This from google:
"Price harmonisation... a quaint euphemism for what is effectively a wrestle between the department stores and global brands suppliers to close the price gap between local retailers and their online rivals."
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Deserves to be on a cyclical / agricultural / no growth PE of 8.5...but wait there are no earnings :eek2:
I will bet that:
A) A take over on CVT will happen before a take over on MPG, AND;
B) More upside on today's share price of $4.20 vs $0.49, when and if happens.
Reasoning:
1) Still good growth from in CVT from Asia, vs downturn in property in Aussie/NZ on MPG in medium term.
2) Agriculture better moat than materials/manufacturing.
3) Comvita brand still strong. Metro not worth as much.
Having said that, both are really dogs. Lesson learned, we need to both move on.
No way in the world 1 CVT share is worth 8.5 MPG shares in my opinion....nowhere remotely close. I'm with Balance on this one.
Interesting looking at the graphs (just on Google) - price was $4.38 on the 5th of Feb, at was $5.42 15 days later. Near on 24% increase.
Back done with a thud today with the result!
Something smelly??