(Continued…)Do I expect share market perceptions around SWM to...

(Continued…)

Do I expect share market perceptions around SWM to change immediately? Probably not but if I have learned anything from these types of investment situations during the Global Financial Crisis, it’s that the positive news flow builds up relatively unnoticed by market participants until the stock suddenly explodes violently upwards.

It’s always strange to observe these types of situations because you look at the positive news concerning your stock and then you look at the stock price in anticipation of an upward reaction. And …nothing. The stock has again flat lined. In these previous experiences it has felt to me like the market machine was broken and that nothing will make it run properly again.

But what then happens is the general conditions improve ever so slightly and suddenly the stock you knew as only going down starts taking off-vertically!

People in crisis are often more informed by general conditions than they are by stock specific news. Case in point SWM has been quickly gaining Total TV market share this FY24 and yet no one really seems to care about this largely because the general conditions are such that the ad market is down and tv ad spend is down.

Even the slightest change in general conditions in the ad market will act like a match igniting all the fundamentally good news for SWM which continues to build up.

The time to buy is now- when SWM shares are overlooked, misunderstood and hugely undervalued. Be prepared to patiently hold during the inevitable shakeouts and bad news along the way but also be prepared to make multi-bagger returns over the next 18 months.

To all SWM shareholders I understand just how miserable this currently is but hold fast in the knowledge that this ad market recession will pass and when it does you will have an extreme amount of share price upside to look forward to in the next 18 months.