GoldenAgri   

Cheapest Among Singapore Planters

Singapore-listed palm plantation stocks higher as CPO prices rise further......

 

All plantation stocks UP ...  any news release ?

 

CIMB TP = 1.90

BT Average TP last week = 1.70

Outlook still bright.

 

OCBC today set TP $1.6 for Golden Agri

 

If CPO price keep going up, the only direction for stock price is going upward  ... TP 1.9

 

The volume is drying up and surge is slowing down for consolidation. Guess now everyone cheong china and MOG stocks..no time for this counter. The PER is cheapest among the local plantation stocks.

But i guess the long term prospect still very good....Price of the daily products made of palm oils are getting more costly nowdays due to the high CPO price.




 

 

My remisier said this counter is overpriced.

I also had a interesting story on this counter. Bought since IPO, listed in USD and can't recall how much but definitely over S$1. Since IPO it went all the way down and even change to SGD listing and even drop to S$0.11 and was at that level for a long time. I patiently held on and managed to sell it at $2+ few months back. Well at least I gained at the end of the day and it made me learnt that holding power is KING.

 

 

 

A little weak after peak at 1.47 ... wish it can recover back at the end of the session ..

 

Dear Share Junctionites,

Let me share with you my VERY interesting story about Golden Agri.

I invest in AsiaFood & Property in Year 1999 when I return from my studies in Australia.

A friend recommend the stock highly @ US$0.42 cents.

A few years later, it started to trade in Singapore Dollars and by then, the value was roughly SGD$0.38 cents.

I had 10,000 shares and I sold 5000 to start a very small training & Consultancy business.

I KEPT the 5000 shares, challenging it to be a useless piece of toilet paper!

But then a few years later, it rebounded! Last year, in 2007, Strait Times classify AFP rebound as one of the very spectacular stocks in 2006.

AsiaFoodProperty spun off some shares to Golden Agri (sorry I don't know what's the proper lingo for father stock to give birth to baby stock).

Since I  have 5000 AFP shares, i was given 1950 shares of Golden Agri.

Last week, the share split into 2. Now, it is trading as 1.36 today (25 Sept 2007).

That's my amazing journey for AsiaFoodProperty & Golden Agri.

So, sharejunctionites, should I buy more?

By the way, Australia STOCK Exchange stocks trades in a VERY different way from SGX stocks.

See , these 2 days, our stocks, dont' really GO UP that much!

Aussie stocks WENT THRU the roof! I am waiting for blood to spill on the streets in ASX -

hope to bite into lots of Resource stocks that are booming! Agathos, Singapore.

 

Invested in this "Golden" stock just before it was splitted.

I think still more room to head higher .. . cheers .. !!

 

The stock has split 1 into 2 this month.

Potential Upside is 40% according to CIMB Report and it is riding on rising CPO index.

The stock price rise after few favorable reports on Wilmar and IndoAgri (peer), citing good CPO price etc.

Worth taking a look.Cheers!




 

 

Anyone knows what happened to GAR? Have not been monitoring this share but few months back I sold it at $2.60 for the lots I got during IPO. This share once went to $0.11.

$1.42 seems like a reasonable price.

 

 

Latest Report from CIMB

Plantation related stock has been red hot recently. Wonder why no one discuss this topic here...

Golden Agri (S$1.42) ? Cheapest among Singapore planters

Raising CPO price forecasts
Raising price forecasts. Taking into account recent changes in the demand and supply
of global edible oils, we have raised our international CPO price forecasts by 10% to
US$760 per tonne (CIF) for 2007 and 13% to US$780 for 2008 (see our sector update for
details). This means we now expect CPO prices to rise by 60% in 2007 and 6.5% in
2008. Our CPO price upgrade is driven mainly by rising risk of supply shortfalls for
competing edible oils due to adverse weather and the potential switch in acreage from
oilseeds to grain products.Changes to assumptions. In our new forecasts, we have assumed a further 0.5%
shortfall in global edible-oil supplies (excluding palm oil) while keeping our earlier
assumption that palm-oil output will be 3% behind Oil World?s estimate. This should result
in an additional 0.5%-pt drop in global edible oils stock/usage to 2.6% pts and implies a
US$260-per-tonne gain in CPO prices for 2007, as historical data point to a US$10-pertonne
increase in CPO prices for every 0.1%-pt change in the stock/usage ratio.
Valuation and recommendation Raising our earnings forecasts by 5-13% for FY07-09. Our earnings upgrade takes
into account our new CPO price projections. We have also lowered FFB yield
assumptions for FY07 to account for the lower-than-expected 1H07 yields. The group?s
1H07 production declined 13% yoy as FFB yields from its Kalimantan estates were hurt
by El Nino-induced droughts towards the second half of last year. We have also adjusted
our EPS to account for the recent 2-for-1 share split.
Maintain Outperform with a higher target price of S$1.90. We have raised our target
price for Golden Agri from S$1.70 to S$1.90 after our earnings upgrade. Our target price
remains based on a forward P/E of 16x. We like the stock for its high earnings leverage
to rising CPO prices and growth prospects on the back of its aggressive expansion. The
stock offers 34% upside to our new target price of S$1.90. Key re-rating catalysts could
include rising CPO prices, improved corporate governance and progress in its JV with
CNOOC.