CPO prices are rebounding from 3 years-low.....Soft commodities like cotton, corn, wheat, palm oil, soybean, sugar etc has dropped for 3 years...!!! Yes..they are at 3 years-low.....is it time to buy stocks dealing with soft commodities??
i am starting to collect Golden agri, indoagri, wilmar, noble, olam...don't know when will they rally, but now looks like at a pretty decent value.
E.g Indoagri, NAV is $1.22, cash per share $0.35...now only $0.80...Bonus is Daily share buy back occurred for Aug and Sept....1,000,000 shares per day....from $0.76-$0.795....$800,000 for 2 months......Unlike Golden agri, Indoagri has quite low daily volume, hence once it moves(when the volume comes), it moves a couple of cents....In addition, they have recently acquired some sugar mills and related companies....btw u might want to look at the Sugar charts...sugar is rebounding too.
Wilmar also derives a significant revenue from Sugar.....sugar futures just went up 5% on China GDP rebound.
All three of them just went above the Moving averages. Particularly, Wilmar is testing the 200 days MA!!!
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