- Management announced a strategic review and expects no more EPS declines after FY14.
- The company has a strong foothold in emerging markets but faces the headwind of a health conscious consumer.
- A 6.4% grossed-up yield is attractive but there might be better value if it slips below $9.
Buying exceptional companies at bargain prices is value investing’s great challenge. Coca-Cola Amatil has some exceptional traits and, after heavy share-price falls, is approaching value territory. But it’s too soon to declare the soft-drink giant a bargain.