It's main raw material for production is Naphtha, which is derived from crude oil. If crude oil price going up, means the cost of production will go up as well. Someone has to calculate and estimate the impact.
Higher Naptha price not good. However, LCTitan will adjust its products selling price accordingly should its material feedstock price continues to remain high.
Hope the management able to improve it's production and capacity. Current high oil price is not in advantage of Lctitan. Production cost will be increased significantly.
PP3 has commenced early last month, the production capacity would be increased gradually which contributing to coming QR report and raw material follow crude oil will be outsourced eventually.
With current soften price, well glad to correct more.
production capacity won't increase so fast, short term have to bear with new depreciation cost. crude oil on the rise increase production cost. these 2 factors further burden lctitan profit margin in near term.
another thing,lctitan have operation in indon, indon rupi drop a lot...another thing which burden lctitan profit margin..but not sure how much is the impact from indon rupi.
agree with lizi...within this year titan will face challenge despite top line increasing..but i do believe it has bright future in long term..definitely this is a counter not for trader...
Former President Lee Myung-bak will be sentenced in his corruption trial on Friday.
Prosecutors have sought a 20-year prison term, W15 billion fine and the forfeiture of W11.1 billion.
Lotte chairman Shin Dong-bin will also be sentenced on appeal the same day. Shin was jailed in February for giving W7 billion in bribes to former President Park Geun-hye to win duty-free licenses. =========================================================
See...even ang mo analyst also same...price up upgrade tp, price down downgrade tp.
So easy. Got give reason or not for the downgrade? At least in forum we got give reason why short term is not so good. Better than so called "analyst". Tipu money only
Those wanna buy lower will should indon rupi has drop to its new low....thts the reason but LCtitan products were traded with dollars it actually benefit to its company anyhow.... if go lower I will buy more!
The real problem with this counter is liquidity. Even with some good news, its price barely move. There are no investor interest to chase up the price. I think this is common with shares with little liquidity. One example is Petron. It is a very long term investment for ppl with deep pockets. Petron looks better than Hengyuan but if u want to speculate n make money, Hengyuan offers more opportunities.
Read my post earlier... New factory usually lead higher depreciation cost... Crude oil rise so fierce... LCTITAN not fast enough pass the rising raw material cost to customer. Expect further losses.
So far we did not see LCtitan report any lost in Quarter result, beside this company with 0 debt and project with new business revenue coming in this quarter, US shale oil and the PP3, i do not see any reason trade at 4.40. Company net asset at 5.07 with 50% dividen distribute policy. If 4.40 I will start buying in. I still left with very small position and will add in if the price is right.
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....
Y2016
165 posts
Posted by Y2016 > 2018-09-25 23:14 | Report Abuse
Bought some shares at RM5.00 days ago