the increased volumes they are forecasting over the next few years will more than offset the fall in price. The price used to calculate the PV of the plantations is also well below the current price so in the short term the plantations are undervalued.
The next 6 months will be the key driver of their success. Can they handle the increased off-take (selling will not be a problem given the demand) being the increased amount of "harvesting", storing and extracting the oil.
IMHO this share can comfortably be double next time this year.
TFC Price at posting:
$1.75 Sentiment: None Disclosure: Held