-->

Type something and hit enter

On

klse.i3investor.com

A POWERFUL BULL RUN IN PALM OIL STOCKS HAS COMMENCED: CHINTECK FANTASTIC RESULTS SHOW THE WAY, Calvin Tan Research

calvintaneng

Hi guys,

We are now at the start of another Bull Trend: this time is Palm Oil stocks (Medical Glove bull run was triggered in April 2020 by Covid 19)

Floods, China Bread Basket of Heilongjiang, floods in maharastha the bread basket of India, drought in Argentina & Brazil have all converged into a Food Crisis & panic buy of Soybean - leading to Palm Oil going into Multi Year High

THE CAUSE OF MEDICAL GLOVE SUPERBULL IS COVID 19

AND THE CAUSE FOR PALM OIL BULL RUN IS LA NINA (TOO MUCH WATER IN CERTAIN PARTS & TOO DRY IN OTHER PARTS - LEADING TO PANIC BUY OF SOY OIL & PALM OIL NOW!)

As a result Palm OIl Prices Nov future has crossed Rm3,400 a tonne today

Since production cost is Rm1600 to Rm1800 (Average Rm1700 Palm Oil selling price is now up 100%)

Let's take a look at Chinteck Plantation result

SUMMARY OF KEY FINANCIAL INFORMATION
31 Aug 2020

 

INDIVIDUAL PERIOD

CUMULATIVE PERIOD

CURRENT YEAR QUARTER

PRECEDING YEAR
CORRESPONDING
QUARTER

CURRENT YEAR TO DATE

PRECEDING YEAR
CORRESPONDING
PERIOD

31 Aug 2020

31 Aug 2019

31 Aug 2020

31 Aug 2019

$$'000

$$'000

$$'000

$$'000

1 Revenue

39,155

30,055

129,813

122,120

2 Profit/(loss) before tax

17,725

8,128

47,241

42,221

3 Profit/(loss) for the period

13,715

6,524

35,987

32,103

4 Profit/(loss) attributable to ordinary equity holders of the parent

13,715

6,524

35,987

32,103

5 Basic earnings/(loss) per share (Subunit)

15.01

7.14

39.39

35.14

6 Proposed/Declared dividend per share (Subunit)

0.00

0.00

16.00

20.00

   

AS AT END OF CURRENT QUARTER

AS AT PRECEDING FINANCIAL YEAR END

7 Net assets per share attributable to ordinary equity holders of the parent ($$)

7.4400

7.3600

Note: Revenue has increased from Rm30,055,000 to Rm39,155,000 or up 30%

But Profit has gone up from 7.14 sen to 15.01 sen or up a Whopping 111%

Why? 

Answer: BECAUSE CPO SELLING PRICES HAVE JUMPED FROM RM2000 TO RM2700

And look again

SUMMARY OF KEY FINANCIAL INFORMATION
31 Aug 2020

CHIN TECK FANTASTIC 111% JUMP IN PROFIT WAS UNTIL 31 Aug 2020 (From June, July & August harvest when CPO was still around Rm2500 to Rm2700)

In September 2020 CPO has reached Rm2900

October 2020 it has crossed RM3000

As of Nov 2020 it has crossed Rm3100 and still powering up & up

So Chin teck September, October & until now 5th Nov 2020 results should be even far better as CPO has gone up another Rm400 a tonne. By Feb 2021 Chin teck will have reported 2 fantastic quarters of growth

When we studied Gloves performance early in April, May, June & July 2020 we expected to see Gloves earning more and more by increasing production an ASP

And we were Chun Chun on Supermax

Smack in the very heart of Glove Super Boom we bought Supermax at Rm1.73 & Sold above Rm18.00 for 1,000% profit 

This was what happened in the year 2000 Dot Com Bull when MPI jumped from Rm5.00 to Rm50.00 (Up 1,000%)

Now how high & how far This Cpo Bull Run will depend on these Factors

1) To what extent 5 Major Floods have Wiped Off All China Maize & Soy-bean this year

2) To what extent Typhoon Haishen have wiped off the Corn & Soy Crop of Koreas & Japan

3) To what extent have many Typhoons destroyed the crops in Thailand & Vietnam this year

4) To what extent Hurricane have destroyed the crops of Greece, France & Italy

5) To what extent have Hurricanes wiped off the crops in Mexico & South-east USA

Drought

To what extent Drought has destroyed Soy beans in USA High Plains, Argentina & Brazil

The Cause of La Lina with Its World-wide Floods & Drought have destroyed both wheat, Maize & Soy-bean like never before

Compounded with MCO many nations have banned seasonal harvestors

A HUGE FOOD SHORTAGE HAS COMMENCED

JUST LIKE IN EARLY MONTHS OF MAY, JUNE, JULY & AUGUST THERE WAS AN ACUTE SHORTAGE OF MEDICAL GLOVES

BOTH FAMINE & COVID 19 ARE LIFE THREATENING

WHILE SUPERMAX HAS ALREADY SHOT UP BY MORE THAN 1,000% & IB BANKS ARE STILL NEUTRAL ON PALM OIL STOCKS NOW IS OUR OPPORTUNITY

Since we gave P/E for Medical Gloves shall also assign 30 P/E to Palm Oil Stocks (For Tech bloated stock prices they gave 50 P/E to 200 P/E)

So let's see

This quater Chun Teck earned

15.01 sen

Annualized 15.01 x 4 = 60.04 sen

If P/E 30 then 60.04 x 30 = Rm18.01

WAHAHA!

IS CHIN TECK WORTH RM18.01 (If we assign Top Glove & Supermax with 30 P/E why not Oil Palm Stocks?)

Of course Chin teck at Rm6.07 is still far from Rm18.01 as the market is still skeptical

Skeptical?

YESSS! THAT IS STILL TIME TO BUY

TOP 25 QUOTES BY JOHN TEMPLETON (of 131) | A-Z Quotes

ALL IB BANKS AS OF NOW ARE NEUTRAL (SKEPTICAL) ON PALM OIL STOCKS

SO TIME TO BUY 

For Medical Gloves they are now hovering between Optimism & Euphoria (so no longer cheap & so we have taken our profits (and great profits indeed!  more than 1,000%)

Will Palm Oil give us another 1,000% profit??

No need

300% to 500% upside will do

Best regards

Calvin Tan Research

Disclaimer

All information provided here should be treated for informational purposes only. It is solely reflecting author's personal views and the author should not be held liable for any actions taken in reliance on information contained herein.

https://klse.i3investor.com/blogs/www.eaglevisioninvest.com/2020-11-05-story-h1535654774-A_POWERFUL_BULL_RUN_IN_PALM_OIL_STOCKS_HAS_COMMENCED_CHINTECK_FANTASTIC.jsp

Click to comment
Back to Top
Back to Top