Tepid palm oil rebound expected
But the low price environment offers opportunities for stock investors with longer-term horizons
Singapore
THE muted recovery of crude palm oil (CPO) prices has dragged the valuation of plantation stocks down, offering investors an entry point to ride on the commodity's medium-term price uptick, said Dorab Mistry, director of Godrej International.
As reported by CIMB Research, Mr Mistry had opined at a palm oil presentation organised by Bursa Malaysia on Thursday that it is now an opportune time to invest in plantation stocks. With the commodity cycle now at a low point and share prices having lost their lustre, he believes that investors who buy and hold plantation stocks will consequently benefit from a crude palm oil price hike in the next two years.
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