Buy LUXCHEM at RM0.65 (from RHB investment) and RM 0.56 (from Aminvestment) as:
i) Higher demand for chemicals used in the manufacture of gloves on the back of the Covid-19 outbreak. Typically, glove-related sales make up ~35% of Luxchem’s total turnover
ii) This is timely as it has just expanded its latex manufacturing arm’s (TMSB) capacity by 30% to 18K MT in 4QFY19 from 13.8K MT. The company foresees the utilization rate of TMSB reaching close to full capacity by the end of 2020
Strong balance sheet with ample cash. I have been happily average down and accumulate all the way down to 0.33. An excellent penny stock to accumulate as Cash rich Company will definitely survive and benefit from Covid-19 situation in the medium/long term in addition to staying invested in Glove related counters.
good company with at least 35% sales of chemicals related to glove manufacturing (benefit from current situation/trend) and good balance sheet (cash rich and giving dividend annually), definitely worth to buy.
Luxchem has broken the 50 sen barrier and since still in early bull phase it should continue to go up when May, August and November 2020 good results are reported
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....
CARI MAKAN
95 posts
Posted by CARI MAKAN > 2020-03-19 16:52 | Report Abuse
last came......when come again