A director at Stalprodukt S.A. sold 117,187 shares at 250.000PLN and the significance rating of the trade was 100/100. Is that information sufficient for you to make an investment decision? This report gives details of those trades and adds context and analysis to them such that you can judge whether these trading decisions are ones worth following. Included in the report is a detailed share price chart which plots discretionary trades by all the company's directors over the last two years cle...
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....
Stalprodukt is set to deliver strong 2021 first-half earnings, driven by rising prices of electrical steels, underpinned by growing investment in renewable energy and electric vehicle production and charging infrastructure. On top of that, world zinc markets lately have shifted sharply upwards amid expectations of a recovery in the automotive sector (transport accounts for 25% of overall zinc use) and rising investment in infrastructure (over 50% of total use). Stalprodukt closed its last zinc m...
By the end of 2020, Stalprodukt is set to close its biggest zinc mine, the Olkusz-Pomorzany facility which to date has supplied more than 70% of concentrate feedstocks, as it switches over to producing recycled zinc in a new plant, opened at the end of 2019, with a target capacity equivalent to 30% of annual production, opting to buy the remaining concentrates from external buyers. According to our calculations, if the new recycling plant can reach a capacity comparable with that of the leading ...
• We are positive about stock markets. Stocks ↑ • WIG > EM > SPX > EuroStoxx • The global economic cycle is close to the inflection point. • Central banks’ policy will support risky assets. • GPW is in the ‘risk search’ phase and a wave of optimism may have a dynamic impact on multiple re-rating. • The most important topic for 2020 on the GPW will be a significant increase in the capacity of domestic investors to purchase stocks. Inflows should send valuations up. • Poland:...
It is worth paying attention to... FINANCIALS + PEO / BHW: We recommend going overweight on banks with high dividend, for which the current DY exceeds 6%. In the scenario of no events in the sector depleting the Bank Guarantee Fund’s funds, these banks should be beneficiaries of the change in the structure of contributions for the next year. In the long run, they may strengthen their position in the sector if the CHF risk becomes large. (Maciej Marcinowski, p. 34/26) + PZU: The Management Boa...
Due to a reallocation of resources, Haitong Research is terminating coverage of Famur (FMF PW), JSW SA (JSW PW), KGHM (KGH PW), Grupa Lotos (LTS PW), LW Bogdanka (LWB PW), PKN Orlen (PKN PW), Stalprodukt (STP PW) and PGNiG (PGN PW). Effective upon this termination of coverage, our last recommendations, fair values and estimates should not be relied upon going forward.
It is worth paying attention to... BANKS + PKO: Another quarter of very good results. Only for PKO, our annual forecast deviates positively from the consensus. The Bank will probably pay out realistically 90% dividend starting next year. Moreover, CHF-denominated loans pose less risk than indexed loans. (Maciej Marcinowski, p. 36) + BHW: We find a 6% DY in a temporarily weak year in terms of results (write-offs for Kania) attractive, especially following recent drops in bond yields. The absence...
We reiterate our BUY recommendation for Stalprodukt but lower our FV considerably to PLN 362.69 per share from PLN 611, mainly on the recent underperformance of the zinc segment stemming from lower than expected mine production at the Boleslaw mine. Nonetheless, we still like STP because of: 1) its cheap-looking multiples; 2) forthcoming ramp-up of the new tank hall project; and 3) possible mine extension in the Laski mining area, although our base-case valuation does not include this project. W...
It is worth paying attention to: BANKS + PKO: Another quarter of very good results. This year’s stock price is worse than WIG Banks and we can see the potential for reversal of this trend. The Bank wishes to leave 50% of its 2018 profit undistributed, which will enable it to increase the dividend next year. (MM, p. 36) + MIL: Good results despite the upcoming acquisition of Eurobank. Quick synergies can be achieved after the acquisition through replacing the expensive financing of Eurobank. I...
It is worth paying attention to: BANKS + PKO: Another quarter of very good results. This year’s stock price is worse than WIG Banks and we can see the potential for reversal of this trend. The Bank wishes to leave 50% of its 2018 profit undistributed, which will enable it to increase the dividend next year. (MM, p. 36) + MIL: Good results despite the upcoming acquisition of Eurobank. Quick synergies can be achieved after the acquisition through replacing the expensive financing of Eurobank. I...
• Short term: positive attitude. Shares ↑, EM>DM, WIG20WIG20 • WIG20: S-T +10%; L-T WIG20 • Our thesis is that the market is currently in an ‘unreasonably cheap’ phase and we are only just ahead of a phase of doubt, especially in the segment of small companies. • The economic cycle is already behind its peak phase. • The upcoming slowdown will be a classic recession rather than a crisis. • Poland: slowdown in growth, especially in 2H19; strong consumption maintained (although s...
We reiterate our BUY recommendation for Stalprodukt and trim our FV to PLN 611 per share from PLN 687, mainly on the recent underperformance of zinc spot prices and the lower than expected TCRC benchmark set for 2018 (USD 147 vs USD 160). Nonetheless we still like STP because of: 1) strong cash generation enabling preparation for Olkusz-Pomorzany closure and at the same time paying out a substantial dividend (we forecast DY in 2019 above 7%), 2) synergies between the recently acquired Frydek-Mi...
We begin to issue recommendations for Stalprodukt with a ‘BUY’ recommendation, with the target price of PLN 638. The high zinc prices in the recent quarters have not been fully reflected in the headline results of the Zinc segment due to the Company’s hedging policy and a relatively low average hedging rate. Each quarter the hedging rate was moving up, which will support the reported results despite the recent decrease in zinc prices. The change in zinc production technology and the growin...
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