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Last edited 4 years ago
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#Bear Case
stale
Added 4 years ago

Coca-Cola Amatil is a good business with good leadership and a great history in Australia. These attributes will help it weather the storm of COVID19. 

It may not wash up on the shores as a wreck but the virus will cause some damage. Demand for beverages will be hit hard. Vending machines at train stations, office buildings, pubs, clubs, cafes and stock sold in convenience stores or service stations will be hit. Ask yourself the question about when you last bought or even saw one of these beverages?

If there's a second shutdown then I'd expect the stock to test 52w lows and head down toward $7.50 but if there's a steady pick up and continued growth then prices will return to ~$10.00- $11.00. For me, this stock is a watch until October/November and potentially buy into summer growth.