DIPPED PRODUCTS PLC (DIPD.N0000)

Mithooshan wrote:

KingMaker2020 wrote:

arun.cse wrote:hope 350+ within this week

Certainly sir, a fundamentally strong company that was panic sold last few days due to current developments.

Dipped might surprise everyone very soon. If we check the dates of the quarterly reports uploaded for the company, they have published it on last few working days of October or early November. We are closing in on the report. It can be uploaded early as tomorrow or latest by Friday.

This is proven by the collection on last two days. Over 1.1Mn shares. For the sake of calculation if i estimate the avg-transaction price as Rs.310 (reasonable based on traded prices for the volumes), total traded revenue for the volume is 341Mn.

Clearly few selected individuals know the second quarter result is going to be out soon and trying to capitalize the opportunity. Get in before its too late or hold on if you have Dipped.
(There is no other reason to spend 340+Mn all of a sudden. I don’t think buyers are purchasing the share only because of fundamentals. This time there is an opportunity for short term gain as well)

@KingMaker2020 - It is not panic selling but selling from foreigners who hold the share with good profits. Once the report is out foreign selling sentiment might even change to a foreign buying sentiment.

with TPL and KVAL profit and its glove production is in a very promising environment DIPD will be an exceptional candidate in the future.

DIPD foreign sales.... just for knowledge...

Exceed Rs.350 today 

With QR during this week, Rs.400

Win Win wrote:Exceed Rs.350 today 

With QR during this week, Rs.400

 within today......cannot be expected.

arun.cse wrote:

Win Win wrote:Exceed Rs.350 today 

With QR during this week, Rs.400

 within today......cannot be expected.

Foreign selling is frustrating at times. They will keep selling until results are out. Being patient is the key.

Mithooshan wrote:

arun.cse wrote:

Win Win wrote:Exceed Rs.350 today 

With QR during this week, Rs.400

 within today......cannot be expected.

Foreign selling is frustrating at times. They will keep selling until results are out. Being patient is the key.

As my feeling it will touch 350 within this week.

arun.cse wrote:

Mithooshan wrote:

arun.cse wrote:

Win Win wrote:Exceed Rs.350 today 

With QR during this week, Rs.400

 within today......cannot be expected.

Foreign selling is frustrating at times. They will keep selling until results are out. Being patient is the key.

As my feeling it will touch 350 within this week.

Yes, good time to collect !! It is difficult understand how foreigners are acting ??

DIPD should go up in higher speed of higher gear than EXPO !!
Results should be released during first week. 

Estimated EPS for 2020/21 is Rs.90, Expected price is Rs.540 by end of 2nd week of Nov 20

Win Win wrote:

arun.cse wrote:

Mithooshan wrote:

arun.cse wrote:

Win Win wrote:Exceed Rs.350 today 

With QR during this week, Rs.400

 within today......cannot be expected.

Foreign selling is frustrating at times. They will keep selling until results are out. Being patient is the key.

As my feeling it will touch 350 within this week.

Yes, good time to collect !! It is difficult understand how foreigners are acting ??

DIPD should go up in higher speed of higher gear than EXPO !!
Results should be released during first week. 

Estimated EPS for 2020/21 is Rs.90, Expected price is Rs.540 by end of 2nd week of Nov 20

If and when the results are out Rs.350 is no gamer.

Edit (2:32P.M) - Who else observed the bullish buying at the last minute !

Mithooshan wrote:

Win Win wrote:

arun.cse wrote:

Mithooshan wrote:

arun.cse wrote:

Win Win wrote:Exceed Rs.350 today 

With QR during this week, Rs.400

 within today......cannot be expected.

Foreign selling is frustrating at times. They will keep selling until results are out. Being patient is the key.

As my feeling it will touch 350 within this week.

Yes, good time to collect !! It is difficult understand how foreigners are acting ??

DIPD should go up in higher speed of higher gear than EXPO !!
Results should be released during first week. 

Estimated EPS for 2020/21 is Rs.90, Expected price is Rs.540 by end of 2nd week of Nov 20

If and when the results are out Rs.350 is no gamer.

