Over the last three years the market has rewarded Next Fifteen for strong, consistent double digit North American organic growth. The high dollar exposure continues to be a positive tailwind. However, substantive progress outside the US has been overshadowed. Margins (ex US) have improved substantially and the shape of the UK business has been transformed. Even after a prolonged period of outperformance, Next Fifteen trades at a comparable rating to the more pedestrian peer group; with mid-teens earnings / dividend growth and balance sheet strength at a low teens multiple. Current trading remains in- line with a positive outlook for F Y18E.
25 Jan 2017
Initiation of Coverage
Sign up for free to access
Get access to the latest equity research in real-time from 12 commissioned providers.
Get access to the latest equity research in real-time from 12 commissioned providers.
Initiation of Coverage
Next 15 Group plc (NFG:LON) | 893 -241.1 (-3.0%) | Mkt Cap: 887.7m
- Published:
25 Jan 2017 -
Author:
Iain Daly -
Pages:
21
Over the last three years the market has rewarded Next Fifteen for strong, consistent double digit North American organic growth. The high dollar exposure continues to be a positive tailwind. However, substantive progress outside the US has been overshadowed. Margins (ex US) have improved substantially and the shape of the UK business has been transformed. Even after a prolonged period of outperformance, Next Fifteen trades at a comparable rating to the more pedestrian peer group; with mid-teens earnings / dividend growth and balance sheet strength at a low teens multiple. Current trading remains in- line with a positive outlook for F Y18E.