ATM - A2 Milk Corporation Limited

[Leftfield]

Thanks for your thoughts kiwi$.

Just noticed this news out of Aussie, which is good news for ATM.

$600m deal for China's Mengniu to buy Lion Dairy called off amid trade tensions

See it here.

[dreamcatcher]

Thanks for your thoughts kiwi$.

Just noticed this news out of Aussie, which is good news for ATM.

$600m deal for China's Mengniu to buy Lion Dairy called off amid trade tensions

See it here.

Nice to see the aussies saying "not for sale"

[Gerald]

https://www.youtube.com/watch?v=_2MfX7LPXVU

Obviously he is a dodgy economist, but he raises the valid point that as we go into negitive interest rates, and countries like AU/US refuse to, it would result in a significant devaluation of the NZD (he claims to about .5 USD).

Significant tailwind for A2?

[kiwidollabill]

Thanks for your thoughts kiwi$.

Just noticed this news out of Aussie, which is good news for ATM.

$600m deal for China's Mengniu to buy Lion Dairy called off amid trade tensions



See it here.

I'm not surprised... about time the ozzy learn from getting their fingers burnt in some of these overseas investment deals

[tomm]

It is obvious that A2M doesn't give out dividend and the insto's put too much money to invest in it, the only way they can make money is as we use to see on this stock.

1)The Sp price will be pushed up as high as it suppose to be before the announcement.
2) Pushing the Sp down and shaking the tree to collect as much as they can for the next phase right after the announcement.

Its a game for LTH.

[jimdog31]

shortman.jpg

Aussies shorting increasing

[couta1]

shortman.jpg

Aussies shorting increasing

Its going to be another lovely Nov bonfire, they never learn with this stock, some will do okay if they exit in time but many will be turned to ashes.

[jimdog31]

Its going to be another lovely Nov bonfire, they never learn with this stock, some will do okay if they exit in time but many will be turned to ashes.

Just in time for guy fawkes

[jimdog31]

Another useful graph showing monthly showing which months the share prices go down.

https://www.shortman.com.au/seasonality?q=A2M

[Ted2]

Good to see the SP settling down above $NZ20.00 after the recent results and announcement re Mataura Valley.

Macquarrie have now upgraded their analysis of ATM to 'outperform' targeting a SP of $A21.25 ($NZ 23)

...and this from an article in the AFN.

"Analysts are tipping a2 milk’s potential acquisition of a majority stake in NZ based Mataura Valley milk as a move that could allow the dairy giant to better manage an increasingly complicated relationship with China while growing margins.

Macquarie also touched on geopolitical tensions as a risk factor, but were confident that the infant formula market would remain excluded from tit-for-tat trade wars as China is not yet self-sufficient in its production....... (saying) " infant formula has been more immune to challenges given the essential nature and sensitive consumer base (compared to luxury goods as an example),” they wrote in a note.“We hence think this, and lack of China self-sufficiency for infant formula is somewhat prohibitive of large infant formula producers and brands being tied up in political tensions.”....

....Macquarie analysts said that the purchase and creation of a new facility will reach break-even point “relatively quickly,” with the facility to produce a return on capital employed in excess of 20 per cent."

All this pretty obvious IMHO, but nice to have it confirmed by pointy heads.

Nothing but positives to be taken from this move. Far better use of 270M than leaving it in the bank at 1%. Indicates ever-increasing demand as they need another manufacturing plant to keep up.

Maybe with such demand we'll see an A2 owned and branded ship running between NZ and China - or even better - a Fleet of them!!