activity at the Casablanca Stock Exchange being becalmed for several months, Moroccan investors have not had the opportunity to acquire new securities through the introductions they have been so fond in the past 2 years.
In the absence of new large-scale operations in which the market would need both to stimulate the interest of the media and individuals, shareholders should use this time to clean in their portfolio and possibly reallocate some of their liquidity to undervalued stocks with potential for significant growth.
picking a stock that is not very easy given the very high valuations have not reached a large number of titles thus limiting the potential apreciation and lack of information and analysis notes surrounding many values of the Casablanca stock exchange. Indeed
financial analysts do not regularly consider as the great values of peak neglecting a whole class of companies whose size is not significant to them to deserve their attention.
Take the example of the value (SRM mechanical construction company), introduced in the Casablanca Stock Exchange via a capital increase of 27 million dirhams by the creation of 70 000 shares in December 2006.
Specialist distribution of material handling and construction now has a certain lived on the Moroccan financial market in which there was a course for the less chaotic.
The share price reached a few months earlier after his introduction with a peak at 880 dirhams in May 2007 before a long dive that will lead to drop below its During intrduction to 377 dhs in January 2009.
Why SMEs who weighs nearly 142 million dirhams at the end of June 2009 at the Casablanca Stock Exchange did she experienced such a change? Generally
explanation for an introduction is to look on the side of the business plan forecast provided in the assessment of the company, although it is often too optimistic about future results.
In the case of RS, it was expected that the company achieves by 2009 a turnover of 348 MAD a net profit of 28 MAD, it was practical since in 2008 it reached a turnover of MAD 522 and MAD RN of 23 up to 21% over 2007. The company operates
you it on an industry in decline?
On this point opinions may be qualified as the company certe working on the construction sector which has experienced some slowdown in 2008 at the estate, cons by its presence on major infrastructure projects in Morocco that are the expansion of Tangier Med, the highway program or even the development of the valley of Bouregreg gives it a volume of business therefore, both in terms of hardware sales, at the level of customer service more remunerative (repair, training and spare parts) with nearly 3,000 machines installed with 500 customers.
handling activity should also know a strong growth with the rise of supermarkets (Marjane, Metro ...) and palletizing growing industry and commerce in Morocco.
Finally a company with a stable shareholder (Group holds 78.13% premium to the side of Emirates International Investment Company 5.09%) to distribute a dividend of 30 dirhams a yield of over 6% and a PER of less than 7 deserves the attention of investors in this period of scarcity of fresh paper
