SOP
Sarawak Oil Palms Berhad
Company Background
$SOP / 5126 (SARAWAK OIL PALMS BERHAD)
Research Report by CGSI
$TAANN / 5012 (TA ANN HOLDINGS BERHAD) $INNO / 6262 (INNOPRISE PLANTATIONS BERHAD) $SOP / 5126 (SARAWAK OIL PALMS BERHAD) $SWKPLNT / 5135 (SARAWAK PLANTATION BERHAD) all quite power qr and power dividend
other plantation can ikut ??
$SOP / 5126 (SARAWAK OIL PALMS BERHAD)
Research by APEX
$SOP / 5126 (SARAWAK OIL PALMS BERHAD)
Research by RHB
KUALA LUMPUR: Sarawak Oil Palms Bhd’s earnings outlook remains bright, backed by its solid fresh fruit bunch (FFB) growth and lower production cost, albeit offset by lower margins from the downstream segment.
© New Straits Times Press (M) Bhd
$SOP / 5126 (SARAWAK OIL PALMS BERHAD)
Research by RHB
Buy - TP RM3.60
"Undervalued Performer; Maintain BUY"
Maintain BUY, with new MYR3.60 TP (from MYR3.25), 28% upside and c.4% FY25F yield. Sarawak Oil Palms’ 1H24 earnings beat our and Street estimates, accounting for 58-62% of full-year forecasts. As production continues to ramp up and unit costs moderate, we expect the company to chart stronger numbers in 2H24. Its valuation remains attractive at 7.5x FY25F P/E, vs the peer range of 6-10x.
Analyst:
Hoe Lee Leng
hoe.lee.leng@rhbgroup.com
$SOP / 5126 (SARAWAK OIL PALMS BERHAD)
Research by RHB
BUY – TP RM 3.25
" Strong EBIT/ha and Inexpensive Valuation; Still BUY”
. The plantation industry is at a crossroads. With rising costs,falling yields, little chance for landbank expansion, where can growth come from? As Sarawak Oil Palms’ EBIT/ha is already better than its peers, it may be able to improve this by expanding further downstream and raising its ESG credentials.We continue to like the company for its attractive valuation of 8x P/E, at the lower-end of its peer range of 6-10x.
Analyst:
Hoe Lee Leng
hoe.lee.leng@rhbgroup.com
PLANTATION
$SOP / 5126 (SARAWAK OIL PALMS BERHAD) $IOICORP / 1961 (IOI CORPORATION BERHAD)
Research by RHB
Neutral
“Demand Drivers: Biodiesel Mandate And La Nina”
Top Picks remain a mix of pure and integrated planters – Sarawak Oil Palms (SOP), IOI Corp (IOI), and PP London Sumatra Indonesia (LSIP). PO inventory rose to 1.83m tonnes in June, due to lower exports but offset by lower production. We expect PO inventory to continuously increase, reaching the 2m tonne mark in the coming months. Main catalyst to look out for remains the La Nina – whose probability remains high, at 85% in 4Q24. Keep NEUTRAL.
Analyst(s):
Hoe Lee Leng
hoe.lee.leng@rhbgroup.com
Indonesia Research
rhb.id.research@rhbgroup.com
Singapore Research
research.sg.equity@rhbgroup.com
DISCLOSURE ON QUARTERLY PRODUCTION (Amended Announcement)
Additional Listing Announcement /Subdivision of Shares
General Meetings: Outcome of Meeting
MONTHLY PRODUCTION FIGURES (MINING / PLANTATION / TIMBER)
PLANTATION
$SOP / 5126 (SARAWAK OIL PALMS BERHAD) $IOICORP / 1961 (IOI CORPORATION BERHAD)
Research by RHB
Neutral
“1Q24 Earnings Missed, But Fundamentals Improving”
Top Picks are now a mix of pure and integrated planters – Sarawak Oil Palms, IOI Corp (IOI), and PP London Sumatra Indonesia (LSIP). PO inventory rose to 1.75m tonnes in May, driven by higher production, but offset by higher exports. We expect PO inventory to remain below the 2m tonne mark, at least until June. Main catalyst to look out for remains La Nina – whose probability rose to 87% in 4Q24. Maintain sector NEUTRAL.
