Australia's largest stock trading and investment forum Australia's #1 stock forum

BAL

0.00%

$13.23 bellamy's australia limited

Hi all,:) I have been hovering in/out in the background of...

First 225 Last

Share
Profile

Follow
seek&find

11 Posts.

28/09/17

19:46

Post #: 27532077
Share

Originally posted by PatienceToWin ↑

Yes interesting, today I sold all my A2M and have bought BAL.

This is interesting, A2M received CFDA approval today in China, which mean they can now sell legally direct to China super markets and you would think this is a very good thing but one person made a very interesting comment on the A2M thread this morning:-

"Guys
Need to take this Ann cautiously
As a Chinese I know the dai gou industry well.
The reason why a2m was selling like a hot cake is partly thanks to dai gou. Middle classPeople in China don't buy milk powder from local shop . They import from Australia via dai gou. Because people don't trust the authenticity . Once the import by is legalised there will be lots of fake a2m (generic is a better word) milk in china which will utilmately damage a2m brand and the stock pile in Australia supermarket.
Portions of people will think they can buy authentic a2m from china hence avoid dai gou and I bet you that some of those will be cheated with fake a2m.
I like this company and did very well and making lots money. But this Ann to be is not as positive as the financial report. Of course share price will go 5% north but beware .
Disclosure: I Sold a chunk @$4.2 and did few trades along way to $5.5"

My take on this is the Dai gou may switch brands next year to the non CFDA approved Infant Formulae brands made in Australia such as Bellamys. May be it is not the best thing for the Dai Gou for A2M to be approved but it is good news for Bellamys as their sales with the Dai Gou will now increase.....just an interesting observation.

Please comment if you are a Dai gou.

Expand

Hi all,

I have been hovering in/out in the background of Hotcopper for a few years now and thought, I'll give it a go.

I think it is more a question of BAL or A2M can ensure they sell its products through bonafide and trusted distributions channels in China. Daigou strategies can be risky if the producers don't know what they are doing, IMO.

There has been a lot of turbulence in this sector but plenty of scope if the producers know what they are doing.

Isn't FNP also looking at China, think they have a similar strategy to A2M?

Exciting time for Australian producers.

GLUCK

Last edited by seek&find: 28/09/17

BAL Price at posting: $7.58 Sentiment: None Disclosure: Not Held
Upvote

0 Great analysis

Reply

Top Stories

ATH

Trial for Alterity's neurodegenerative drug ATH434 shows reduced disability

LRL

Labyrinth shares rocket by 219% on news of Comet Vale and Vivien gold project acquisitions

CTT

Cettire shares jump on FY24 revenue growth up 80% vs pcp – but stock still badly bruised

AI stocks: What to expect in 2024-25

NWC

New World Resources inks complete PFS for Antler Copper Project in Arizona, USA