Shares Magazine - May 24, 2018

(sharon) #1

LARGER COMPANIES


24 May 2018 | SHARES | 43

A


ƐƚƌŽŶŐďĂůĂŶĐĞƐŚĞĞƚŽīĞƌƐďƵƐŝŶĞƐƐͲƚŽͲ
ďƵƐŝŶĞƐƐƉƵďůŝƐŚĞƌƵƌŽŵŽŶĞLJ/ŶƐƟƚƵƟŽŶĂů
/ŶǀĞƐƚŽƌ;ZDͿƚŚĞŽƉƉŽƌƚƵŶŝƚLJƚŽĐŽŶƟŶƵĞ
ŝƚƐƐŚŝŌƚŽǁĂƌĚƐĨĂƐƚŐƌŽǁŝŶŐĚĂƚĂƐĞƌǀŝĐĞƐĂŶĚ
ĂǁĂLJĨƌŽŵŝƚƐƚƌĂĚŝƟŽŶĂůĂƐƐĞƚŵĂŶĂŐĞŵĞŶƚďĂƐĞ͘
/ŶƚŚĞƐŝdžŵŽŶƚŚƐƚŽϯϭDĂƌĐŚƚŚĞάϭ͘κρďŶ
ĐŽŵƉĂŶLJĞŶũŽLJĞĚϭϬйƌĞǀĞŶƵĞŐƌŽǁƚŚŝŶŝƚƐ
ƉƌŝĐŝŶŐ͕ĚĂƚĂĂŶĚŵĂƌŬĞƚŝŶƚĞůůŝŐĞŶĐĞĂƌŵĂŶĚ
ϭρйƌĞǀĞŶƵĞŐƌŽǁƚŚĨŽƌŝƚƐĞǀĞŶƚƐ͘,ŽǁĞǀĞƌ͕ŝƚƐ
ĂƐƐĞƚŵĂŶĂŐĞŵĞŶƚďƵƐŝŶĞƐƐ͕ƐƉůŝƚĞǀĞŶůLJďĞƚǁĞĞŶ
/ŶƐƟƚƵƟŽŶĂů/ŶǀĞƐƚŽƌŵĂŐĂnjŝŶĞĂŶĚŝƚƐǀĂƌŝŽƵƐ
ŽīƐŚŽŽƚƐĂŶĚŝƚƐŝŶǀĞƐƚŵĞŶƚƌĞƐĞĂƌĐŚŽƵƞŝƚ͕
ƐĂǁƌĞǀĞŶƵĞƐůŝƉďLJρй͘
͕ŝŶƉĂƌƟĐƵůĂƌ͕ŚĂƐďĞĞŶĂīĞĐƚĞĚďLJĐŽƐƚ
ĐƵƫŶŐŝŶƚŚĞĂƐƐĞƚŵĂŶĂŐĞŵĞŶƚŝŶĚƵƐƚƌLJĂŶĚ
ĮŶĂŶĐĞĚŝƌĞĐƚŽƌŽůŝŶ:ŽŶĞƐƚĞůůƐ^ŚĂƌĞƐƚŚĞŶĞǁ
DŝĮĚ//ƌƵůĞƐĂŝŵĞĚĂƚŝŶĐƌĞĂƐŝŶŐƚƌĂŶƐƉĂƌĞŶĐLJŝŶƚŚĞ
ĮŶĂŶĐŝĂůƐĞĐƚŽƌŚĂǀĞŵĞƌĞůLJĂĐĐĞůĞƌĂƚĞĚƚŚŝƐƉƌŽĐĞƐƐ͘
dŚƌŽƵŐŚĂƐĞƌŝĞƐŽĨĂĐƋƵŝƐŝƟŽŶƐĂŶĚĚŝƐƉŽƐĂůƐ͕
ƚŚĞĐŽŵƉĂŶLJŚĂƐƌĞĚƵĐĞĚĚĞďƚƚŽũƵƐƚάϯϳŵĂŶĚ
ƚŚĞƐĂůĞŽĨŝƚƐ'ůŽďĂůDĂƌŬĞƚƐ/ŶƚĞůůŝŐĞŶĐĞƵŶŝƚ͕
ǁŚŝĐŚĐŽŵƉůĞƚĞĚŝŶƉƌŝů͕ŝƐĞdžƉĞĐƚĞĚƚŽƉƵƐŚƚŚĞ
ĐŽŵƉĂŶLJƚŽĂŶĞƚĐĂƐŚƉŽƐŝƟŽŶŽĨάϭϬϯŵ͘
dŚŝƐĐĂƐŚƐƚƌĞŶŐƚŚƉƌŽǀŝĚĞƐƚŚĞĮƌĞƉŽǁĞƌƚŽ
ĐŽŶƟŶƵĞƌĞŵŽĚĞůůŝŶŐƚŚĞĐŽŵƉĂŶLJŝŶĐůƵĚŝŶŐ
ĂĚĞƐŝƌĞƚŽŐƌŽǁŽŶƚŚĞƉƌŝĐŝŶŐĂŶĚĚĂƚĂƐŝĚĞ͘
ƵƌŽŵŽŶĞLJƉƌŽǀŝĚĞƐƉƌŝĐĞƐĨŽƌŽƉĂƋƵĞŵĂƌŬĞƚƐ
ƵƐŝŶŐƚƌĂĚŝƟŽŶĂůũŽƵƌŶĂůŝƐŵƚŽĮŶĚŽƵƚǁŚĂƚƉĂƌƟĞƐ
ĂƌĞƉĂLJŝŶŐĨŽƌĚŝīĞƌĞŶƚĐŽŵŵŽĚŝƟĞƐ͕ĨŽƌĞdžĂŵƉůĞ͘
:ŽŶĞƐƐĂLJƐ͚͗/ŶĂƉŽƌƞŽůŝŽďƵƐŝŶĞƐƐLJŽƵǁŝůů

