I think extremely low. Far too many good opportunities that have higher returns with ATM investing them than for the vast majority of investors/other businesses.
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Runs 4 days behind
https://www.shortman.com.au/stock?q=a2m
Aussie yesterdays close A$14.11 @ .9592 = NZ$14.71 ......................
BAL released a shocker this morning which will unjustifiably rub off on A2. One of the reasons mentioned for poor performance was "Observed slowercategory growth andbirth-rate in China, andincreased local supplyfrom competitors", perhaps they should have just said ATM is eating everyone's lunch.
Chinese baby trend pointing into the wrong direction (this is, if you want to sell more infant formula into China):
https://www.nytimes.com/2019/02/26/o...gh-babies.htmlQuote:
Fewer babies were born in China last year than in 2017, and already fewer had been born in 2017 than in 2016. There were 15.23 million new births in 2018, down by more than 11 percent from the year before. The authorities had predicted that easing and then abolishing the one-child policy in the mid-2010s would trigger a baby boom; it’s been more like a baby bust.
Apparantly - the removal of the one child policy came to late ... not anymore enough fertile females around to change the trend ...
"Low fertility has its benefits. Fewer children probably means that more attention is paid to them, including in the form of more investment in education." It also means they can afford premium, safe, tummy happy milk powder during those all important formative years of their dear darling babies growth.
True - but this is not new. China went already through 2 generations of one child families. What is changing now is that overall the number of families with babies is drastically dropping (11% less babies in one year is drastic ....), but some of them might have now more than only one child, which means these multiple child families have even less money available to buy luxuries like infant formula coming from the other side of the globe ...
The Chinese are no different from any one else on this front.
If a parent sees it as vitally important for the health and wellbeing of their child they will sacrifice near anything to give the child the best. So if A2 is on the mind of the chinese parent they will find a way of funding the purchase. (maybe its seen as an investment in the future - where a healthy child / children will be in a much better position to support their aging parents in later life)