sold off balance all jtiasa at 1.10, lock all paper profit, free up all capital including margin line capital, free up these largest stake in portfolio first.
Attention should focus more on CPO production instead of FFB production. These is because, Jtiasa have higher % of prime mature tree which produce higher oil contain in the fruit, yield higher extraction rate for each tonne of fruit.
Also to look for is its log production volume, these is upstream, a very profitable division compared to its downstream loss making wood processing division, which is now already downsizing and to relocate these resource to highly profitable division palm and log harvest.
KUALA LUMPUR: Malaysian palm oil futures traded higher on Friday ahead of the release of official data for September, charting a fourth straight day of gains and finishing the week stronger after two consecutive weeks of decline.
The benchmark palm oil contract for December delivery on the Bursa Malaysia Derivatives Exchange was up 0.4 percent at 2,730 ringgit ($644.48) a tonne at the close of trade.
The contract has gained 1.3 percent this week, hitting a one-week high on Thursday.
Traded volumes stood at 42,505 lots of 25 tonnes each on Friday evening.
Another trader had earlier said the market was quiet and lacked direction pending the release of monthly data from the Malaysian Palm Oil Board
"Exports, however, were seen strong... And production is not coming up as fast as expected," he added.
A Reuters poll showed September end-stocks likely rose 3.2 percent from a month earlier to 2 million tonnes, their highest since February 2016.
Output is seen rising to 1.84 million tonnes, the strongest in nearly two years, while exports are forecast to gain 7.8 percent to 1.60 million tonnes.
Ahead of Budget 2018, workers unions seek RM1,800 floor wage If the minimum wage raise during budget 2018 announcement in Oct, it could increase the cost of Palm oil company. Monitor this news closely in budget 2018.
Jtiasa Palm oil profit margin around 19%, while its log harvest profit margin is as high as 23%. Such high degree of profit margin business could be even higher if CPO price sustain above RM 2600.
By downsizing its loss making wood processing, Jtiasa can relocate more manpower to its HIGHLY profitable timber upstream and palm oil and oil mill, to optimize cost, boost profit.
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....
malaysiaboleh
279 posts
Posted by malaysiaboleh > 2017-09-15 10:01 | Report Abuse
4444.. i said based on Market cap la...
RM1.1B with 66k planted area and mature of palm oil tree...it considered cheap
Why u look on Q result to buy share ???? So we are in different view..
im just buy whatever worth n future profit..