Q: VALUE OF THE STOCK HAS A DOWNWARD MOMENTUM, LOOKS GOOD ON PAPER. YOUR OPINION PLEASE?
5i Research Answer:
SJ continues to look good on paper and we still view it as a strong materials name. Momentum has been negative as the comapny's growth has slowed down from prior years and debt has risen. We still think it is a high quality name that should be a consistent dividend payer/grower but it has not been 'exciting' in recent months which is likely contributing to the decline.