Can A2 Milk (ASX:A2M) go to $6?

Marc Kennis Marc Kennis, January 12, 2024

A2 Milk: The Comeback Kid

Stuart Roberts from Stocks Down Under presents an interesting view on A2 Milk (ASX:A2M), stating it as a potential stock comeback after a downfall that followed the China trade wars. Despite the reducing birth rates in China, he suggests A2 is still a preferred premium brand from the infant to adult demographics.

According to Stuart, a cultural inclination in China towards milk, a growing brand and the company’s anticipation to meet Chinese market guidance clearly indicate A2’s strong execution plans. Besides, he emphasises A2’s potential as a global brand with a healthy product derived from specially bred cattle.

 

Substantial upside to A2M

Looking ahead, Stuart believes that the conventional selling process, including building a strong marketing team for the Chinese market, could drive growth forward. He sees room for supply chain improvements and market expansion. Given the overall performance, he expects the share price could go up to at least $6. Looking at the dairy sector in general, he perceives a comeback in the Chinese milk market and hints at similar potential for other milk-related companies such as Bubs.

 

Watch Stuart talk about A2 Milk on Ausbiz

A2 Milk

 

What are the Best shares to invest in right now?

Check our buy/sell tips

 

Blog Categories

Get Our Top 5 ASX Stocks for FY25

Recent Posts

Vicinity Centres

Vicinity Centres (ASX:VCX) has finally reached a P/NTA premium! So is FY26 time to be in the Vicinity?

Vicinity Centres (ASX:VCX) is one property stock we’ve been keeping our eyes on for several months. Vicinity Centres has some…

Best us tech stock to buy

What is best US tech stock to buy in 2025? Here are 5 reasons why its Alphabet (NDQ:GOOGL)!

What is the best US tech stock to buy now if you’re an investor? Or perhaps the best Magnificent Seven…

metals acquisition

Metals Acquisition (ASX:MAC): It owns one of Australia’s most famous copper mines and is being bought out for US$1bn

Just over 2 and a half years after listing in New York, Metals Acquisition (NYSE:MTAL, ASX:MAC) opted to dual list…