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Howard Mutseyekwa's avatar

Always on point. How do you compete against a company with financial muscle and outlets to walk the talk. Not forgetting the Supply and value chain. You know even as a supplier its hard to get into the system without serious competence and financing to meet the hectic demand.

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Tinashe Mukogo's avatar

I agree. They are very hard to beat.

How is Chicken Slide doing they seem to have slowed down a little.

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Howard Mutseyekwa's avatar

It's fighting trying to hold its own. For a company to go up against the market leader, it must fight on its terms. This means being craftier, discretely cunning, and getting the littlest detail correct. Food isn't just about volumes, the supply chain, and all the quantitative stops.

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Tinashe Mukogo's avatar

True. They seemed to make good progress early on but look like they have slowed down recently.

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Howard Mutseyekwa's avatar

They are fighting out of their depth. They need to introspect and amplify their competencies and advantages. I don't believe that any single company is invincible. Its a matter of how bad competitors want to fight for the market share.

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Takudzwa Chiwara's avatar

As usual, well written and well researched. You raise very good points here. The CAPEX tells a lot, coupled with the PE ratio and a fair enough Dividend Yield of 4%. Simbisa stock is definitely a BUY!

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Tinashe Mukogo's avatar

Thanks. I need to do a full valuation but on the surface, it does seem attractive.

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