It has been a disappointing day of trade for the Breville Group Ltd (ASX: BRG) share price.
In afternoon trade the appliance manufacturer's shares are down over 3% to $12.39 on the day of its annual general meeting.
This decline means that Breville's shares are down 12.5% from their 52-week high and have now given back all their year to date gains.
Was anything new announced at the annual general meeting?
Breville doesn't tend to provide trading updates or guidance at these events, so the annual general meeting presentation was largely focused on its performance in FY 2018 and new product launches.
In respect to the latter, management spoke about six new product launches scheduled for the first half period which includes the all-important Christmas period.
These include the Barista Express Pro, the Tea Maker Compact, and the Bambino Plus.
Management explained that the Bambino Plus is the smallest espresso machine in the market capable of delivering the four elements of café quality coffee. It includes automatic milk technology and can heat up in three seconds.
Other product launches include the Fresh & Furious blender, the Soft Top Luxe Kettle Variable Temp, and the Smart Oven Pizzaiolo. The latter has its eyes on a market dominated by Domino's Pizza Enterprises Ltd (ASX: DMP).
The Smart Oven Pizzaiolo is the only domestic electric pizza maker in the market that can replicate the performance of a commercial wood fired oven. It is able to cook a Neapolitan style pizza in under two minutes. Management advised that is "excited about the Pizzaiolo and its potential."
Should you invest?
While I'm a big fan of the company and its products, I'm not a fan of its share price.
Based on the current share price, Breville's shares are changing hands at 27x earnings at present. This is a little rich for my tastes and I would prefer to buy in at a much cheaper price.
Because of this, for now I'd choose undervalued retail shares such as Adairs Ltd (ASX: ADH) or Super Retail Group Ltd (ASX: SUL) ahead of Breville.
