Plantation stocks now ‘absurdly cheap’

TA Securities rated most stocks in the sector as “buy”. These included Sime Darby Plantation Bhd, Kuala Lumpur Kepong Bhd, FGV Holdings Bhd, IJM Plantations Bhd, TSH Resources Bhd, and United Malacca Bhd as well as Singapore-listed Wilmar International Ltd.

PETALING JAYA: Heavily battered along with the broader market, plantation stocks on Bursa Malaysia now appear attractive in terms of valuation.

In its report yesterday, TA Securities Research termed the sector “absurdly cheap, ” with stocks under its coverage trading at 9.3 to 22.2 times estimated earnings for 2021.