Just came from a trip to Countdown where they were emptying all shelves of all infant formula !
only to put behind the counter for sale to customers, rather than put security guards with AK47's in the aisles. As robbo says, great buying on a decent dip, if there is one after the halt is lifted
lets all be honest.
Price appreciation will only happen when the following come to fruition:
1. The 5pm boys leave town
2. UK gains over 1% of the market in the short term, the shorter the better in terms of market penetration expectations.
3. Sales are encouraging in the USA, the shorter time frame the better per above
4. Improved market penetration of baby formula and UHT and fresh milk into China
5. More scientific evidence of health benefits of a2 milk.
6. Margins are maintained
I'm expecting a small boost in SP when A2M is listed on the ASX but in order for it to be maintained all the above factors need to be a reality.
Until then speculation on a2's SP is futile
I think that's a bit arbitrary Harrie. It may be your list of essentials, but that doesn't make it fact. Most investors wouldn't even know if those criteria were being met. Whereas just a couple of good news stories in the Aussie media about sales in the UK, US, China or Australia or a new scientific finding could be enough to lift the SP. And once the Aussie listing goes into effect, I would have thought the market there might develop a self-generating dynamic that's not reliant on such specific analytical details but driven more by broader investor/broker perceptions and sentiment. Not to mention perhaps some news from the company itself.
The continuing overhangs in insto-held ATM stock and the news that the chairman is planning to sell down will also be potential factors as analysts pore over the Aussie listing. It's also not clear what the brokers are planning. If they're sitting on a stockpile of ATM shares as some reports have suggested, they'll be wanting to nudge the SP upwards. Not that I'm predicting a sudden big surge. Nor am I worried about the 1080 scare.
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Originally Posted by bull....
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