Look at the size of the fund that BPPlas is going to raise through the warrants. It is about the same size in term of the value of existing property, plant and equipment in total. Looks like BPPlas has a plan to double the output in long term plan and possible 50% expansion in short to mid term plan. So I guess business could be so good that massive expansion is required. Well, I could be wrong. I hope that someone who has more information is willing to share here.
Technically, the chart shows that sellers have an upper hand, but there is strong support at RM 2.75 to RM 2.77. I guess the management has confident to pay higher dividends so that yield remains attractive at 4-5% after bonus issue to support the share price so that warrant will be still attractive. As such, I think following months the price have strong support at around RM 3 before bonus issue and RM 2 after bonus issue. Please share your thoughts also. Opposite opinion is welcome.
Based on this understanding I think majority of existing shareholders are still in a comfortable position to decide either to stay or exit in weeks or months to come.
I think 2.70 is a fair price. I believe annualized EPS 30 sen per year is achievable and sustainable. The warrant is to prevent some late joiners from buying cheap and partially because insiders have excessive cash to re-invest.
News out...surely slowly dumping lo... Having BI is not a bonus lo...
Many end up losing after BI even with free Warrant.... JFTech....after BI and free warrant...kaput MyEg...alao same...kaput and today Unisem also kaput after BI....today.
So expected once near BI date... there will selldown unless want to hold out for warrant freebies..
nowadays BI and free warrant is not attractive anymore.
Hi Carimakan, I think need to wait for a while. Need to apply and wait for Bursa to approve. Long process. The entitlement might be after the next quarter report if it takes more than 2 months.
Hello Everyone, I bought BP Plas on 28 Sept when I saw the chart looks nice and FA also looks good - increasing QR result, still holding it despite it shot up to almost $3 on 1 Oct and came down subsequently. Last night I was comparing BP Plas with TGUAN, seems like not too bad also.
Anyone bought BP Plas instead of TGUAN with your analysis or reason to share ?
Cukai Makmur in 2022 will not affect BPPLAS. FY21H1 baru only PBT 30M. If they duplicate same in FY21H2, the entire FY21 baru PBT 60M. Assuming they grow they PBT by 20% in 2022, baru only PBT 72M.
@Want2MakeMoney, I went thru the same thought process as you. Finally decided on BPPLAS only as fundamentals and dividend yields are better than TGUAN when I evaluated them.
@Want2MakeMoney, revenue may be smaller but its EPS is way higher than TGUAN. This is the most convincing number! When I invested into BPPLAS, no IB covered this company, two months back Kenanga started to cover it. I like the low profile nature of this company.
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Posted by ongmari > 2021-10-01 11:09 | Report Abuse
Base on bonus n free warrant, should easily pass 3 once date announced