Despite a strong 2020 foundation, sales in the first quarter of 2021 increased by 11% year on year to P13.4 billion; net income increased by 24% year on year to P1.3 billion. Increased gross margins and reduced taxes encourage improvement in capacity and creativity. The implementation of CREATE raises the potential 2021 earnings growth rate beyond 15%.
CNPF is a safe bet for investors looking for a business that has shown resilience in the face of the pandemic, as its profits stayed high in the first quarter of 2021. Despite the constraints, it had a stellar record in 2020, when demand for shelf-stable goods grew as the government encouraged citizens to remain at home.
Aside from its high profits, CNPF is also undervalued. The P/E value is 17.96x, which is smaller than the 5-year average of 19.52x.
CNPF broke through the level of resistance of P19.00. It is currently on a retracement after breaking through the P21.00 resistance level. Support is forming about P19.55, with the next level at P19.00. Momentum remains strong as it remains above the 50-day and 200-day EMAs, as well as 50 level of the RSI (14).
Material in this article is obtained from sources we believe to be reliable, but its reliability or precision cannot be guaranteed. This is for the sole purpose of providing details and does not provide an offer from us to buy or sell securities mentioned in this document.