Equity Analysis /

SWDY valuation update: supercharged growth – reiterate overweight on FV of EGP185

    Tellimer Research
    4 March 2018
    Published byTellimer Research
    We upgrade our FV to EGP185/share. We factor in 1) blended GPM of 17.2% in FY18 and softening to 16.6% by the end of our forecast horizon, 2) average awards per annum of USD861mn, 3) copper and aluminum prices to reach USD7,342/ton and USD2,104/ton, respectively in FY22. SWDY is trading at FY18 P/E of 6.2x and EV/EBITDA of 4.9x.