Building Materials

Davy Industrials Conference - roadshow feedback notes

  • Sectors : Building Materials
  • Companies : Breedon Group | Buzzi Unicem | Holcim | Heidelberg Materials | Kingspan Group | CRH | Saint-Gobain Group

Ratings

Ratings and price correct at time of issue

Company Rating Date Previous Rating Date Closing Price
Breedon Group OUTPERFORM 22/11/19 Neutral 25/10/17 76.0p
Buzzi Unicem OUTPERFORM 04/04/16 Neutral 05/08/15 2081c
CRH OUTPERFORM 23/05/12 Neutral 12/01/12 3788c
Heidelberg Materials NEUTRAL 04/02/20 Outperform 16/06/17 5400c
Kingspan Group OUTPERFORM 12/05/11 Neutral 30/06/09 7395c
Holcim OUTPERFORM 20/04/20 Neutral 09/01/19 4361chf
Saint-Gobain Group UNDERPERFORM 08/07/20 Neutral 09/01/19 3627c

DAVY VIEW

Davy hosted its 12th Annual Industrials Conference last week, featuring the key names in the European buildings materials sector. These included CRH, LafargeHolcim, HeidelbergCement, Cemex, Kingspan, Saint-Gobain, Buzzi Unicem and Breedon. Key take-outs for us were: (1) continued good trading in Q3, driven by self-help and the positive price-cost spread; (2) the resilience of pricing across all regions but especially in Europe and the US; (3) a greater emphasis on portfolio optimisation and financial discipline when it comes to M&A; and (4) a clear acceleration in sustainable investment and product innovation. While the sector appears to have weathered the storm and H2 looks promising, visibility remains low and commentary on 2021 was guarded.

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Sep 21 2020, 07:10 IST/BST

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