Smurfit Kappa Share Discussion Threads

[mnomis] 11/8/2017 10:28

Yes, interesting move today in a tough market ...

[moorsie2] 11/8/2017 09:53

this is heavily oversold - it is now just a case of finding the reentry point / top up point

[soundbuy] 11/8/2017 08:46

Fair vols early doors.........for a Friday too.......

[mnomis] 09/8/2017 14:26

2100 looks like a decent entry ... am watching

[philanderer] 09/8/2017 08:24

Sold out this morning .

Luck to all holders.

[philanderer] 07/8/2017 15:15

DoWntrend continuing , selling off with the open in the USA

[soundbuy] 05/8/2017 10:57

Was a toss up between adding here or taking an initial stake in SHP yesterday am.

Sat on hands and spent the day out........zzzzz.

Will give it a week or two and mull it over.....zzzz

[philanderer] 04/8/2017 11:40

'Recovered fibre costs hit Smurfit Kappa'

....Tony Smurfit, Group CEO, said: “While recovered fibre cost pressures present short-term challenges, SKG is better positioned today than at any other point in our recent history. Our capital structure, our asset base and our integrated business model continue to strengthen. This will enhance our ability to translate today’s market conditions into improved earnings in 2017 and beyond”.

In the UK, Smurfit Kappa has two board mills using recycled feedstock, at Nechells in Birmingham and in Snodland, Kent.

[philanderer] 04/8/2017 09:40

Morning Moorsie , I`m more than happy to hold but not adding or buying anything at the moment.

Not too sure what's going to drive these markets on.


edit: SMDS and MNDI going in the right direction this morning.

[moorsie2] 04/8/2017 09:37

i think it has now been oversold. Value to be had here again

[philanderer] 04/8/2017 08:54

2400p to 2200p in four weeks.

This fella has turned really disappointing.

[philanderer] 03/8/2017 21:50

Thanks SB


Smurfit Kappa Group Plc (LON:SKG) had its price objective upped by investment analysts at Numis Securities Ltd 2400p to 2600p in a report released on Thursday. The firm currently has an “add” rating on the stock.

[soundbuy] 03/8/2017 18:34

'With over 30% upside to our target despite us using some of the lowest multiples for any containerboard stock under coverage, we see Smurfit Kappa having the most upside of any containerboard name in our coverage making Smurfit Kappa our new top pick.'

Won't go un-noticed across the pond....

[soundbuy] 03/8/2017 18:22

Cheers for the above..

[moorsie2] 03/8/2017 15:40

NEW YORK, 2 August 2017 (Viewpoint) - excerpt from Armstrong Investment Research
3-Eurocent Beat vs. AIR Estimates – This morning, Smurfit Kappa reported 2Q results of €0.43 a share, beating our €0.40 estimate. On an EBITDA basis, Smurfit Kappa reported Q2 EBITDA of €292 million, beating the Street by a hair of €1 million and beating our EBITDA estimate by €5 million. Versus our model, the operating lines came in line with the outperformance in Europe (+€0.03) offset by the underperformance in Latin America (-€0.03). The non-operating lines added the remaining €0.03 versus our expectations.
Realizing European Price in Back Half – Despite the cost headwinds, Smurfit Kappa’s European business continues to perform very well. The company reported that their volumes were up 2% in the second quarter and continued to grow at a 4% rate in July. Additionally, underlying demand growth on an adjusted day basis was up 5% for boxes in the quarter. However, despite the strong performance, the company is still only predicting a 2.5% volume growth for the year, which we think is looking conservative. One big issue is that Smurfit Kappa is having trouble finding additional tons in the region as inventories remain “critically221; tight. However, with demand growing and inventories tight, we see no issue with Smurfit Kappa extending recent hikes in linerboard and medium prices to boxes during the back half of 2017 and into 2018.
Latin America Demand Strong, Currency the Wildcard – Excluding Venezuela, which is struggling and has mostly been written off (both financial and in terms of near-term viability), the Latin American markets are also seeing healthy growth, with demand up between 4% and 11% in the first half of the year, depending on the region. While the markets are growing and pricing is improving on the back of the North American price increases, currency fluctuations are impacting results and drove the 2nd quarter underperformance. While we expect continued growth in volumes and some growth in margins, we are tempering our expectations for the region as currency weighs on some of the gains.
Lowering Estimates for 2017, Staying Conservative on 2018 & Beyond – We are lowering our 2017 estimates on a slightly slower flow-through of the announced price increases combined with higher than previously modeled interest expense. Specifically, our 2017 estimate drops to €1.75 from €2.10, previously. However, we are maintaining are well-above-Street estimates of €2.65 and €2.85 for 2018 and 2019 as pricing flows through and volumes continue to pick up as well. Furthermore, we believe we are conservative in our out-year estimates as we continue to expect costs to rise significantly as well. If costs, and especially OCC, just remain at current levels, we could see further upside to our out-year estimates.
Maintain Buy and Raise Target to €33 – As we roll our estimates forward half a year, we maintain our Buy rating while raising our target on Smurfit Kappa to €33. With over 30% upside to our target despite us using some of the lowest multiples for any containerboard stock under coverage, we see Smurfit Kappa having the most upside of any containerboard name in our coverage making Smurfit Kappa our new top pick.
James Armstrong, Armstrong Investment Research

[philanderer] 03/8/2017 15:13

Upgrade for SMDS from Berenberg


Disappointing reaction to those SKG numbers not helped today by poor reception on report from MNDI.



'Smurfit Kappa to invest €400m despite profit fall'

[soundbuy] 03/8/2017 08:21

SMDS - quick out the traps this am?? On vol.???

Potential FTSE candidate but still??

[philanderer] 02/8/2017 14:37

'Smurfit Kappa eyes further acquisitions as first half earnings decline'


Smurfit Kappa is in a strong position with a number of deals in the pipeline, chief finance officer Ken Bowles has said.

He was speaking to The Irish Times after the paper packaging group announced a drop in first half earnings due to higher costs that impacted margins.

[philanderer] 02/8/2017 12:58

SMDS tracking SKG point for point

[soundbuy] 02/8/2017 12:14

Was listening in - price dropping back well before the Q & A, could see where several analysts were heading re supply issues going fwd........

[philanderer] 02/8/2017 12:12

Brokers:

Commenting on the latest results, Davy said the outlook is positive for Smurfit with containerboard prices having increased by €80-90/tonne year-to-date, driven by strong demand, tight inventories and higher input costs.

“A further €50/tonne has been announced and is likely to be successfully implemented. This will drive meaningful increases in box prices over the next six to nine months. With strong volume growth expected to continue, earnings upgrades are likely,” it said.

Investec said the market would likely react positively to the latest results. It reiterated its positive stance on Smurfit given its cyclical exposure to growing markets with upside risk to earnings if the current price increase initiative achieves some success.

[philanderer] 02/8/2017 11:51

Tony Smurfit CNBC interview.

video link:

[philanderer] 02/8/2017 11:45

Thanks SB..... looks as though it hasn't gone down that well if the early share price indication is anything to go by :-(