Hi free2invest, I just sliced them into long stripes, pan-fried each sides (2 rounds of cooking due to sizes) with olive oil then add in garlic, onions and soy/abalone sauces with pinch of brown sugar & pepper. Its texture is similar to that of abalone but it depends on how long u cooked it. If u cook it longer, it tends to be softer and less chewy but it also depends on how liquid is your gravy. I found that it doesn't absorb much liquid compared to other mushrooms maybe its body density is denser. It has a unique mushroomy aroma & taste even when I sniff it raw before cooking it. From my experience, u won't get the essence of its taste until u cook it because I believe the heat on pan will release its real aroma but don't overcook it. The mushrooms alone is very fulfilling the stomach due to its size.
The King Oyster Mushroom (KOM) has a large body mass in nature which is very commercially viable. You can see from a China company's website that KOM can be made into dried mushroom products, flavouring and snack products as well so it's not limited to be sold fresh. The non-fresh segment of it is going to boost its future export earnings because it will have long shelf-life. Now do you see what I've been speculating and bought heaps of it during the low price period?
Always remember that not to invest a counter based on its stock price lower than its NTA for safety reasons. It's never a good yardstick if it's not relying on its assets to make money. It really depends on the strategy of a growth-focus company and being assets-light allows the company focus more on key growth areas and improving its forward earnings rather than its NTA. A big bargain of stock price against NTA is useless if the company is not improving. One good example is BAUTO which is also assets-light and how it performed since its IPO days before majority stakes are sold by Vincent Tan to the management team? BAUTO is also a success story similar to Hevea.
There is no point to invest into a company that has all the wonderful everything such as wonderful assets, balance sheets, etc. but the one who's driving the vehicle is incapable. MD Yoong Hau Chun & his team is one of the rare CEO & group who are able to outlined the strategies, executed each of them as promised and delivered the results successfully. Why do I praise them? Simply because they could delivered all the strategies "timely" as said each quarterly/annually while other CEOs are just talk but unable to fully accomplish what they have laid out each fiscal year.
You give a lousy car to a mechanic, he can modify & make it faster. You give a powerful fast car to a non-mechanic, he can only drive that car to as fast only because he could not improve the vehicle technically itself.
The demand for Hevea's shares is still robust and any profit taking is still being absorbed steadily. This is mainly driven by the bright prospects of the high margin new gourmet mushroom venture and its upgrading capex which further enhancing its existing particleboard and RTA divisions.
All 3 segments are serving the "niche" markets only. Its particleboard division producing mainly the 2 highest grades namely Super-E0 and E0 while it's still producing very minimal grade E1 particleboards. Its KreaKids eco-friendly "low-formaldehyde" kids furniture being sold not only B2B but also B2C through online portal mykreakids.com has prepared the company with an online presence and outreach.
A flashback on the Capex this year amounting to RM 48m:
- RM 20m will be used in the RTA sector to build a new factory and to acquire new machineries for the 7.7 acre industrial land that we had just acquired for RM13.5 million. - RM 13.5m to pay for the purchase of 7.7 acres land for expansion - RM 10.5m to build new climate controlled gourmet fungi cultivation facility - RM 4m will be allocated for further upgrading works for our particleboard sector.
Since Hevea has already an online portal to sell its eco-friendly kids furniture on www.mykreakids.com, it would be even logical to predict that Heveaboard will establish another online portal to sell its gourmet mushroom products!
Can u guess what's the website name for its gourmet mushroom business? Can sell all mushroom related products online! If u want to gain a lot from this stock, u have to see far ahead. This company's management team is no joke! They are unlike other listed companies. They envisioned the directions and they executed all strategies one by one as charted out successively. A very robust, effective and efficient team that I've ever seen. You've witnessed that how they succeeded the turnaround plans back in years ago and turned it into a net cash company and all its business segments into double-digit profit margins. Always check who's driving the vehicle (company)!
If Heveaboard does not reach the RM 1 billion ringgit market cap mark, I will resign from all my statements and recommendations. These are the latest outstanding of the mother shares and remaining warrants:
539,536,390 issued shares x RM 1.65 = RM 890,235,043 market cap 28,890,274 issued shares x RM 1.39 = RM 40,157,480 market cap
It will take Hevea's stock price at RM 1.86 a piece to achieve a RM 1 billion ringgit market cap before any further dilution from warrants conversion. HLIB gave a TP at RM 2.19 so that would fetch a RM 1,181,584,694 (1.18 billion) market cap mark.
Watching Heveaboard's stock price gradually appreciating is as satisfying as observing how the growth of "King oyster mushroom (Pleurotus eryngii)" is outgrowing the dark rooms.
If u don't already know that the "King oyster mushroom (Pleurotus eryngii)" is born to be king! It is the largest species in the oyster mushroom genus.
I speculate 2 major steps should/would be taken for Heveaboard's gourmet mushroom segment to leap forward.
Firstly, they not only sell B2B but also B2C through its own online portals & engaging with third-party online marketplace such as Alibaba/Lazada/11street and many others. They have own online portal mykreakids.com to sell its own eco-friendly low-formaldehyde kids furniture so intuitively the mushroom division would follow suits.
Secondly, they should/would strongly promote the King Oyster Mushroom (KOM) as "medicinal" and "health" products be it on everyday consumption products, health supplements & healthy snacks.
Of all the potentials that I could have explored, those few mentioned above could have been the most viable and commercially sound.
You see, I'm already seeing how Heveaboard will be growing and selling the KOM not only for human consumption but also.....as a "Healthy consumable feedstock" for livestock animals such as poultry and the meat industry. This is viable because the KOM's body mass is the largest in its species.
bro specter. want to ask yr opinion. the ban of export rubber wood is good or bad to Hevea? I think now Hevea is wood exporter to foreign country. If like that will their profit affected due to rubber wood price drop? Thank you.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
specter
637 posts
Posted by specter > 2017-07-21 17:15 | Report Abuse
Happy loading. Sky is the limit