Numbers were a decent beat last week. However the stock hasn’t pushed on. Similar reaction today in BEIERSDORF post a good set of numbers. I think the sector is topping out,however the thesis for this trade was a trading bear into April numbers and it hasn’t played out as we assumed. We step aside. +0.39%…
On a sector and macro level we would be short food and bev and have held that view in Q1. Nestle was an exception on the long side due to extreme underweight positioning and the new CEO enacting portfolio change. However to move the dial in a mega cap like Nestle is no easy task,…
Strong commercial momentum in the construction businesses and at Bouygues Telecom. Significant increase in the group’s current operating margin (+0.6 points). Net debt of €1.9 billion, down €695 million year-on-year. Continued improvement in the group’s profitability in 2017. STRONG SET OF NUMBERS FOR US. CONSTRUCTION AND TELCO REALLY FIRING AND NET DEBT MUCH LOWER THAN EXPECTATIONS AND…
Bouygues is a diversified industrial group with five main businesses: (1) Construction (building, civil works, energy and services); (2) Property; (3) Roads, through road builder Colas (quoted); (4) Telecoms; and (5) Media, through TF1 (quoted). Current valuation (€34.7/share) doesn’t factor in the likely sale of B-Tel to Orange and/or SFR and the positive trend in…
We felt the reaction early on Friday was wrong given the new news. Closing our trading short and happy to lock in 4.09% in a session. RECKITT’S: TRADING SHORT DEAL & UNDERLYING TRENDS UNDERWHELM Friday • 10 February 2017 • 10:35 The rationale for the deal becomes clear today with a very poor +1%…
The rationale for the deal becomes clear today with a very poor +1% LFL and underwhelming guidance of 3% organic vs the market closer to 4.5%. Growth is slowing, potential acquisitions are few and far between. They need to buy growth to sustain their premium rating. Most acquisitions are accretive given financing costs. It doesnt…
I have always been a Nike man but even I bought 3 pairs of NMDs in the last month. Time to take the pain and cut this trade. Closing for a 22% loss. UPDATE ADIDAS NUMBERS IN-LINE. STOCK OVERPRICED Thursday • 03 March 2016 • 15:17 Numbers were in line, but the stock is…
CP €3.77. Blue Sky valorisation: €7.42 SUPERB TRACK RECORD Vincent Bolloré took over the management of the family company in 1981 as it was on the verge of filing bankruptcy: 35 years later BOLLORE is valued at €11.2bn. CAGR from 1991 is an impressive 11.8% on current price vs. 14.9% for Berkshire Hathaway which trades at…
We still like the business fundamentally with still ample opportunities to cut costs, the potential for an increasing div this year, re-emergence of consolidation possibilities post the election and still at a discount to the sector on 5.5x EV/EBITDA vs the sector on 6.5x. But the moves in Italy and rumours on canal+ make us…
We are getting a glimpse of the likely Q1 evolution here today in Europe. The confusion is that with a meaningful pullback in bond yields over the last month, the reflation trade has barely lost steam, and with better inflation/PMI prints over the last 2 days, it has restarted aggressively. The point is that there…