I understand the brokers view its a narrow view and short term orientated. Yes sugary drinks are on the decline and the SPC venture is a slow turnaround . But to have coke as one of the few brands in Adli , is a brand strength worth a few tricks in the box, which obviously has been overlooked.
(I wonder the last time a broker shopped there). On the other hand P/E appears to be high to prior years.The share price rose to fast in the past few months.
To me is the story is the distribution network and its strength. Monster drinks, coffee capsules. Now with the capsule coffee machines , how many coffees out have been replaced at home.
The story here, is the constant mid single digit growth. in 5 years if bought today the 4. something % dividend ,
may extend out to 7% plus dividend on todays prices. Better than a term deposit.
cheers and goodluck
CCL Price at posting:
$9.43 Sentiment: Hold Disclosure: Held
