Posted by 1009 > 2016-05-17 02:14 | Report Abuse

Ok.. Buy few play play

Posted by allanchong1988 > 2016-05-17 06:27 | Report Abuse

Thank you @Buns. As i understand GC is a cocoa manufacturer. they need to purchase the raw cocoa to produce their products. The purchase of raw cocoa cost is followed commodity price? if correct me, if i interpret it wrongly?

Posted by 1009 > 2016-05-17 10:45 | Report Abuse

Have buy in 0.98

Posted by 851815 > 2016-05-17 11:16 | Report Abuse

Better stay a side look c, look c first...

Posted by nick_ck > 2016-05-17 11:32 | Report Abuse

Bought some too, result will be good, y drop?

Posted by Buns > 2016-05-17 11:39 | Report Abuse

allan, yes that's right. but the price is very tricky to ascertain. Most commodity plays are always subject to future markets so you never really know which price they locked in at. You can take a look at their annual report for better view of their books

http://cdn1.i3investor.com/my/files/dfgs88n/2016/04/29/1484689098--779016098.pdf

Posted by 1009 > 2016-05-17 11:53 | Report Abuse

Hope have good report out la..

Posted by allanchong1988 > 2016-05-17 13:01 | Report Abuse

Buns, the current high cocoa commodity price will weaken GC profit margin?
the price is keep volatile.
i tried to compare the commodity price in the past 5 years to GC previous quarterly report.
i reckon that GC is still facing challenges especially to manage its cash flow due to lower profit margin about 5% and high debt arising.

Correct me, if i analyze it wrongly.

Posted by Buns > 2016-05-17 13:12 | Report Abuse

yes thats right. But like I mentioned they can lock in bean prices if they analyse the futures market correctly. The thing about middlemen like guan chong is that if the price of cocoa goes up their margins are compressed so it's "bad" but they can pass on the cost to their clients too. They can also mitigate it by FX hedging or they can charge a premium on their product to cover their cost.

So it all depends on their strategy.

On the other hand, what if price of beans go down? Yes their margins are better but lower bean prices means lower demand (usually). So lower demand means? Lower topline(revenue). So now they have higher margins but lower revenue so it evens out.

That's why for middlemen /processors, it's usually not that clear cut.

Posted by 1009 > 2016-05-17 13:43 | Report Abuse

Don't think more... Let's see after result out

Posted by Hein > 2016-05-18 15:04 | Report Abuse

nick_ck, who said result is good? Share price drop like last quarter. Then after result out , price drop fr 1.23-1.00.

Posted by 1009 > 2016-05-19 12:17 | Report Abuse

Yala... Few ticket can control price to got lower liao... Palia company??? Not more ppl want invest? So, must take offer Kuat Kuat ma!!

Posted by nick_ck > 2016-05-19 13:11 | Report Abuse

Be patient, wait for result out 30 May, Insider news is positive.

Posted by nick_ck > 2016-05-23 16:34 | Report Abuse

$1 break...heading higher

Posted by nick_ck > 2016-05-25 09:57 | Report Abuse

Wow 1.06, rising sun

Posted by 360Capitalist > 2016-05-25 10:16 | Report Abuse

If with forex gains, the amount will be substantial..

Posted by nick_ck > 2016-05-26 16:57 | Report Abuse

http://www.jbcocoa.com/upload/58146885211Q16%20-%20Announcement.pdf

Posted by nick_ck > 2016-05-26 16:58 | Report Abuse

Good result by JBcocoa, hopefully guan chong is better on Monday

Posted by grace123 > 2016-05-29 19:15 | Report Abuse

Good investment ar this price. Minute consumptions pick up dragon rise again old days.

Posted by nick_ck > 2016-05-31 09:02 | Report Abuse

Result out, engine start

Posted by jc8888 > 2016-05-31 10:22 | Report Abuse

engine fail to start?

Posted by nick_ck > 2016-05-31 10:33 | Report Abuse

Not enough petrol....have to wait

Posted by grace123 > 2016-06-04 15:30 | Report Abuse

Soybean n con price up coupled with exchange rate. This counter will be next diomand seahorse.

Posted by Watoexpect > 2016-06-04 19:55 | Report Abuse

Good result but y fall. Anyone can help answer

Posted by nick_ck > 2016-06-06 09:55 | Report Abuse

It might due to they r selling their 70% of subsidiary to Fujioil. Undervalue stock, believe soon will pick up with their result getting better n better,

Posted by Buns > 2016-06-06 14:26 | Report Abuse

Slowly, very strong support at 1.00. That is the undervalued price. It will shoot up soon, the longer the wait, the stronger the rally.

