Insights

Why is the Bega Cheese (ASX:BGA) share price jumping today?

Fortescue’s Andrew Forrest has taken a fair slice of Bega Cheese today…
The post Why is the Bega Cheese (ASX:BGA) share price jumping today? appeared first on The Motley Fool Australia. –

The Bega Cheese Ltd (ASX: BGA) share price is edging higher this afternoon. This comes after the Australian manufacturer saw a massive buy-up of its shares today from Fortescue CEO Andrew Forrest.

At the time of writing, Bega Cheese shares are up 3% at $5.49 apiece.

Cue the cheese jokes…

Fortescue CEO carves his slice of Bega

Under Forrest’s investment company, Tattarang Agrifood Investments, more than 20 million shares in the company have been secured, amounting to more than $108 million.

The massive order was placed on 10 November and was finalised yesterday.

This amounts to a 6.61% stake in the company — making Forrest the fourth largest shareholder behind Ethical Partners Funds Management, Fil Investment Management Australia, and Vinva Investment Management.

This comes following a trading update given by Bega Cheese on 23 December, reporting strong local and international demand, and normalised earnings before interest, taxes, depreciation, and amortisation (EBITDA) for FY22 to be between $195 million and $215 million (FY21 was $145 million).

Despite alternative milks becoming ever more popular, and with the company reporting costs and supply chain disruptions due to the COVID-19 pandemic, Bega Cheese remained positive in its report, with product goals “on target”.

However, the Bega Cheese share price dropped by around 12% on the release of the news.

Bega Cheese share price snapshot

Bega Cheese is one of the better-performing stocks today, climbing as high as $5.56 earlier in the day.

The Bega Cheese share price has seen a fairly stable year, seeing an increase of almost 7%.

The manufacturer has a market capitalisation of more than $1.5 billion. It has over 300 million shares issued and a price-to-earnings ratio (P/E) of 20.

The post Why is the Bega Cheese (ASX:BGA) share price jumping today? appeared first on The Motley Fool Australia.

Should you invest $1,000 in Bega Cheese right now?

Before you consider Bega Cheese, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Bega Cheese wasn’t one of them.

The online investing service he’s run for nearly a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

*Returns as of August 16th 2021

More reading

ASX 200 (ASX:XJO) midday update: CBA rises, Sandfire’s MATSA update

Why Anteotech, Bega Cheese, Humm, and Syrah shares are racing higher

These were the worst performing ASX 200 shares last week

Is the Bega (ASX:BGA) share price a buy after crashing 10%?

5 things to watch on the ASX 200 on Friday

Motley Fool contributor Alice de Bruin has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

Trade The World Anywhere & Anytime!

Mobile app platform with over 50,000 global listed securities across 12 markets (over 70% global market capitalisation), right from your Android or iOS device.

Integrated with exclusive trading idea and investment analysis tools to help you find actionable insight on virtually every financial instrument across our 12 global markets, to help you optimise your trading strategies.

Refer Your Friends

Tell your friends about Monex and gift them FREE access to our trading tools.

We respect your privacy and will only send this one email notification to your friends. 

Share With Your Friends

Share on facebook
Share on twitter
Share on linkedin

Monex Trading Tools Access and Usage Terms

The Monex Trading Tools (referred to as ‘tools’ hereafter) are available to you inside your client portal;


To activate access to the tools, you must have a verified and approved trading account and have made a deposit of at least AUD $1000.


An active and funded account with a positive trading balance is required to continue to have access to the tools;


Although the tools are available to you indefinitely, Monex Securities may at it’s discretion disable access to the tools in the future;


Monex securities reserves the right to change these terms and conditions from time to time, as it sees fit, without notice.

Important Notice
iOS & Android App - 12 International Markets & Over 70% Global Market Cap. $0 Brokerage On US Trades. Click Here!