Dear Friends
Today another unmistakable signs that Palm Oil share prices will bound to go up much higher
As Peter Lynch said there are only 2 real fundamental reasons why a stock goes up in prices
1) Company is earning more money
2) Company is able to reduce cost
For KLK & all Palm Oil Companies now they will earn lots more monies due to very high Cpo prices
See KLK Results
SUMMARY OF KEY FINANCIAL INFORMATION
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INDIVIDUAL PERIOD
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CUMULATIVE PERIOD
|
||||
CURRENT YEAR QUARTER
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PRECEDING YEAR
CORRESPONDING QUARTER |
CURRENT YEAR TO DATE
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PRECEDING YEAR
CORRESPONDING PERIOD |
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30 Jun 2021
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30 Jun 2020
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30 Jun 2021
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30 Jun 2020
|
||
$$'000
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$$'000
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$$'000
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$$'000
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||
1 | Revenue |
5,172,758
|
3,711,157
|
13,981,263
|
11,592,548
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2 | Profit/(loss) before tax |
953,316
|
487,111
|
2,096,471
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849,440
|
3 | Profit/(loss) for the period |
828,652
|
403,629
|
1,756,409
|
617,762
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4 | Profit/(loss) attributable to ordinary equity holders of the parent |
783,937
|
368,697
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1,631,784
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563,788
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5 | Basic earnings/(loss) per share (Subunit) |
72.70
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34.20
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151.30
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52.60
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6 | Proposed/Declared dividend per share (Subunit) |
0.00
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0.00
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20.00
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15.00
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AS AT END OF CURRENT QUARTER
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AS AT PRECEDING FINANCIAL YEAR END
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||||
7 | Net assets per share attributable to ordinary equity holders of the parent ($$) |
11.1700
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10.0400
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Revenue, Nav & Profit all increased
Profit up from 34.20 sen to 72.70 sen
UP A WHOPPING 112% (Year on Year)
Annualised 72.70 x 4 = Rm2.90
Price is Rm19.88
P/E = 19.88 divides by 2.90
6.85 only
If we assign P/E to 10
then 19.88 x 10/6.85
= Rm29.00
Yes if we give KLK a P/E 10 it should be worth Rm29.00
So KLK is undervalue
Now when Glove Companies doing well they either go acquire other companies or buy land to build new glove factories
That was how Supermax bought Apli & TopGlove bought Aspion from Adventa. Now no more so they bought Lands to build new glove factories with Surplus Cash
Now Palm Oil Companies also Flushed with Cash like Gloves. But lands are too expensive now & forest cannot be converted to Palm oil as in Sarawak
So KLK has bought over IJMPLANT at Rm3.10 for Rm1.53 Billions
See
KUALA LUMPUR (June 9): Kuala Lumpur Kepong Bhd (KLK) has offered to acquire 494.87 million shares in IJM Plantations Bhd, representing a 56.2% equity stake, from IJM Corp Bhd for RM3.10 apiece or a total RM1.53 billion.
Costing only 3/4 year earnings KLK FLUSHED WITH CASH COULD TAKE MAJORITY STAKE IN IJMPLANT
Lastest 3 quarters report already see KLK earn
Rm1,631,784,000
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THAT IS RM1.63 BILLION PROFITS FOR KLK IN JUST 9 MONTHS
So a cash rich Palm oil company could start acquiring other small palm oil companies.
GPlant has Rm800 Millions Cash Hoard. IOI is raising over Rm2 Billions for M & A as well
Or it could give out Extra "Special" dividends as well
And of course. IJMPLANT has almost 200,000 Acres of Plantation Lands
Now these are 2nd & 3rd liner Palm Oil Companies Ideal for Takeover as well
1) TAANN (This one has both Palm Oil & Timber Land Banks & Top holder of SWKPLand
2) TSH RESOURCES (Over 200,000 Acres of Palm Oil with 2nd Top holder of Innoprise) Owns 300,000 acres forest concession
3) THPLANT (Over 240,000 Acres of Palm Oil, Teak & Forest)
4) BPlant (Over 220,000 Acres of Palm Oil)
5) Jtiasa (206,000 Acres of Palm oil plus 1.9 Million Acres of Forest Concession)
Only thing is if they want to sell & if the price is right
All these 5 above with Such Huge Palm Oil Estates will see great earnings season soon
Let's see how things unfold
Best regards
Calvin
Please buy/sell after doing your own due diligence or consult your Remisier/Fund Manager
Created by calvintaneng | Aug 30, 2024
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Klk bosses will buy
They are at the top
They see potential in palm oil
That is why they paid Rm3.10 for ijmplant when ijmplant was only Rm2.30
So you must not beclouded by prejudice and miss a golden opportunity
Many missed Supermax at Rm1. 73 last year
By the time they agree Supermax reached Rm20. 00 and they overpaid in euphoria
2021-08-18 21:33
After 2nd q result, px drop from 25 to 18. Haha now after 3rd result, px drop from 19 to 15?
2021-08-18 23:19
Now will be different as Bkawan and Klk flushed with Billions of Cash hoard can do SBB (Share Buy Back)
plus foreign funds are buying Malaysia again....just see if they load up on Palm Oil Blue chips
2021-08-19 07:22
brian3381
No use ger la. Ppl wont buy cos palm oil px canot sustein
2021-08-18 21:09