Forestry & Paper Textiles Fibre Weekly Update
Key message: DWP price now USD 1,050, up 44% YTD. DWP momentum likely to continue due to tight supply and rising paper pulp prices.
Mondi FY 20A Insights
Key message: Consistent FCF priorities facilitate investment and ROCE ahead of peers. FY 21e to benefit from project ramp-ups, improved pricing environment but partly offset by cost & FX headwinds.
Forestry & Paper Weekly Price Update
Key message: Pulp steady, more UWF price increases announced and further containerboard gains this week (1-2%).
F&P: Textiles Fibre Weekly Update
Key message: DWP price jumps USD 95/t to USD 990/t after the Chinese New Year. Further gains likely. On a FY basis, this adds > USD 100mn to Sappi’s EBITDA (FY 20A: USD 378mn).
Forestry & Paper Weekly Price Update
Key message: US pulp prices play catch-up, graphic paper price erosion takes a pause and further containerboard and kraft paper price increases on the cards.
F&P: Suzano Q4 20A Pulp Insights
Key message: Pulp “supply/demand scenario should be pretty good for 2021”. Suzano believe there is a supply/demand imbalance, supportive of price increases for all grades in all markets.
F&P: Smurfit Kappa FY 20A Packaging Insights
Key message: Supply of both kraftliner and testliner globally remains very tight. The containerboard market is the tightest they have seen it in 34 years.
F&P Weekly Price Update
Key message: Pulp extends its gains and compresses non-integrated producer margins further. Unbleached sack kraft producers target a EUR 50/t price increase.
F&P: Textiles Fibre Weekly Update
Key message: Further gains for VSF, while DWP prices hold tight ahead of the CNY. VSF stocks still tight at 10.5 days.
Sappi Ltd: Upgrade to Overweight
Key message: Upgrade to Overweight driven by DWP price recovery underway, Packaging and Specialties volume ramp-up and improving Graphic Paper fundamentals