Edit (2:32P.M) - Who else observed the bullish buying at the last minute !

I have noticed the scenario. No worries because lot of our members recommended this counter form a long time and when this second wave hit on 5th October I have post messages not to sell this. I did my part as a member because I know this will break the 380 level. And I have collected a lot too as an INVESTMENT. GL
I saw this prediction by gamaya's post and it should be correct.
It's 21.88 . Well predicted guys. QR is excellent.

And the financials are out!!! Super performance as expected... expect fireworks tomorrow

Q2 results out.
EPS 1H 32. On track for a annualized EPS 60-70.

https://cdn.cse.lk/cmt/upload_report_file/670_1604482484847.pdf

Tomorrow is the day

MaJa wrote:Q2 results out.
EPS 1H 32. On track for a annualized EPS 60-70.

Mithooshan wrote:https://cdn.cse.lk/cmt/upload_report_file/670_1604482484847.pdf

Tomorrow is the day

ONTHEMONEY wrote:

Win Win wrote:

DKbogols wrote:Lot of people forget that 40% of DIPD’s income comes from plantations. Not just a PPE manufacturer. I am expecting a super Q2 as a result of both PPE performance and plantations. Fundamentally DIPD is very strong and much more room to grow in terms of PE multiples - especially considering exceptional Q2 results expected soon. In a typical investment we expect min. 30% return in 1 year, but with DIPD this can be achieved in a month!

That is why I have been highlighting DIPD from May 20.

DIPD will give the Super Performance. Now, they provided 5% of World Glove (HH & IG) demand. Now, they are ready to go above recent expansions and price gains.

DIPD should increase by rallies like EXPO and remain above Rs.400. In addition to the Capital Gain, DIPD will give a reasonable dividend in next 2 quarters. Until releasing Q2, it will gradually reach Rs.270 & Rs.300. With Q2 release, I expect a journey to Rs.400.

Again post following note for every one progress !! Keep adequate quantity in your portfolio, bcz this is a real good value share with expecting 60% capital gain from current price. Really Worth !!

DIPD has a wonderful time with their expansions done in last year as well as spanning of more than 70 countries. Think world glove demand has increased by 600% and no sign to end of covid. Most of coutris locked down the operation in Mar to May 20 and started most of businesses from June 20, Then, again Glove demand as a PPE has been multiplied by few times in addition to 600%. Also, DIPD recorded massive increase in profit in Q1 with 2 months lock-down. DIPD has very strong investments such as TPL & KVAL. They are performing well and TEA market is very good one these days. Also, new market places are opened for Gloves & TEA day by day in addition to extra demand on existing market. That will be the reason, DIPD directors bought DIPD share bulks at Rs.187-200 range. They know the real value of this share.
Considering all these factors, DIPD Q2 must be very impressive and a clear picture. When calculated the expected EPS, it should be more than Rs.24 in Q2. Annualized EPS should reflect as Rs.90 +. Based on this annualized PE, DIPD PE is only 2.44 at current market price. Sector PE is 14.6. If adjust DIPD price to Sector PE, Price would be > Rs.1,300. But, will not adjust DIPD price to sector PE. But, it should raise and keep above Rs.400 when compare to other companies specially Manufacturing sector. 
Do your own analysis and make this valuable investment.
My view is DIPD share is the share should go up as EXPO !!
Less Risk + Mass Capital Gains

Hi Winwin,


Thanks for recognizing this share well ahead. I see strong upside potential for DIPD by looking at the MACRO fundamentals correlating earnings to grow more than 500% expected for the FY 2020/21.

DIPD is a RARE GOLD MINE in CSE now. If you look at How EXPO rallied based on earnings growth, DIPD share price at current levels is still showing MUCH STRONG POTENTIAL 

I would endorse Winwin's MARKET VALUE COMPUTATION together with following perspective.

