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A good company with quality products doesn’t necessarily mean good investment. There’s no guarantee the share price will reflect its true value.

If you join us at $13 , at today’s price you will down 36%.

If you join us at $12, at today’s price you will down 26%.

If you join us at $11, at today’s price you will down 16%.

There are always reasons why the share price is only $9.50 . There are 3 risks need to consider before you make decision to jump onboard .

1. Market darling (short term , low risk)

A2M is a high P/E stock . Any slightly miss of concensus will be heavily punished.

The upcoming AGM on 20 NOV 2018 will have a market update . My gut feeling tell me it will be F@ awesome!

2. New China E commerce law ( medium term , medium risk )

Nobody will know exactly how much impact will be on all the baby formula players. Shorts like to take advantage of the uncertainty. There’s no point to argue now. We will all find out after 1 Jan 2019. If Daigou business were just as usual . Both A2m English label and China label sells just like before , then the risk is gone .

3. Our beloved CEO ( long term , high risk )

She dump all her shares when only in the job for 2 month . Share price slowly went down from $11.66 to $8.20 in 5 weeks after her selling. She hasn’t got a chance to prove herself yet. Even the 1st quarter looks better than expected, that hardly had anything to do with her. Next year , she will be on her own , so where this great company will head to ? Nobody knows .

Welcome to the party !