RE:RE:Luke warm.....Divy wrote: 88guy88 wrote: tepid results with slow growth in revenue....
Exactly and that's why we don't see ANY insider buying a these level. Without any dividend I'm not sure the stock will even worth 4$.
Slow revenue growth was a known for Q4, bt they somehow squeezed in 10% growth y/y. The facility is operating at capacity and they cant add large contracts. The new facility in Delta addresses this with roughly 40% processing growth and it will be commissioned in Q4 2019. The company also indicated opportunity to expand beyond the first line inyesterdays NR. The only revenue they can add before moving facilities is micro roaster contracts and storage at Seaforth.
SWP share price is coiled up and ready to spring. The roasters have been hungry for more SWP for the last 3 to 4 years and they finally have a chance to sign up for the added capacity. Along with a new European sales office, I expect the added capacity to be absorbed quickly as the next processing line will take another 1 to 2 years upon full capacity and roasters won't want to miss out again.
What you are buying into right now is a 5% divi, a P/E of 11 and a very bright future with a market leading brand. Like I say - coiled up!