Just keep watching mate ....U will find out where it goes ...lol
Trading update was not as bad as analysts were anticipating after big recession fears which were brought into the price ...it can do a U turn sooner then latter imo
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Matt at Kingfish has it sussed - after this update he possibly have even more ‘conviction’ in MFT future:
Mainfreight is more confident than ever on fulfilling its long-term global growth potential
With its share price down -28% for the year, you would be forgiven for thinking that Mainfreight had a terrible year. In fact, over the course of the year, expectations for profit in the current and next year have increased by double-digit percentages. All of their share price fall (and then some) is down to a combination of the valuation becoming cheaper than historical averages, as discussed above, and general concerns about the global macroeconomic outlook.
At its investor day in October, Mainfreight discussed its ongoing strategy of growing and intensifying its network through adding new branches across all products and in all regions. This is simply a continuation of the same successful strategy that has seen it grow its branch network to over 300 branches globally, adding around 70 branches over the past 5 years.
Investment into new facilities is improving quality and efficiency. This assists with customer wins and retention and therefore boosts profitability. The new facilities include purpose-built transport (trucking) cross-docks and larger warehouses, including in Europe and the US. The company has historically been hesitant to invest in those regions because performance has lagged expectations. Now they are seeing signs of real traction emerging in terms of sales, customer wins, and profitability, which makes them confident to invest in those large and lucrative markets.
Mainfreight's management team and board has a fantastic track record of profitable growth. They turn up to work every day very much aligned and hungry to grow the business in spite of a potentially tougher environment. It is encouraging to see multiple executives add to their significant shareholdings recently, underscoring how strongly they believe in the future prospects of the business.
Matt also said
….it was largely because valuations had become elevated, against the backdrop of low interest rates. For instance, Mainfreight was trading at 29 times forward earnings, versus its 10 year average of around 20 times. This is now at around 16 times.
MFT is the only stock in the top 5 of KFL and maybe other NZ growth oriented Fisher funds schemes since 2004 ...that means something and speaks volumes about their conviction of the long term story and the ability of MFT to keep growing !!!
https://kingfish.co.nz/investor-cent...announcements/
Cud go only as back as 31st Dec 2006 ....they had 19% MFT in KFL
U didnt notice RYM as their Top position ...lol ...its fun to see how NZ markets and companies have evolved ...seeing their many bad experiences with retail oriented stocks ...I have realised that NZ is too small a market to bet on such names for LT ...short term plays maybe