2319.HK - China Mengniu Dairy Company Limited

HKSE - HKSE Delayed Price. Currency in HKD
29.550
+0.250 (+0.85%)
At close: 4:08PM HKT
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Previous Close29.300
Open29.800
Bid29.500 x 0
Ask29.550 x 0
Day's Range29.350 - 29.900
52 Week Range22.600 - 34.600
Volume4,954,082
Avg. Volume10,628,376
Market Cap116.165B
Beta (3Y Monthly)0.67
PE Ratio (TTM)33.32
EPS (TTM)0.887
Earnings DateAug 28, 2019
Forward Dividend & Yield0.21 (0.70%)
Ex-Dividend Date2019-06-11
1y Target Est28.62
  • How Many China Mengniu Dairy Company Limited (HKG:2319) Shares Do Institutions Own?
    Simply Wall St.

    How Many China Mengniu Dairy Company Limited (HKG:2319) Shares Do Institutions Own?

    Every investor in China Mengniu Dairy Company Limited (HKG:2319) should be aware of the most powerful shareholder...

  • Australia approves China-government backed buyout of dairy firm Bellamy's
    Reuters

    Australia approves China-government backed buyout of dairy firm Bellamy's

    The government said on Friday the Foreign Investment Review Board (FIRB) had unanimously decided that the sale of Bellamy's to Hong Kong-listed China Mengniu Dairy Co was not against Australia's interests. Mengniu is 24% owned by Chinese government entity COFCO Dairy Investments.

  • If You Had Bought China Mengniu Dairy (HKG:2319) Shares Three Years Ago You'd Have Made 109%
    Simply Wall St.

    If You Had Bought China Mengniu Dairy (HKG:2319) Shares Three Years Ago You'd Have Made 109%

    The most you can lose on any stock (assuming you don't use leverage) is 100% of your money. But in contrast you can...

  • Moody's

    China Mengniu Dairy Company Limited -- Moody's announces completion of a periodic review of ratings of China Mengniu Dairy Company Limited

    Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of China Mengniu Dairy Company Limited and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers. This publication does not announce a credit rating action and is not an indication of whether or not a credit rating action is likely in the near future.

  • China Mengniu Dairy (HKG:2319) Has A Rock Solid Balance Sheet
    Simply Wall St.

    China Mengniu Dairy (HKG:2319) Has A Rock Solid Balance Sheet

    Howard Marks put it nicely when he said that, rather than worrying about share price volatility, 'The possibility of...

  • TheStreet.com

    Australia's Foreign Investment Tolerance Tested Again by Chinese Influence

    With Aussie assets up for grabs in touchy industries such as oil and civil engineering, and an agricultural deal in the works, the Australian government faces tough decisions over whether to approval sales to state-owned Chinese buyers.

  • Estimating The Fair Value Of China Mengniu Dairy Company Limited (HKG:2319)
    Simply Wall St.

    Estimating The Fair Value Of China Mengniu Dairy Company Limited (HKG:2319)

    Does the September share price for China Mengniu Dairy Company Limited (HKG:2319) reflect what it's really worth...

  • Success in China Is All About Having the Right Formula
    Bloomberg

    Success in China Is All About Having the Right Formula

    (Bloomberg Opinion) -- Selling infant formula to China seems so 2016.The country abandoned its one-child policy three years ago, spurring expectations of a baby boom. These have been well and truly dashed. Fertility rates remain stuck around the levels they’ve been at for two decades, and the 15 million children born in 2018 was the lowest figure since 1961. Roughly five Indians are born each year for every three Chinese.So what’s the country’s second-biggest milk producer China Mengniu Dairy Co. doing paying an Amazon.com Inc. valuation for milk-powder producer Bellamy’s Australia Ltd.? The answer tells you a lot about the changing prospects for the Chinese consumer.Bellamy’s, which makes organic milk and infant foods and first sold shares to the public as recently as 2014. Mengniu’s cash offer, which Bellamy’s board has recommended, is a 59% premium to the last pre-deal closing price and values the company at A$1.5 billion ($1 billion), about 30 times its Ebitda in the last fiscal year (Amazon gets just 27 times).Formula producers such as Bellamy’s, Nestle SA, and Danone SA have gone through a rough patch in China recently, driven by the slowing birth rate and a general softening in consumer spending.China’s retail sales grew just 7.5% from a year earlier in August, the National Bureau of Statistics reported Monday, the second-slowest pace since the SARS epidemic in 2003. Fixed-asset investment in food processing plants year-to-date slumped 9.4% from a year earlier, suggesting companies see dismal prospects for growth.So what’s so special about Bellamy’s? For one thing, it still benefits from the long shadow of China’s 2008 tainted-milk scandal, when products including those made by Mengniu, its majority-controlled affiliate Yashili International Holdings Ltd., and arch-rival Inner Mongolia Yili Industrial Group Co. were found to have contained the toxic chemical melamine.That’s made foreign-branded infant formula such a hot commodity in China that Australian retailers have had to implement maximum-purchase rules to stop the booming buy-overseas, post-back-home trade from clearing their shelves.That’s not enough on its own, though, given the general headwinds. After all, Mengniu tried to capitalize on this trend back in 2015 when Yashili invested 1 billion yuan ($141 million) in a New Zealand factory. The mid- to high-end image of the Kieember and Kieevagour brands produced there clearly haven’t been a Bellamy’s-level success.Yashili announced plans to sell a 49% stake in the New Zealand business to Danone for the equivalent of about $201 million last December, but the sale was canceled last month amid unsuccessful attempts to strike a broader agreement between the two companies. While the valuation uplift was clearly a positive, it’s notable that neither side was desperate to gain or retain control of the asset without getting something else in return.What makes Bellamy’s different is that it eschews the mid-range altogether. Its cans of formula sell on Alibaba Group Holding Ltd.’s Tmall marketplace for 50% more than shoppers pay in Australia, where the organic branding means it’s already a premium line. It’s not so much a bet on China’s baby boom, as on growing wealth disparities and rising affluence in a country that already accounts for a third of the world’s luxury spendingEven in that context, Mengniu will struggle to make a good return on its investment. The company plans to invest to increase capacity and drive sales, Chief Executive Officer Minfang Lu said in a statement. That’s easier said than done, given that it takes three years to convert dairy farms to organic production. Australia is a relatively small organic milk producer, with output of about 50 million liters in 2017 compared with 880 million liters in China, according to KPMG.Mengniu will need to be confident this brand can hold its own against Yili, Nestle and Danone at the top end of a fiercely competitive Chinese market. Three-quarters of its revenue at present comes from sales in Australia. While Bellamy’s is often treated as a play on Chinese demand, it’s not there yet.Shareholders in the target would do well to sell into this offer. Those in Mengniu should hope they don’t end up crying over spilled milk.To contact the author of this story: David Fickling at dfickling@bloomberg.netTo contact the editor responsible for this story: Matthew Brooker at mbrooker1@bloomberg.netThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.David Fickling is a Bloomberg Opinion columnist covering commodities, as well as industrial and consumer companies. He has been a reporter for Bloomberg News, Dow Jones, the Wall Street Journal, the Financial Times and the Guardian.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.

