PRBZF - Maple Leaf Foods: Several Catalysts Should Help Drive Its Share Price Higher

Investment Thesis

Maple Leaf Foods (OTCPK:MLFNF) ((TSX:MFI)) delivered a much better Q2 2019 with EBITDA margin expansion. We continue to see Maple Leaf Foods to benefit from rising pork price as a global shortage of pork is inevitable due to the African swine flu in China. In addition, the company is also in the midst of constructing a new poultry processing plant and management expects this new facility to expand its meat EBITDA margin from the current level of about 10% to 14%-16% by 2022. Maple Leaf Foods is also well-positioned to compete