great mind think alike. That is y i am holding sop and cepat because their r real cheap!

Do u know why local funds r bearish on plantation stocks but bullish on tech stock? Because they still holding tons of tech stock but hold zero planatstion stocks.

Simply say, they miss it because they r so fcking wrong about cpo price since the covid outbreak.

one of the lowest PE among plantation stocks. I expect very high dividen this year.

US rv sales last month shot thru the roof!

only naive ppl think that the food crisis will end immediately after the war ended.

No does not solve the sunflower oil shortage problem even if the war ended now. The spring replanting window is almost over.

go google yourself.

actually CRUDE palm oil is only a 20-40% of their palm oil export only. Majority of their export is PROCESSED palm oil which is currently ban.

Malaysian investors prefer tech stocks rather than plantation stocks. To them tech is the future hence it looks hot and s.e.x.y, while plantation is an old school biz and boring for old uncle aunty only.

Yes Q1 production always the lowest. This is the nature of palm oil tree and no one can change it!

Only noob will compare qoq when everyone knows that palm oil production has a strong seasonal up and down.

So unless it is a pure indo planter, i would say most palm oil palyers will benefit from the ban.

Those who think indo planter will suffer big after the export ban maybe dont know that they hv to pay huge export levy up to max usd375 and export tax up to max usd200 a tonne. So they dont really make extraordinary profit from export compare to profit from domestic market.

the <3% drops yesterday was not even close to the top 10 drops since 2020.

and your advise is sit on cash when inflation runs wild?

Posted by DickyMe > 16 minutes ago | Report Abuse

Why Malaysian government did not ban export of palm oil to tackle domestic cooking oil price hike and shortage?
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because msia government does not hv deep pocket to give up the 8% export duty on cpo. Now it is a perfect time for them to earn back whatever they spent on covid in last 2 years.

not everyone is bullish on palm oil stocks. If it was then the stock price already flied to the moon like what happened in glove and semicon stocks in last 2 years.

Despite the ban the domestic price in indonesia will still remains high because of domestic shortage. So, it is still a handsome profit for indo planters.

Of course, without doubt pure msia planters will outperform those with some palm oil fields in indonesia.

Posted by nuke > 22 minutes ago | Report Abuse

Caution is urged on CPO stocks. Long term, they may not be as rosy as we think.
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Yeah go buy tech stocks that lose value during high inflation. And sell commodties stocks that hedge against inflation during high inflation.

Best.advise.ever.

Foreign funds keep buying palm oil stocks to hedge against inflation while malaysians keep buying tech stocks to fight against fed.

Tech stocks limit down monday!

Expect usd/myr to hit above 4.5 by 2H this year because bnm's rate up is too far behind fed.

In fact, bnm is still dovish and reluctant to up interest rate.

Yup buy pure msia planter to fully enjoy the potential of palm oil rally! It will outperform indo planter by miles!

 Posted by sunnyspoon > 1 hour ago | Report Abuse

No mater how, European & American anti palm oil, cannot go too far.
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The funny thing is, despite the anti palm oil policy, eu is still the 3rd largest palm oil buyer after china and india.

Go figure. :)

Sell tech stock, buy commodities stock.

It is a no brainer to buy commodities stock during high inflation. That is y foreign funds keep buying our palm oil stocks.

Personally i prefer those plantation stocks with small cap but still making money at least 4 consecutive quarters.

Chances that they double or triple in market cap is much higher but with relatively small risk.

yeah MHC owns 29% of cepat. This shares alone already worth 106mil, which is 40% of MHC's market cap.

The spring replanting is stoppped at the east side of ukraine because it is a war zone and now controlled by russia military.

Cost of cpo production can no longer maintain at rm1600 per ton because of high fertilizer price and minimum wage. But then the increase of cost is still no way match the increase of cpo price. So even if production cost raises to rm2000 per ton, Palm oils company still can generate huge profit that no one ever seen before.

It is a no brainer to buy palm oil stock that has plenty of lands to hedge against inflation, somemore these lands able to generate huge cash flow.

Because their funds find themself caught on the wrong side. Imagine what happens to their fund performance if they r bearish on plantation sector since 2021.

https://focusmalaysia.my/following-ban-sime-darby-says-ferrero-is-not-a-customer/
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However, SDP confirmed that direct customer Cargill has decided to suspend all new sourcing of palm oil and derivative products from it, effective Feb 25.

“The supply of bulk products to Cargill in India has now been taken up by other customers. Nevertheless, SDP values all our customers and we are in discussions with Cargill on its decision,” it said.

isnt that cargill stops buying from simeplt last week news? and simeplt also mentioned that those extra palm oils already habis sapu by other customers.

nuke and contaminate all agriculture lands with radioactive?

Palm oil export by destination in 2021
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India - 23%
China - 12%
EU - 10%

Many ppl do not aware that despite the ban on palm oil, EU is still Msia's 3rd largest palm oil export destination after china and india.

https://www.standard.co.uk/news/uk/waitrose-morrisons-sunflower-oil-ukraine-war-rationing-b994280.html

Now the impact has begun.

Should mention that Market cap ÷ Ha = Land Value per Hectare (RM ,000)

A year ago palm oil land was about RM60,000 but i am not sure about the valuation now.

https://www.statista.com/statistics/267271/worldwide-oilseed-production-since-2008/

High edible oils price r here to stay since sunflower/rapeseed oils account for 17% of total world edible oils production. Even if the war ended the shortage still last a year because it is a yearly replanting season now and ukraine unable to do it.

thanks for the panic sell this morning. I sapu a lot of cheap shares at 57.5-59.0.

pls panic sell again tomorrow. thks.

https://www.theguardian.com/business/2022/apr/05/food-price-rises-ukraine-war-cooking-oil

palm oil is a cyclical industry so i agree that the price will eventually crash back to rm2000-3000, but then when? We all heard the crying wolf that the price will crash when it reached rm4000 last year, yet the price still going up with no end in sight.

With current global food inflation and FED's interest rate hiking is still far behind the curve. I dont think the price will fall back below rm5000 this year.

i agree that it will eventually crash but then we all heard it since it reached rm4000.

Keep on guessing because u will eventually right one time some time in the future.

despite cpo at historical high level, it is still the cheapest edible oil.

Kyy is a good businessman but he is definitely a lousy noob investor.

Evergrn
Flbhd
Hevea
Mieco

Indonesia has lifted the export restriction of palm oil 3 weeks ago. This old cun simply just BS without any fact check.

Already told u guys revenue lost the bid.

Close -7.5% with such an ugly candlestick.

Game over man, game over...

lose the bid, habis cerita. Insider selling big.

Minimum wage 1.5k has no impact on palm oil company because they already increased the wage long ago due to labour shortage and high palm oil price.

Some of them even willing to pay local malaysian because the profit margin is ridiculously high.

Revival of mrt3 project also benefit the local steel industry. Collect now while it is still cheap.