HANS. I stay with my opinion. If HANS is in a niche market and if that market grows like people who've bid up the stock perhaps believe it might, KO, Pepsi, Cott - they will not only enter but they will bring their full resources - capital, distribution, broad geographical dispersion - to dominate and decimate the great returns HANS enjoys now.
It's my opinion that a company can do okay as a small player in the food/beverage business, but if the profits are great in that niche or if that niche grows, the big boys have to, and will, enter. Imo, this is an important consideration in investing in one of these small companies in the sector. A consideration perhaps not accounted for if one only looks at an income or balance sheet.
Nevertheless, at this point, HANS is/was a VERY good call by you. (Like Spekulatius, and anyone else who might be looking for stock ideas here, I only go from the post date, since that's the only point where I could have been made aware of the stock to make a purchase.) At this point, with the stock high, my opinion is that if the "Financial Fundamentals" that you are looking at and judging haven't changed in the past couple of months, but the stock price has, and so significantly too, it seems to me that those who are in the stock should be taking profits, and those who are out of it, should avoid it at current price.
jmo. Here's somebody's else's also negative view:
marketwatch.com |
