Avior Capital Markets - Barloworld Ltd. (102K) Barloworld | Acquisition capital allocation test

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Avior Capital Markets

Barloworld | Acquisition capital allocation test

Barloworld released solid H1'18 results on 21 May 2017. The interim dividend increased at a faster rate than HEPS growth. The group is delivering on its strategy to date regarding the disposal of Iberia. Moreover, a logistics turnaround is underway. After declining a potential large acquisition opportunity earlier this year due to pricing considerations, we expect BAW to be fully committed to the opportunities it finalises. This measured approach is consistent with its heightened return focus and improving the overall group quality of earnings.

29/05/2018 11 EN

Underlying

Barloworld Ltd.

Barloworld is engaged in distributing brands that provide integrated rental, fleet management, product support and logistic solutions. Co.'s core divisions include: Equipment and Handling (earthmoving, power systems, materials handling and agriculture); and Automotive and Logistics (car rental, motor retail, fleet services, used vehicle and disposal solutions, logistics management and supply chain optimisation). Co. represents international OEMs and brands such as Caterpillar, Hyster, Avis Budget, Audi, BMW, Ford, General Motors, Jaguar Land Rover, Mazda, Mercedes-Benz, Toyota, Volkswagen, Massey Ferguson, Challenger and others.

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ZAE000026639 Johannesburg Stock Exchange South Africa

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Avior Capital Markets

Avior is a globally recognised capital markets research and trading firm, with the broadest research coverage within the region, with 100+ SA and 20+ SSA companies under coverage. Avior services clients from offices in London, Cape Town and Johannesburg.

Our research quality is consistently recognised in local and global surveys, with 18 analysts currently rated in their respective sectors (FM 2017). Value add through in-depth, innovative, high quality and consistent research with comprehensive underlying fundamental modelling supported by regular analyst and roadshow interactions.

Avior has proven that by working closely with our clients we can mutually develop dominant positions in certain sectors, going from strength to strength. Avior has a dedicated ESG team, having been ranked #1 in Corporate Governance research since 2008.

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Barloworld | Acquisition capital allocation test

BARLOWORLD sees an upgrade to Positive due to a better fundamental star rating

1 director bought

Tiger Brands | ESG | Pressed to execute

SA Investment Strategy | Review of January 2020 for SA investors: Coronavirus weighs on the ZAR

SA Banks | Low credit risk in commercial property | Time to buy SA banks

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