@bullhunter, many people believe BURSA stks have operators. These savvy operators push down the stk when they want to collect and push up when they want to distribute. So, its good to be cautious when the stk , all of a sudden push up, may get caught at the high. Safer to hunt when it correct and look for the support level to go in, maybe more success this way, just my view
majority of holders here expect ALCOM will move above rm1 level like last yr, once Qtr results reveal in May, its your choice, if got funds, can consider to avg down below 80 sen level, lowest 70 sen.
ALCOM'S maiden rm500 million Industrial park project, was announced in Jan.2018 (9.4 acres land in Kota Damansara,already bgt for rm92 m) property experts from SCLAND HOLDINGS BHD bgt 29.54% stake in ALCOM and they are heading the property project. This is perceived as big boss Yeoh Jin Hoe's bold gamble to leapfrog ALCOM to a new higher level of growth .
Bullhunter Going into property would be a mistake for alcom. They don't have the expertise and competing with well established players and the property market is not good at this time. Long term holders going to suffer bigger loss. 24/04/2018 11:51
I believe Chinese production of aluminum is getting scaled down as China is moving away from use of coal. Energy intensive production is going to countries that have large fuel resources. Malaysia with it's gas is great for producing aluminum. These moves by aluminum producing companies to venture into properties could be backed up by need to expand their own facilities.
notice now ALCOM got ready buyers Q at 75.5-72 sens , n small lot selling to cause panic sell, but sellers hold firm, only 9 sellers, at 76 sen n above. looks like savvy investors collecting at this level, below 80 sen...buying opportunity now..
at 73.5 sen, ALCOM is selling at PE of 10.15 based on on a 9-mth earning of 7.24 sen for fin. yr 31st dec.2017. based on conservative 10% growth, prospective eps of 10.6 sen for 2018, ALCOM is selling at PE of 6.9 !! lelong price , strong buy opportunity...
Pls note that drop in Aluminium metal price is GOOD for ALCOM, bcause ALCOM uses Aluminium as raw material (input cost) to produce finish products , eg coated finstock used in air-cond for export, etc.
if bgt at 73-75 lows yesterday, now already make money, that's the way to play now a days, so dont fear a down market, for a good fundamental stk like ALCOM, its a buy opportunity !
extract frm ALCOM's latest annual report, on RM500 m property project, slated for 2019 :
The property market continued its consolidation phase in 2017 and we expect this trend to be sustained in 2018. EM Hub Sdn. Bhd., a wholly-owned subsidiary within the Group, would focus on developing a niche and in-demand product to differentiate itself in the market. The proposed land to be acquired at Kota Damansara, Selangor will be developed into an e-Commerce Hub with hybrid 3-in-1 space of showrooms, offices and storage to serve the needs of the growing digital businesses. This unique development which is slated to commence in 2019 has a gross development value of approximately RM500 million.
notice there are few buyers in morning sessions, n set low buy price below 75 sen. But in afternoon session, got more buyers, set higher price, up to 78.5 sen. So, sellers, pls wait until afternoon session, to get a better price, v few willing to sell below 80 sen now..
Proposed e-Commerce Hub with hybrid 3-in-1 space of showrooms, offices and storage to serve the needs of the growing digital businesses. This unique development which is slated to commence in 2019 has a gross development value of approximately RM500 million. This maiden foray into property, is targeted to generate profit of rm75 million, over a 5 year period.
Quiet accumulation at 78 sen level.. sellers stay united, to await the Mar. Qtr results, not interested unless bid is raised higher than 80 sen..Yes !!
example of sudden rerating is TA, which is up 8.6% in 2 days aftr announcing dividend of 4.1 sen. We can expect a similar case with ALCOM, when its Qtr results is out sometime in mid/end May, with possible +ve earnings surprise, and maybe even dividend ! So, lets hold firm,can see got good support at 78 sen level and buyers will get desparate soon..( their ploy to play cool backfire,.. hahaha !)
notice, afternoon session got 335 lots Q at 76 sen,(morning session, 85 lots Q at 76), hoping to quietly collect from panic sellers ? real pro buyers, keep calm folks,..let the buyer panic buy not us sellers !
smart money still collecting quietly, just raise buy price little bit, kedekut punya orang ! by nxt week or latest 30/5, 1st Q results will be out, then we see how market rerate, hold firm folks !
Press Metal Aluminium Holdings Bhd’s net profit rose 4%, year-on-year, to RM192.56mil in the first quarter ended March 31, 2018, as higher aluminium prices boosted its revenue.
ALCOM's 1st Qtr net profit dropped 95% compared to previous Qtr, although revenue was commendable at rm101 million.
The Group’s revenue declined marginally by RM2.33 million in Q1 FY2018 as compared to Q3 FP2017 resulting from a small drop in shipment volume. The coated fin and bare fin product categories which were mainly destined for export markets registered higher shipment volumes which were offset by lower volumes in the other product categories. However, the strengthened ringgit vis-à-vis the USD currency impacted the revenue as the export shipment volume increased by 4%.
The Group recorded a profit before tax of RM0.72 mllion; lower than the immediate preceding quarter’s achievement of RM4.02 million.
This decline was mainly due to a lower contribution attained,increased provision for advertising & promotion and higher finished materials scrapped. In addition, legal and professional fees was higher , which were incurred in the engagement of professional services for the on-going corporate proposal of the Group. These were partially offset by lower repairs and maintenance costs.
Contribution was lower due mainly in to a metal price lag impact and increased usage of external rerolls to supplement in-house production capacity.
Metal price lag was a loss in Q1 FY2018 compared to a gain in Q3 FP2017.
In addition, the property segment expenses totaling RM0.77 million were incurred in Q1 FY2018. These were mainly related to promotional pre-development expenses and staff costs.
*metal price lag refers to timing differences experienced on the pass through of changing aluminium prices based on the price we pay for aluminium and the price we charge our customers after the aluminium is processed . B3. Commentary on Prospects There is a global upswing of growth across the US and Eurozone as well as in the emerging markets.
However, any further escalation in trade conflict between China and US may create global uncertainties and impact the Group, as a significant portion of the Group’s products are exported.
Against this geopolitical uncertainty, the Group is committed to remain resilient and sustain its performance by re-examining its product mix to improve margins in selected market segments whilst exploring and capturing new markets. At the same time, the continued operational focus will continue to be a priority for the Group.
Ouch !! a big disappointment , in the results, although there were a lot of extra expenses lumped into this Qtr, , expenses incurred in the current reorg n setup of the property division. So, next Qtr should revert to normal expected margins n more respectable net profit. At closing price of rm0.75 and NTA of rm0.89 , the downside should be limited here. Just have to be patient a bit longer for results to show n the new property segment to weigh in, prospects remain optimistic..
ivyong1966 The Annual Report is out. Perhaps you read the Management Analysis and the financial report to make a well-informed decision. Every individual has different time horizons.
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Posted by Bullhunter > 2018-04-24 11:53 | Report Abuse
Already in just 2 days this lousy stock lost more than 10 percent. That show how weak the stock is and it's getting worse. you can