Surprise ... Titan Chemicals (5103)

Titan share price moved aggresively today. It opened gap this morning at 1.50, as compared to yesterday closing at 1.47. It closed at 1.58 with intra high at 1.61. The volume surged high as well, with 69,503 (lots) done.
I was so surprised and it opened gap this morning. There is no specific development in the company or any good news released. One thing that can relate to the uptrend of Titan would be the decrease of oil price which is the main cost production for Titan.
Anyhow, I still believe that oil price is secondary to Titan. Demand and supply should play the most important role to determine the margin that Titan will enjoy. As stated in my previous blog, higher or lower oil price will have the impact to Titan when they are in the process to pass the higher cost to the consumers and customers. Of course, I hope that lower oil price will provide some advantages to Titan in short term.
Titan Q4 earnings release will be due in Feb'07. Hopefully they will release Q4 result by early of Feb'07. I expect Titan to post a net profit of at least RM100mil and propose final dvidend of at least 3 sen.
It's time to prove that one of the local research house call is totally wrong! It remains its 'sell' recommendation when Titan released Q3 result. Prior to Q3 result announcement, it stated that high oil price will hit Titan. After that, it stated that the selling price for Titan products are lower due to lower oil price. Now, i realise why I hardly see a good call from this research house ...
Let us wait for the Q4 result!