Michael Hakes - CFA, MBA
The a2 Milk Company
ATM-NZSE
DON'T BUY
Jun 22, 2021
The A2 protein is easier for human digestion, says research, and is unique to their milk. The stock has had a wild ride from $2-22 in the past four years. Last August, problems began when they tried to buy out a New Zealand dairy that operated partially out of China; A2 wanted to produce infant milk in China. Then, Covid hit, so they guided down as their re-seller channel in China shut down. Be very cautious buying this, because it's a one-product company that's unproven.
(A Top Pick Jul 06/20, Down 68%) A stalwart during the pandemic. Issues selling infant formula to China, because one of the selling channel has dried up. Beaten up. He recently added. Value here, but it's wait and see. Cautiously optimistic.