The H1 vs H2 is even more stronger than on paper for the following reasons:
1) H1 has 2 or 3 massive online sales days in China. A2 has been in top 3 product on the main online stores.
2) label change affected sales for 3 months in H2 which was the reason for some sales growth slowdown as some channels needed to be destocked with minimal discounting to protect margins for diagou and maintain premium branding.
I think the next SP driver will be the 3/4 month H1 report which will show growth trajectory back to normal. The analysts have gone conservative again after the H2 numbers, so back to chasing their tail after the next report, I believe.
And you are correct re the investment in new markets (especially USA) which should be capitalized as some analysts are effectively doing (BP and Macquarie). So numbers are even better than on paper, thus people should be careful about using PE (especially trailing PEs!) when trying to assess fair value. IMO.
A2M Price at posting:
$10.83 Sentiment: Buy Disclosure: Held
(20min delay)