Plantation stock rally has just begun in Feb 2022. It appear to me that there is a lot more steam for this rally to continue for months. Like many other stock rallies, we may see some plantation's share price surge pass triple digit % increase. I will just lock up my plantation stocks to enjoy the once in a lifetime superb return.
GLOVE rally lasted 4 months to reach its peak (Apr 2020 to Aug 2020). Supermax share price was around $1.63 (2/4/2020) to around $23.00 (7/8/2020), increase of 1,311% Topglove was $6.40 (2/4/2020) to $28.00 (7/8/2020), increase of 338% Harta was $6.80 to $21.00 , increase of 209%
STEEL rally lasted about 6 months to reach its peak(Nov 2020 to May 2021) Anjoo share price was $0.60 (2/11/2020) to $3.10 (10/5/21), increase of 417% SSteel was $0.42 to $1.20, increase of 186% Melewar was $0.20 to $0.72 , increase of 260%.
I have solid knowledge of the sentiment among foreign investors in plantation. A lot of them are dubious and concerned with the ESG risks. The issue is, the large increase in profits posted by these companies especially KLK was too good to ignore. Which explains the surge in volume and share price for the past 8 trading days.
Wallstreetrookie, I brand those blind ESG followers especially the local IBs and sovereign funds as ESG hypocrites . If those hypocrites are serious in driving changes, they should engage with the businesses or even increase their investment in these companies to exercise greater ESG influence . Rakuten’s Vincent lau has said yesterday “while ESG concerns are increasingly relevant, the financial performance of the companies will be the primary factor driving investment decisions. Profit is still paramount. The financial picture is still the top driver “ Aun Rand in her novel Atlas Shrugged,said modern business people run their firms more to please the ethical judgment of intellectual and politicians, rather than looking at their customers and at the economic sustainability of their project.
These are very strong warning signs to get out of Bloated Tech stocks
1. USA banned palm oil products will lead to Very very high food inflation and other by products of Vege oil in over 50% of USA Supermarkets
As a result Inflation in USA is not 7.9% but real inflation is 15%
As such according to Robert Kiwosaki 50% Of USA people will fall below poverty line and go bankrupt like Sri Lanka
2. To prevent very high inflation which will destroy the livelihoods of people USA must now raise interest rates to above 10% to put out inflation fires
3. By so doing Nasdaq which depends on "future" profits will now see very high present interest rates which will compound up and they will not survive like those days when borrowings with almost free interest Nasdaq will then collapse by 70% to 80% and by proxy all Klse Tech stocks will collapse like the house of straw
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....