Smurfit Kappa Share Discussion Threads

[moorsie2] 27/11/2017 15:33

I would expect it to flirt with 24 (27 euros) level for a few days but finally break through it by Friday close.

Expecting 28.5 to 29 euros (25.5 to 26 stg) by end of January

[soundbuy] 27/11/2017 08:19

Wishing on £24 again.......

ATH by week end with favourable markets???

[soundbuy] 24/11/2017 11:09

Average daily vol done by 11pm bodes well...........

[soundbuy] 23/11/2017 15:00

If not before.........December's usually a decent month....

[moorsie2] 23/11/2017 10:25

I expect this to break through the 24 ceiling and move on to 25.5 - 26 by February.

Undervalued at the moment

[soundbuy] 17/11/2017 11:12

Shaping up nicely.........reasonable vols for 1)Friday 2) 11am ....

[essentialinvestor] 16/11/2017 16:47

Better day ).

[soundbuy] 16/11/2017 10:56

Yep, cat & mouse game between input cost inflation vs price hikes

Supply issues should ease next yr feeding through to improved Q4/Q1.

(SKG was my Nap for a t/o this yr. International Paper (NYSE:IP) the front runner....)

[essentialinvestor] 15/11/2017 17:30

Added some this morning and before the close.
However SKG perhaps lacking a catalyst to drive the share price higher atm?.

It looks to be input price inflation holding back the share price imv.

[soundbuy] 09/11/2017 14:50

Fat finger around 2pm?

......... low vols never work in SKG's favour..........

[soundbuy] 03/11/2017 16:06

£24 by close of play would be nice :)

[moorsie2] 03/11/2017 08:55

24stg and 27 euros is the ceiling this share has been hitting for some time. But it will push through and go quickly to close to 25 and 28 within days....

[moorsie2] 02/11/2017 15:35

Two broker buys and one broker add - all released this afternoon has put a bit of zip back in here.

Huge valuation gap to Mondi and DSS - so this is where the smart money is going.

[soundbuy] 02/11/2017 14:24

Expected a little more here today......right direction though

[soundbuy] 01/11/2017 12:04

H/T to FT AV

Some comment
Merrill


Q3 EBITDA right inline EUR320mn, same as cons. Guides for FY17E EBITDA in line with market expectations. Positive commentary. Continued box price recovery re-assuring. Think this should result in margin expansion in 2018. Like: 1) Strong FCF generations. 2) Exposure to E-commerce/value-add packaging. 3) Attractive valuation 6.6x FY18E EBITDA.



Citi


Implications — The company states that it is on track to meet market expectations for the full year, suggesting that it expects no material change to consensus on the back of these numbers. We think the market will find today’s results as fairly solid, but uninspiring, with discussing at this morning’s analyst call focusing on the degree to which corrugated price rises are able to pass through continued high input costs.


Davy


SKG generated free cash flow of €152m in the period, representing almost 50% conversion from EBITDA. This was despite a working capital inflow of just €5m compared to €51m in Q3 2016. Higher raw material, containerboard and corrugated prices resulted in higher levels of working capital, with the ratio to sales increasing to over 8%. The company spent €36m in M&A in the period, which presumably reflects the consideration for the Russian packaging business. The company also announced the acquisition of a display and corrugated business in Greece in October for an undisclosed sum. We believe this could be of a similar magnitude to the Russian deal. Net debt/EBITDA declined to 2.3x at end-September from 2.5x at the end of Q2.



UBS


In-line statement should be supportive for the stock given concerns post the recent slight reduction in guidance at Mondi.

[soundbuy] 01/11/2017 10:58

Aye, credit to SKG though who flagged input inflation/supply issues so no real surprises.....and SMDS update reassured that price increases were feeding through....

Of the three, MNDI seem to be finding the going a little tougher ..... valuation-wise they were a little stretched so little room for caution....

[swedeee] 01/11/2017 10:46

very glad I didnt ditch this last week. mondi results made me wonder....

[soundbuy] 01/11/2017 10:23

Well, reckon another attempt at that ATH soon (providing wider mkt behaves)......

[moorsie2] 01/11/2017 08:20

Definitely

[soundbuy] 01/11/2017 08:09

On a valuation call if I were in SMDS this morning I'd be rotating into SKG....

[soundbuy] 01/11/2017 08:07

So far so good....

[moorsie2] 01/11/2017 08:04

Very strong set of results. Market should be very happy with this after the Mondi profit warning

[soundbuy] 01/11/2017 07:34

Much as flagged.........I see no surprises

Lets see what the market thinks........

(Panmure calling #SKG 'unchanged' FWIW)

[soundbuy] 31/10/2017 07:10

DS Smith update

'......... As expected, we are continuing to recover the increase in paper prices with our packaging customers'


SKG hopefully managing rising input costs in a similar fashion.


'Trading is in line with our expectations in the half year with return on sales for the period broadly consistent with that reported for the full year to 30 April 2017, and ROACE in the upper end of the target range.'

[moorsie2] 30/10/2017 16:28

i am expecting the share price to appreciate here on Wednesday after q3 results - the share price has taken a big hit since late July and the underlying indicators of this industry have got better since mid year. Just my opinion though .....