Remember the LORD for it is he who gives you the ability to produce wealth and so confirms his covenant... Deut. 8:18

Wednesday, October 6, 2010

Earnings Drop: Top Glove

Top Glove just released their quarterly earning
Net profit approx. RM 43 million, a 30% decline compared to their previous RM 64 million
Therefore earning per share, Qeps = RM 43m/ 618m shares issued = RM 0.073 or 7.3 sen
My fair value Fv = 7.3 x 4 x 10 = RM 2.92. So at RM 5.70, it's expensive for my liking.

Speculating on Supermax similar decline of 30% net profit
Net profit = 70% x last quarter RM 45 million = RM 32 m
Q eps = RM 32m/ 339 m shares = RM 0.095 or 9.5 sen
My fair value Fv = 9.5 x 4 x 10 = RM 3.80
I'll be comfortable to buy around RM3.30 when it slides from the current RM 4.26

3 comments:

Jim Cheng said...

Hi ,

Can we exchange blogs?

http://talkaboutsharesmarket.blogspot.com

TQ

Remnant 613 said...

Can do..

Jim Cheng said...

Done.