HEXTAR (5151),ANTICIPATING A BETTER YEAR AHEAD
1) HEXTAR has caught my attention after having spiked recently, and has since attracted the attention from market players. It is possible that the spike was just a beginning, and more to come.
2) Public Invest has given TP of 91c. Which is much higher than the current price.
3) Common shareholder with Ruberex. Hence, with recently huge spike from Ruberex, and with the correlation between Hextar & Ruberex, there is a possibility of further upside potential to possessing a similar pattern.
4) Hextar has been supplying Anti Covid-19 products to Ruberex, such as Hand Sanitizer, Anti-Bacterial & Chemical supplies too. One of biggest beneficiary from Covid-19.
5) Hence, from the tremendous increase of demand of their product, it is anticipated that the coming quarter result should will be out-performing. And best part of it, Hextar now also expanding their business aggressively in chemical business overseas.
6) Disposal of a property that has been left vacant following the consolidation of operations into a single location, and subsequently on 24 February 2020, obtained the approval from the shareholders for the disposal of the said property. The disposal is in line with the internal re-organisation to consolidate two production operation locations into a single operation location. Following the consolidation of operations and the Group’s continuous effort in cost rationalisation and improved operational efficiency, the segment’s loss after taxation reduced from RM7.78 million in the preceding financial year to RM1.47 million for the current financial year. The Group is very positive for consumer prodcut segment to improve further moving forward and will continuously monitor the financial performance for this business segment. The Group remains focused on the operational efficiency, profitability and business sustainability. The Board is of the view the Group is poised to deliver a satisfactory financial performance for the financial year.
7) Last but not least, Hextar also giving out a reasonable dividend yield to their shareholders, which is 6.26%.
TRADE AT YOUR OWN RISK.
The above is just my personal opinion & observation for learning purposes & should not in anyway be construed as a "BUY CALL".