  • China Mengniu plans to buy infant formula maker Bellamy's for $983 million
    Reuters

    China Mengniu plans to buy infant formula maker Bellamy's for $983 million

    The deal offers Bellamy's investors a way to cash out of a prospect that has spent years awaiting approval to sell product in its target market, China, while giving Mengniu a prized consumer brand. Foreign formula remains sought after in China following a contamination scandal a decade ago.

  • Thomson Reuters StreetEvents

    Edited Transcript of 2319.HK earnings conference call or presentation 29-Aug-19 1:30am GMT

    Half Year 2019 China Mengniu Dairy Co Ltd and Yashili International Holdings Ltd Earnings Presentation (Chinese, English)

  • Moody's

    China Mengniu Dairy Company Limited -- Moody's: Mengniu's 1H 2019 results support its Baa1 ratings

    Moody's Investors Service says that China Mengniu Dairy Company Limited's 1H 2019 results were in line with expectations, and support its Baa1 issuer and senior unsecured bond ratings. "Mengniu's revenue growth, profitability and cash flow remained stable, enabling the company to maintain a financial profile appropriate for its Baa1 ratings," says Ying Wang, a Moody's Vice President and Senior Analyst.

  • Is China Mengniu Dairy Company Limited's (HKG:2319) CEO Salary Justified?
    Simply Wall St.

    Is China Mengniu Dairy Company Limited's (HKG:2319) CEO Salary Justified?

    In 2016 Jeffrey Lu was appointed CEO of China Mengniu Dairy Company Limited (HKG:2319). This analysis aims first to...

  • Why We’re Not Keen On China Mengniu Dairy Company Limited’s (HKG:2319) 8.0% Return On Capital
    Simply Wall St.

    Why We’re Not Keen On China Mengniu Dairy Company Limited’s (HKG:2319) 8.0% Return On Capital

    Today we are going to look at China Mengniu Dairy Company Limited (HKG:2319) to see whether it might be an attractive...

  • With A Return On Equity Of 11%, Has China Mengniu Dairy Company Limited's (HKG:2319) Management Done Well?
    Simply Wall St.

    With A Return On Equity Of 11%, Has China Mengniu Dairy Company Limited's (HKG:2319) Management Done Well?

    Many investors are still learning about the various metrics that can be useful when analysing a stock. This article is...

  • What Should You Know About China Mengniu Dairy Company Limited's (HKG:2319) Growth?
    Simply Wall St.

    What Should You Know About China Mengniu Dairy Company Limited's (HKG:2319) Growth?

    The latest earnings update China Mengniu Dairy Company Limited (HKG:2319) released in April 2019 revealed that the...

  • Moody's

    Want Want China Holdings Limited -- Moody's: Raw milk prices will continue to rise in China; rated companies that rely on raw milk have mitigants

    Moody's Investors Service says in a new report that the price of raw milk in China (A1 stable) will continue to increase over the next 12 months, but that the two rated Chinese companies that use raw milk as an input -- China Mengniu Dairy Company Limited (Baa1 stable) and Want Want China Holdings Limited (A3 stable) -- have mitigants in place that will help them maintain stable credit metrics. Raw milk prices in China have been rising gradually since the fourth quarter of 2018, a reversal from price declines driven by oversupply over the past 1-2 years.

  • Simply Wall St.

    Are China Mengniu Dairy Company Limited's (HKG:2319) Interest Costs Too High?

    Investors pursuing a solid, dependable stock investment can often be led to China Mengniu Dairy Company Limited...

  • Don't Sell China Mengniu Dairy Company Limited (HKG:2319) Before You Read This
    Simply Wall St.

    Don't Sell China Mengniu Dairy Company Limited (HKG:2319) Before You Read This

    Today, we'll introduce the concept of the P/E ratio for those who are learning about investing. We'll apply a basic...

  • China Mengniu Dairy Company Limited (HKG:2319): Has Recent Earnings Growth Beaten Long-Term Trend?
    Simply Wall St.

    China Mengniu Dairy Company Limited (HKG:2319): Has Recent Earnings Growth Beaten Long-Term Trend?

    Want to participate in a short research study? Help shape the future of investing tools and you could win a $250 gift...