ARANK first appeared in my blog on 30 March 2017. You can also click HERE to view my first post about ARANK. ARANK's A-RANKed Mission Impossible??? Well, i think its possible, because I M POSSIBLE~
1. Fundamental Analysis
Revenue and Net Profit for ARANK from malaysia stock biz [2] |
The increase in revenue is due to higher average selling price as a result of the increase in the raw material costs although the business volume was lower[3]. From this statement, i can see that the management is transferring the cost to the end user. The worrying factor will be the lower business volume, which might signifies flat growth or declining growth. However, the management highlighted 3 points in the prospects. First is the recovery in the commodity prices as external demand improves. Second is their business is affected by the weakening RM but our RM is getting stronger if compared to last quarter. Third is the volatility of aluminium has added uncertainties to their business. The point 1 and 2 are on ARANK's side. While for bullet point number 3, i will share my views based on data i collected in my Projection Analysis sector.
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