MENU

Up 172%: Synlait Milk Ltd is growing into a baby formula star

Players in the baby formula space have been going gangbusters for some time now and New Zealand-based dairy processing company Synlait Milk Ltd (ASX: SM1) is no exception.

Shares in Synlait Milk are at a 52-week high – up to $9.01 at the time of writing – a 172% rise from its $3.30 share price at this time last year.

Synlait announced last week it had secured a multi-year supply agreement to double the lactoferrin manufacturing capacity at its plant near Christchurch off the back of growing global demand for its infant formula products.

Synlait reported a first-half profit of $40.7 million – quadrupling its gain from the previous corresponding period as its relationship with A2 Milk Company Ltd (ASX: A2M) continues to strengthen.

While emerging small cap Jatenergy Ltd (ASX: JAT) begins to tussle for market share in the space it will be some time before any of the smaller players get close to Bellamy’s Australia Ltd’s (ASX: BAL) and A2 Milk’s status.

Bubs Australia Ltd (ASX: BUB) is still trundling along in the sector, with share prices up 0.6% today to 81c per share.

Japanese Billionaire’s Prediction Will Give You Goosebumps

When a veritable investing and entrepreneurial genius speaks, it pays to listen.

In fact, he's now preparing a $100B "war chest" to invest entirely in this "terrifying" new technology, which could spell huge profits for investors.

Click here to learn about this technology and how you can profit!

Motley Fool contributor Carin Pickworth has no position in any of the stocks mentioned. The Motley Fool Australia owns shares of A2 Milk. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

The 5 mining stocks we’re recommending in 2019…

For decades, Australian mining companies have minted money for individual investors like you and me. But if you believe the pundits and talking heads on TV, those days are long gone. Finito! Behind us forever…

We say nothing could be further from the truth. To earn the really massive returns, you’ve got to fish where others aren’t fishing—and the mining sector could be primed for a resurgence. That’s why top Motley Fool analysts just revealed their exciting new research on 5 ASX miners they believe could help you profit in 2019 and beyond…

Including:

The best way we see to play the global zinc shortage… Our #1 favourite large-cap miner (hint: it’s not BHP)… one early-stage gold miner we think could hit the motherlode… Plus two more surprising companies you probably haven’t heard of yet!

For free access to our brand-new research, simply click here or the link below. But be warned, this research is available free for a limited time only, and we reserve the right to withdraw it at any time.

Click here for your FREE report!