strong ROE, strong competitive advantage and continuous profit growth. My question was that the market & analysts are now expecting about 20-30% growth in earnings - can they deliver that and also whats their negotiation power over their ASP to their end client.

CEO semi-jokingly answers that they are "peerless". He also mentions that as their base number grow in time to come, it might be difficult to hit 20% profit growth - but mentions that 20% is a realistic target and is even aiming higher. However, there're some uncertainties in global market that will be out of his control for this year.

On Average selling price, Frontken is at a business that ASP will always tend to go down - but there's always a pricing roadmap with each client - which is based on volume and stability of process - to sustain earnings.

10. Dymon Asia
A partner from Dymon Asia (hedge fund from Singapore) was in attendance and he's pleased with the performance of Frontken.

Posted by abn10 > 2019-05-31 04:03 | Report Abuse

Point no. 2. What does it mean at FAB level?

Posted by abn10 > 2019-05-31 04:04 | Report Abuse

Btw thanks for sharing. May i know, are we invited to the AGM?

Posted by Veron_teo > 2019-05-31 05:28 | Report Abuse

lol.. if you go attend 10 agm all also will answer you positively.

Posted by abn10 > 2019-05-31 09:56 | Report Abuse

Thats right veron. So lets all go to veron house to hear negative

Posted by Veron_teo > 2019-05-31 11:13 | Report Abuse

you see point number 8.

Posted by ruby20 > 2019-05-31 15:49 | Report Abuse

up and up counter

Posted by upsidedown119 > 2019-06-01 16:49 | Report Abuse

Uptrend again?

Posted by Veron_teo > 2019-06-02 15:47 | Report Abuse

yes tp 19

Posted by 4444 > 2019-06-03 03:09 | Report Abuse

Nasdaq down 1.51%.

Posted by upsidedown119 > 2019-06-03 09:29 | Report Abuse

Nasdaq affected by trade war. US chip counters badly affected as China is by far the world's biggest consumer. But Asian chip counters rose. SCIMP went way up. Frontkn to benefit.

Friday's last minute sell-down was due to oil price down. Frontkn has some exposure to O&G sector but not core business.

Asian chip counters are expected to rise.

Posted by hero_zilong > 2019-06-04 10:14 | Report Abuse

* 。 • ˚ ˚ ˛ ˚ ˛ •
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SELAMAT HARI RAYA AIDILFITRI
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