Mabel today very busy with Mabel Energy Battleships and Super tankers as all of them cruising at full speed. So many missiles to fires....I think one of the missiles hit Mickey Mouse Plantation - MHC - Mickey Horrible Counter ...HiHiHi....
"" What is the direction for CPO price? Drawing hints from the CPO forward curve (Exhibit 2) in backwardation, the direction continues to head south with near-term price range of c.RM3,500-3,700/MT. We concur with the direction, especially as rising inventory in 2H 2021 should continue to weigh on CPO prices."""....... KENANGA ( Jul 28, 2021 9:25 PM ) .......... Oh... Such COMPETENT Analysis !!! ( LoL )
By the way you need to add in the dividend 25-Aug-2021 09-Sep-2021 DIVIDEND Second Interim Dividend RM 0.0230 Dividend 25-May-2021 10-Jun-2021 DIVIDEND First Interim Dividend RM 0.0030 Dividend 24-Mar-2021 07-Apr-2021 DIVIDEND Second Interim Dividend RM 0.0050 Dividend
KUALA LUMPUR (Oct 6): RHB Retail Research said Boustead Plantations Bhd has renewed its bullish momentum as it surpassed the 63 sen immediate resistance on high volume – printing a long white candlestick.
In a trading stocks note today, the research house said if the breakout sustains, the bulls may propel the stock towards the nearest resistance of 68.5 sen – before possibly hitting the multi-month high of 77.5 sen.
“However, falling below the 60 sen support may trigger a downtrend,” it said.
This stock at $0.655 today is still at unreasonable 50% discount to NTAb of $1.31 after considering the $0.144 per share kulai estate disposal announced recently. The discount to intrinsic value may even be as high as 75% as Bplant has a lot more valuable freehold development land like kulai estate. In the event of privatisation, the offer price has to be about 1.5 x book value to be fair (ie 1.5x $1.31 =$1.97). That's what I think it should worth .
Personally, if privatisation were to happen, it needs to happen now thn later whn the price go higher… seeing the sell queue, it makes me wonder if it’s a sign…
Now look out for the a) Production for Sept of BOTH Malaysia and Indo.( Covid effect ?) b) Indonesia has SOME interesting DEVELOPMENT 1) Blending CPO into jet fuel ? ( https://www.marketscreener.com/news/latest/Indonesia-conducts-test-flight-using-jet-fuel-mixed-with-palm-oil--36611197/ )...Due to HIGH Crude Oil prices ? 2) Taxes for Export of CPO ( Increase due to Govn short fall in Revenue ?) 3) Increase in Blending of CPO into Fuel oil ( B30 grade ) due to HIGH Crude Oil prices ? c) END STOCKS for Sept 2021 ?? For Both Indo and Malaysia ? ( Looking forward to Dec and Jan festive season ) d) Oct 2021 production will be BELOW par for Malaysia due to HUGE LABOUR shortage ( Althought should(???) SLOWLY improved in Nov and Dec 2021 ( Any effect due to LaLINO - Wet Weather expected ? )........ Many FACTORS are SUPPORTING Rm5,000/tonne .....
Oh Yes !!! Crude Oil at US69/- Now. Once the Western Countries open up as Covid gets under CONTROL .......... In Summer .( July till Oct ) expect BINGE spending and travel. Crude Oil .... Likely to Go Up. So WILL BIODIESEL and BIOJET FUEL demand increase ? "" ....................................... Commented in June 2021.
Just to share some historical data of past 10 years . Plantantion share price on day closing high (H) in year 2012 were as below (adjusted for RI or BI if any)
Thplant. $2.45 Sop. $6.62 MHC. $1.46 Cepat. $1.18 Swkplt. $3.24 Taann. $4.50 Hsplant. $3.18 Bplant. $1.34 Note :Bplant H was in 2018. Listed in 2014.
CPO high was about $3,600 pmt in Mar 2012 CPO now reached almost $5,100 yesterday. Cost of production may have increased by $200 pmt since 2012. After factoring in the higher production cost , today 's CPO price is still about 35% higher than 2012. On the contrary, share price for most of the plantantions companies are trading at about 30- 50% below the high in 2012. What a divergence! I believe the share price increase yesterday is just the beginning of the recovery. Enjoy the recovery ride .
From BPlant latest annual report, it shows that it has 98,212 hectares of land. Going by the latest sale of land to YTL @ RM645,833 per hectare with an historical net book value of just RM93,527 per hectare......it point to a huge unrealised revaluation gain of those land that remains unsold in the Company.
On the assumption that even if we recognised that not all lands held deserve a huge valuation, a simple simulation of just 15% value of what was sold recently or @RM96,875 per hectare, the potential valuation surplus stands at RM2.57 per share and if we are to deduct all borrowings, the net cash per share stands at RM2.01.
This couple with the all time high of CPO price which will yield better earnings and dividends in the coming quarters.
I am not at all surprise by lots of people queueing to buy into future success! This counter deserved to be rerated upwards!
Bplant's share price going up, up, up is based on its business performance which again is due to good FFB harvest and good CPO price, and not rely on any other corporate news, etc, etc.
So, invest for the LT and enjoy the fruits of your investment in Bplant.
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
Mikecyc
46,993 posts
Posted by Mikecyc > 2021-10-05 15:26 |
Post removed.Why?