Hi - Bakkavor seems to be a good value out-of-favour stock currently? Anyone spot any reason why I should not buy as a long term hold? - Thanks in advance - Simply Wall St valuation?:
Value Investor - follow me on Twitter: @sheruthewestie :-) https://youtube.com/@valueinvestingwithsheruthe5407
HI Westie
thanks for the heads up. Bakkavor is not a company I had come across before. it looks interesting at first glance
I would advise, to get good engagement in the comments, post all the reasons TO hold the stock for a long time, then if anyone has history or information why they chose not to invest, they can counter post.
One data point (i.e the share graph above) does not a trend make....
The Valuation suggested on the graph is fair value at 155p. They haven't hit a price like 155p since Oct 2018 so what reasons would someone be willing to buy your shares at that price?
However Stockopedia metrics shine a bright light on this share with a 90ish score in Quality, and value. Showing it's a great company(historically) and is also underpriced, looking back
Con's might be food inflation/fuel , can that be passed on? and dealings in China... that's always a risk overhead for companies that operate in that jurisdiction.
PS if you are thinking to invest worth noting they go EX div on Thursday (28th?)
Good luck with your investing
