Lowyah koyak giyah stock. This kind of biz too much work in between. Same said for oil palm biz. Calvin where is your Th at 1.50....hehe... I smarter cos I tuang all out at 80c...I don't believe can go To 1.50 so soon unless oil palm price is mr10k. Dream on dream on th plant to go to 1.50
Government allowed import of frozen chicken hitting foundry owner's sales. In addition price control measure doesn't allow any price increases vs the costs of chicken feeds. Both ends hitting foundry owners bottom line. Not to mention the recent floods in certain localities in Johor, Perak , Negri sembilan has hit the chicken farms
Difficult times for chicken farmers. Government price control till June but price of chicken feeds up 70% -80% but government only paid 60 sen per kg per chicken. Not corn prices much higher
Post downward earnings forecast revision and roll-forward of its valuation base year, the brokerage lowered its target price on LHI by 1.5% to 66 sen, based on 18 times revised FY22 core earnings per share of 3.7 sen.
Yes. Non performing. With the recent ban on exports imposed. Poultry chicken farmers also faced escalating high corn prices. it"s a double whammy hit for LHII
Overweight on Leong Hup The worst is almost over for Leong Hup. Margins will slowly recover, company is able to pass their cost to distributors and customers. Given its attractive valuation, the company is primed for strategic buy-out and acquisition at the same time. Very bullish on LHI
We think that government will no longer be able to contain the rising average selling price of broiler chickens and poultry. Malaysia may discontinue the imposition of price ceiling policy after June 2022.
Alexander Nanta Linggi, Malaysia’s Minister for Domestic Trade and Consumer Affairs: "The extension is to ensure Malaysians are ready for price changes when the fixed price ends on Jun 30 ,”
Whenever there is demand this stock still downtrend due to earning isn't that good. Whenever the price of chicken is high in the sky, the expenses became expensive as well and eventually breakeven. Every single catalyst will surely have flaws in their earning and this stock hardly backed by the analyst as well. Not many analyst willingly to cover this stock! He has to do good advertisement
Loss of Poultry & livestock of -22m more than made up by 85m profit from Feedmill Indonsia revenue RM804m, M’sia RM552m, Vietnam RM468m S’pore RM197m Can’t sell chicken to S’pore, S’pore can easily buy from LHI’s Indonesia subsidiaries. (Indonesia has a 10-15% surplus supply of chicken)
“Corn futures traded around $7.6 per bushel, the lowest in 2 weeks and retreating from a 1-month high of $7.9 touched on June 16th, as favourable weather and weak demand prospects weighed on prices, temporarily turning attention away from war disruption to Black Sea exports”
https://ceomorningbrief.theedgemalaysia.com/article/2022/0397/Home/2/624992 Govt removes ceiling price for chicken and eggs, subsidies for bottled cooking oil from July The govt may have no choice, otherwise artificially suppressing the price will cause many small farmers to go bust, which is in turn bad for for the food security of the country. LHI being one of the biggest supplier not only in M'sia but in SEA has plenty to gain, more so, as it also supply the chicken-feed
157 million fine imposed by Mycc on LHI subsidiary. is it justified ?. LHi s appealing against Mycc ruling. If unsuccessful or failed what's LHi next step ?
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....
TakeProfits
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Posted by TakeProfits > 2022-01-10 18:55 | Report Abuse
Lowyah koyak giyah stock.
This kind of biz too much work in between.
Same said for oil palm biz.
Calvin where is your Th at 1.50....hehe...
I smarter cos I tuang all out at 80c...I don't believe can go
To 1.50 so soon unless oil palm price is mr10k.
Dream on dream on th plant to go to 1.50