Thursday, June 16, 2022

INNOPRISE - Can We Still Invest?

Fundamental :

Company has no bank borrowing as at 31st December 2020. They have adopted a dividen policy of distributing 80% of the profit after tax. Revenue is cyclic as palm oil is commodity.

 

Q1 Result

 

Two major factors are CPO price and Production. I take the conservative 80% production output from the average of 2020 & 2021. Based on this production rate, let’s see how the CPO price will affect the earning per share and the dividen yield.

The EPS is generated using the formula that developed. It is not 100% but give very good indication.

 



 


 

CPO on Downtrend

 


 

The CPO down trend will continue as Indonesia cutting the export duty and putting more CPO supply to the market. Coming good harvest of Soybean in Latin America will also help to ease the supply shortage. Hence, I estimate that CPO will probably drop in between 3000-4000 level.

Based on this CPO level and dividen yield return, the price to enter is around RM1.36-RM1.50.

 

Stock Price on Down trend

 

Price already drops below the support level and will continue to drop. The bearish continue trend has shown.

 

At time of writing, I own some INNOPRISE shares @ low price. Waiting for opportunity to buy more.

 





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1 comment:

  1. LeifOctober 18, 2022 at 9:37 PM

    I agree with every factor you pointed out. The graph was very specified. This question of yours, “Can we still Invest” according to your diagram, there are many possibilities that you can. One thing is for sure you definitely need expert assistance or a consultant to make consistency on your project. I had done with it to my small business in Oregon. I implemented an IDShield Service in Oregon of William Henderson. I thank god for him because my small business was growing.

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