Posted by Buns > 2016-06-06 16:21 | Report Abuse

Okay, I'm going in at .98 average down

Posted by HJey > 2016-06-08 21:47 | Report Abuse

Unless there are changes on their business plan, Guan Chong will struggle to turnaround its business. Supplying to Hershey is good but not enough

Posted by addyisme > 2016-06-14 19:59 | Report Abuse

What happened to this counter

Posted by nick_ck > 2016-06-15 13:25 | Report Abuse

Need some good new to spark this counter.....this company should be value around 1.2

Posted by nick_ck > 2016-06-17 10:31 | Report Abuse

the price keep drag down, but in fact is vy good price to collect :)

Posted by kkgan > 2016-06-17 10:59 | Report Abuse

Nick, you collect a lot?
at which price?

Posted by 778899 > 2016-06-17 12:29 | Report Abuse

anyone can advise if cocoa (commodity) price up, what will effect to GCB ?

Posted by nick_ck > 2016-06-17 16:42 | Report Abuse

My average price $1, 778899 you may refer to previous discussion for cocoa price, no clear answer.

Posted by Buns > 2016-06-20 09:13 | Report Abuse

I'm going in again 0.95

Posted by 778899 > 2016-06-20 16:26 | Report Abuse

thx nick,

but cocoa price above 3K

Posted by addyisme > 2016-06-20 19:09 | Report Abuse

1.778899? U need ALOT to average down man

Posted by Buns > 2016-06-21 10:34 | Report Abuse

i'm buying more 0.95 another few lots. cocoa prices will be stressed for now

Posted by traderman > 2016-06-24 14:09 | Report Abuse

buns, good for you ... buy more now 92 cent

Posted by Buns > 2016-06-24 16:32 | Report Abuse

I'm gonna wait, buy more at 90. Cocoa priced in sterling ,will see lots of uncertainty.

Posted by 778899 > 2016-06-27 08:13 | Report Abuse

buns, still continue add ?

Posted by Buns > 2016-06-28 15:07 | Report Abuse

I'm waiting for a bit lower probably 0.83. Now cocoa traders are buying the london and selling in new york to take opportunity of the arbitrage. No word yet from GC on their cocoa price position.

Posted by 778899 > 2016-06-28 15:49 | Report Abuse

ok, thank you

Posted by Khaw Seek Chuan > 2016-06-28 22:44 | Report Abuse

This counter no eye see

Posted by Buns > 2016-07-01 09:36 | Report Abuse

Hershey got an offer, industry moving to consolidation.

Posted by deadchicken > 2016-07-08 11:06 | Report Abuse

Cocoa trades at 6-year high on drought, weak pound

Global cocoa production is forecast to drop 4.6% for the year ending in September.
TOKYO -- The price of cocoa has topped 2,500 pounds ($3,247) per ton for the first time in six years, reflecting supply constraints and the rapid fall in Britain's currency.

Near-month cocoa futures traded in London closed at 2,525 pounds a ton Wednesday, up 1.6% from the day before and one-fifth higher than the near-term low hit in mid-May. Cocoa continued to trade above 2,500 pounds Thursday morning.

Cocoa prices had not surpassed that level since July 2010, when falling supplies from Africa coincided with rising emerging-market demand.

A drought in Cote d'Ivoire, Ghana and other parts of West Africa where cacao trees are predominantly grown has resulted in smaller harvests of the bean used to make chocolate. Meanwhile, cocoa consumption is edging up, mostly in the U.S., Europe and emerging economies.

Global cocoa production of 4.03 million tons is forecast for the year ending in September, down 4.6% from the preceding 12 months, said the International Cocoa Organization, which estimates a 180,000-ton supply shortage.

A falling pound has accelerated the gains in sterling-denominated cocoa futures. Sterling has weakened by nearly 14% against the dollar since June 24, the day after Britain voted to leave the European Union.

"Against a backdrop of supply shortages, speculative money may be flowing into [cocoa] as a commodity with upside potential," according to Confitera, a Tokyo-based cocoa importer.

The yen's gains against the pound have virtually canceled out any effect on Japan from the rise in sterling-denominated cocoa prices. Japanese confectioner Meiji, part of Meiji Holdings, reports no major impact on the prices it pays for cocoa.

The weather in West Africa has turned relatively stable, raising hopes that the cocoa harvest will recover in the growing year starting in October. But with the world dependent on West Africa for 70% of cocoa production, "there is always instability in the supply structure," a major trading house said.

(Nikkei)

Posted by deadchicken > 2016-07-08 11:07 | Report Abuse

Cocoa trades at 6-year high on drought, weak pound
http://asia.nikkei.com/Markets/Commodities/Cocoa-trades-at-6-year-high-on-drought-weak-pound

Posted by deadchicken > 2016-07-08 11:09 | Report Abuse

A cocoa giant is wakening up!!

Posted by deadchicken > 2016-07-08 12:09 | Report Abuse

Buy buy buy!

Posted by sapurakencana > 2016-07-11 18:27 | Report Abuse

cocoa future trade USD3,103.00,not 6 years high,the higher ever seen in 2015 is USD3,392,i think this share price will continue consolidated to a reasonable value before it can really go up to above RM1.