KYY

Supermax record profit must prevail

Koon Yew Yin, 23rd Jan 2021 

Covid 19 pandemic is affecting almost all the listed companies. Out of the 1,100 listed companies, less than 50 stocks are not affected by the pandemic. 

In fact, medical gloves, medical products and a few other stocks are benefitting from the Covid 19 pandemic. 

Fund managers normally invest in many listed companies to spread their investment risk. They are losing a lot of money. They are so desperate to do whatever they possibly can to recover their losses. That is why they have been depressing all the glove stocks so that they can buy at cheaper prices.  

The manipulators, Fund managers and short sellers have been pressing down glove stocks share prices in the last 2 months so that they can buy at cheaper prices. As a result, the price of Supermax has dropped about 40% from its recent peak.   

If you have been watching the market closely, you can verify what I said below. 

On every trading day, between 4.45-4.50 pm the share price is being fixed. Just 1 or 2 minutes before 4.45 pm when very few shares are being traded, I often notice one manipulator would place a big block of shares to sell to depress the share price. When sellers saw that there were so many sellers, they would also rush to sell at lower prices. 

During 4.45-4.50 pm, the manipulator would a place another big block of share to sell at lower prices. As a result, the share price would be lower than it was before 4.45 pm. After 4.50 pm when the price is fixed, the big manipulators would continuously que to buy at lower price. 

Supermax reported its 1st quarter ending Sept EPS 30.58 sen. Its previous quarter EPS was only 15.19 sen. It has made 100% more profit than its previous quarter. Based on the surge in demand for gloves, all the glove makers can easily increase their selling prices to make more and more profit. 

Supermax’s 2nd quarter ending December should be another new record profit which will be announced in early next month. Investors should not sell their holdings. They should wait patiently to gain more money.  

Even if you assume Supermax cannot increase its selling price for the whole year, its annual EPS should be 4 X 30.58 sen = Rm 1.22 per share. Based on PE 10 its share price should be Rm 12.20. The last traded price was Rm 6.53. 

I believe Supermax record profit must eventually prevail.