finnCap Research Company Notes - 31 October 2018

Oct 31, 2018 / Research Notes

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Sector: Consumer & Other

PPHE Hotel Group (PPH): Refreshed assets supporting growth

Key data                              

  • Share price (p): 1525.0
  • Target price (p): 2141.0
  • Market cap (£m): 645.6
  • Enterprise value (£m): 1305.6

PPHE has confirmed trading is in line with expectations with Q3 like-for-like sales up +4.5% (9mths +4.4%) and like-for-like RevPAR up +5.8% (9mths +4.1%). Sales growth was aided by the completion of the repositioning programme at Park Plaza Victoria Amsterdam, the opening of the Group’s first all glamping campsite in Croatia, and the maturing performance of Park Plaza London Waterloo and Park Plaza London Park Royal. Further, London experienced good trading in the summer, particularly in the leisure sector (aided by the weather). We make no changes to our forecasts and reiterate our 2141p price target based on the latest property valuations.

Guy Hewett | ghewett@finncap.com

Sector: Mining

Tri-Star Resources (TSTR): SPMP project update

Key data                              

  • Share price (p): 39.0
  • Target price (p): 68.0
  • Market cap (£m): 36.7
  • Enterprise value (£m): 40.5

Tri-Star has released an update on progress being made with the hot commissioning of the Sohar antimony and gold production facility in northern Oman. Tri-Star’s principal asset is its 40% share holding in SPMP; this in turn owns the Sohar plant. We maintain our 68.0p price target.

Martin Potts | mpotts@finncap.com

 

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