Why did Bell Potter just lower its outlook for this consumer staples stock?

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Mar 24

ASX consumer staples stock Synlait Milk Ltd (ASX: SM1) is in focus today after the company released half year results. Following the announcement, the team at Bell Potter lowered their outlook on the...

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One of the best stock trading platforms in Singapore.","ogImage":"https://c1.itigergrowtha.com/portal5/static/media/og-logo.0a0bd8dc.png","ogUrl":"https://www.etasphere.com/news/2621972080"},"companyName":"Tiger Brokers"},"pageData":{"isMobile":false,"isTiger":false,"isTTM":true,"region":"SGP","license":"TBSG","edition":"fundamental"},"isCrawlerRequest":true,"__swrFallback__":{"@#url:\"https://stock-news.skytigris.cn/v3/news\",params:#id:\"2621972080\",edition:\"fundamental\",auth_exemption:1,,,undefined,":{"share":"https://ttm.financial/m/news/2621972080?lang=en_US&edition=fundamental","thumbnail":"","is_english":true,"pubTime":"2026-03-24 06:19","share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","id":"2621972080","market":"nz","top_or_hot":-1,"title":"Why did Bell Potter just lower its outlook for this consumer staples stock?","media":"MotleyFool","content":"<div>\n<p>ASX consumer staples stock Synlait Milk Ltd (ASX: SM1) is in focus today after the company released half year results.  Following the announcement, the team at Bell Potter lowered their outlook on the...</p>\n\n<a href=\"https://www.fool.com.au/2026/03/24/why-did-bell-potter-just-lower-its-outlook-for-this-consumer-staples-stock/\">Source Link</a>\n\n</div>\n","source":"motleyfoolau_stock","html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; 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overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nWhy did Bell Potter just lower its outlook for this consumer staples stock?\n</h2>\n\n<h4 class=\"meta\">\n\n\n2026-03-24 06:19 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.fool.com.au/2026/03/24/why-did-bell-potter-just-lower-its-outlook-for-this-consumer-staples-stock/><strong>MotleyFool</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>ASX consumer staples stock Synlait Milk Ltd (ASX: SM1) is in focus today after the company released half year results.  Following the announcement, the team at Bell Potter lowered their outlook on the...</p>\n\n<a href=\"https://www.fool.com.au/2026/03/24/why-did-bell-potter-just-lower-its-outlook-for-this-consumer-staples-stock/\">Source Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"BK7505","symbol_name":"食品股","start_time":0,"source_url":"https://www.fool.com.au/2026/03/24/why-did-bell-potter-just-lower-its-outlook-for-this-consumer-staples-stock/","article_id":"2621972080","we_media_id":null,"thumbnails":[],"rights":{"source":"motleyfoolau_stock","url":"https://www.fool.com.au/2026/03/24/why-did-bell-potter-just-lower-its-outlook-for-this-consumer-staples-stock/","rn_cache_url":null,"directOrigin":true},"url":"https://stock-news.laohu8.com/highlight/detail?id=2621972080","pubTimestamp":1774304364,"columns":[],"sourceInfo":{"source_id":"motleyfoolau_stock","name":"MotleyFool"},"weMediaInfo":null,"summary":"Following these results, the team at Bell Potter released updated guidance on this ASX consumer staples stock. Bell Potter said an unfavourable product mix in ingredients, operational plant issues and lower IMF margins  were drivers of the weaker result. The broker said FY26e appears a write-off for the consumer staples stock as it bears the impact of material disruptions in its nutrition operations and unfavourable product mix in its ingredients business.  FY27e is likely to also be a year of transition as SM1 looks to fill the void created by loss of A2M EL volumes, with progress being made on based powder  and packaged products .  Price target decrease Included in the report was a retained hold recommendation. However, the broker lowered its price target to $0.42. This was a significant decline from its previous target of $0.72. The consumer staples stock closed trading yesterday at $0.41, indicating it is close to fair value.  To a degree a material bounce back in performance is so","collect":0,"end_time":0,"defaultTopTitle":"fool.com.au","property":[],"viewcount":null,"language":"en","relate_stocks":{"BK7505":"食品股","BK7509":"中概股","SM1.AU":"SYNLAIT MILK LTD","BK7141":"包装食品与肉类"},"translate_title":"为什么贝尔波特刚刚下调了这只消费必需品股票的前景？","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"SM1.AU":1},"content_text":"ASX consumer staples stock Synlait Milk Ltd (ASX: SM1) is in focus today after the company released half year results.  Following the announcement, the team at Bell Potter lowered their outlook on the company.  Image source: Getty Images What did Synlait Milk Report? Synlait Milk Ltd is a dairy processing company that benefits from a differentiated milk supply and operating environment in New Zealand. Its share price is down over 26% year to date and almost 50% over the last 12 months.  Yesterday, the company released half year results for the six months ended 31 January 2026. Key results included:   A reported EBITDA loss of ($34.7 million), with underlying EBITDA of $4.1 million. A reported net loss after tax of ($80.6 million), with an underlying net loss after tax of ($27.3 million). Net debt of $472.1 million – an increase of 88%. Revenue of $949 million – an increase of $32.3 million. Gross profit of $3.1 million – a decrease of $83.9 million.  CEO Richard Wyeth said:   The numbers we are presenting today are frustratingly disappointing. They are the result of a period where Synlait faced multiple headwinds and had little choice as to how to deal with them. They reflect a severe lack of optionality, not effort, and they do not define the company's future – although recovery will take time.  What did Bell Potter have to say? Following these results, the team at Bell Potter released updated guidance on this ASX consumer staples stock.  Bell Potter said an unfavourable product mix in ingredients, operational plant issues and lower IMF margins (on production catch-up plan) were drivers of the weaker result. The broker said FY26e appears a write-off for the consumer staples stock as it bears the impact of material disruptions in its nutrition operations and unfavourable product mix in its ingredients business.  FY27e is likely to also be a year of transition as SM1 looks to fill the void created by loss of A2M EL volumes, with progress being made on based powder (i.e. Abbott contract) and packaged products (white label offerings and new customer acquisition).  Price target decrease Included in the report was a retained hold recommendation.  However, the broker lowered its price target to $0.42.  This was a significant decline from its previous target of $0.72.  The consumer staples stock closed trading yesterday at $0.41, indicating it is close to fair value.   To a degree a material bounce back in performance is somewhat assumed, with SM1 trading at 10.5x FY27e EBITDA.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":false,"editions":null,"column":"","sentiment":"-1","news_tag":"","news_rank":0,"isVideo":false,"video":null,"symbols":[],"gpt_button":0,"need_auth":false,"need_login_tip":false,"code":"91000000","status":"200"}}}