Maybe because they share the limelight with companies like Remgro, Bidvest and Barloworld in the industrial sector. Just a thought. Was thinking about Bidvest the other day. I have a water dispenser outside my office - Bidvest supplies the water and the plastic cups. In our toilets, Bidvest supplies the sanitizing foam, toilet paper and air freshener. It's a boring as hell company, but definately something Buffet would invest in (at the right price).
Bidvest is constrained by the scale of her market. She is growing too big for this country. Her overseas ventures... time will tell. EQS is trading at less than 1 year's cash creation, is essentially an industrial bank and should be valued on her "price to book." Instead, it seems the market has taken a faulty and (or) ultra conservative approach and is treating EQS as if she were an industrial with low ROA. The lack of liquidity doesn't help either.
Yes. A lot of this debt is to finance fleets (+_R9 billion worth) that she leases out to clients: mining and construction equipment for her contracts as well as straight supply agreements. Forklifts and commercial fleets of passenger and other light vehicles. Operates this model in SA, Greater Africa, UK and Ireland.
Thumbs up for bringing this company to my attention. If it drops down to the R630 level, I'll be a buyer of this. I specifically like the major shareholders of this company. Neglect is a fair description of the shareprice.
Barnes has been selling - always has. Other directors have been net buyers. As for the funds - I don't see much happening. Anyway - who knows? (frankly - who cares?) - last year they were all shifting funds into SASOL and ANGLO. I bought MTA in bucket loads at R4.5 from "the funds"
Definitely Neglegted!! 1. Inet Consensus forecast remains BUY for past 18months, consensus forecast earnings and dividends best in class! 2. Share Price crashed with Marikana minining strikes and the fall in comodities: ...Eqstra's contract mining operation went through the crisis without a singel strike or any loss in production.(refer Investor Presentation) ... two major opencast contracts were renewed with BHB, increases in demand on other contracts and they have a very nice diversified portfolio of comodities (refer Investor Presentation) 3. They are a quasi B2B bank with contracts annuity income with heaps of value adds tha a typical bank does not have hence should trade at higher than price to book? 4. Debt not an issue as long as they maintain their S&P credit rating and there is little chance of them loosing this as they are well clear of all covenants?