Strong H118 results and positive order book development cause us to raise estimates, especially for the current year with better dividend prospects also. UK economic uncertainty will provide challenges but we believe that Severfield’s sector diversity and some pipeline project opportunities should allow the company to continue to grow. Further order book gains and the application of surplus cash balances (via investment or distribution) can be catalysts for further share price recovery.
11 Dec 2017
Severfield - Strength in diversity
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Severfield - Strength in diversity
Severfield Plc (SFR:LON) | 69.0 0.4 0.9% | Mkt Cap: 213.6m
- Published:
11 Dec 2017 -
Author:
Toby Thorrington -
Pages:
12
Strong H118 results and positive order book development cause us to raise estimates, especially for the current year with better dividend prospects also. UK economic uncertainty will provide challenges but we believe that Severfield’s sector diversity and some pipeline project opportunities should allow the company to continue to grow. Further order book gains and the application of surplus cash balances (via investment or distribution) can be catalysts for further share price recovery.