Monthly LMI Update Independent Investment Research

Full Article at IIR has reaffirmed its Recommended rating for PIA after undertaking a review post the appointment of a new Portfolio Manager, Harding Loevner. The full report can be found on the IIR website. On 26 July 2021, Pengana International Equities Limited (PIA) announced a fully franked dividend of 1.35 cents per share for the June quarter. This represents an 8% increase on the March quarter dividend and takes the total dividends declared for FY21 of 5.1 cents per share, fully franked. This compares to the total dividends of 5 cents per share in FY20. The Board has confirmed that, in...

An unfavourable environment weighs on INNOGY SE, which sees a downgrade to Neutral

The independent financial analyst theScreener just requalified the general evaluation of INNOGY SE (DE), active in the Multiutilities industry. As regards its fundamental valuation, the title still shows 1 out of 4 stars and its market behaviour is seen as defensive. theScreener believes that the unfavourable environment weighs on the sector and penalises the company, which sees a downgrade to its general evaluation to Neutral. As of the analysis date April 21, 2020, the closing price was EUR 43.32 and its target price was estimated at EUR 41.15.

ODDO : Although it is of great utility, the sector is not immune

Utilities meet fundamental needs, but are not immune to the public health crisis. Several groups (Encavis, Verbund, Neoen, Suez, Engie and Veolia) have already factored the crisis into or suspended their guidance. Others (Fortum and Naturgy) have not communicated at this stage. Finally, the remaining companies (E.ON, EDF, Iberdrola, Enel, RWE, Nordex and Voltalia) have confirmed their trajectory for 2020. The revisions to our estimates impact a limited number of stocks (EDF, Fort...

Q4 preview: beyond 2026, the focus will be on the 2028 guidance upgrade

Composition of Lecornu government announced Sunday evening increases political risk in France: underweight French equities

Last night's announcements on the composition of the main ministries in Lecornu's government make it highly likely his government will quickly be ousted, leaving Emmanuel Macron with little choice but to dissolve the Assembly. We recommend underweighting French equities. Although French stocks have only slightly outperformed the Stoxx 600 since Mr Lecornu's appointment (1% in performance, 0.7% in valuation for the CAC 40 vs Stoxx 600), and have continued to underperform since the dissolution, this does not protect them from the political and economic consequences of a potential new dissolution...

La composition du gouvernement Lecornu annoncée dimanche soir accroît le risque politique français : sous-pondérer les actions françaises

Les annonces d’hier soir sur la composition des principaux ministères du gouvernement Lecornu rendent hautement probable une censure rapide de son gouvernement, qui ne laisserait d’autre choix à Emmanuel Macron que de dissoudre l’Assemblée. Nous recommandons de sous-pondérer les actions françaises. Même si ces dernières n’ont que peu surperformé le Stoxx 600 depuis la nomination de Sébastien Lecornu (1% en performance, 0,7% en valorisation pour le CAC 40 vs Stoxx 600), et qu’elles sont toujours en sous-performance depuis la dissolution, cela ne les protège pas des conséquences politiques et éc...