[QUOTE=Snow Leopard;728448]
remember that milk production is a commodity industry;
Lest we forget.
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[QUOTE=Snow Leopard;728448]
remember that milk production is a commodity industry;
Lest we forget.
SML up over last 5 weeks
Another UP week this week
And a boomer announcement next week will keep the momentum going
I’m told forward PE of 24 for all this growth ....PE not much higher than market average ...go figure
absolutely true for regular run of the mill milk however Synlait do not only make just plain milk. They’re currently the only NZ AUS supplier of CFDA / SAMR registered IF in China. They also process large volumes of A2 milk which has significant pricing power, high margins, a strong brand etc...
What SML has got going for it is that it’s a far better investment than that dog Fonterra for those wanting sector exposure
Some of recent strength in share price punters switching?
Synlait I believe also produce A1 milk so with them (cf A2) I venture to suggest its not an either/or type situation
disclaimer - dipped my toes in the milk.
Its not a simple as that.
Excellent artiicle from guru Keith Woodford here: https://www.interest.co.nz/rural-new...will%C2%A0take
Theres around a 7 - 10 year process.