EPS recorded for 1Q20 = Rs 10.19 
EPS expected for 2Q20 = Rs 20 
EPS expected for 3Q20 = Rs 20
EPS expected for 4Q20 = Rs 20

Annualized EPS = Rs 70.19

Market Value =Rs 699/- 
[Rs 70.19 x 9.97 Market PE as of 14.10.2020]

Materials Sector PE = 17.69 as of 14.10.2020

Note - I expect the 100% production capacity utilization doubled the EPS for remaining quarters as there was only 50% production due to lockdown. However, DIPD is not taking any NEW ORDERS for 2021 and the order book is full by now which suggests 100% GURANTEED CASH FLOW in upcoming quarters. This way I would feel the earnings would be more conservative.

I strongly feel DIPD to record above earnings for remaining quarters due to following;

1. Increased GLOVE Demand due to incremental growth In COVID cases with Winter Season on the corner in EUROPE 

2. NO NEW ORDERS are taken till 2022 and the cash flow for the financial year is secured well ahead. If you have any GLOVE ORDERS call and see.

3. Increased capacity expansion by launching TPR plant in Biyagama which has INCREASED production lines to 32 enabling the capacity manufacture 300 variants.

Source -  http://www.dailymirror.lk/40500/dipped-products-to-invest-in-new-glove-manufacturing-facility-in-biyagama-zone-



4. The company revenue contributed by Hand Protection and plantation. Both have increased significantly recording a growth beyond 100%.

Therefore, with this enormous amount sales with100% capacity utilization in all factories located in Thailand as well, DIPD is to deliver the ONE OF THE BEST FINANCIAL REPORTS in upcoming QUARTERS

If anyone is planning to sell, it will be your PRECIOUS ASSETS SELLING @ 50% BARGAIN price
 
Good Luck

MORE THAN EXPECTED now ur target prices also should increase..so i kindly request ON THE MONEY to do another work on this share.

EPS
Q1 Rs 10+
Q2 Rs 21.88

Q3 and Q 4 too can expect similar earning (EPS 44)as order book full 

For the year EPS Rs 75

Even if PE 6 DIPD should trade around 450
with 8 PE around 600

Ok Ok, Awesome DIPD payback as we predicted, now now can you imagine the target price? 
Profits for quarter 503% UP
EPS for quarter 21.88 / six month 32.07 > 6 times UP
Where will it ends now 
More appreciations booked for next quarters + super dividends

https://cdn.cse.lk/cmt/upload_report_file/670_1604482484847.pdf

600 බල යන සීග්‍රගාමී දුම්රිය නොවැලක්විය හේතුන් මත ඉදිරි නැවතුම්පොළවල් වල නැවත තබන කාලය අවම කර තිබේ දුම්රියට ගොඩවූ ඔබ සැමට සුබ ගමනක් වේවා !!

https://cdn.cse.lk/cmt/upload_report_file/670_1604482484847.pdf

geesura wrote:600 බල යන සීග්‍රගාමී දුම්රිය නොවැලක්විය හේතුන් මත ඉදිරි නැවතුම්පොළවල් වල නැවත තබන කාලය අවම කර තිබේ දුම්රියට ගොඩවූ ඔබ සැමට සුබ ගමනක් වේවා !!

Win Win wrote:DIPD should go up in higher speed of higher gear than EXPO !!


 

Thank you @Win Win for keeping recommending this super counter.

Mithooshan wrote:

Win Win wrote:

arun.cse wrote:

Mithooshan wrote:

arun.cse wrote:

Win Win wrote:Exceed Rs.350 today 

With QR during this week, Rs.400

 within today......cannot be expected.

Foreign selling is frustrating at times. They will keep selling until results are out. Being patient is the key.

As my feeling it will touch 350 within this week.

Yes, good time to collect !! It is difficult understand how foreigners are acting ??

DIPD should go up in higher speed of higher gear than EXPO !!
Results should be released during first week. 

Estimated EPS for 2020/21 is Rs.90, Expected price is Rs.540 by end of 2nd week of Nov 20

If and when the results are out Rs.350 is no gamer.

Edit (2:32P.M) - Who else observed the bullish buying at the last minute !

