I sill believe that the market will value in at $20 and will hover will small standard deviation in SP until CFDA licence is obtained. Once obtained - it will sail significantly higher, and some analysts who are more qualified about China's processes have
said that it is coming soon. They are very much convinced.
I'm wondering if you are going to sell or keep the lot once it hits $20 (which it is going to very soon) ? I won't be selling a single share regardless as I've valued this share way higher than what it is today. Plus BAL can be an attractive target once overseas companies figure out that the US and Republic of China are going to create friction and trade will be more reliable form this side of the world. Reliable growth for them has to come from somewhere even if they have to resort to Leveraged Buyouts.
The extra margin to be had by packing products in its own facility will significantly add value to BAL. Then-after more acquisitions can be made as scale up begins. The key indicator for that will be an increase in investing activity than dividend activity. This information will come out in cash-flow statement in FY18 AR.
BAL Price at posting:
$19.08 Sentiment: None Disclosure: Held
