Livewire | Riding the Infrastructure Boom

With numerous infrastructure projects now ramping up at the same time, the well-flagged East Coast infrastructure boom is very much on. By next year, the total spend is forecast to be $16 billion, double what it was last year. There will be obvious winners from this, but what about some of the lesser-known players that may provide investors with great opportunities?

Panel: Jeremy Hook from TMS Capital is joined by Ben Rundle from NAOS, and Shane Fitzgerald from Monash Investors

Key Points:

Boral (BLD): Provides great exposure to Australian infrastructure boom. The US acquisition also gives good exposure to US property, but it may need time to bed in?

Wagners (WGN): This Toowoomba-based building infrastructure company has soared in the two months since its IPO. A great company with a great track record.

Emeco (EHL): This has done a great job of consolidating the market at right time in cycle. Has now got an expanded fleet, a better balance sheet, and better pricing. Could see continued growth in earnings here.One for the watchlist.

Next DC (NXT): An infrastructure play supplying data centres. Perhaps fairly valued right now, but has long-term growth optionality.

Big River (BRI): A leading manufacturer of timber formply, which is a key input of concrete pouring. The company has a long track-record of dividends, a strong balance sheet, and a reasonable multiple.

Livewire: Published 16 February 2018

Topics: NAOS Insights, NAOS in the News

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