Corby Spirit and Wine Ltd T.CSW.A

Screaming Deal? - Buy A shares or B shares

[schocor]

So this stock is yeilding 5-6%, has wearhouses full of inflation proof whiskey, and looks like it should be bought out at a premium by its majority partner as soon as the time is right.  

But this is a LONG suffering stock - maybe a neutral 10 year return factoring in the dividends - thats ususally the sign of a money losing compnay; but Corby prints money and has years worth of product to sell if the lights go out tomorow. 

Is this stock a screeming buy? Please let me know what I missed .

Also questoin a on  - Voting A Stock vs Non-Voting B - Why woudl I buy the more expensive A?

Penod Richard efectively has control of this company, so why is there a premium on voting? Is it a case where only minority shareholders get to vote on a buyout by the majority (Penod)?

Time for the Corby share price train to turn around here I think.

[autofocus111]

@schocor Earnings looked solid. Revenues only down 3%. Another 0.20 dividend approved. This is a cash cow even with the virus, and a buyout by Pernod would makes sense (although I would prefer it not happen until there's a recovery and stock price is higher). As far as Class A or B, why pay more? It's not like voting matters for the common shareholder. I'm in the B shares for higher

[schocor]

Thanks for the response and alerting me to the newly released quarterlies. The issue I see here autofocuse is that you and I agree on this stock - perhaps were are both investing geniuses - but I always like to hear from a perspective telling me not to buy a stock. Until then.........go CORBY!! P.S - If I was Pernod, I would wait will my investory was appreciating before I did the buyout. That

[autofocus111]

I get the feeling Pernod is happy with the status quo. So am I. I don't see how the stock can go any lower here. It's true that in a buyout offer, voting shares of minority have a small bit of leverage, but those A shareholders will work to get the best deal possible and B shareholders benefit from that anyway. Next Q will show the effects of re-opening so maybe some upside. Meanwhile

[schocor]

We appear see this stock - stocks with A and B - exactly the same - +5% yield means sign me up.