Assumption:
18 Sales grow by 100% (Revenue 2015-2017 historic avg growth rate) = 1046.2m
18 NP grow by 298% (2015-2017 avg) =256m (imply EPS= 35.32cps)
18 EPS grow by 248% (A2M 2015-2017 historic avg) = 28.97cps
PE ratio of 22 will give A2M fair value of 7.97, a Market cap of 5,796m.
Is it Possible? Will you pay PE x22 for A2M?
If you do, do you think it is justified by A2M's:
1. Pricing power?
2. Management ability to increase operating margin?
3. A massive increase in Sales? (From 523.1m to 1046.2m)
4. New Product? Yoghurt? Cheese? Acquisition?
I have to point out that management has done well to transfer that 55% revenue growth from 16-17 into NP of 298% growth (86.3mil in fy17/29mil in fy16) is quite an incredible achievement.
If HC members can provide guestimate on the Sales in store from FY16 , FY17 and keep an eye on the shelves now, we may be able to come up with a closer value.
For the time being, I think we are about 30+years away from $100.
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Fair value of $7.97
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Last
$6.85 |
Change
0.000(0.00%) |
Mkt cap ! $4.952B |
Open | High | Low | Value | Volume |
$6.88 | $6.90 | $6.78 | $7.886M | 1.152M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
2 | 9718 | $6.84 |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
$6.85 | 6515 | 3 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
1 | 4129 | 6.830 |
3 | 7924 | 6.810 |
2 | 14641 | 6.800 |
3 | 12170 | 6.790 |
1 | 6370 | 6.780 |
Price($) | Vol. | No. |
---|---|---|
6.850 | 6515 | 3 |
6.860 | 8336 | 6 |
6.870 | 17258 | 4 |
6.880 | 7408 | 1 |
6.890 | 7000 | 1 |
Last trade - 16.10pm 16/07/2024 (20 minute delay) ? |
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