CZZ - Capilano Honey

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Trading ex-Rights today, which accounts for the chart adjustment up until yesterday.
It also explains why all orders have been wiped off the board overnight.



I had doubled up the last couple of days.

 

[poverty]

Trading ex-Rights today, which accounts for the chart adjustment up until yesterday.
It also explains why all orders have been wiped off the board overnight.

View attachment 66821

I had doubled up the last couple of days.

I'm not much of a chartist, do those yellow blocks represent jars of honey?

 

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I'm not much of a chartist, do those yellow blocks represent jars of honey?

Looking good under that premise, don't they

They are in fact "Darvas Boxes", created by the software I'm using (Pulse by Paritech) under the rules of Nicholas Darvas. You can view them as trading ranges between support and resistance. Extremely simplified, they suggest to buy when resistance is broken, i.e. price rises above the current yellow box, and sell when price closes below the support, with a little wriggle room in the red zone.
I use them as visual pointers where we're currently trading.

 

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Sweet start into the new year
The capital raising went well and should enable us to expand the Manuka business as planned.
The dividend (ex on the 29th) left hardly a blip on the chart; long range days would have been caused by Brexit jitters more than anything else. That is now behind us, and buying continues at solid volumes.
Happy to hold.

 

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Is it leading ahead of the Annual Report?



We've already banked a 40cFF dividend; let's see if the stock resumes the uptrend.
I continue to hold.

 

[qldfrog]

will be interesting to see what will be the effect of the varroa entry detected in qld last month.
I do not want to even suggest anything as it seems some traders here have better knowledge of bees than the humble beekeeper I am (see history of this thread)
Please refer to
https://www.business.qld.gov.au/industry/agriculture/species/declared-pests/animals/varroa-mites
The government is actually putting serious measures in place:
hiring teams to track and destroy beehives around the infested area.Varroa destructor jumped from Asian to european honeybees and wiped out hives the world over.We were the last place on earth unaffected
As a bee keeper, this is a serious matter.

 

[herzy]

will be interesting to see what will be the effect of the varroa entry detected in qld last month.
I do not want to even suggest anything as it seems some traders here have better knowledge of bees than the humble beekeeper I am (see history of this thread)
Please refer to
https://www.business.qld.gov.au/industry/agriculture/species/declared-pests/animals/varroa-mites
The government is actually putting serious measures in place:
hiring teams to track and destroy beehives around the infested area.Varroa destructor jumped from Asian to european honeybees and wiped out hives the world over.We were the last place on earth unaffected
As a bee keeper, this is a serious matter.

Thanks Qldfrog - I note that the mite that was discovered in Townsville was the Varroa jacobsoni, not the V. destructor. The V jacobsoni targets only Asian bees, while the V. destructor affects European bees.

I imagine most of our agricultural bee populations are European bees?

 

[qldfrog]

Thanks Qldfrog - I note that the mite that was discovered in Townsville was the Varroa jacobsoni, not the V. destructor. The V jacobsoni targets only Asian bees, while the V. destructor affects European bees.

I imagine most of our agricultural bee populations are European bees?

they are:

if you look in the varroa destructor, you will discover that it was, in its natural range, only affecting asian bees as well (as these are the bees there), and the asian bees are "used" to it; but when in contact with european bees, started its rampage uncontrolled on a bee population which is unprepared;
as we have very few asian bees in Australia [normally none but a few seem to have settled anyway in the last couple of years] the varroa will use what is available ->so the major effort to try to eradicate it before it spreads.

But yes the optimist view would be why bother it is not the nasty strain.
Yet when even the gov is in red alert, we must be more realistic and get ready.it is not the end of the bees but a very serious threat in my opinion.Anyway the charts are up I leave it to you guys, I shared the info now DYOR

 

[Value Collector]

It seems that the Market (and half the people at hotcopper), struggle with reading and comprehension, they seem to have misinterpreted Capilano's announcement. Capilano have sold their manuka production assets into the JV with comvita as planned, but the market has reacted as if they have exited the manuka business.

