MM’s view on Ansell (ANN)
Hi MM Team,
Was hoping to get your updated thoughts on ANN. It has taken a dive recently and probably looking for its low. Is it on your buy radar?
Thank you
Rowan
The Latest Q&A
Answer
Hi Rowan,
ANN has now corrected over 30% since its June high, the safety glove and protective gear maker became very “in vogue” during the COVID pandemic but as the world reopens and learns to live with the changes to our lifestyles investors’ appetite for ANN has waned considerably – the stocks now even being touted as a takeover target its fallen so far!
Not surprisingly ANN now expects lower demand for areas that most benefited during COVID but I still believe it will be above the demand in 2019 yet the stocks back down below Q4 prices of that year. Also like many business its suffering due to supply disruptions but we do believe the stocks now offering solid value trading around $30. In short, it’s interesting but without a key catalyst that we can pinpoint for now.
