MFT - Mainfreight. Global Freight & Logistics

[Muse]

Reckon 1H is going to be ugly and will be a catalyst for another round of broker downgrades. Just have to look at container and airfreight prices to get a feel for how far freight prices have fallen and given the forwarding component of MFT operates more or less on a cost plus basis that leads to a big drop in GP. ANZ has a big warehousing business and retailers have cut volumes by about 10% and much more price sensitive so that'll be under pressure to. Mainfreight expanded a lot during the downturn and probably has a lot of immature operations that are subject to operational leverage so the increased cost base relative to revenue could slow the recovery currently assumed and priced into the company. Don't get me wrong I really love the company and appreciate the way they operate with long term focus but I reckon there is still some pain to come. It's on my radar to buy once I feel like its gotten closer to (or better, below) its fair market value.

[Rawz]

Reckon 1H is going to be ugly and will be a catalyst for another round of broker downgrades. Just have to look at container and airfreight prices to get a feel for how far freight prices have fallen and given the forwarding component of MFT operates more or less on a cost plus basis that leads to a big drop in GP. ANZ has a big warehousing business and retailers have cut volumes by about 10% and much more price sensitive so that'll be under pressure to. Mainfreight expanded a lot during the downturn and probably has a lot of immature operations that are subject to operational leverage so the increased cost base relative to revenue could slow the recovery currently assumed and priced into the company. Don't get me wrong I really love the company and appreciate the way they operate with long term focus but I reckon there is still some pain to come. It's on my radar to buy once I feel like it’s gotten closer to (or better, below) its fair market value.

Do you have a target price for now or waiting for half year?

[Muse]

Do you have a target price for now or waiting for half year?

Patiently waiting. See how things unfold.

[Muse]

Wil never break $60

SP starting with a 5 today...yikes.

[Rawz]

will bever break $50

[Sideshow Bob]

will bever break $50

Nekk minute.....

(although currently would struggle to see it breaking $50......)

[Entrep]

I'm a buyer at 49 New Zealand Dollars.

[iceman]

I'm a buyer at 49 New Zealand Dollars.

I'd say the competition will be stiff at that level !

[777]

I'm a buyer at 49 New Zealand Dollars.

Doubt you will be successful.

[Rawz]

SP is pretty far under the yahoo max 200d moving average. Doesn’t go waaaay under like this very often