I guess once this is realised, the stock will whip back.

Any way as far as the annual report goes, I am very happy, earnings pershare rose from $0.91 / share to $1.10 share.

Sales to china have continued to grow, up 56%.
Manuka JV progressing well.
New honey production JV started in the West.

Very, Very happy to hold at this stage.

 

[luutzu]

It seems that the Market (and half the people at hotcopper), struggle with reading and comprehension, they seem to have misinterpreted Capilano's announcement. Capilano have sold their manuka production assets into the JV with comvita as planned, but the market has reacted as if they have exited the manuka business.

I guess once this is realised, the stock will whip back.

Any way as far as the annual report goes, I am very happy, earnings pershare rose from $0.91 / share to $1.10 share.

Sales to china have continued to grow, up 56%.
Manuka JV progressing well.
New honey production JV started in the West.

Very, Very happy to hold at this stage.

Good on you VC. [and no sarcasm added or anything]

I've been looking at a business suffering from similar market dyslexia - the market seem to not really read the reports properly. That or they'll be laughing at me soon enough but yea, hope it'll drop more next couple weeks and loading up.

 

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In this market, it is not unusual for a good result to lead to an "artificial" sell-off.
Yesterday's plunge immediately after the report being released appears to have been exactly that. All it takes is a bunch of short sellers in a private chat room, egging each other on and setting off a flogging. The intended depth cannot be known at this stage, unless one were privy to the instigators' plans. It is therefore the best idea not to panic, but to keep a close eye on the price development and catch the turnaround for a chance to add should one's capital allocation and/or diversification rules permit.

wrt mite threats, I wouldn't dismiss the danger from that angle either. However, it does seem too much of a coincidence that the Market should have discovered the notice at precisely the time when Capilano released their Report. The varroa mite alert on the QLD.gov website does not carry a date, but shows this note at the bottom of the page:

Last updated
21 July 2016

 

[qldfrog]

In this market, it is not unusual for a good result to lead to an "artificial" sell-off.
Yesterday's plunge immediately after the report being released appears to have been exactly that. All it takes is a bunch of short sellers in a private chat room, egging each other on and setting off a flogging. The intended depth cannot be known at this stage, unless one were privy to the instigators' plans. It is therefore the best idea not to panic, but to keep a close eye on the price development and catch the turnaround for a chance to add should one's capital allocation and/or diversification rules permit.

wrt mite threats, I wouldn't dismiss the danger from that angle either. However, it does seem too much of a coincidence that the Market should have discovered the notice at precisely the time when Capilano released their Report. The varroa mite alert on the QLD.gov website does not carry a date, but shows this note at the bottom of the page:

The varroa was detected early July (6th for first announcement I believe:
I personally was initially aware around the 9th via bee keeper association
http://www.abc.net.au/news/2016-07-06/varroa-mites-found-in-townsville/7572540
From memory:
after initial search, threat was considered over when no other asian hive was found...
until end of the july when more infected hives were detected.So everyone bee related in qld is currently in red alert mode.
I doubt any market fall is related at this stage
I do not hold

 

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Here is a "professional" analysis, published by FNN's Stock Watch: Capilano Honey hits the sweet spot

http://finnewsnetwork.us1.list-mana...0b9377422183e60879&id=ac8f3e715e&e=1752c7f5e8

I still hold.

 

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One observation puzzles me:
In Perth, a chain of "Farmers Markets" have been established, the owner going toe-to-toe with the (now defunct) Potato Marketing Board. In recent months, pallets of Capilano honey have appeared, including rather eclectic varieties like Grey Ironbark, and all at rock-bottom prices.

Is there a glut in the Eastern States that they're desperate to get rid of stock at any cost?
If that were the case, we might have an explanation for the recent drop of CZZ's sp.



For the time being, I still hold...

 

[Value Collector]

One observation puzzles me:
In Perth, a chain of "Farmers Markets" have been established, the owner going toe-to-toe with the (now defunct) Potato Marketing Board. In recent months, pallets of Capilano honey have appeared, including rather eclectic varieties like Grey Ironbark, and all at rock-bottom prices.

