HOW TO TRADE HARTALEGA

Orders for gloves during the Covid-19 were high as customers stock up more than usual as a pre-emptive measure.

Previously during the H1N1 pandemic, Hartalega’s revenue and net profit rose 29.0% and 69.5% respectively for FY10 as demand soared. This resulted in a 5.9-percentage-point (ppt) improvement in net margins (25% for FY10).

Many research house and investment bank, expects nitrile gloves to continue growing and grabbing market share from latex gloves.

Forecast Hartalega’s FY21F net earnings to grow by 16.2% year-on-year and net margin to improve to 15.8% from 14.7%.

From the chart we can see , the stock is forming an "uptrending" pattern. which means the buying momentum is very strong. The opportunity of gather the stock, will be on selling down the stock. Check on the red line