Actually when El-Nino happen some planters are hit with reduction in output like someone here said 17%(myself not verified) for KimLoong. So it is not 100% straightforward gain like CPO price rising say 20% profit will gain 20% etc.
Latest QR show profit drop. Kim Loong is cheap at RM 2-2.50 but still cheap at RM 3.50 with drop in profit? I believe there are better and cheaper CPO stocks.
KimLoong is doing service, to process FFB from others to CPO, they only own small plantation, so when FFB quantity drops, their production will be less, and so do their 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....
Lollipot Anison
2,082 posts
Posted by Lollipot Anison > 2016-01-05 15:10 | Report Abuse
typical shark accumulate