Don’t dig the construction sector? Get a load of this one
Analysts cannot see any apparent weaknesses in Afrimat, yet investors haven’t come to the party
In a decimated JSE construction sector, a little gem named Afrimat stands out, boasting a nicely balanced portfolio of construction materials, bulk commodities and industrial minerals.
For the six months to August 2019, headline earnings per share rose 94% to 181.9c and the interim dividend doubled.
Bruce Williamson, chief investment officer at Integral Asset Management, cannot see any apparent weaknesses in Afrimat. “It has a unique asset base of strategically located open-pits; a wide range of quality construction materials and industrial minerals; an experienced, hands-on board and strong middle-upper operational management; and a focus on training and skills across its workforce, all combining to deliver a great service to customers.”..