Valuation of plantation stocks - ranking by lowest PER to highest PER (with location)

*Exclude companies with poor fundamentals/lossmaking/negative growth

**This table is the same as previous post except addition column for location of plantation landbank

***Major beneficiaries are companies with operation in Malaysia only. CPO price in Indonesia is capped at RM2,700-RM2,800 per tonne by higher export duty.

3 major beneficiaries of high CPO price 

Windfall profits for plantation stocks

Plantation companies are very likely to make windfall profits in first 6 months of 2021.

Monthly average CPO prices for April 2021 is RM4,220 per tonne, 83% more than RM2,299 for April 2020. 

Monthly average CPO prices are ~RM2,300 per tonne in 2Q2020. As long as CPO prices remain above RM3,000 per tonne, plantation stocks will continue to make windfall profits. 

Monthly average CPO prices

http://mpoc.org.my/monthly-palm-oil-trade-statistics-2021/

Disclaimer

All information provided here should be treated for informational purposes only. This is NOT a buy or sell recommendation. Do your own research or consult your investment advisor before you invest. It is solely reflecting author's personal views and the author should not be held liable for any actions taken in reliance on information contained herein.