I just listened to the Q3 2024 call. Management is strongly expecting that BIS implementation will deter imports atleast in a short term. But then, Capacity seems to be ever increasing which would result in price pressure. Green ply getting into MDF is not good (although it was not discussed).
My original thesis buying this Share was that housing growth will help. Elevated wood prices will help. And I liked the fact that they are very concentrated in MDF and have a Capacity built in for 2-3 years growth. I still believe in this thesis BUT wondering whether they can ever establish a good enough Brand Equity to sustain price and grow above industry average.
Appreciate any thoughts.
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