Market's view on Barr (A.G.)
Published on April 2024
- AG Barr is undergoing significant changes with job cuts in Scotland and management shake-ups, including the departure of CEO Roger White and the appointment of Euan Sutherland as the new CEO.
- There are concerns about AG Barr’s stock performance, with some stock watchers noting a lack of growth in alternative markets and a lower trend in share prices.
- Stock watchers are discussing the company’s financial strategies, such as potential for share buybacks or special dividends given the strong cash position.
- Questions are raised about the company’s high cash balance and whether it could be better utilised to generate returns or buy back shares.
- AG Barr’s recent acquisitions are reportedly integrating well, cooling input cost inflation is seen, and there are future benefits expected from production and supply chain investments.
- Succession planning at AG Barr is viewed positively, particularly with the transition from Roger White to Euan Sutherland.
- The company is targeting Generation Z with its marketing strategies to boost brand engagement.
- AG Barr’s people strategy is focusing on employee involvement and feedback to improve workplace initiatives.
- The possibility of increasing dividends is discussed due to good financial coverage.
- Concerns are expressed over a significant shareholder, Lindsell Train, reducing their stake in the company.