The best way to compare plantation stocks is to total up the FFB production for the last 3 months for each company and divided by its Market capitalisation. The reason is that all the plantation companies will have to report their profit for the quarter ending March before the end of May. Due the record high CPO price all the planation companies will report increased profit. Which will report the best profit in comparison with its market capitalisation?
Name
FFB in last 3 months Tons
Total 3 months
Market Cap
Rm million
3 months FFB ÷ Market Cap
Subur Tiasa
18,295
22,857
70,132
483
145.2
28,980
Jaya Tiasa
55,365
43,722
151,243
1,091
138.6
52,158
MHC
10,035
9,005
29,138
259
114.4
10,599
SOP
76,725
88,787
267,790
3,695
72.5
102,278
Sarawak Plant
19,126
20,038
64,382
823
78.2
25,218
Cepatwawasa
6,982
6,717
23,074
375
64.6
9,375
Hap Seng
43,563
40,628
136,378
2,560
53.3
52,187
Ta Ann
45,505
39,498
123,367
2,740
48.3
47,364
Subur Tiasa , Jaya Tiasa and Ta Ann also produce sawn timber, ply wood and wood chip boards.
Comparison based on historical PE
Name
Price Rm
Latest EPS
Latest EPS X4
Price ÷EPS X4
Subur
2.20
16.15
64.6
3.4
Cepat
1.14
7.74
31.0
3.4
SOP
6.32
36.44
Rm1.56
4.1
Jaya Tiasa
1.09
5.28
21.12
5.2
Sarawak Pl
2.90
11.66
46.6
6.2
Hap Seng
2.49
11.79
47.2
6.3
Ta Ann
5.59
21.8
82.2
6.4
Comparison based on Market cap ÷ planted Hectare
Name
Price Rm
Market Cap
Million
Hectare
MC÷Ha
Subur
2.20
460
44,000
10.5
Jaya Tiasa
1.09
1,062
70,000
15.2
SarawakPl
2.90
812
35,000
23.0
Cepat
1.14
360
10,000
36.0
SOP
6.20
3,580
88,000
40.6
Ta Ann
5.94
2,642
50,000
52.8
Hap Seng
3.05
2,392
35,000
67.0
Indonesia Government bans palm oil export.
The Indonesian Government just announced the ban of palm oil export to help the local consumers because the palm oil price has been going up higher and higher. As a result, CPO price has not retreated from its historical high. As shown on the CPO price chart below the current price is Rm 6,869.00 per ton.
1. We are still in early days of Superbull as only 20% to 30% of people have joined the palm oil bull run
See top 30 popular stocks traded daily in Bursa not dominated by palm oil yet
25/04/2022 4:11 PM
calvintanengBest is yet to come as May results will be good
But with Indonesia banning palm oil export prices of Cpo will be very high from now plus Fresh fruit from April harvest will be abundant
August 2022 results will be simply fantastic
25/04/2022 4:13 PM
calvintanengAnd All palm oil co overflowing with cash will give
1. Very high dividends 2. Special dividends 3. Free Bonus issues 4. Free warrants 5. Possible high premium takeover like Klk took Ijmplant private at Rm3.20(from Rm2.20)
6. All of the above combined
7. Mr Market go GaGa chase palm oil stocks to limit up
So just buy and hold tight tight because the best is yet to come in this palm oil SUPERBULL
25/04/2022 4:17 PM
Markv572421T thought this week superbull ......only say May ? please early say loooorrrrr ....why still not direct to the point
25/04/2022 4:32 PM
Markv572421I already sell ...wait until May ..buy back .....its not good buying now ...the trend dropping ...
