I'm certainly not giving up on this stock just yet even though the last few sets of results have been quite disappointing. The company has performed strongly over the last 8 years or so and it has only been since the GFC hit that their earnings have started to decline.
My belief is that we should begin to see growth again in the first quarter results (July-Sept 2010). This is when we will be starting to cycle weak comps - up until that point last year most divisions were still recording strong growth.
We should also have the extra revenue from the large Rooty Hill AMF Bowling/Laser development kicking in as well as Q Deck. I am also hoping they will build a significant new ride at Dreamworld to boost visitor levels once again.
If both the first quarter and the half year results continue to show declines then I will finally look at exiting this stock
AAD Price at posting:
$1.16 Sentiment: Buy Disclosure: Held
