China's break-neck infrastructure development over the past decade
seriously distorted multiple commodity and resource markets, and now
companies are scrambling to figure out what the "new normal" actually
is. Companies like Caterpillar (CAT) and Joy Global (JOY) have been fairly circumspect with guidance, and major miners like Rio Tinto (RIO) and BHP Billiton (BHP) have been pulling back on their capex plans.
That brings us to FLSmidth (FLIDY.PK)
- a global engineering company that provides an array of equipment and
services for the cement and mining industries. Barring a significant
re-acceleration in demand for cement, coal, and base/industrial
minerals, it's hard to see why this company deserves a higher multiple.
Read more here:
Without Emerging Market Growth, FLSmidth Stuck In Cement
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