DAVY VIEW

Grafton has indicated that its adjusted operating profits for 2025 will be in line with expectations. This is despite continuing end-markets that remain sluggish in many instances, plus trading conditions softened towards year end. Even so, from an investment perspective, we still like the Grafton set-up and it remains a preferred pick in our UK-centric lightside coverage list. Reasons for this include: its diverse end-market exposure; the strength of the balance sheet; an undemanding valuation and the inherent value of Grafton’s discrete operating portfolio.