Hasn't broken through the 100EMA yet, which would need to be achieved to break the longterm downtrend.
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Hasn't broken through the 100EMA yet, which would need to be achieved to break the longterm downtrend.
I would not expect there to have been any further guidance after year end - that would pre-empt the release of the annual results due any day now. Also, in their announcement on 10 May, the company implied that there would be no further announcements until August when the Full Year results were released. It concerns me that we are nearing the end of the month and still the results have not been released. A quick look back over recent years to 2016 shows that the results are released on a Wednesday (morning) - usually the second last Wednesday of the month. Today is the last Wednesday of August and still the results have not been released. There was also no indication earlier in the month as to what exact date the results would be announced, as many other companies do. Breaking with tradition gives me cause for uneasiness. This may be unfounded, but in my experience such changes tend to be associated with problems, more than good news. Turning around a company the size of ATM is not like changing direction in an America's Cup yacht on foils. It is more like slowing down a juggernaut on ice, changing direction, and getting back up to speed again. I am not confident that we have seen the last of the troubles for this NZ market behemoth, no matter how the results are dressed up, and laced with cautious optimism. The SP may even spike with this optimism for the future, but the substance will be in the reading between the lines of the commentary that goes with the FY announcement. For me it remains a Wait and See. JMHO
If instead of looking back over the recent years you've looked at company's website you would notice that report date of 26th of august was published there for quite some time now.
Just because company implied that there would be no further announcements until August it does not mean they will not comply with listing rules and withhold material information if such appeared. Deviation from guidance by more than 5% is material and would require to be announced to the market
Should've checked the website I guess :-)
And We look forward to tomorrow with bated breath. (or is that 'baited' breath ?)
The last downgrade did give them plenty of leeway in case of continuing adverse events, so I think they covered themselves for that eventuality when they said there would no further updates until the release of FY results. The proof will remain in the reading - hopefully it will be positive, but I remain guarded. The key is not to get too excited about the results if (probably when) they say they are optimistic for the future, but that there are still many challenges ahead. The road ahead is still likely to be bumpy, but hey, a flat highway isn't nearly as exciting as a side road with a few pot holes and tight bends to negotiate.
a2 milk in China: Analysts divided on brand’s long-term growth potential amid Nestle takeover rumours (nutraingredients-asia.com)
Regional analysts are divided on The a2 Milk Company’s long-term growth potential, especially in China – its current largest market – amid acquisition rumours.
Sold at $7.21 and bought MFT at $90.96 this afternoon. what a trade! Risk still in ATM. You cannot turn a bad apple into a good one overnight. The rotten is to the core!
The a2 Milk Company’s Managing Director and CEO, David Bortolussi said:
• “While our third quarter trading was broadly in line with plan, it is clear that the actions taken to addresschallenges in the Daigou and CBEC channels will not result in sufficient improvement in pricing, sales andinventory levels to meet our previous guidance
• “We have conducted a comprehensive review of inventory in the trade and this work has indicated thatchannel inventory levels are higher than had been anticipated• “The challenges in the Daigou and CBEC channels have been exacerbated by excess inventory anddifficulties with visibility
• “In the interest of the long-term health of our brand and the medium-term trading outlook of the business,more aggressive actions to address inventory will be taken which will impact FY21 revenue and EBITDA,and potentially 1Q22.
• “Despite these short-term setbacks, we are confident in the long-term potential for infant nutrition andother opportunities we have in China, and are determined to build on the strong position we have built inthe market over the past five years
• “We recognise that the China market and channel structure is changing rapidly and are commencing acomprehensive review of our growth strategy and executional plans to respond to this new environment• “The Board is actively considering capital management initiatives, including a potential share buy-backand we will provide an update at the full year results in August