Cant compare SOP with United Plantation. It is TWO VAST different, if you know UP's operations, philosophy, etc.... It is like telling us that proton can become Mercedes one day!!!
Ya Calvin this half past six analysis neglects to mention the vast difference in the PRODUCTIVITY OF SOP AND UTDPLTS ESTATES. SOP yield per hectare was only 16.58 in its FY2020 whereas UTDPlT was a vastly superior 26.65 indicating much better estate management.
This indicator in itself will explain such a huge discount to SOPs price to book value. If a company is not leveraging its assets well, why pay any premium to it?
calvintaneng TAANN IS FLUSHED WITH OVERFLOWING CASH
Don't simply take profit too early
Tell you guys a true life story
In year 2019 a Bank Manager bought Topglove cheap
Then Coronavirus started in March 2020 & Top glove share price shot up to over Rm6.00
Seeing profit she sold Topglove just above Rm6.00.
After taking profit she saw TopGlove share price rose and rose
And kept on rising till Rm26.00
Then TopGlove declared Two Free Bonus for each TopGlove share held
Seeing Topglove at the Lofty Peak of Rm26.00 plus giving 2 Free Bonus she could no longer tahan (and turned itchy; very itchy) and went to buy back her Topglove at Rm26.00
Then due to Glut & China fierce dumping Topglove crashed & she suffered losses even though she initially bought Topglove cheap
So don't make the silly mistake of selling TAANN too early as we are in Palm oil Super Bull
And no threat from China this round as Palm oil needs at least 4 years (time barrier) to grow & produce the 1st drop of Palm oil
So just hold tightly there is no telling that TAANN could morph into another Topglove later with "free bonus" 28/02/2022 10:44 PM
Out of the 42 plantation counters, must check a) EPS negative one - no buy b) Low trading volume one - no buy c) Cannot afford one ( > RM10) - no buy After filtering, should be left with 19 counters only.
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
55,055 posts
Posted by calvintaneng > 2021-10-06 16:48 | Report Abuse
Sop
Strong
Overcoming
Powerful