infolinks

Sunday, November 13, 2016

Daibochi Plastic & Packaging Industries

Daibochi chart from Jan 2014 till 11 Nov 2016

Daibochi chart from Feb 2016 till 11 Nov 2016

The first Daibochi chart shows that it is trending up since some time back. It also shows that it is paying dividend every quarter, (the blue bell sign on the chart shows the ex-date of each dividend)

The second Daibochi chart shows that it has been consolidating for a while and around September 2016 it started to move up again. The last 2 days saw renewed interest with a spike in price after the announcement of 3rd quarter financial results on 10th November, declaring a 3rd interim dividend of 1.32 sen single tier which is payable on 22nd December 2016.

The last traded price on 11 November 2016 is RM2.31. With 273.245 million shares issued it has a market capitalisation of about RM631.197 million.

Money flow for Daibochi for the duration of the past 1 year, past 1 month and past 1 week has been all positive. The positive money flow indicates either there is no selling pressure despite market uncertainty or accumulation is still on going even at RM2.31

Daibochi has an active and well-managed share buyback programme as it has in the past able to sell some of the treasury shares to long-term investors, making some decent profits for the company.

Export sales increase to 55% from 52%. Export to Australia and New Zealand is about 30% and the remaining 70% is exported to the southeast Asian countries.

52-week price range is RM1.79 - RM2.44. So at RM2.31 is near to the upper limit of the trading range.

Production line in Australia started in 3QFY16 and a second production line will start in the 4th quarter 2016. With the production located nearer to the clients it will result in some transport cost saving and hopefully increase its profit margin. In fact according to the latest quarterly financial report margin has stabilised.

This is not a recommendation to buy or sell but a record of my own observations so that I can refer to this when I need it.








Daibochi Plastic & Packaging Industries

Daibochi chart from Jan 2014 till 11 Nov 2016

Daibochi chart from Feb 2016 till 11 Nov 2016

The first Daibochi chart shows that it is trending up since some time back. It also shows that it is paying dividend every quarter, (the blue bell sign on the chart shows the ex-date of each dividend)

The second Daibochi chart shows that it has been consolidating for a while and around September 2016 it started to move up again. The last 2 days saw renewed interest with a spike in price after the announcement of 3rd quarter financial results on 10th November, declaring a 3rd interim dividend of 1.32 sen single tier which is payable on 22nd December 2016.

The last traded price on 11 November 2016 is RM2.31. With 273.245 million shares issued it has a market capitalisation of about RM631.197 million.

Money flow for Daibochi for the duration of the past 1 year, past 1 month and past 1 week has been all positive. The positive money flow indicates either there is no selling pressure despite market uncertainty or accumulation is still on going even at RM2.31

Daibochi has an active and well-managed share buyback programme as it has in the past able to sell some of the treasury shares to long-term investors, making some decent profits for the company.

Export sales increase to 55% from 52%. Export to Australia and New Zealand is about 30% and the remaining 70% is exported to the southeast Asian countries.

52-week price range is RM1.79 - RM2.44. So at RM2.31 is near to the upper limit of the trading range.

Production line in Australia started in 3QFY16 and a second production line will start in the 4th quarter 2016. With the production line located near to the clients it will result in some transport cost saving and hopefully increase its profit margin. In fact according to the latest quarterly financial report margin has stabilised.

This is not a recommendation to buy or sell but a record of my own observations so that I can refer to this when I need it.