TSX:MFI - Post Discussion
Post by
Botero99 on Aug 09, 2020 7:27am
Impact of COVID-19 cases at Manitoba plant
I like this company. I owned their shares and took some profit but decided to re-enter because of the strong analyst target price projections. The price came off late week and some figured it might be associated with the positive COVID-19 cases for employees at the Manitoba plant. It has been confirmed that this was community transmission and nothing to do with the plant with the CEO indicating the plant was inspected, is totally safe and would remain open. The union has voiced an opposing view
Regardless of this, in my view it does not change the strategic plan of this company or the demand for their consumer staple products, so I would see it having a very minor short term impact only but I would appreciate other people's views on this situation. For example at most I would see a possible short term interruption in product supply even if the plant had to close, with no change in demand of course. Even this would only develop if the plant had to close. I am not totally familiar with this company would anybody know if there is an alternate plant where they could ramp up production of the same product produced at the Manitoba plant. Thanks
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