to join the discussion
AEG sitting at R4.26 is laughable for a contractor with actual order books. Problem is the market has zero confidence in management executing, and fair enough given the last few years. If they can just not blow up the Eskom contracts they've landed, there's real money here, but that's a pretty low bar these days innit.
aeg sitting at r4.26, construction stocks getting hammered but civil work pipeline still there. problem is margins getting squeezed, debt's chunky. ngl if load-shedding sorts itself maybe there's upside but that's a big if.
aveng's been getting hammered but construction plays always bounce back when infrastructure picks up. the debt situation is real though, can't ignore that. r4.26 is closer to fair value than it was at 8 rand but need to see some actual wins on the bid front before i get excited again.
Pulled the latest results. Construction pipeline looking solid, patience pays here.
Worth noting AEG's order book sits around R12bn which is solid for a mid-cap construction play, but the real test is converting that into actual earnings with load-shedding and material costs still all over the place. fwiw the group's been trimming fat in the non-core bits which should help margins longer term, just need to see it flow through to the bottom line. Civil work is where they make real money so keeping that segment firing matters more than chasing every contract out there.
well looky look, aeg sitting at r4.26 and the construction space is still a mess but at least the group's got civil work coming through. ngl the balance sheet's been chopped but if they can land some of those big infra tenders without load-shedding killing margins it could actually move. long game is solid if they don't blow cash on dumb stuff.
AEG's been battered by load-shedding impact on construction schedules and input costs eating margins. Thing is, the order book is still solid and once SA power stabilises even slightly this should see some daylight. Long-term view hasn't changed, infrastructure spend isn't going anywhere. At R4.26 there's value if you can stomach the volatility.
AEG's order book is still decent but margins are getting squeezed hard on these projects. At R4.17 the market's pricing in a fair bit of pain, ngl. If they can actually deliver on the infrastructure contracts without blowing costs then maybe there's something here, but the balance sheet needs to stop leaking cash first.
AEG balance sheet is getting thin, debt sitting heavy on the construction side. guys jumping ship because the order book isn't there to justify holding through load-shedding delays. compare to Basil Read back in the day, same pattern, same end. unless they land some real contracts soon this keeps grinding lower.
AEG sitting at R4.17 is basically pricing in zero growth for the next few years, which might be fair given the Tubular division drag, but the civils backlog is actually decent if you read past the doom. Problem is they need to execute on margins and most of their peers are doing the same work cheaper right now.
AEG bounced 4% today but the real question is whether they can sustain margin improvement on the back of their infrastructure pipeline. At current valuations the stock's recovery hinges on execution in their civil and mechanical divisions, not just temporary project wins.
AEG up 3.64% to R456 today, finally catching up after lagging Murray & Roberts and Raubex for months. The construction exposure is still worrying compared to peers with more diversified revenue streams, but at least volume is showing some conviction on this move.
Aveng jumping 3.64% today to R456 is nice but I'm wondering if construction stocks like this are really where I should be putting my kids' money for the next 10 years? Does anyone know if they're stable long term or is it just bouncy like this?
Aveng down just under 1% today at R437, but ag these construction stocks dip all the time. Long term if the infrastructure spending keeps coming, this is the kind of thing our stokvel wants to hold onto.
AEG nudged up 0.69% to R440 today, but the real question is whether this construction and engineering play can sustain momentum given the infrastructure headwinds in SA. At these levels, the dividend yield needs scrutiny before adding to a portfolio where cyclicals already weigh
AEG up 0.69% to R440 today, not much movement but at least it's heading in the right direction hey!
The -2.39% sell-off today looks like capitulation on sentiment rather than fundamental deterioration, especially given Aveng's recent repositioning of its divisional structure and the margin recovery trajectory documented in the H1 results. If you've actually pored through the se
The 2.39% decline to R449 represents capitulation on what remains a structurally cheap business if management executes on their capex discipline and margin recovery targets. At these levels, the embedded value in their order book and improving civils margins offers asymmetric ups