The a2 Milk Co Ltd A2M

Morningstar Rating
A$6.23 −0.09 (1.42%)
View Full Chart

Company Report

Price vs Fair Value

A2M is trading at a 786% premium.
Price
A$6.23
Fair Value
A$3.70
Uncertainty
High
1-Star Price
A$28.12
5-Star Price
A$2.42
Economic Moat
Yxwlj
Capital Allocation
Bltvjjs

Bulls Say, Bears Say

Bulls

China remains a major long-term growth opportunity for a2 and should help to drive continued margin improvement.

Bears

A2 relies heavily on only two major suppliers, which risks price hikes, supply challenges, or future competition.

Trading Information

Previous Close Price
A$6.32
Day Range
A$6.176.31
52-Week Range
A$3.707.37
Bid/Ask
A$6.21 / A$6.26
Market Cap
A$4.51 Bil
Volume/Avg
1.1 Mil / 2.3 Mil

Key Statistics

Price/Earnings (Normalized)
28.59
Price/Sales
2.93
Dividend Yield (Trailing)
0.00%
Dividend Yield (Forward)
0.00%
Total Yield

Company Profile

A2 Milk is a New Zealand licensor and marketer of fresh milk, infant formula, and other dairy products that lack the A1 beta-casein protein. The firm was founded in 2000 by Corran McLachlan, who developed a genetic test to determine which proteins a cow produces in its milk, and business partner Howard Paterson. The company has been through a tumultuous history of receivership, legal battles, and strategic shifts, but emerged in its current structure in 2006 and listed publicly in March 2013.
Sector
Consumer Defensive
Industry
Packaged Foods
Stock Style Box
Mid Growth
Total Number of Employees
153

Competitors

Valuation

Metric
A2M
600887
06186
Price/Earnings (Normalized)
28.5918.7810.41
Price/Book Value
3.913.492.09
Price/Sales
2.931.542.66
Price/Cash Flow
19.1410.6011.14
Price/Earnings
A2M
600887
06186

Financial Strength

Metric
A2M
600887
06186
Quick Ratio
2.510.623.01
Current Ratio
3.090.863.34
Interest Coverage
44.975.7196.29
Quick Ratio
A2M
600887
06186

Profitability

Metric
A2M
600887
06186
Return on Assets (Normalized)
9.75%6.47%10.35%
Return on Equity (Normalized)
13.35%18.38%14.83%
Return on Invested Capital (Normalized)
10.78%7.99%12.17%
Return on Assets
A2M
600887
06186

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