A2 Milk's Profit Growth Should Accelerate in FY27 Despite Cost Headwinds -- Market Talk
Dow Jones
Apr 14
0035 GMT - Higher freight and logistics costs experienced by A2 Milk will likely continue into FY 2027, says Morgans. Still, the infant milk formula supplier's profit growth should accelerate in FY 2027, analyst Belinda Moore says. That's because its supply chain investment should ensure it breaks even in terms of Ebitda, compared to a large loss before. "In addition, we forecast A2 Milk to continue to win market share, benefit from new product launches and the scaling of new regions," Morgans says. It upgrades A2 Milk to accumulate, from hold, after the stock was sold off in the wake of yesterday's downgrade to FY 2026 profit and revenue guidance. (david.winning@wsj.com; @dwinningWSJ)
(END) Dow Jones Newswires
April 13, 2026 20:35 ET (00:35 GMT)
Copyright (c) 2026 Dow Jones & Company, Inc.
At the request of the copyright holder, you need to log in to view this content
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.