Firstly, nothing is impossible, particularly so as there always exists a range of possible solutions to overcome current profit blocks.
The share price itself can move forward prior to the release of shipment progress, for the share price today is not so heavily discounted due to the progression of these ships but the series of broader issues that hindered the past 6 months which lead to profit downgrades.
Mechanical issues that caused delays to shipments.
Compressed profit margins due to the rise in the cost of cattle and feed.
Markets are forward looking not backward, investors can see the high probability of improved forward profits in 2017/18 and will not sit around for a backward looking statement.
This is a window of opportunity and when the dust settles pure fundamentals and sector sentiment will guide price, the Ag sector is hot, food demand globally is rising and the negative sentiment of the live cattle export industry will improve with time.
It blindly obvious that the market knows 16's profit will miss considerably as been flagged by the company, likely to be somewhere between 19 and 24 mill.
If the share price drops another 10 20% on the actual announcement of either slowed progression of current shipments or end of FY16 results it will not last...
The risk is now to the upside not downside, sit on the sidelines and you might miss the boat, pardon the pun...
Cheers
WLD Price at posting:
39.0¢ Sentiment: Buy Disclosure: Held
