Posted by GLNT > 2019-11-21 10:26 | Report Abuse

Kenanga TP is RM4.10. Enjoy the ride.

Posted by Kpin Yeoh > 2019-11-21 10:51 | Report Abuse

4.10 is very conservative pricing, as you know packaging sector is growing exponential trend thanks to E-commerce and online shopping sector. Beside those raw material (resin) from pricing drop tremendously and also capex on new production line.
We will continue to see revenue and profit going up on next coming quarter especially for the Christmas sales and boxing days from US, Europe.
comparing to its peers such as Master-Pack, Tguan still a bargain at 3.3x level.

Posted by Icon8888 > 2019-11-21 11:32 | Report Abuse

I added more this morning

Posted by Icon8888 > 2019-11-21 11:33 | Report Abuse

It is risk free money

Posted by Fabien "The Efficient Capital Allocater" > 2019-11-21 11:34 | Report Abuse

average PE multiple is around 12x

CIMB ascribed a PE of 13x for packaging sector

i believe 40sen earnings is achievable in 2020

estimated valuation = 12 x 0.40 = RM4.80
plus net cash 0.31sen
TP = RM5.11

Posted by Fabien "The Efficient Capital Allocater" > 2019-11-21 11:36 | Report Abuse

YiStock has in depth analysis on TGUAN

maybe he can share some of his insights

Posted by Icon8888 > 2019-11-21 11:45 | Report Abuse

I bought at until margin burst

This is the kind of time when margin becomes very useful

I keep on telling people there is nothing wrong with margin

Posted by cheoky > 2019-11-21 11:47 | Report Abuse

whatever sifu icon said i follow blindly. top up till margin burst...

Posted by probability > 2019-11-21 11:57 | Report Abuse

cheoky dont scare people like this...people will runaway from buying

Posted by popo92 > 2019-11-21 12:05 | Report Abuse

I am not selling a single share and will not....

Posted by cheoky > 2019-11-21 12:06 | Report Abuse

santa claus is coming to town.... invert to lctitan and pchem.

online courier nonstop....

Posted by YiStock > 2019-11-21 12:27 | Report Abuse

Tguan has very decent gross margin of 17% in Q3. LLDPE price has so far "crashed" lower in Q4 which should propel the gross margin even higher in Q4. The revenue has increased substaintially in Q3 eventhough the selling price could be lower (saving pass-through which should yield lower revenue if volume stay flat), obviously this is not the case here.

Conclusion: Higher tonnage volumr sold + hugher gross margin + weak ringgit = better profit ahead.

my guestimate

Posted by YiStock > 2019-11-21 12:32 | Report Abuse

plus the cash level of RM 212 mil or around RM 1.20 per share..minus that out, current share price is only RM 2.20. What a good company to buy.. If the boss still soh soh de don't do bonus issue and split...i really dont know how their brain operate.

Posted by YiStock > 2019-11-21 12:34 | Report Abuse

they missed in 2016, i hope they cherish 2019

Posted by yfchong > 2019-11-21 12:46 | Report Abuse

Home run to rm4

Posted by gladiator > 2019-11-21 12:48 | Report Abuse

Ya should do bonus issue like magni afer good results out.

Posted by danielleesing > 2019-11-21 13:22 | Report Abuse

Thong Guan Industries Bhd’s net profit grew 72.59% to RM17.34 million or 10.97 sen per share for the third quarter ended Sept 30, 2019 from RM10.05 million or 7.37 sen per share due to higher sales and profitability of its stretch film, industrial film and bags, garbage bags and courier bags.

Revenue improved 15.78% to RM256.55 million from RM221.59 million, according to a filing with Bursa Malaysia today.

For the nine-month period, net profit jumped 62.16% to RM44.04 million or 27.87 sen per share from RM27.16 million or 19.93 sen per share last year, while revenue rose 9.48% to RM703.45 million from RM642.51 million.

Posted by Fabien "The Efficient Capital Allocater" > 2019-11-21 14:00 | Report Abuse

Icon is very aggressive

But it's a good time to make money and to be rich.

Posted by yfchong > 2019-11-21 14:19 | Report Abuse

Waiting... Road to rm4

Posted by chl1989 > 2019-11-21 15:19 | Report Abuse

bought at 2.6. waiting for 5

Posted by Davidl > 2019-11-21 15:39 | Report Abuse

Time to accumulate!

Posted by Cakes Moon > 2019-11-21 16:07 | Report Abuse

Market going to crash or what?
DJI keep breaking new high, KLCI not even can stand firm at 1600 level (already frop 250 points from 1850 level).
Why Malaysian market so weak?

Posted by VincentTang > 2019-11-21 16:23 | Report Abuse

Sifu sell call Tguan already. Switch to Jaks.

Posted by yfchong > 2019-11-21 17:47 | Report Abuse

4 mil exchanged.

Posted by Investor 9999 > 2019-11-21 18:44 | Report Abuse

Vincent Tang, Your Sifu just do not understand the business and the business model of the Co and its core competency. He also asked his followers when Dufu was 140 in 2018 to sell as no prospect below 75 MA line, sell down occured. I was telling the world to buy at RM1.10 region, the share went up to RM4. Tguan still go leg to go

Posted by TanDavid88 > 2019-11-21 18:58 |

Post removed.Why?

Posted by yfchong > 2019-11-21 21:36 | Report Abuse

Ah guan ah guan.. Pass a home run..

Posted by Samtuckfatt > 2019-11-21 21:36 | Report Abuse

Investimg like fishing, FA is to identify what type of fishes that have good economy value, TA is to identify where ( when) to catch it with high return.

