The share price of listed Malaysian furniture makers had risen in tandem with the fall of the Malaysian Ringgit over the last two years ago. A weaker Ringgit is expected to boost the export revenue of these Malaysian furniture makers.

USDMYR vs Furniture Stocks.png

What about the current situation, given the current strength of the Ringgit?

Strictly For Illustrative Purposes Only

Latitud Tree

Correlation is reasonable at R-squared of 0.67. It appears that based on the regression relationship between USDMYR and share price of Latitud, the Company appears to be trading at discount to its forecast value. Nevertheless, its current share price is the range of the 95%-confidence intervals.

Latitud.png

Poh Huat Resources

Correlation is 93quite high at R-squared of 0.67. It appears that based on the regression relationship, Poh Huat appears to be trading at premium to its forecast value and slightly above the 95%-upper interval.

PohHuat.png

Focus Lumber

Correlation is lowest if compared to the peers. Based on the regression relationship, it appears to be in an oversold position (trading at a significant discount to its forecast value). Nevertheless, the current price is in between its 95%-upper / lower bounds.

FL.png

Lii Hien

Correlation is considered high at 0.88 (r-squared). Based on the regression relationship, it appears to be trading at a premium to its forecast value and above its 95%-upper bound of forecast range.

LH.png

Homeritz

Correlation is reasonably significant at 0.84 (r-squared). Currently, Homeritz appears to be fairly valued if compared to its forecast value and range.

Homeritz.png

 

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