Analyst(s):
Hoe Lee Leng
hoe.lee.leng@rhbgroup.com
Indonesia Research
rhb.id.research@rhbgroup.com
Singapore Research
research.sg.equity@rhbgroup.com
DEALINGS IN LISTED SECURITIES (CHAPTER 14 OF LISTING REQUIREMENTS) : Dealings Outside Closed Period
Additional Listing Announcement /Subdivision of Shares
$SOP / 5126 (SARAWAK OIL PALMS BERHAD)
Research by RHB
Buy (Maintained) – TP RM3.30
“Off To a Great Start; Maintain BUY"
Maintain BUY and MYR3.30 TP, 12% upside with c.3% FY24F yield. Sarawak Oil Palms’ 1Q24 earnings beat expectations, accounting for 28-34% of our and Street full-year forecasts. We continue to favour SOP for its upstream exposure, while valuations remain inexpensive – the stock is trading at 7.7x FY24F P/E, vs the peer range of 7-10x.
Analyst:
Hoe Lee Leng
hoe.lee.leng@rhbgroup.com
$SOP / 5126 (SARAWAK OIL PALMS BERHAD)
Research by Maybank
Buy – TP RM3.18
“1Q24: A surprisingly strong start to the new financial year"
1Q24 core PATMI exceeded our expectation, boosted by better output and inventory drawdown that lifted sales. We expect a seasonal slowdown in 2Q earnings before catching up again in 2H as output peaks seasonally in Q3. Excluding its MYR1.0b net cash, SOP trades at just 6.2x FY24E PER. We make no change to our EPS forecasts. Maintain BUY and TP of MYR3.18 on 11x FY24E PER, its 8Y mean.
Analyst:
Ong Chee Ting, CA
ct.ong@maybank-ib.com
Quarterly rpt on consolidated results for the financial period ended 31/03/2024
PETALING JAYA: Analysts anticipate higher earnings for Sarawak Oil Palms Bhd (SOP), backed by higher fresh fruit bunch (FFB) growth and improving downstream utilisation, albeit partially offset by slightly higher crude palm oil (CPO) unit costs.
$SOP / 5126 (SARAWAK OIL PALMS BERHAD)
Research by RHB
Buy (Maintained) – TP RM3.30
“Momentum Remains Strong; Maintain BUY"
Maintain BUY, with new MYR3.30 TP from MYR3.20, 14% upside with c.3% yield. Sarawak Oil Palms’ earnings should be boosted by decent FFB growth and improving downstream utilisation, albeit partially offset by slightly higher CPO unit costs. We believe the stock remains attractive, trading at 7.5x FY24F P/E vs the peer range of 7-10x P/E.
Analyst:
Hoe Lee Leng
hoe.lee.leng@rhbgroup.com
KUALA LUMPUR: Sarawak Oil Palms Bhd’s earnings are expected to grow, backed by decent fresh fruit bunch (FFB) growth and improving downstream utilisation, said RHB Research.
© New Straits Times Press (M) Bhd
DEALINGS IN LISTED SECURITIES (CHAPTER 14 OF LISTING REQUIREMENTS) : Intention to Deal During Closed Period
Change in Boardroom - DATU SR. ZAIDI BIN HAJI MAHDI
PLANTATION
$SOP / 5126 (SARAWAK OIL PALMS BERHAD)
Research by RHB
Neutral
“PO Stocks Higher After Five Months Of Decline”
Top Picks are pure planters Sarawak Oil Palms, Bumitama Agri, and PP London Sumatra Indonesia. As a result of higher MoM output and weaker exports, PO inventory rose to 1.74m tonnes in April. We expect PO inventory to remain below the 2m tonne mark at least until June. As for the upcoming results season, we expect flattish QoQ earnings with mostly in line earnings.
Analyst(s):
Hoe Lee Leng
hoe.lee.leng@rhbgroup.com
Singapore Research
sg.research@rhbgroup.com
Indonesia Research
rhb.id.research@rhbgroup.com
MONTHLY PRODUCTION FIGURES (MINING / PLANTATION / TIMBER)
SOP - Notice of Book Closure
Final Dividend
TRANSACTIONS (CHAPTER 10 OF LISTING REQUIREMENTS) : RECURRENT RELATED PARTY TRANSACTIONSPROPOSED RENEWAL AND NEW SHAREHOLDERS MANDATE FOR RECURRENT RELATED PARTY TRANSACTIONS OF A REVENUE OR TRADING NATURE (RRPTs)(PROPOSED SHAREHOLDER MANDATE)
Annual Report & CG Report - 2023
Changes in Director's Interest (Section 219 of CA 2016) - MR FONG YOO KAW @ FONG YEE KOW (VICTOR)