Koon Yew Yin's Blog

Shall I sell Plantation Stock? When will CPO price drop? - Koon Yew Yin

Koon Yew Yin
Publish date: Thu, 05 May 2022, 11:42 AM
Koon Yew Yin
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An official blog in i3investor to publish sharing by Mr. Koon Yew Yin.

All materials published here are prepared by Mr. Koon Yew Yin

These are the 2 most important questions; all investors want to know.

There are 2 basic fundamental principles for investing:

1) Among all the stock selection criteria such as NTA, cash flow, debt or healthy balance sheet etc profit growth prospect is the most powerful catalyst to push up share price.

Due to the CPO record high price, all plantation companies have reported increasing profit in the last few quarters. All plantation stocks are growth stocks. Do not sell good growth stocks.    

The most important question is “When will CPO price drop?”

Ukraine-Russia conflict:

Russia invaded Ukraine on 24 February. Ukraine has a population of 44 million people. Over 5.5 million refugees have since left Ukraine, while an estimated 7.7 million people had been displaced within the country by 21 April. 90% of Ukrainian refugees are women and children. In fact, most of the farmers have joined the army to fight Russia.


As a result, Sunflower oil production will be affected for a long time. In fact, they have missed the planting season for the year.

Ukraine and Russia are the major producers of the world’s sunflower oil, accounting for 7.3 and 5.8 million MT respectively in 2020. Together these two countries account for nearly 73% of the export trade in sunflower oil. In terms of overall oils and fats consumption, sunflower oil typically accounts for about 9% of global consumption and almost the entire quantum is used as a food commodity.

As a result, Sunflower Oil price has been shooting up due to supply shortage which will support CPO price for at least one more year.

CPO price chart:


As I have said, the Ukrainians have missed the planting season for the year which will push up CPO price for another year at least. CPO price has peaked recently. Due to the Ukraine war CPO price will soon break the old record high and establish a new historical record high.

In fact, CPO price has been below Rm 3,000 for decades. Currently, CPO price is above Rm 6,000. All plantation companies should be able to report higher profit for the quarter ending March which should be announced before the end of May, another 2 or 3 weeks.  

2nd Fundamental Principle for investing is based on price charts:

Price charts cannot lie. Do not sell up-trending stocks. The price charts for all plantation stocks are up trending; for examples, Subur Tiasa and SOP as shown below. 



The above is the 5 years KLCI chart which is almost at its trough as many investors have sold their holdings and waiting at the side line. Clever investors should take advantage of this situation to buy plantation stocks. In my opinion, the best plantation stock to buy is Subur Tiasa.

For your information, you can see from Subur Tiasa’s 2021 annual report that famous Dr Neoh Soon Kean of Dynaquest Sdn Bhd is one of the 30 largest shareholders.   


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Be the first to like this. Showing 17 of 17 comments


look like a lot ppl sell plantations swap to oil & gas like Hengyuan & Petron

2022-05-05 14:25


all sell plantations buy Hengyuan & Petron, no wonder panic buying

2022-05-05 14:46


Can tell me 4D number for this Sat/Sun coming out from Magnum ??

2022-05-05 15:07


if he can I will call him a great oracle!

2022-05-05 15:11


Kyy know need to sell plantation.
Indonesia untung many

2022-05-05 17:36


Dear Mr Koon,

Why is it every time you recommend a stock it falls? Perhaps you need to change your investing techniques. The best stock selection method will always be Value Investing. And the best Value + Growth + Reopening stock is Genting (3182) with an NTA=RM8.26 you can invest and sleep soundly without promoting it non-stop as if the world is coming to an end


2022-05-05 18:02

Jonathan Keung

A good stock need not be promoted. Value will find its way up

2022-05-05 21:59


Sell all others and Buy palm oil shares are these are going up into palm oil Superbull

1. Sell all Tech stocks
Fed raise interest rate is the final straw that breaks the camel's back

2. Gloves will be reporting horrible result and losses

3. Steel will only see high receivables (Iou) that turn into bad debt

By this and August Results All will shiver as Collapse of Tech and common stocks will cause panic into safety of palm oil

2022-05-05 22:58


good stocks not promoted syndicates will promote bad stocks to trap newbies

Dr Neoh Soon Kean also Top 30 of


2022-05-05 23:03


This yr Calin yr again after a quiet 2021

2022-05-06 16:12


Post removed.Why?

2022-05-06 22:38


" All plantation stocks are growth stocks. " Yes Sir kyy.

2022-05-07 16:16


Kyy always know

2022-05-08 10:50


Cpo rise but share price is downhill why

2022-05-19 12:29


Not only plantations, all other funds go to HengYuan and Petronm.

2022-05-19 12:38


The hopeless moment of Grandpa Koon! Seems he has been out of luck since parting ways with OTB!

2022-05-19 13:18


Correct mah!

We are Lucky can invest in UTDPLANT at good price mah!

2022-05-19 14:28

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