ATM - A2 Milk Corporation Limited

[mfd]

Maybe they are quoting last year's historic PE ?

I expect so, but your link also reports a historic pe of 24.5, quite a large difference. Somewhat irrelevant to this thread - my original comment was intended to be a little tongue in cheek. ATM has a high PE but so do many boring companies these days, I'm expecting there to be quite a lot of growth left on ATM over the next few years even if the rate of growth is less exceptional than it has been in the recent past.

[winner69]

PEs are only a ‘relative’ measure and there’s many reasons why market pundits use the word ‘relative’

[carrom74]

I expected the market to pick up today(for some short covering) but its not happening...

Its going be a long(sleepless) night for me tonight

[couta1]

I expected the market to pick up today(for some short covering) but its not happening...

Its going be a long(sleepless) night for me tonight

Better to buy the real news than the rumour, sleep tight were on a long road here

[sb9]

I expected the market to pick up today(for some short covering) but its not happening...

Its going be a long(sleepless) night for me tonight

Generally big run before ASM would've resulted in 'sell the news' factor, I'm picking it could be 'buy the news' this time.

In any case, seem as though market would like to have more clarity re what to expect around margin expectation and Jayne and board need to provide that detail. Shaping to be a very interesting meeting this one.

[see weed]

I expected the market to pick up today(for some short covering) but its not happening...

Its going be a long(sleepless) night for me tonight

Sleepless worried that price may go up.(FOMO) Buy a whole lot more and make it easier to sleep.

[couta1]

Sleepless worried that price may go up.(FOMO) Buy a whole lot more and make it easier to sleep.

I have never been a good sleeper(Genetics) so ATM being up or down makes no difference, half an Imovane tab(Zopiclone) a couple or so times a week does the trick. PS-Most of the old folks in the retirement villages take these every night. Lol

[RTM]

Thanks Carrom for that link. What I get from that article is converting a herd is “profitably neutral “ but farmers should at least start using the A2 insemination from now on and eventually A2 will be the standard and A1 will possibly be at a discount.
Couta, I understand what you are saying is that A2 ltd is enjoying huge growth and potential growth as it has worked itself to be “johnny on the spot” before the inevitable mainstreaming of the product, albeit some time away.
Left field, thanks for your reply too but I didn't call the industry a sunset one ,so we at least agree there. I called the ATM company ,a sunset company the way I see it.


My 2 main concerns I have as a potential investor:
Firstly, At some point the growing( although slowly from the link above) herd conversions will erode the current A2 premium margins with increasing supply. So it's a timing thing of optimising when to sell up as it naturally transforms from an intellectual property type rating to a seller of a commodity type rating. As I, and probably most here, have no superior global industry knowledge or contacts to get a heads up on when to exit the door first. It is then a blind and nervous position to be in with a lot of finger crossing. Perhaps the optimal time has even already passed?


Secondly, if A2 milk does become normalised to the global market, then surely the A2ltd “brand” (and that's all this company is as I understand it) becomes meaningless as other competitors offer A2 as a standard commodity to at cut throat margins.Therefore A2ltd brand has become irrelevant and its IP worth no more than the brand “NZ”.


I can get why you have a truckload of HLG Couta but ATM seems an outlier to me. It would just cause me sleepless nights.

I think this argument falls on deaf ears Maverick. Back as far as 2017 I had these concerns and posted accordingly multiple times. Post 6545 has an American news clip talking about A2 milk. Worth watching. At around 3:35 - 3:40 the guy says A2 will be the milk of the future.

Disc. Have never held...sadly.

[bull....]

having another crack at this

[silu]

having another crack at this

Long or Short?