Anyone took a bite at this one?
1 reply to this topic
#1
Goliath
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Posted 15 October 2014 - 09:45 PM
Never underestimate the potential for human stupidity when wealth and power are at stake!
#2
TheLittleGuy
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Posted 26 September 2014 - 01:24 PM
Quantum Foods (QFH) is set to be spun off to PFG shareholders on Monday 6thOctober. It is going to be interesting to see at what price QFH lists. I expect initially the trading will be volatile as PFG shareholders who are not interested/unable to hold a small to mid cap Animal Feed/Poultry company sell their holdings.
At the right price QFH could be interesting, it presents a good play on Africa’s burgeoning protein consumption.
The problem with QFH at present is that it has no earnings (even on an adjusted Ebitda level it is making losses) with which to value it, Investors are going to have to applied their minds and try conceptualize how big QFH’s Africa business can get and if/when mgmt will be able to turn around the Egg & Layer Livestock and Broiler segments
@ 2x P:NAV = R11.75 but @ 16x FY14e HEPS = R3.20, a very big range.
