Calvin, what is your opinion on Kim Loong? As far as I know, currently the top plantation equity research analyst is AmInvestment Bank. She gave Kim Loong super bullish PT at RM2.90
For plantation, we impute a FY24F FFB production growth of 6% YoY (vs. 5.2% YoY in FY23 and 7.5% YoY in 2MFY24). KLK’s oil palm estates in Sabah, Sumatra and Kalimantan were not affected by the heavy rains in late- 2023. 50% to 60% of KLK’s FFB production come from Indonesia.
Ex-mill cost of CPO production is anticipated to decline to RM2,000/tonne in FY24F from RM2,229/tonne in FY23. The drop in the cost of production per tonne in FY24F is driven by lower costs of fertiliser and a higher volume of CPO production.
KLK is currently trading at a FY25F PE of 16x, which is slightly higher than its 2-year average of 15x. We believe that the premium is justified due to the group’s attractive age profile of oil palm trees. Source: AmInvest Research - 24 Jan 2024
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wallstreetrookieNEW
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Posted by wallstreetrookieNEW > 2024-01-23 13:30 | Report Abuse
That was in 2023. I am talking about your predictions for the first month in 2024 alone