PETALING JAYA: Innoprise Plantations Bhd
is being touted as an attractive dividend yield stock by RHB Research on expectations of a weaker price cycle for crude palm oil (CPO) moving into 2023.
The Sabah-based planter pays out at least 80% of earnings as dividends and has zero debt. It had a cash balance of RM34.8mil at the end of financial year 2021 (FY21).
Innoprise’s dividend payouts over FY18-FY21 ranged from 51% to 122%, with FY21 dividend the highest at 22 sen, inclusive of special dividend of four sen per share.
“We project a dividend per share of 14 sen to 22 sen for FY22-FY24, based on a 91% to 115% payout that translates to forward dividend yields of about 10% to 15%,” RHB Research said in a report yesterday.
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