to join the discussion
after reading the latest MD&A, the margin squeeze is real but what's interesting is the volumes they're pushing through the distribution network. dairy segment holding up better than snacks which makes sense given input costs. if they can stabilize input prices next half and get some operational leverage back, the R4.29 entry doesn't look terrible for a 2-3 year hold. consumer staples always come back.
LBR's margins have been under real pressure with input costs not coming down as fast as inflation eased, but the food manufacturing story doesn't change just because rand weakness and rate cycle hurt near term. Long-term view hasn't changed, eish, just takes patience when everything's expensive to run.
closed at R4.29 again, hardly moving. balance sheet is solid though, debt ratio looks manageable compared to other food guys. if they can get volumes moving on the beverage side the upside is there, just taking time. not selling at these prices, good day to top up if you believe in the story.
LBR AT R4.29 IS A STEAL FOR A FOOD MANUFACTURER WITH THIS KIND OF FOOTPRINT!! LOOK AT WHAT HAPPENED WITH PIONEER WHEN THEY GOT THEIR SUPPLY CHAIN SORTED, MASSIVE UPSIDE!! LIBSTAR HAS THE BRANDS AND THE DISTRIBUTION, THIS HEADS TO R8+ EASY WITHIN 18 MONTHS IF THEY EXECUTE ON MARGIN EXPANSION!! BEST IS YET TO COME!!
LBR's down 2.61% today but the longer play here is whether management can actually deliver on that cost-saving narrative they've been pushing. At R4.10, the valuation looks reasonable if revenue growth picks up and they get margins back in line, but the track record on execution
LBR down less than 1% today but the dividend yield is still sitting pretty around 6% on this price. Anyone else thinking this pullback is just noise before earnings, or is there something in the numbers I'm missing?
LBR AT R4.20 IS CRIMINALLY CHEAP FOR A FOOD BUSINESS WITH THIS KIND OF DISTRIBUTION NETWORK!! LOOK WHAT HAPPENED TO OCEANA WHEN THEY GOT THEIR SUPPLY CHAIN RIGHT, THIS COULD EASILY DOUBLE FROM HERE!! BEST IS YET TO COME!!
LBR getting hammered but fundamentals aren't that bad if you look at the actual numbers. Food manufacturing in SA is tough with electricity costs and rand weakness killing margins but they've got decent diversification across beverage, dairy, snacks. Scared money jumping ship but long term if they can control costs this could print. Question is whether management's actually got a plan or just hoping it sorts itself.
Libstar's margin compression is real ngl. Core business doing okayish but the rand weakness is eating into imports, and their beverage lines aren't moving like they used to. At R4.20 you're pricing in a turnaround that hasn't shown up in the numbers yet.
LBR up 3.86% today to R4.30. Anyone else noticing the recovery in their branded foods division, or is this just noise before earnings? Revenue growth looks decent but that P/E is still stretched if they don't deliver on margin expansion.
LBR down 1.41% today but still trading at a reasonable 16x P/E versus some of the heavier consumer names getting hammered lately. Revenue growth trajectory keeps it ahead of the pack, though margins remain the key watch given input cost pressures in the sector.
Everyone seems to think LBR is stuck at R425 but I reckon the food distribution story is stronger than people give it credit for, especially with inflation eating away at smaller competitors. Maybe the market is just being too pessimistic on the earnings potential here?
LBR up 2.17% today to R423, that's nice. Is this because their earnings are looking better or just market sentiment, anyone know what their PE ratio is looking like these days?
Libstar's distribution network and manufacturing footprint across the JSE's consumer goods segment position it for sustained volume growth in the inflationary environment we're navigating, though the real forensic work lies in monitoring working capital cycles and inventory turno
Everyone's running away from LBR today at R414 but this feels like panic selling to me, the fundamentals in consumer goods aren't that broken. Sometimes the best buys happen when the crowd heads for the exit.
LBR up 2.95% today at R453 is lekker, but how does it compare to the other food and beverage stocks like Pioneer or Oceana? Anyone know which one's the better buy right now?
Grabbed more LBR at R450 this morning after that SENS update on their distribution network expansion. the 2.27% pop suggests the market's catching on to the operational leverage story, and with food inflation still driving volume in their portfolio, holding this one for the mediu
Libstar's up 2.27% today but I'm not getting excited by daily moves. The real question is whether this consumer goods play can deliver consistent mid-single digit revenue growth with stable margins over the next 3-5 years, which is what my portfolio demands. At R450 the valuation
LBR's down 2.89% but the consumer staples exposure still offers defensive qualities in volatile markets, though I'd want to see where revenue growth sits relative to that P/E before adding. The distribution network they've built has real moat value, but eish, margin pressure from