Posted by Ncm88 > 2019-11-21 21:52 | Report Abuse

Cant break 3.43 is time to sell, coming back later thanks for profit

Posted by michaelwong > 2019-11-21 21:59 | Report Abuse

Tguan is the only counter that continued to remain uptrend today despite with good qr results . The rest counters stocks announced good qr today all the sea of red could be the reasons to sell on news . Guess Tguan could not be spared by 2morrow after a wonderful surge today . Next coming days could the share price be sustainable is yet to be seen.

Posted by Victory99 > 2019-11-21 22:47 | Report Abuse

Tomorrow another 10% up at least...

Posted by Davidl > 2019-11-22 01:28 | Report Abuse

Tguan isn't penny stock, since their outlook is so positive & potentially announce for bonus issue so y not keeps for longer term and let de profit run!

Posted by GLNT > 2019-11-22 08:27 | Report Abuse

Please sell. Let us buy more.

Posted by Ncm88 > 2019-11-22 08:29 | Report Abuse

TA wise will start to retrace .

Posted by Icon8888 > 2019-11-22 09:33 | Report Abuse

Dumb dumb hold don’t move a muscle

It is free money for you

Posted by GLNT > 2019-11-22 09:34 | Report Abuse

Cheap. Dumb dumb hold. Should be above RM4.

Posted by yfchong > 2019-11-22 09:41 | Report Abuse

Must hold..... Very noisy now... Be strong believe yr value.

Posted by latlut > 2019-11-22 09:41 | Report Abuse

i believe upcoming quarter would be even better. also potential of bonus.

Posted by Ricky Kiat > 2019-11-22 09:47 | Report Abuse

dumb dumb hold...(^-^)

Posted by yfchong > 2019-11-22 09:58 | Report Abuse

1 hr close to 500k

Posted by yfchong > 2019-11-22 09:58 | Report Abuse

Long time have not experience this before

Posted by yfchong > 2019-11-22 10:06 | Report Abuse

Next q explosive q can easily close 4.20

Posted by Icon8888 > 2019-11-22 10:09 | Report Abuse

CIMB analyst report dated 20 November 2019 sets Target Price of RM4.18 for Thong Guan :


(a) Benefited from lower raw material costs and strong US$-RM rate

9M19 core net profit jumped 62.4% yoy to RM44.0m, mainly due to i) a stronger average US$/RM exchange rate of 4.13 in 9M19 vs. 3.86 in 9M18, ii) continual fall in raw material prices since end-2018, and iii) RM2.4m pretax profit posted by its F&B division in 9M19 vs. RM2.1m pretax loss in 9M18. 9M19 revenue rose 9.5% yoy to RM703.4m due to higher export of its nano-layered stretch films and courier bags. The company did not declare an interim DPS, in line with our expectations.

(b) Higher 3Q19 sales a positive surprise

3Q19 revenue grew 11.7% qoq to RM256.5m, which was a positive surprise as the company had in the preceding quarter indicted that the ongoing US-China trade war could affect the sales of its films. Due to lower raw material prices during the quarter, 3Q19 EBITDA margin was at 11.3% compared to only 9.1% in 2Q19.

(c) Healthy balance sheet

As at end-Sep, Thong Guan had RM55.2m net cash or 31 sen net cash per share, which is equivalent to 10% of its share price. Amid the ongoing US-China trade war, Thong Guan had in 2Q19 indicated it would decelerate its 10-year RM650m investment plan to expand its capacity. In 3Q19, the company commissioned its fourth nano-layer stretch film line, its 11th PVC food wrap line, and a new blown film extrusion line. The additions were within our expectations.

(d) Raise FY19F EPS to reflect current low material costs

We raise FY19F EPS by 20.9% to reflect the lower raw material prices over the past few months. However, we maintain FY20-12F EPS as raw material prices could bottom soon after falling since end-2018. Thong Guan also faces sales growth risks if the ongoing US-China trade war escalates.


(e) Remains an Add, raise TP as we roll forward EPS

Our TP rises from RM3.90 to RM4.18 as we roll forward our valuation to 2021F, still based on 13x P/E, our target multiple for the packaging sector. The stock remains an Add due to its attractive valuation of 10.8x 2020F P/E. Stronger-than-expected export sales and strong US$-RM exchange rate are potential re-rating catalysts while rising raw material costs and worsening of the China-US trade war are key risks to our call.

Posted by James Ng > 2019-11-22 11:35 | Report Abuse

https://klse.i3investor.com/blogs/general/238880.jsp
[转贴] [THONG GUAN INDUSTRIES BHD：完成了其第四条优质拉伸膜生产线，一条新的吹膜挤出生产线以及其第11条PVC食品包装线的调试；快递袋和其他产品部门不断扩大] - James的股票投资James Share Investing

Posted by cheoky > 2019-11-22 11:35 | Report Abuse

Muscle no move, but heart beating fast oh. How ar

Posted by yfchong > 2019-11-22 11:48 | Report Abuse

Good lah some relief

Posted by pang72 > 2019-11-22 13:37 | Report Abuse

Fuyoooo!

Posted by pang72 > 2019-11-22 13:39 | Report Abuse

Hot!!

Posted by probability > 2019-11-22 13:46 | Report Abuse

calvintan pic will bring lots n lots of luck to icon....

calvintan qi energy is syphoned already...

Posted by tftey > 2019-11-22 15:52 | Report Abuse

Positive surprise for Q3. Would have further positive surprise in Q4, with additional capacity and sales and raw material cost remain low. Reasonable to trade at PE 12 to 15.