TA price target 1.06 A2M, page-101

Mkt cap $1.1B NZD now. Forecast EBITDA is $45-49M. If achieving guidance at mid-point of $47M, using same ratio as per half yearly report, then NPAT likely circa $25M. So, PE Ratio of ~44 at today's price. Key concerns for investors here are firstly can A2M achieve its updated guidance? Secondly, is growth impeded by more competition in infant formula and fresh milk space? If growth is not going up at at least 50% per year, then the PE Ratio of 44 is definitely not justifiable. I find it hard to convince myself that A2M is able to grow sales and profits at that rate in current global and regulatory environment.