SEHK:2218Food
Yantai North Andre Juice (SEHK:2218) Stock Faces Margin Squeeze After Profit Slump
The market has given Yantai North Andre Juice a pass for now. The stock is roughly flat over the past week, even as today’s Q2 headline was a visible squeeze in profitability, with net profit margin now at 17.5% compared with 18.9% a year earlier.
For a premium valued food processor trading on a P/E of 22.3x, that kind of margin pressure matters. The sentimental battle is simple. Bulls are pointing to a 14.4% five year earnings growth rate and solid earnings quality. Bears are asking how long...