HeidelbergCement's Capital Markets Day (CMD) saw the launch of the group's "Vision 2020" strategy. The plan leans heavily on efficiency, vertical integration and improved cash generation to deliver for shareholders. Unlike previous plans, management has been deliberately cautious in an effort to under-promise and over-deliver. The update was largely along expected lines, targeting moderate EBITDA growth with a capex-light model and a renewed focus on cash. Deleveraging comes first, so a buyback remains a distant prospect. We remain ‘Outperform’, albeit the stock may now lack catalysts in the short term.
You can email us with your enquiry by completing the form below.
Warning: The value of your investment may go down as well as up and you may lose some or all of the money you invest. Past performance is not a reliable guide to future performance. Investments denominated in a currency other than your base currency may be affected by changes in currency exchange rates.
Davy Select is designed for investors who are comfortable making their own investment decisions, without financial advice; this is known as “execution-only”. Execution-Only is not for everyone. You should ensure that you fully understand any investment and the associated risks before making a decision to invest. Alternatively, Davy can arrange for you to open a different type of account, where we can advise you in relation to investment decisions, or where we can manage investments on your behalf.
This website does not constitute investment advice as it does not take into account the investment objectives, knowledge and experience or financial situation of any particular person or persons. Prospective investors are advised to make their own assessment of the information contained herein and obtain professional advice suitable to their own individual circumstances.
J & E Davy, trading as Davy, is regulated by the Central Bank of Ireland. Davy is a member of the Irish Stock Exchange, the London Stock Exchange and Euronext. In the UK, Davy is authorised by the Central Bank of Ireland and authorised and subject to limited regulation by the Financial Conduct Authority. Details about the extent of our authorisation and regulation by the Financial Conduct Authority are available from us on request.