Fleetwood downgrades
Recommendation
Fleetwood's troubled recreational vehicles business continues to bleed with the business announcing losses from the division would blow out to $7m–8m for the second half, enough to lower full year earnings before interest and tax (EBIT) from around $15m to $5.5m.
Interestingly, Fleetwood also hinted that a disposal of the business was now more likely, something we have been waiting for.
With Fleetwood's share price falling 20%, it now hovers around our Buy price. We're going to take a closer look before acting. Fleetwood is UNDER REVIEW.
Note: The Growth Portfolio owns shares in Fleetwood.
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