Johotin

Johotin

Postby winston » Mon Jun 18, 2018 9:17 am

not vested

Trading Buy: JOHOTIN - 7167
(Last price: RM1.00, Potential upside +16.0%)

Company Profile
• Johotin is involved in the manufacturing of various tins, cans, tinplates, and other containers. It also manufactures and sells milk and related dairy products.

Trading Catalyst
• Bloomberg consensus is predicting a stable 8% growth from FY17-20, propelled by capacity expansion in its F&B segment while demand for the tin manufacturing segment, is expected to grow marginally in the matured and stable industry
• We like JOHOTIN for its favourable industry outlook, sound balance sheet (net cash of 7sen/share) and generous dividend yield of 4% (peers average: 2.1%).Valuation is cheap at 10.3x FY19 P/E vis-à-vis its peers (22x).
• Positive downtrend line breakout to retest RM1.09-1.16 targets.

Technical View
• Resistance: RM1.06 / RM1.09 / RM1.16
• Support: RM0.960 / RM0.930
• Cut loss: RM0.920

Key Financial Stats
• Trading at 10.3x FY19E (53% below its peers), supported by 4% DY (peers: 2.1%)

Source: HLIB
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
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winston
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Posts: 118536
Joined: Wed May 07, 2008 9:28 am

Re: Johotin

Postby winston » Mon Feb 18, 2019 9:36 am

not vested

Trading Buy: JOHOTIN-7176
(Last price: RM1.26, Potential upside +18.3%)

Company Profile

• Johotin (listed in Oct 2003) is involved in:-
(i) the manufacture of various tins, cans and other container and printing of tin plates for customers in various industries, and
(ii) production of dairy products in both bulk and consumer packs.

Trading Catalyst

We expect share prices to grind higher in anticipation of positive 4Q18 results and improving FY19-20 outlook, underpinned by
(i) higher sales in higher margin products at the F&B segment
(ii) higher production capacity at the F&B segment and
(iii) commencement of new production plant in Mexico.

Johotin is a cheaper proxy to consumer sector amid undemanding valuation at 10.1x (34% lower than its peers) supported by strong 18% FY18-20 EPS CAGR and 18.2sen net cash/ share (which allows continued decent dividends).

Poised for a bullish momentum breakout towards RM1.32-1.49 following the rounding bottom pattern

Technical View
Resistance: RM1.32 / RM1.40 / RM1.49
Support: RM1.20 / RM1.16
Cut loss: RM1.15

Key Financial Stats
Trading at 10.1x FY19E (Ex-cash 8.6x), supported by decent yield of 3.2%

Source: HLIB
It's all about "how much you made when you were right" & "how little you lost when you were wrong"
User avatar
winston
Billionaire Boss
 
Posts: 118536
Joined: Wed May 07, 2008 9:28 am


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