Is there a glut in the Eastern States that they're desperate to get rid of stock at any cost?
If that were the case, we might have an explanation for the recent drop of CZZ's sp.

View attachment 68064

For the time being, I still hold...

There is no "glut", but the shortage we have had in the last few years has pretty much ended, so we have a lot more honey available to pack, which is a good thing, we have 3 packing plants (qld,vic and wa) and its in our interests to have these packing a full capacity.

I have noticed that capilano has reentered the private label market and is currently packing the woolies and aldi brand, it had left the private label segment some time ago due to the shortage but looks like it is getting more involved now.

I am not sure our main competitor beechworth is a position to compete as effectively, the fact we have won private label from them seems to maybe show that they are not in such a good place with honey supply, I know they're a lot more limited in the area they source from, and with the recent reopening of the Victoria packing plant we are competeing for supply with them in their area, our new packing plant is only 312km from them, and right in the middle of the region where they source their honey.

We are certainly in a good place at the moment, the more honey available for packing the better, management have been focused on locking in supply and building supplier relationships opening the packing plant in vic was part of this, and this seems to be working we are sourcing and selling more honey than ever.

 

[pixel]

There is no "glut", but the shortage we have had in the last few years has pretty much ended, so we have a lot more honey available to pack, which is a good thing, we have 3 packing plants (qld,vic and wa) and its in our interests to have these packing a full capacity.

I have noticed that capilano has reentered the private label market and is currently packing the woolies and aldi brand, it had left the private label segment some time ago due to the shortage but looks like it is getting more involved now.

I am not sure our main competitor beechworth is a position to compete as effectively, the fact we have won private label from them seems to maybe show that they are not in such a good place with honey supply, I know they're a lot more limited in the area they source from, and with the recent reopening of the Victoria packing plant we are competeing for supply with them in their area, our new packing plant is only 312km from them, and right in the middle of the region where they source their honey.

We are certainly in a good place at the moment, the more honey available for packing the better, management have been focused on locking in supply and building supplier relationships opening the packing plant in vic was part of this, and this seems to be working we are sourcing and selling more honey than ever.

Thanks, VC
coming to think of it, it makes sense. Just reading the Update from AHF about the positive impact recent rains have had on Dairy farmers. Doesn't take much imagination to extrapolate the benefits to Apiarists.

Let's hope the trend continues ... and the Varroa threat can be contained as well.

 

[sikboy]

Article regarding Capilano
https://kangaroocourtofaustralia.co...lling-toxic-and-poisonous-honey-to-consumers/

 

[sikboy]

Looks like a smear campaign

 

[galumay]

Looks like a smear campaign

mmm...just read the linked 'article' in detail, its the most terrible rubbish, full of heresay, fabrications, inferences and innuendo. Looks like the site is specifically designed for tin hat conspiracy theories and anti-business activists.

I doubt we will ever hear any more about it.

 

[pixel]

mmm...just read the linked 'article' in detail, its the most terrible rubbish, full of heresay, fabrications, inferences and innuendo. Looks like the site is specifically designed for tin hat conspiracy theories and anti-business activists.

I doubt we will ever hear any more about it.

On another forum, I've read that Capilano have now taken the smearers to the High Court.
http://www.afr.com/news/capilano-wants-gag...20160725-gqd9zs

That is the problem with Social Media. Any spurious claim can be put out there without a shred of proof, and companies have little chance of defending their reputation. What effect has Simon Mulvany's offer to take some of the posts down? The damage has been done, the claims are out there on every reader's iPhone.

If there was indeed any truth to the claims, don't you think the Chinese authorities would have rejected the imports? Just look what they did to AHF recently. And that related only to doubts over a "Best Before" date on UHT milk cartons. And if the produce sold in Australia were dangerous to eat, wouldn't our H&S watchdogs be barking the house down?

Lobbying for even more comprehensive labeling is one thing. Spreading lies and innuendo is not on.