ĂůǁĂLJƐŚĂǀĞĂƐƐĞƚƐǁŚŝĐŚŽǀĞƌƉĞƌĨŽƌŵĂŶĚ
ƵŶĚĞƌƉĞƌĨŽƌŵ͘tŚŝůĞǁŝƚŚĂƐƐĞƚŵĂŶĂŐĞŵĞŶƚ
ǁĞĂƌĞǁĂŝƟŶŐŽŶĂƌĞĐŽǀĞƌLJ͕ƚŚĞŐƌŽǁƚŚŽŶƚŚĞ
ƉƌŝĐŝŶŐƐŝĚĞŝƐƐŽŵĞƚŚŝŶŐǁĞĐĂŶĐŽŶƚƌŽů͛͘
dŚĞƌĞĂƌĞĂĐŽƵƉůĞŽĨŝƐƐƵĞƐǁŚŝĐŚĐůŽƵĚƚŚĞ
ŝŶǀĞƐƚŵĞŶƚĐĂƐĞ͘&ŝƌƐƚůLJ͕ĂŝůLJDĂŝůΘ'ĞŶĞƌĂůdƌƵƐƚ
;D'dͿƐƟůůŚĂƐĂκεйƐƚĂŬĞĂŶĚŚĂƐƉƌĞǀŝŽƵƐůLJ
ƐŽůĚƐŚĂƌĞƐ͘dŚŝƐŽǀĞƌŚĂŶŐĐŽƵůĚǁĞŝŐŚŽŶƚŚĞ
ƐŚĂƌĞƐƵŶƟůŝƚŝƐƌĞƐŽůǀĞĚŽŶĞǁĂLJŽƌĂŶŽƚŚĞƌ͘
dŚĞƌĞĐĞŶƚĮƌƐƚŚĂůĨƌĞƐƵůƚƐŐƵŝĚĞĚĨŽƌĂŶ
ŝŶĐƌĞĂƐĞĚƚĂdžƌĂƚĞ͘dŚŝƐƌĞůĂƚĞƐƚŽƚŚĞƌĞĐĞŶƚh^ƚĂdž
ƌĞĨŽƌŵƐǁŚŝĐŚĂƐǁĞůůĂƐĐƵƫŶŐƚŚĞŚĞĂĚůŝŶĞƌĂƚĞ
ŽĨĐŽƌƉŽƌĂƟŽŶƚĂdžĂůƐŽƌĞĚƵĐĞĚƚŚĞĚĞĚƵĐƟŽŶƐ
ĂǀĂŝůĂďůĞŽŶƚŚĞĐŽƐƚŽĨĂĐƋƵŝƐŝƟŽŶƐ͕ƐŽŵĞƚŚŝŶŐ
ĨƌŽŵǁŚŝĐŚƵƌŽŵŽŶĞLJŚĂƐŚŝƐƚŽƌŝĐĂůůLJďĞŶĞĮƚĞĚ͘
ƚάϭϯ͘ϮϮƚŚĞƐŚĂƌĞƐƚƌĂĚĞŽŶϭϳ͘ϳƟŵĞƐ
ĐŽŶƐĞŶƐƵƐ^ĞƉƚĞŵďĞƌϮϬϭεĞĂƌŶŝŶŐƐƉĞƌƐŚĂƌĞ͘
ŶĂůLJƐƚ&ŝŽŶĂKƌĨŽƌĚͲtŝůůŝĂŵƐĨƌŽŵƌĞƐĞĂƌĐŚŐƌŽƵƉ
ĚŝƐŽŶƐĂLJƐƵƌŽŵŽŶĞLJƚƌĂĚĞƐŽŶĂŶĂƉƉƌŽdžŝŵĂƚĞ
ρйĚŝƐĐŽƵŶƚƚŽƉĞĞƌƐ͕ƌĞŇĞĐƟŶŐĐŽŶĐĞƌŶƐŽǀĞƌƚŚĞ
ŽƵƚůŽŽŬĨŽƌƚŚĞĂƐƐĞƚŵĂŶĂŐĞŵĞŶƚƐĞĐƚŽƌ͘
͚,ŽǁĞǀĞƌ͕ƚŚĞŐƌŽƵƉŚĂƐƐƚƌŽŶŐĐĂƐŚŇŽǁ
ĐŚĂƌĂĐƚĞƌŝƐƟĐƐĂŶĚĐĂƉĂĐŝƚLJĨŽƌĞĂƌŶŝŶŐƐͲĞŶŚĂŶĐŝŶŐ
DΘ͕͛ƐŚĞĂĚĚƐ͘;d^Ϳ

