Synlait Milk logo

SML - Synlait Milk News Story

NZD3.73 -0.0  -0.8%

Last Trade - 30/07/21

Sector
Consumer Defensives
Size
Mid Cap
Market Cap £409.3m
Enterprise Value £659.5m
Revenue £706.2m
Position in Universe 341st / 1946

BUZZ-NZ's infant formula makers Synlait, a2 Milk jump after China's three-child policy

Tue 1st June, 2021 1:40am
** China-focused baby food makers Synlait Milk  SML.NZ  and
a2 Milk  ATM.NZ  jump 5% and 2.4%, respectively, to be the top
gainers on the New Zealand benchmark  .NZ50 
    ** China on Monday relaxed the cap to allow married couples
to have up to three children from the existing limit of two 
    ** Move comes after recent data showed a dramatic decline in
births in the world's most populous country  urn:newsml:reuters.com:*:nL2N2NI0CX
    ** Brokerage Jefferies, addressing Chinese markets, says the
policy's effect is too early to conclude but expects infant
formula brands and diaper makers to benefit first
    ** We expect the three-child policy to become a new driver
for newborns, with a potential to increase it by 2%-7% -
Jefferies
    ** a2 Milk and UK-based Reckitt  RKT.L  had previously
flagged a hit due to a drop in China's birth rate  urn:newsml:reuters.com:*:nFWN2KU09B
 urn:newsml:reuters.com:*:nL1N2MW0HS
    ** SML's stock also gets boost from Dunsandel facility
resuming ops after it was closed due to flooding at Canterbury
 urn:newsml:reuters.com:*:nFWN2NI0HZ
    ** SML and ATM, both, downgraded their earnings forecast in
May, resulting in the latter marking its worst monthly
performance in 12 years  urn:newsml:reuters.com:*:nL3N2NI155

 (Reporting by Anushka Trivedi in Bengaluru)
 ((Anushka.Trivedi@thomsonreuters.com; +918061823241;))
© Stockopedia 2021, Refinitiv, Share Data Services.
This site cannot substitute for professional investment advice or independent factual verification. To use it, you must accept our Terms of Use, Privacy and Disclaimer policies.