The market was evidently not expecting overmuch out of CGC, ahead of the AGM.
There were no big capex or opex blow-outs associated with COVID or supply chains. Compared to peers there was scarcely a mention, and what costs are mentioned, were expected to be broadly similar to last year.
So no surprise downgrades due to supply or energy costs are clearly the positive takeaway for the market.
In addition, not getting arduous rental revaluations by new owners (Macquarie) was well-received, perhaps, by a market worried that excessive rents would eat into returns.
The stock is up strongly today. We own it in our concentrated portfolio, pleasingly, which has a higher return and risk threshold.
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