"There's a reason Foster's shares have been marked down and it involves fermenting grapes. But Southern Cross argues Foster's current valuation assumes the wine division isn't worth anything. Southern Cross suggests Foster's stock should be worth $7 a share.
A counter argument is that we've heard Foster's takeover theories ever since the long-gone days when real men drank VB and a blonde beer was a shandy for the ladies. No one emerged with an agreed offer when Foster's was more vulnerable.
Criterion last had Foster's as a hold at $5.20 on April 24. Takeover tattle aside, Foster's is trading on 14 times earnings, which factors in only flat profits for the current year. " the Australian
FGL Price at posting:
$4.52 Sentiment: Buy Disclosure: Held
