Key message: A growing order book reflects the fruits of a switch to focus on resources and large infrastructure projects. This has resulted in some welcome diversity. Risk management is strong and will be a key factor for success.
Key message: No negative surprises, and cash management appears to be improving. Maiden contribution from Ingrain is positive.
Key message: Strong outperformance over the last six months, but in general still down from a year ago. The big movers were where balance sheet concerns drove down valuations – but we would be switching to the less-speculative better managed companies now. Gains in the second leg of a cyclical recovery are the domain of higher quality companies.
Key message: We update our earnings as market disruption from rental de-fleeting appears to be minimal.
Key message: The price appears low, although Barloworld retains a 50% stake in the business.
Key message: 2020 sales were significantly impacted by Covid-19, with passenger sales declining 30.6% for the year.
Key message: Strong demand across the Integrated Timber, Integrated Bedding and Polymer divisions has meant little lingering impact from the Covid-lockdowns. Polymer margins are also increasing.
Key message: On a peer group or replacement cost comparison, PPC is very cheap. PPC is trading on an EV/tonne of USD51/tonne, with replacement costs over USD200/tonne. Global peers trade currently at USD85-260/tonne.