Market's view on Macfarlane Grp.
Published on April 2024
- Stock watchers have observed a sustained interest in Macfarlane over recent months.
- There is a discussion about the potential for Macfarlane to use its cashflow for acquisitions, especially considering opportunities in Germany due to economic conditions.
- Crucible Clarity Fund has acquired over a 3% holding in Macfarlane.
- There are moderately positive implications for Macfarlane from DS Smith’s quarterly performance, particularly in terms of corrugated box volume and pricing resilience.
- Some stock watchers are supportive of Macfarlane’s acquisitions, noting the company’s ability to buy small companies effectively.
- There is a suggestion that Macfarlane should start buying back stock, especially given its current valuation levels and a 12% free cash flow yield.
- Concerns were raised about the lack of understanding of buybacks by UK CEOs, specifically referencing Macfarlane’s potential in this area.
- There was a correction regarding a mix-up between Macfarlane and McBride in stock tips, highlighting a focus on accurate stock information.
- The effectiveness of Macfarlane’s ‘buy and build’ model was discussed, with opinions on its operational gearing and the impact of acquisitions on the company’s profits.
- There was a mention from years ago about Bunzl potentially targeting Macfarlane for acquisition, suggesting it could be an attractive target again.