You are correct on a few of these points and I'm not disagreeing on that front.
TWE will look to promote their wines from other countries NZ, USA etc and will also look at alternative markets to China so some of the loss will be offset. And I do think Penfolds will still sell and sell well for that matter so this will be the acid test on the business in the next 6 - 12 months.
If they can help offset some of the clear losses that are about to happen then I feel $9+ is more fair value.
If they sit on their hands and do nothing then even $7 may be generous so I guess time will tell hey.
I'm a holder at $9.20 so i'm hoping the latter isn't reality but i'm also holding long term so hopefully this is a large bump in the road that we can get over.
TWE Price at posting:
$9.23 Sentiment: Buy Disclosure: Held
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