AXFOY - Axfood: This Might Be The New Normal

• Axfood has been trading at multiples of 20-27X forward earnings for some time now, significantly more than the essential fair value of my cost basis.
• Given, however, that this has been going on for over 1-2 years now, we might be looking at a new paradigm for this leading Swedish grocer.
• The future holds virtually no real challenge to Axfood, beyond improving logistics and maintaining its position and slight growth.
• Axfood could be a "BUY" for very conservative investors looking for a 3.75% yield - but it would be a "HOLD" for investors wanting more undervaluation and higher RoR.
• I consider it a "HOLD", but I can see the potential appeal of a 20-22X P/E investment.

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