Download full report with analyst certification and important disclosures
Sep 11 2020, 07:10 IST/BST
DS Smith
Adjusting forecasts to reflect better volumes; dividend to resume on better outlook
- Sectors : Paper & Packaging
- Companies : DS Smith
DAVY VIEW
The announcement by DS Smith earlier this week that volume growth had turned positive in August justifies a slight upgrade to forecasts. This follows similar upgrades for Smurfit Kappa Group and Mondi in recent weeks. Pricing, however, is key to sustained positive earnings momentum. Recent indicators around both domestic and export demand are encouraging. Current valuation multiples do not reflect this improved optimism around pricing.
