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Andrew Peller Ltd T.ADW.A

Alternate Symbol(s):  ADWPF | T.ADW.B

Andrew Peller Limited is a producer and marketer of wines and craft beverage alcohol products in Canada. With wineries in British Columbia, Ontario and Nova Scotia, the Company markets wines produced from grapes grown in Ontario’s Niagara Peninsula, British Columbia's Okanagan and Similkameen Valleys, and from vineyards around the world. Its premium and ultra-premium Vintners' Quality Alliance brands include Peller Estates, Trius, Thirty Bench, Wayne Gretzky, Sandhill, Red Rooster, Black Hills Estate Winery, Tinhorn Creek Vineyards, Gray Monk Estate Winery, Raven Conspiracy and Conviction. It imports wines from various wine regions around the world to blend with domestic wine to craft these products. It also produces craft beverage alcohol products, including No Boats on Sunday ciders and seltzers, and various spirits and cream whisky products under the Wayne Gretzky No. 99 brand. It produces and markets premium personal winemaking products through its subsidiary, Global Vintners Inc.


TSX:ADW.A - Post by User

Post by Yohhhhon Jun 15, 2023 10:56am
240 Views
Post# 35498035

Mixed Messages

Mixed MessagesUnfortunately, I've been burnt by this one. Share Price keeps on going down, Financial results keep on underperforming although not to the extent of what the share price might indicate. I just listened on the investor call and everything seems positive but when you look at the financial results, it isn't. Volume must be on the decline as prices have risen and revenue has stayed the same. I wish the financial results had greater detail on expenses and revenue sources. Expenses keep on going up yet management says they're implementing numerous cost saving initiatives and some inflation costs have been going down. That being said, those expenses are tied to inventory that was produced during those high periods so we will see in the next few quarters if what management says is true. Overall, with the price being as low as it is (management says their book value without brand is ~2x their share price) and the monetization of port moody (maybe 50-100 M), this does seem undervalue. Funny thing I noticed on the investor call, almost no questions especially after a weak quarter. My thinking is institutions have already pulled their money out.
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