Q: Winpak has sold off sharply despite what looks to be reassurance that the back have of 2025 will start to show growth again (as they come out of a large capex cycle). Opportunity, or value trap?
5i Research Answer:
The unexpected decline in volumes is what took shares lower on their recent earnings and typically not something you like to see in what is supposed to be more of a steady name. We think an investor will probably do fine at these levels in the context of a more conservative holding but we might wait one more quarter just to get confirmation that this isn't some new trend forming at the company.