SML - Synlait Milk Ltd

[couta1]

How about dicoak?

Okay I'll help dicoak equals Drunk in charge of a keyboard.Lol

[sl234]

Bought in today at 9.05
Forward p/e looking good, hoping sunshine will prevail.

[minimoke]

Bought in today at 9.05
Forward p/e looking good, hoping sunshine will prevail.

Welcome aboard. It can be a rocky road and you need to hang on - but not as tightly as your do with ATM. The 12 month spread has been $6.26 - $13.53. We are all looking forward to it heading back north again.

[Nasi Goreng]

Its my take that the sun has been shining for quite a while and the forecast is for plenty more sun. If you ignore the share price, just look at the last 3 years performance by Synlait and look at what's in the pipeline for the next 2-3 years. I think this is NZ's #1 dairy investment taking into account risk, profit growth, growth prospects, plant, assets and product diversification.

[Beagle]

Its my take that the sun has been shining for quite a while and the forecast is for plenty more sun. If you ignore the share price, just look at the last 3 years performance by Synlait and look at what's in the pipeline for the next 2-3 years. I think this is NZ's #1 dairy investment taking into account risk, profit growth, growth prospects, plant, assets and product diversification.

Excellent synopsis.

[minimoke]

. I think this is NZ's #1 dairy investment taking into account risk, profit growth, growth prospects, plant, assets and product diversification.

?? You are limiting to "dairy". Im not sure there is much else on NZX that offers so much opportunity. (except ATM - in which I also hold a bag full)

[Nasi Goreng]

Synlait has a great business model. Find markets where they can add value, build strong relationship with farmers, load plant, grow cash, reinvest... repeat.

They recently said in the annual report that they don't expect to provide dividends in the medium term and I'm totally ok with this. There is a big pipeline of opportunities in place which all result in strategic placement of new plant which helps the company to continue to grow.

[Beagle]

?? You are limiting to "dairy". Im not sure there is much else on NZX that offers so much opportunity. (except ATM - in which I also hold a bag full)

Agreed. FY19 PE at $9.00 gives a forward PE of just 17.5. VERY short list of companies with similar high growth prospects over the next few years on a more compelling PE than that with one notable exception, OCA. Maybe SUM other company fits the bill too IF they can actually sell what they're building. IF is in capitals because I think that's a big IF. We know Synlait can sell all it can produce don't we

[minimoke]

Agreed. FY19 PE at $9.00 gives a forward PE of just 17.5. VERY short list of companies with similar high growth prospects over the next few years on a more compelling PE than that with one notable exception, OCA. Maybe SUM other company fits the bill too IF they can actually sell what they're building. IF is in capitals because I think that's a big IF. We know Synlait can sell all it can produce don't we

I hold both OCA and SUM and see these as good (actually really good) prospects in the medium term. But still not as good as SML. Hence I'm heavily weighted in SML and ATM with OCA and SUM in my second tier.

[Ggcc]

I hold both OCA and SUM and see these as good (actually really good) prospects in the medium term. But still not as good as SML. Hence I'm heavily weighted in SML and ATM with OCA and SUM in my second tier.

Very similar shares that I have except I am heavily weighted in OCA then ATM then SUM and finally SML