The company has the balance sheet to transform its business profile with M&A


Euromoney is reinventing


itself as a data services group


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EUROMONEY INSTITUTIONAL INVESTOR
FTSE ALL SHARE

2016 2017 2018

Source: Thomson Reuters Datastream

Rebased to first

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ZsEh WZͲdyWZK&/d
ϮϬϭϳĂ άκϮΘ͘κŵ άϭϬς͘ρŵ
ϮϬϭΘĞ άκϭϬ͘κŵ άϭϬϯ͘ϯŵ
ϮϬϭεĞ άκϬκ͘ςŵ άϭϬϯ͘ϯŵ
ϮϬϮϬĞ άκϭε͘ϭŵ άϭϬε͘ρŵ
^ŽƵƌĐĞ͗ŽŶƐĞŶƐƵƐĨŽƌĞĐĂƐƚƐͬZĞƵƚĞƌƐ͘;ϮϬϭϳĂĐƚƵĂůĮŐƵƌĞƐͿ
EŽƚĞƚŚĂƚƵƌŽŵŽŶĞLJŚĂƐďĞĞŶƐĞůůŝŶŐĂƐƐĞƚƐǁŚŝĐŚƉĂƌƚůLJ
ĞdžƉůĂŝŶƐǁŚLJĞĂƌŶŝŶŐƐĂƌĞĞdžƉĞĐƚĞĚƚŽƐůŝƉŝŶϮϬϭΘ
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