The A2 Milk Company is under Algo Engine sell conditions and resistance is likely to build around the $13.50 level.
A quick look at the fundamentals puts into perspective the lofty expectations that are currently priced into the stock. 2018 EBIT was $280mn and no dividend was paid out. By 2020 the EBIT needs to double to $560mn to support the forecast 2.3% yield.
We’re skeptical of these consensus growth targets.