Golden Agri & A Potential Counter

 

1. Nothing done as at today. :(

2. Just spotted a counter which currently is trading year low and it is worth taking in now at current price. Will be placing my order tomorrow, hope to get some of it tomorrow. At current price, it is definitely a strong buy in, chances are 90% will be making money. If i am able to buy it tomorrow, will be blogging the counter name here. Stay tune.

3. Golden Agri Resources News

UBS remains bullish on crude palm oil (CPO) prices on worse-than-expected soybean harvests and as the Chinese government increased its edible oil imports.

UBS said small plantations had outperformed others over recent months. However, larger plantation companies whose earnings had higher sensitivity to CPO prices, had started to perform well over the past two weeks, it said.

Golden Agri Resources Ltd, Sime Darby Bhd , and Salim Ivomas are the brokerage's top picks for Asia's plantations sector.

"Golden Agri has high earnings per share sensitivity to CPO price changes and its share price has high beta to CPO price as well. As CPO price continues its rally, we believe there will be increased interest in Golden Agri," UBS said.

"We also continue to like Salim Ivomas, given its outlook for robust earnings growth due to strong production potential from its large proportion of young and immature plantations and continuing deleveraging."

UBS also likes Sime Darby because of an improving outlook of its non-plantation business due to strong heavy equipment and auto sales, which it expects to boost overall earnings growth.

Golden Agri was down 1.3 percent at S$0.77. Sime Darby was flat at 9.75 ringgit, while Salim Ivomas gained 1.45 percent to 1400 rupiah.