25/04/2022 4:34 PM
calvintanengMay 2022 all palm oil co will report good to great results
Some will announce good and also extra special dividends
Some will give free bonus as well like SOP
By then prices will Surge Higher and too late to buy back cheap
25/04/2022 6:22 PM
HafidThe trend is end alrewdy sell on news. Plantation not like manufacturing
26/04/2022 5:59 AM
calvintanengPlantation is entering it's SUPERCYCLES after many years in doldrums
Gloves Superbull was cutshort by the China factor and Vaccines
For Palm oil now the collective destruction of crop production by drought, by flood, by war and by embargo is real and on-going
Do not be an ostrich and hide your head in the sand
Better wake up early and join the Once a Life Time Palm oil SUPERBULL
GO BUY SOME PALM OIL SHARES TODAY
26/04/2022 6:53 AM
JohnzhangJAKARTA/KUALA LUMPUR (April 25): Indonesian government officials told palm oil companies on Monday that an export ban announced late last week would cover shipments of refined, bleached, deodorized (RBD) palm olein but not crude palm oil, two industry sources told Reuters. Though an exemption of crude palm oil from the export curbs will be positive for global markets, the majority of Indonesia's palm exports are in the form of processed oils and remain affected by the ban. There were still concerns that crude palm oil would also be added to the list of banned products, as it is raw material for RBD palm olein. According to data from Indonesia's palm oil association (GAPKI) exports of processed CPO in 2021 stood at 25.7 million tonnes, or 75% of total exports of palm products. CPO exports were 2.74 million tonnes in 2021, or 7.98% of the shipments. ------------------------------------------------------------------ The news is too sketchy. No official details from government yet. Stay calm for more details to emerge.
26/04/2022 7:04 AM
i3gamblerThe most active traded FCPO is 2 or 3 months from current month. Example, on 15th April, most active traded month is June, on 16th April, most active traded month is July. If the companies (big companies) sell their CPO to the most active month prices, Then this coming Q1-2022 result will not be better than Q4-2021, but the next Q2-2022 will be very good, much better than Q4-2021 and Q1-2022.
However, most small companies sell at spot price, which I do not monitor, so I dun know.
26/04/2022 11:07 AM
WelsonnotwellThere are some group really bad in buy call, GIF investiment in fb, making big losses in this counter. Beware !
How much more will you pay for this business at this favourable period?
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And so, it is time to revisit what Ben Graham wrote in The Intelligent Investor –
…the risk of paying too high a price for good-quality stocks — while a real one — is not the chief hazard confronting the average buyer of securities. Observation over many years has taught us that the chief losses to investors come from the purchase of low-quality securities at times of favorable business conditions.
The purchasers view the current good earnings as equivalent to “earning power” and assume that prosperity is synonymous with safety.
Buying high quality businesses at expensive prices carries a risk of poor returns, but buying low quality businesses even at cheap prices carries a risk of permanent capital destruction. And there is a big difference between the two.
Plantation co are trading at reasonable valuation like Pe below 13x....yielding dividend at 3% to 7% pa......and sitting on huge undervaluation of its land assets mah!
In the environment of rampant inflation n declining MYR forex....plantation is one of the best proxy to wealth protection loh!
Yes...u can say invest in branded nestle loh! But look at the price loh....u really overpay loh! Pe 52x and dividend yield just a magre 1.82% pa loh!
Surely u overpay....loh.....plus its earnings growth is not robust at all loh!
Plantation....has the capacity its earnings loh! Plus its valuation modest mah!
26/04/2022 4:37 PM
Markv572421If plantation so good ... then why people throw away (Sell)...
26/04/2022 4:45 PM
stockraiderFor mkt to work there must be buyers & sellers mah!
Both of them need to have different opinion for the price to transact mah!
Posted by Markv572421 > 8 minutes ago | Report Abuse
If plantation so good ... then why people throw away (Sell)...
26/04/2022 4:58 PM
Markv572421Plantation still not good should drop more.
26/04/2022 4:59 PM
stockraiderRemember nothing can beat plantation investment in preservation of wealth loh!
26/04/2022 5:02 PM
Markv572421Such a big liar....pls dont promote and trick people by using nice nice word about plantation ......so irritating .....
