ATM - A2 Milk Corporation Limited

[Ggcc]

"Both A2 and Synlait are speculative stocks with prices that rose by $10 over the past two years before the recent retreat."

Interesting perspective?

Snakk and Plexxxure are speculative in my books but hi, who am I to argue with a journo if he writes athat companies which have real operations making hundreds of millions of dollars of sales and profits are speculative!

I thought the exact same thing. How long will they remain speculative......... when they make half a billion dollars in profits?

[Balance]

I thought the exact same thing. How long will they remain speculative......... when they make half a billion dollars in profits?

When they become like Fonterra if you read the article - fat, lazy and going downhill.

[Scrunch]

I thought the exact same thing. How long will they remain speculative......... when they make half a billion dollars in profits?

Imo when growth rates down to the teens or single digit numbers and the p/e comes back down. And you are correct that this could be when they have grown to have a half billion profit and market cap a bit over $10b. The p/e would then be slightly over 20.

Till then there is a lot of speculation in the share price that rapid growth will be achieved. Probably well justified speculation, but still speculation.

[Scrunch]

Imo when growth rates down to the teens or single digit numbers and the p/e comes back down. And you are correct that this could be when they have grown to have a half billion profit and market cap a bit over $10b. The p/e would then be slightly over 20.

Till then there is a lot of speculation in the share price that rapid growth will be achieved. Probably well justified speculation, but still speculation.

Over thinking it. The author probably just equates a high p/e and the recent emergence of good profits as being speculative.

[Sideshow Bob]

Over thinking it. The author probably just equates a high p/e and the recent emergence of good profits as being speculative.

And low asset backing.

[sb9]

"Both A2 and Synlait are speculative stocks with prices that rose by $10 over the past two years before the recent retreat."

Interesting perspective?

Snakk and Plexxxure are speculative in my books but hi, who am I to argue with a journo if he writes athat companies which have real operations making hundreds of millions of dollars of sales and profits are speculative!

Good example of very poor journalism.....

[macduffy]

A good stock can be speculative at a particular price.

[steveb]

Aussie are paying a 20c NZ premium at the mo the sp is $10.52 over there,is this a good guide to the price going up over here?

[couta1]

Aussie are paying a 20c NZ premium at the mo the sp is $10.52 over there,is this a good guide to the price going up over here?

They are not paying a premium, SP is tracking currency conversion or close to it eg $9.58AU equals $10.34 NZ

[Balance]

https://www.9news.com.au/2018/10/23/...instate-limits

And still they keep on buying!

"A2 has also doubled production of its premium formula, but that's not enough to meet supply."