Sure did. Said it might go down by as much as 10%. Hopefully it presents a good buying opportunity over the next year.
Can't see this staying down. Growth in sales per capita overseas is good + increased beer and alcohol sales expected through new distribution agreements. They are struggling in Australia but I see these losses getting offset in medium term by the growth in sales overseas and a possible devaluation in the Australian dollar over the longer term. They can't sell much more coke per capita in Australia. At saturation point from my perspective. Still lots of overseas markets that they own righ
Assume all equal and you won't find much with better long term growth prospects. I see it as 5.5% return + CPI gain every year (3%) + 5% volume growth (and roughly equal profit growth). That is a solid 13.5% return every year. If it goes to $10.50 then the return would be about 15% long term assuming you never sold and treated it as a bond.
The thing is you have to take a long term opinion (10+ years) to reach my conclusion. Not many people will and thus there is a great chance we could see something amazing like $8- over the next year or two. I'll be buying big if that happens.
CCL Price at posting:
$12.17 Sentiment: LT Buy Disclosure: Held