@Win Win: Noticed the same. Massive buying even around 330

Pls post in the Dipped main thread instead of creating a new thread. Your article will be consolidated to the main DIPPED PRODUCT thread shortly.

geesura wrote:600 බල යන සීග්‍රගාමී දුම්රිය නොවැලක්විය හේතුන් මත ඉදිරි නැවතුම්පොළවල් වල නැවත තබන කාලය අවම කර තිබේ දුම්රියට ගොඩවූ ඔබ සැමට සුබ ගමනක් වේවා !!

Nice statement 


600


DIPD should go up in higher speed of higher gear than EXPO !!

http://www.ft.lk/front-page/COVID-catapults-Dipped-Products-1H-after-tax-profit-by-545-to-Rs-2-1-b/44-708506

Good Start !

Daily FT
http://www.ft.lk/front-page/COVID-catapults-Dipped-Products-1H-after-tax-profit-by-545-to-Rs-2-1-b/44-708506

2Q alone surpasses full FY20 pre-tax profit of Rs. 1.1 b

FY21 1H pre-tax profit more than double of full FY20
Revenue up 33% to Rs. 20.3 b; 2Q sees higher growth of 47%

Hand protection revenue up 49% and pre-tax profit up four times to Rs. 2.2 b

Investors re-rate value as share price has risen from Rs. 88 in Sept. 2019 to Rs. 224.10 in Sept. 2020 and to Rs. 328.50 as of yesterday

Fully integrated rubber glove manufacturer and exporter Dipped Products PLC (DIPD) is enjoying a milestone year thanks to the COVID-19 pandemic, with the half-yearly after-tax profit soaring by 545% to Rs. 2.1 billion.

Pre-tax profit was up 479% to Rs. 2.6 billion, whilst net profit attributable to equity holders of the parent company was up 377% to Rs. 1.9 billion.

The latest interim results confirm DIPD has overtaken the FY20 full year pre-tax profit of Rs. 1.1 billion comfortably. The half-yearly revenue saw a healthy growth of 33% to Rs. 20.3 billion. In full, the FY20 revenue was Rs. 30.5 billion.

DIPD is a world leader in protective hand wear, supplying 5% of global demand for household and industrial gloves. The COVID-19 pandemic has boosted sales of medical and household gloves and other Personal Protection Equipment (PPE) wear.

Showing what was in store, DIPD in 1Q of FY21 saw pre-tax profit jumped by 305% to Rs. 895.4 million, whilst after-tax profit was Rs. 720.6 million, up 643% from a year earlier and fell short of FY20 full year figure of Rs. 850 million. 1Q bottom line was Rs. 610 million, up by 501% from a year earlier. Revenue grew by 19% to Rs. 9.3 billion.

The second quarter has been busier with revenue up 47% to Rs. 10.96 billion. Pre-tax profit was up by 647% to Rs. 1.7 billion and after-tax figure up 503% to Rs. 1.4 billion.

Hand protection revenue in 1H amounted to Rs. 12.8 billion, up 49% from Rs. 8.6 billion a year earlier. Revenue from plantations improved to Rs. 7.5 billion from Rs. 6.7 billion.

Pre-tax profit from hand protection has soared nearly four times to Rs. 2.2 billion from Rs. 660 million a year ago, whilst that of plantations amounted to Rs. 542 million up from Rs. 10 million.

Total assets as at 30 September were Rs. 31.3 billion, up from Rs. 25.5 billion a year earlier and Rs. 27 billion at the end of FY20.

Investors have also re-rated value of the DIPD share price with the 30 September closing price of Rs. 224.10 as against Rs. 88 a year ago. DIPD’s market capitalisation has tripled to Rs. 13.4 billion in the past one year. By yesterday, the share price had further risen to Rs. 328.50 and market capitalisation was Rs. 19.6 billion.

DIPD’s vast product range comprises over 300 variants of 124 product varieties of natural and synthetic-latex-based supported and unsupported gloves with numerous applications. The products are sold in over 70 countries across six continents.