Avi (JSE: AVI)

Worth reading the latest annual results. Balance sheet holding up decent.

AVI's got the retail reach, dividends are solid.

Good morning everyone. AVI closed at 84.50 yesterday. The group owns a bunch of food brands that most people buy at the shops, so when the economy's tight they still shift product, which is why some folks reckon it's a bit safer than the flashier stocks.

Worth reading the latest SENS updates on AVI, balance sheet holding up decently.

@trpine_patient fair point on essentials, but what's the dividend yield looking like these days with 82.11?

Been holding AVI for a while now, mostly because they own a bunch of everyday brands people keep buying even when times are tough, same way folks still need their coffee and biscuits. Last close was 82.11, which doesn't worry me for a five year view.

Eish, stage 6 load-shedding killing my work from home vibe

@trpine_patient true, but are they cheap enough right now at 82.11 to make it worth the wait?

@mogale_morning exactly, steady cash flow is what counts in a downturn.

mate, you doing a braai this weekend or just staying in because of the power cuts

@trpine_patient exactly, that's the thing with AVI. People still buy food when times are rough.

@trpine_patient ja, that's a clean way to put it. The food side means they've got steady cash coming in most months.

dividend is just when the company makes profit and decides to hand some of it to whoever owns the shares, like a little bonus for holding. avi's paid them before, so if you own 100 shares worth say r8,000 total and they pay out, you might get a few hundred rand just sitting there.

AVI's basically got their fingers in a bunch of food brands and distribution stuff that South Africans buy every week, so when the economy's tight people still need to eat. Last close was 82.11 and I reckon that's fair value if they keep the volumes moving through the retail side.

Anyway, who's got the braai sorted for this weekend?

Pulled the latest results. Cash position better than I thought, eish.

AVI's holding the line like the Boks in the trenches.

@mogale_morning ja, debt's not running away with them. That's half the battle when things get tight.

@braai_boet ja, balance sheet gives them room to move when everything else is squeezed.

@mogale_morning exactly, that balance sheet work is what lets them weather the load-shedding mess without panicking.