A2M 0.45% $6.75 the a2 milk company limited

I find it interesting when I hear that a P/E is high or low -...

  1. 98 Posts.
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    I find it interesting when I hear that a P/E is high or low - compared to what? I also find it useful to take a long term view for the real picture rather than a 'snapshot'.

    eg.
    https://hotcopper.com.au/data/attachments/3540/3540197-82e55d4734db7954ff1b978008824c80.jpg


    Consistent and impressive sustained growth in earnings over 5 years with a sudden change from 2020 to 2021. Can anyone think of a reason for this change? I'm sure I read something somewhere.....

    If we make the 'bold' assumption that lockdowns and border closures are not going to last forever, maybe there's a slight chance A2M may go back to increasing earnings YOY. At the current SP the P/E would be pretty cheap but I guess that's icky forward looking stuff, I'm sure we should just focus on the here and now ;-)
 
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