I realise it is not PM but any thoughts on this shares long term? http://www.asx.com.au/asx/share-price-research/company/AAC trading at very close to histroical lows.
ps looking at 20 year timeframe which will mean I am 65. In 20 years China should be number 1 undisputed economy and likely 20K to $25k average wage. Looking at Japan and South Korea that would mean a tidal shift in meat uptake.
I was interested in them quite a few years back. Will certainly add a bit of diversity to a portfolio. Keep an eye on landline for cattle prices and relevant news?
I’ll have to do some research, I’m thinking the valuation is very close asset value, 770m market cap for 1% of Australian landmass. Even if most of it is a dirt patch, there is literally a floor to the liquidation price. Might be worth buying a small parcel. Mind boggles. American consume 40kg of beef per person per year (11 million tons for 300 million people) Chinese consume 4.5kg of beef per person per year (6 million tons for 1300 million people) The sole reason for low Beef consumption is the price, as the average income is about $5000 per annum If beef consumption increase just like in Korean and Japan as their econ9my developed and hit 50 percent of American consumption that is 23 million tons of beef.
