THE INVESTMENT APPROACH OF CALVIN TAN
Three 2nd Liner Stocks mispriced & misplaced as penny stocks: BPLANT VERSUS JTIASA VERSUS THPLANT, Compare and contrast, Calvin Tan
calvintaneng
Publish date: Tue, 05 Sep 2023, 10:23 PM
calvintaneng
0 1,799
Hi Guys,
I have An Investment Approach I which I would like to all.
I have An Investment Approach I which I would like to all.
Dear friends of i3 Forum,
As the title implies
Three 2nd Liner Stocks mispriced & misplaced as penny stocks: BPLANT VERSUS JTIASA VERSUS THPLANT, Compare and contrast, Calvin Tan
We think after Bplant has gone up from 64 sen to Rm1.51 (at the privatisation offer of KLK at Rm1.55) and no longer a penny stock now; the next two laggards; namely JTIASA (83.5 sen) & Thplant (56 sen) now offer best value.
Why is it so?
Answer:
From historical experience in years 2015/6/7 when both Bplant & Thplant were traded between Rm1.10 to Rm1.20 & Jtiasa was the surprise that crossed Rm1.80 then
After that with Cpo fallen below Rm1,900 a ton all these three fell in tandem to the low of 30 sen to 50 sen only
And now Cpo has more than doubled to Rm3,900 all these are slowing climbing back up
For Bplant it was the added booster by KLK offering to take ir private at Rm1.55
If not Bplant would still languish below Rm1.00
Now KLK thinks Bplant is worth at least Rm,1.55 per share
How about Jtiasa & Thplant as they all three are quite similar
See
Bplant has over 220,000 acres of plantation lands
Jtiasa has 206,000 Palm oil lands
Thplant has over 240,000 acres of plantation lands
And on these lands are planted with Palm oil (their main operating income)
Now let us take a brief look at their last 4 months of FFB (fresh fruit bunches) production
1) BPLANT
| BOUSTEAD PLANTATIONS BERHAD (April 2023 | 52,885.42 |
| BOUSTEAD PLANTATIONS BERHAD (May 2023) | 66,530.57 |
| BOUSTEAD PLANTATIONS BERHAD (June 2023) | 61,309.77 |
Total three months 180,733 tonnes
average of 3 months is 60,244 for each month
see July 2023 (result will be incorporated to Nov 2023 qtr)
| BOUSTEAD PLANTATIONS BERHAD (July 2023) | 67,033.26 | |
July 2023 FFB is better at 67,033 tonnes (yet to see Aug & Sept 2023 FFB harvest)
So from 60,244 ton average Bplant FFB harvest has increased by 11.2%
2) JAYA TIASA (Refer Bursa)
| Fresh Fruit Bunches (april 2023) | 61,312 metric tonnes |
| Fresh Fruit Bunches (May 2023) | 78,585 metric tonnes |
| Fresh Fruit Bunches (June 2023 | 84,751 metric tonnes |
3 months total : 224,648 tonnes
average month : 74,882 tonnes
See July 2023 FFB production
| Fresh Fruit Bunches (Splendid! July 23) | 110,269 metric tonnes |
July 2023 FFB jumped by a whopping 47%
And no wonder that Mr. Market chased up JTIASA!
3) THPLANT
| Fresh Fruit Bunches (April 2023) | 45,024.76 |
| Fresh Fruit Bunches (May 2023) | 59,612.94 |
| Fresh Fruit Bunches (June 2023) | 59,132.35 |
3 months total was 163,768 tonnes
Average of 3 months = 54,589 tonnes
See latest!!
| Fresh Fruit Bunches | 72,297.39 |
A jump of 32.4%
From here we see Bplant FFB increased by 11.2%, Thplant by 32.4% and Jtiasa is champion overall at 47%
And August & Sept 2023 FFB months are expected to be at fruitful season again
Happy Investing & Best Regards
Calvin Tan
Please buy or sell after doing your own due diligence or consult your remisier/fund manager
Further note:
For Jaya Tiasa
With just 74,882 tonnes of FFB average for months of April to June 2023 it produced the excellent result below
SUMMARY OF KEY FINANCIAL INFORMATION30 Jun 2023 |
INDIVIDUAL PERIOD | CUMULATIVE PERIOD | ||||
CURRENT YEAR QUARTER | PRECEDING YEAR CORRESPONDING QUARTER | CURRENT YEAR TO DATE | PRECEDING YEAR CORRESPONDING PERIOD | ||
30 Jun 2023 | 30 Jun 2022 | 30 Jun 2023 | 30 Jun 2022 | ||
$$'000 | $$'000 | $$'000 | $$'000 | ||
1 | Revenue | 199,019 | 245,464 | 845,166 | 810,770 |
2 | Profit/(loss) before tax | 40,331 | 52,750 | 168,792 | 200,558 |
3 | Profit/(loss) for the period | 60,161 | 40,972 | 153,628 | 134,413 |
4 | Profit/(loss) attributable to ordinary equity holders of the parent | 60,067 | 41,010 | 153,639 | 134,556 |
5 | Basic earnings/(loss) per share (Subunit) | 6.21 | 4.24 | 15.87 | 13.90 |
6 | Proposed/Declared dividend per share (Subunit) | 1.70 | 2.80 | 3.20 | 2.80 |
AS AT END OF CURRENT QUARTER | AS AT PRECEDING FINANCIAL YEAR END | ||||
7 | Net assets per share attributable to ordinary equity holders of the parent ($$) | 1.4300 | 1.3100 | ||
So if JTIASA can sustain FFB above 110,000 tonnes?
