Latest news with #JohorPlantationsGroup
New Straits Times
2 days ago
- Business
- New Straits Times
CPO prices expected to rebound by year-end: RHB
KUALA LUMPUR: RHB Investment Bank Bhd (RHB IB) expects crude palm oil (CPO) prices to recover towards year-end as seasonal production comes off its peak. In a note today, RHB IB acknowledged that geopolitical risks have led to a decline in CPO prices over the last couple of months. "Our price assumption of RM4,300 per tonne for the year is unlikely to be achieved (year-to-date price: RM4,400 per tonne) based on the current trajectory," it said. However, RHB IB said planters continue to deliver earnings-wise, while valuations remain depressed at this juncture. RHB IB said its top picks are Johor Plantations Group, Sarawak Oil Palms, SD Guthrie, Bumitama Agri and PP London Sumatra Indonesia. The investment bank also said that the expanded sales and service tax (SST), effective July 1, is expected to weigh on the sector. "This is due to the five per cent tax on fresh fruit bunches, palm kernel oil and related products, with an estimated earnings impact ranging between 0.3 per cent and 11 per cent per annum for Malaysian companies under coverage, excluding Felda Group Venture," it said. RHB IB added that its earnings forecasts for the plantation sector remain unchanged for the time being, pending further clarification. "We are still collating information and clarification from the companies we cover on their estimates of the impact of this change. As such, we will leave our earnings estimates unchanged for now," it said.
Yahoo
02-06-2025
- Business
- Yahoo
Only Three Days Left To Cash In On Johor Plantations Group Berhad's (KLSE:JPG) Dividend
Regular readers will know that we love our dividends at Simply Wall St, which is why it's exciting to see Johor Plantations Group Berhad (KLSE:JPG) is about to trade ex-dividend in the next three days. The ex-dividend date generally occurs two days before the record date, which is the day on which shareholders need to be on the company's books in order to receive a dividend. The ex-dividend date is important as the process of settlement involves at least two full business days. So if you miss that date, you would not show up on the company's books on the record date. In other words, investors can purchase Johor Plantations Group Berhad's shares before the 6th of June in order to be eligible for the dividend, which will be paid on the 24th of June. The company's upcoming dividend is RM00.01 a share, following on from the last 12 months, when the company distributed a total of RM0.052 per share to shareholders. Based on the last year's worth of payments, Johor Plantations Group Berhad has a trailing yield of 4.5% on the current stock price of RM01.17. We love seeing companies pay a dividend, but it's also important to be sure that laying the golden eggs isn't going to kill our golden goose! That's why we should always check whether the dividend payments appear sustainable, and if the company is growing. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. Dividends are typically paid from company earnings. If a company pays more in dividends than it earned in profit, then the dividend could be unsustainable. Johor Plantations Group Berhad is paying out an acceptable 53% of its profit, a common payout level among most companies. A useful secondary check can be to evaluate whether Johor Plantations Group Berhad generated enough free cash flow to afford its dividend. Fortunately, it paid out only 36% of its free cash flow in the past year. It's encouraging to see that the dividend is covered by both profit and cash flow. This generally suggests the dividend is sustainable, as long as earnings don't drop precipitously. Check out our latest analysis for Johor Plantations Group Berhad Click here to see the company's payout ratio, plus analyst estimates of its future dividends. When earnings decline, dividend companies become much harder to analyse and own safely. Investors love dividends, so if earnings fall and the dividend is reduced, expect a stock to be sold off heavily at the same time. Johor Plantations Group Berhad's earnings per share have plummeted approximately 36% a year over the previous five years. We'd also point out that Johor Plantations Group Berhad issued a meaningful number of new shares in the past year. It's hard to grow dividends per share when a company keeps creating new shares. Given that Johor Plantations Group Berhad has only been paying a dividend for a year, there's not much of a past history to draw insight from. Has Johor Plantations Group Berhad got what it takes to maintain its dividend payments? We're not enthused by the declining earnings per share, although at least the company's payout ratio is within a reasonable range, meaning it may not be at imminent risk of a dividend cut. All things considered, we are not particularly enthused about Johor Plantations Group Berhad from a dividend perspective. With that being said, if dividends aren't your biggest concern with Johor Plantations Group Berhad, you should know about the other risks facing this business. Our analysis shows 1 warning sign for Johor Plantations Group Berhad and you should be aware of it before buying any shares. If you're in the market for strong dividend payers, we recommend checking our selection of top dividend stocks. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
