Koon Yew Yin 24 April 2022
The best way to compare plantation stocks is to total up the FFB production for the last 3 months for each company and divided by its Market capitalisation. The reason is that all the plantation companies will have to report their profit for the quarter ending March before the end of May. Due the record high CPO price all the planation companies will report increased profit. Which will report the best profit in comparison with its market capitalisation?
| Name | FFB in last 3 months Tons | Total 3 months | Market CapRm million | 3 months FFB ÷ Market Cap |
| Subur Tiasa | 18,295 | |||
| 22,857 | 70,132 | 483 | 145.2 | |
| 28,980 | ||||
| Jaya Tiasa | 55,365 | |||
| 43,722 | 151,243 | 1,091 | 138.6 | |
| 52,158 | ||||
| MHC | 10,035 | |||
| 9,005 | 29,138 | 259 | 114.4 | |
| 10,599 | ||||
| SOP | 76,725 | |||
| 88,787 | 267,790 | 3,695 | 72.5 | |
| 102,278 | ||||
| Sarawak Plant | 19,126 | |||
| 20,038 | 64,382 | 823 | 78.2 | |
| 25,218 | ||||
| Cepatwawasa | 6,982 | |||
| 6,717 | 23,074 | 375 | 64.6 | |
| 9,375 | ||||
| Hap Seng | 43,563 | |||
| 40,628 | 136,378 | 2,560 | 53.3 | |
| 52,187 | ||||
| Ta Ann | 45,505 | |||
| 39,498 | 123,367 | 2,740 | 48.3 | |
| 47,364 | ||||
Subur Tiasa , Jaya Tiasa and Ta Ann also produce sawn timber, ply wood and wood chip boards.
Comparison based on historical PE
| Name | Price Rm | Latest EPS | Latest EPS X4 | Price ÷EPS X4 |
| Subur | 2.20 | 16.15 | 64.6 | 3.4 |
| Cepat | 1.14 | 7.74 | 31.0 | 3.4 |
| SOP | 6.32 | 36.44 | Rm1.56 | 4.1 |
| Jaya Tiasa | 1.09 | 5.28 | 21.12 | 5.2 |
| Sarawak Pl | 2.90 | 11.66 | 46.6 | 6.2 |
| Hap Seng | 2.49 | 11.79 | 47.2 | 6.3 |
| Ta Ann | 5.59 | 21.8 | 82.2 | 6.4 |
Comparison based on Market cap ÷ planted Hectare
| Name | Price Rm | Market CapMillion | Hectare | MC÷Ha |
| Subur | 2.20 | 460 | 44,000 | 10.5 |
| Jaya Tiasa | 1.09 | 1,062 | 70,000 | 15.2 |
| SarawakPl | 2.90 | 812 | 35,000 | 23.0 |
| Cepat | 1.14 | 360 | 10,000 | 36.0 |
| SOP | 6.20 | 3,580 | 88,000 | 40.6 |
| Ta Ann | 5.94 | 2,642 | 50,000 | 52.8 |
| Hap Seng | 3.05 | 2,392 | 35,000 | 67.0 |
Indonesia Government bans palm oil export.
The Indonesian Government just announced the ban of palm oil export to help the local consumers because the palm oil price has been going up higher and higher. As a result, CPO price has not retreated from its historical high. As shown on the CPO price chart below the current price is Rm 6,869.00 per ton.
https://koonyewyin.com/2022/04/25/3-ways-to-evaluate-plantation-stocks/