Should be splendid result for Nov 2023
THESE STRONG FIGURES HAVE PARED DOWN JTIASA LOANS FROM OVER RM1 BILLIONS TO ONLY RM93 MILLION & WILL SOON SEE JTIASA DEBT FREE CASH RICH ENTITY
In early years of 1970s & 1980s due to strong GDP Growth Singapore, Taiwan, Korea & Japan turned into Tiger Economies
Now we see Palm oil laggards like Bplant, Jtiasa, Thplant & Tsh turning into Tigers of Growth
Crouching Tiger, Hidden Dragon were fiction but Investing in Palm oil is certainly no fiction.
More articles on THE INVESTMENT APPROACH OF CALVIN TAN
TSH RESOURCES (9059) The Events Yet Ahead. And They are Extremely Exciting, Calvin Tan
Created by calvintaneng | May 04, 2024
MKHOP (5139) What Is Its Current Forward P/E and Intrinsic Value, Calvin Tan
Created by calvintaneng | May 02, 2024
EPF & i FAST Funds (Singapore) Are Now in Top 30 Holders of TSH Resources, Calvin Tan
Created by calvintaneng | Apr 29, 2024
AFTER BPLANT TAKEN PRIVATE BY LTAT WE FINALLY SEE ITS REAL VALUE, Calvin Tan
Created by calvintaneng | Apr 27, 2024
Discussions
Be the first to like this. Showing 7 of 7 comments
Cal, have you compare their annual harvest? maybe different company harvest according different timing due to location difference,
2023-09-07 20:43
Ffb production follows a yearly cycle
Usually 2nd half of year when there is monsoon rain towards year end it will see more abundant harvest and in the early months of another new year there will be less fruit. As such all will rise or fall in tandem but overall yearly production should be still good as palm oil only need 1/7 of land space to grow compared to soybean and corn
2023-09-08 07:59
Can you share the comparison of tree age between the 3 companies, and how replanting is manage? Would it be upon reaching prime the company will generate very low cash flow for at least few years?
2023-09-08 08:39
These two years, the rainfall seems to be happening through out the year. (true for KL, not quite sure for Sarawak)
2023-09-08 08:42
Patient Investor
Can you share the comparison of tree age between the 3 companies, and how replanting is manage? Would it be upon reaching prime the company will generate very low cash flow for at least few years?
1) THPLANT
Due to obstruction by natives on native lands some are not planted. But these are now being slowly planted. However, in Sarawak Pan Borneo highway now passing by Serian and Tatau near Bintulu making these lands more valuable as developments than agriculture
2. Bplant
Bplant got lots of older maturing trees
Now KLK is invited to do replanting and improve production
3) JTIASA
The best of the three as its Trees are now at MOST FRUITFUL HEALTHY GROWTH STAGE
With 110,000 Tonnes per month it is chasing up SOP like a jumping tiger
That is why people are bullishly chasing up JTIASA
However, after BPLANT the next to see Privatisation could be THPLANT
SO STAY DIVERSIFIED IN INVESTMENTS BEST
2023-09-09 00:19
@calvintaneng What cause Jayatiasa's Land value per HA or per planted Ha significant lower than TH, SOP, TSH?
Is it due to Jayatiasa didnt revalue the land? location of land or other reasons?
2023-09-22 09:07
Post a Comment
Featured Posts
Apps
Top Articles
1
Good Articles to Share
2
Follow Kim's Stockwatch!
THIS STOCK READY TO SKYROCKET!!! - THE POWER & WATER SUPPLY SERVICES
3
4
save malaysia!
5
THE INVESTMENT APPROACH OF CALVIN TAN
6
Koon Yew Yin's Blog
Eversendai Corporation made a remarkable comeback in FY2023 - Koon Yew Yin
8
Good Articles to Share
Shell in talks to sell Malaysia fuel stations to Saudi Aramco, sources say
#
Stock
Score
Daily Stocks
Stock Name
Last
Change
Volume
Stock Name
Last
Change
Volume
Stock Name
Last
Change
Volume
MQ Trading Signals
Stock
Time
Signal
Duration
Stock
Time
Signal
Duration
Featured Advertisers / Partners
Ride The Bull Short The Bear
CS Tan
4.9 / 5.0
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....
calvintaneng
From here we see Bplant FFB increased by 11.2%, Thplant by 32.4% and Jtiasa is champion overall at 47%
And August & Sept 2023 FFB months are expected to be at fruitful season again
Happy Investing & Best Regards
Calvin Tan
2023-09-05 22:27